Opening Bell 23 Nov | India’s disinvestment program to finally kick off

Positive economic data from China lifts global equities
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First Published: Fri, Nov 23 2012. 08 15 AM IST
A file photo of BSE building in Mumbai. Photo: Hemant Mishra/Mint
A file photo of BSE building in Mumbai. Photo: Hemant Mishra/Mint
Updated: Fri, Nov 23 2012. 08 17 AM IST
Mumbai: As expected, the first day of the winter session of the Parliament kicked off on a stormy note with the Lok Sabha being adjourned following uproar by the opposition over foreign direct investment in retail. However, the good news was that the no-confidence vote to pull down the government fell through, due to lack of support.
Asian markets were trading slightly higher on Friday morning following encouraging signs from the Chinese economy after preliminary manufacturing data showed expansion, reports Financial Times. Hong Kong’s Hang Seng and China’s Shanghai Composite edged up 0.1% each. Japan’s Nikkei Stock Average and Wall Street indices were shut on account of the Thanksgiving Holiday.
In India, the government will flag off the much awaited divestment program with Hindustan Copper share sale. The floor price is set at 42% discount to the current market price to ensure that the issue goes through, but even at Rs.155, it is trading at 47 times its trailing four quarter EPS.
NTPC may see some action after the cabinet committee on economic affairs approved the sale of a 9.5% stake in the state-owned company. The government owns 84.5% stake in the state-owned company and plans to raise around Rs.13,000 crore from the share sale.
Bharti Airtel will be in focus with the tower arm - Bharti Infratel - planning to launch its initial public offer in the second week of December to raise Rs.4,000 crore, reports Economic Times.
Infosys may see some pressure after S. Gopalakrishnan, its executive co-chairman said that the Indian IT industry is expected to grow at a slower pace of 11% this fiscal against 16-17% growth seen last year because of a challenging global environment, reports Economic Times.
SpiceJet will be in focus following a Mint report that Kalanithi Maran is likely to invest more money in the carrier for expansion and to tide over losses. This is the third time Maran is infusing funds after the Sun Group invested Rs.130 crore in November last year and about Rs.100 crore in April.
PVR shares may see some action following an Economic Times report that it is planning to buy Cinemax from the promoters for Rs.170-180, a premium of 6.25-12.25% to Thursday’s trading price. PVR will have to shell out around Rs.500 crore to buy out Cinemax in an open offer.
Pharma stocks will be in focus after the cabinet okayed recommendations of a group of ministers on a revised pharmaceutical pricing policy which will impose a cap on prices of 348 essential medicines at the average prices of drugs in that segment, reports Business Standard.
Dhanlaxmi Bank will be on the radar after it appointed a new auditor following the controversial exit of its previous auditor, reports Mint. The appointment comes amid speculation that Dhanlaxmi Bank may merge with a large new private bank.
Lastly, Harley Davidson has unleashed an India version of its Fat Bob bike for Rs.12.8 lakh which will assembled at its facility in Bawal, Haryana.
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First Published: Fri, Nov 23 2012. 08 15 AM IST
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