Sensex in India Gains 1%; UltraTech Merger

Mayank Mehta
16 Nov, 2009
New York City

Stocks in Mumbai gained on the back of a rally in Asian markets. UltraTech, the largest India based cement maker absorbs its subsidiary Samruddhi Cement. Rupee edges higher against the dollar.

[R]6:00 PM Mumbai, 8:30 AM New York – Stocks in Mumbai gained on the back of a rally in Asian markets. UltraTech, the largest India based cement maker absorbs its subsidiary Samruddhi Cement. Rupee edges higher against the dollar.[/R]

The Sensex index in India increased 183.68 or 1.0% to 17,032.51 and CNX Nifty index rose 59.10 or 1.1% to 5,058.05. Among the Sensex 30 stocks, 26 rose and 4 fell.

On BSE trading, 1,752 stocks advanced, 1,103 declined and 90 were unchanged.

Banking, realty, metal and auto stocks rose but IT stocks fell.

Cabinet Secretary KM Chandrasekhar today said food prices will moderate as supply constraints ease. He said the government is monitoring sugar prices and it will take more action to contain prices if needed.

Inflation based on the wholesale price index accelerated in October 2009 from a month earlier on costlier minerals and fuels.

Rupee edged higher 20 paisa to 46.11 against one dollar.

Gainers & Losers

Aban Offshore Limited rose 4.5% to Rs 1,290.95 after the oil field drilling services provider raised $150 million by selling new shares to institutions at 1,224.30 rupees ($26.60) each, according to local media sources.

Ashiana Housing and Finance India Ltd declined 1.6% to Rs 98.00 after the promoter group OPG Realtors acquired 1.75 lakh equity shares representing 0.94% of the stake.

Ansal Properties & Infrastructure Limited surged 9.2% to Rs 71.50 after the real estate developer’s board approved 96.27 lakh equity shares to Mauritius-based IPRO Funds, under preferential allotment.

Bafna Pharmaceuticals Limited rose 0.3% to Rs 30.40.

Everest Kanto Cylinder Limited surged 9.7% to Rs 155.30 after the promoter increased its stake in the maker of high pressure seamless gas cylinders and pressure vessels.

Glenmark Pharmaceuticals Limited rose 4.6% to Rs 232.60 after the pharmaceutical company Monday announced product licensing and patent settlement agreements with Medicis Pharmaceutical Corp.

GVK Power & Infrastructure Limited added 4.1% to Rs 50.65 will complete the acquisition of a 13.5% stake of its South African partner Bidvest in Mumbai International Airport Ltd project in the next one to two months.

Housing Development Finance Corporation Limited added 0.6% to Rs 2,775.00 agreed to acquire approximately 41% of Credila Financial Services (P) from DSP Merrill Lynch Capital.

Jain Irrigation Systems Limited rose 4.2% to Rs 873.00 after 3.06 lakh shares traded hands at an average price of Rs 846.66 in early trade.

Maruti Suzuki India Limited rose 5.4% to Rs 1,560.40 said the demand for passenger cars remains strong.

Sterlite Industries (India) Limited climbed 2.7% to Rs 860.00 after a U.S. federal judge issued a ruling supporting a bid by rival Grupo Mexico for Asarco LLC, the largest copper mine in the U.S. that has been closed down for the environmental violations.

Suzlon Energy Limited increased 7.2% to Rs 71.55 after the wind power company said it has received an order to supply wind turbines to a community wind farm in the U.S. state of Minnesota.

Tata Motors Limited gained 2.4% to Rs 633.75 and said that the automaker has lined up bank credit line for working capital needs.

Themis Medicare Limited fell 0.7% to Rs 147.00 and the bulk pharmaceutical company’s Vapi location suffered a fire explosion.

UltraTech Cement Limited advanced 1.1% to Rs 737.45 and Samruddhi Cement Ltd. agreed to merge with the company to build the largest cement company in India.

Whirlpool of India Limited rose 6.3% to Rs 127.00 after the manufacturer and marketer of home appliances plans to invest about 3 billion rupees ($60 million) to drive the future sales according to company official.

Asian Markets Review

The Nikkei 225 Index in Tokyo closed higher 20.87 or 0.21% to 9,791.18, and Hang Seng index in Hong Kong increased 390.35 or 1.73% to 22,943.98, and CSI 300 index in China higher 107.08 or 3.04% to 3,625.80. ASX 200 index in Australia increased 48.80 or 1.04% to 4,755.20. The FTSE Bursa KL Composite index in Malaysia was higher 7.35 or 0.58% to 1,278.31.

The Kospi Index in South Korea increased 20.48 or 1.30% to close at 1,592.47. SET index in Thailand closed higher 8.42 or 1.21% to 706.75. JSE Index in Indonesia increased 41.87 or 1.73% to 2,468.68. The Sensex index in India increased 183.68 or 1.09% to 17,032.51.