India Targets Higher GDP; Spice Mobiles Surges

Mayank Mehta
05 Mar, 2010
New York City

Prime Minister Manmohan Singh said that the current financial year economic growth will exceed 7.2% and the next year growth is likely to be near 8%. Sulzer India plans to delist the company. Spice Mobiles Ltd plans to raise $160 million. Hero Honda plans to not increase prices.

[R]6:00 PM Mumbai, 8:30 AM New York – Prime Minister Manmohan Singh said that the current financial year economic growth will exceed 7.2% and the next year growth is likely to be near 8%. Sulzer India plans to delist the company. Spice Mobiles Ltd plans to raise $160 million. Hero Honda plans to not increase prices.[/R]

The Sensex index in India increased 22.79 or 0.13% to 16,994.49 and CNX Nifty index rose 8.45 or 0.17% to 5,088.70. Among the Sensex 30 stocks, 16 rose and 14 fell.

On BSE trading, 1,684 stocks advanced, 1,206 declined and 93 were unchanged. Realty shares extended Thursday''s gains. Banking and telecom stocks advanced. IT stocks were mixed. Reliance Industries also edged lower.

The government said on Friday it will seek parliamentary approval to spend an extra Rs 31,780 crore for the fiscal year to end-March 2010, which it plans to fund through savings and the government has no plans to borrow more than planned to fund supplementary spending, Revenue Secretary Sunil Mitra said today.

Prime Minister Manmohan Singh said on Friday the economy would grow by at least 8% in the year through March 2011. Asia''s third largest economy would expand between 7.2% and 7.5% in the current fiscal year ending in March 2010, Singh told parliament. Singh said prospects for the winter-sown crop are “very encouraging.”

The Reserve Bank of India said on Friday the new base lending rate for banks will take effect from July 1.

Rupee edged higher 4 paisa to 45.77 against one dollar.

Gainers & Losers

Bosch Limited fell 0.8% to Rs 4,782.00 after the automotive products maker said fourth quarter net profit fell 6.7% to Rs 590.85 crore.

Gujarat Gas Company Limited added 1.4% to Rs 253.20 after the company said fourth quarter net profit surged 46.6% to Rs 46.31 crore.

Hero Honda Motors Limited rose 2.5% to Rs 1,840.00 after the company''s chief financial officer Ravi Sud told reporters that the motorcycle maker will not raise pass added taxes to consumers.

Hindustan Construction Company Limited rose 3.0% to Rs 147.00 after the company secured two orders of Rs 299.36 crore.

Hindustan Dorr-Oliver Limited gained 5.0% to Rs 217.45 after the engineering contractor fixed March 17 as the record date for the bonus issue in the ratio of 1:1.

ICICI Bank Limited dropped 0.1% to Rs 896.55 after the lender has raised auto loans rates between 25 basis points to 50 basis points effective from March 5, a spokesman said on Thursday.

JSW Steel Limited rose 1.4% to Rs 1,177.30 after the company''s crude steel production rose 69% to 5.02 lakh tons a year ago.

NMDC Limited fell 3.2% to Rs 421.00 after the state controlled iron ore mining company’s secondary offering may be priced at 30% to 35% lower than the current market price.

Petronet LNG Ltd gained 4.6% to Rs 78.80 on the market rumor that the government may exempt natural gas from import levies.

Pidilite Industries Limited increased 5.9% to Rs 216.35 after the branded consumer products maker announced that March 17 has been fixed as the record date for bonus shares in the ratio of 1:1.

Roman Tarmat Limited climbed 3.4% to Rs 48.25 after the construction company said one of the promoter’s increased stakes in the firm.

Spice Mobiles Limited rose 4.9% to Rs 43.75 after the company''s board approved raising Rs 700 crore in stock sales.

Sulzer India Limited surged 20% to Rs 1,243.65 after the textile equipment maker board approved the delisting proposal by its parent company in Switzerland.

Tilaknagar Industries Ltd rose 0.3% to Rs 114.90 after the company said one of the promoter’s increased stakes in the firm.

Transwarranty Finance Limited gained 6.4% to Rs 16.50 an investment bank providing a range of financial services announced that the board the company at its meeting held on March 5, approved the merger of two of its subsidiary companies, Transwarranty Credit Care Pvt. Ltd. and Transwarranty Forex & Commodities Pvt. Ltd.

Wipro Limited decreased 0.7% to Rs 688.00 after the IT firm said it has entered into a seven-year strategic agreement with the U.S. based insurer Main Street America Group for software solutions.

Zicom Electronic Security Systems Ltd surged 16.9% to Rs 131.35 after the company approved the sale of Electronic Security System Business of the Company to Schneider Electric India Pvt Ltd for Rs 225 crore. The company intends to use funds to repay debt and acquire other businesses.