VA Tech Wabag soars 4% after bagging order from Petronas

The stock hit a high of Rs. 735 and a low of Rs. 702 on BSE today.

Shares of VA Tech Wabag were trading higher 4% at Rs. 711 on BSE today. The company and its consortium partner Muhibbah Engineering (M) Bhd has bagged a contract worth Rs 1,500 crore from Malaysia's national oil and gas company Petronas (Petroliam Nasional Berhad).

The stock hit a high of Rs. 735 and a low of Rs. 702 on BSE today. Total traded quantity on the counter stood at over 0.28 lk shares on BSE.

Meanwhile, the BSE Sensex is up 215 points at 25,669.

Va Tech Wabag Ltd is currently trading at Rs. 705.8, up by 23.85 points or 3.5% from its previous closing of Rs. 681.95 on the BSE.

The scrip opened at Rs. 725.1 and has touched a high and low of Rs. 739 and Rs. 700 respectively. So far 216238 shares were traded on the counter. The current market cap of the company is Rs. 3713.76 crore.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 972.5 on 17-Mar-2015 and a 52 week low of Rs. 615 on 28-Apr-2015. Last one week high and low of the scrip stood at Rs. 715 and Rs. 662.45 respectively.

The promoters holding in the company stood at 28.99 % while Institutions and Non-Institutions held 50.09 % and 20.92 % respectively.

The stock is currently trading its 200 DMA. 

Arun Jaitley leaves for turkey to attend G-20 Finance Ministers

The Finance Minster will also hold meetings with his counterparts from G-20 participating countries on the sidelines of the aforesaid Meet.

The Union Finance Minister Arun Jaitley left for Turkey today to participate in the two-day Conference of G-20 Finance Ministers and Central Bank Governors. The two-day Meet will be held in Ankara,Turkey on 4th and 5th September, 2015 wherein the Finance Ministers and Central Bank Governors of G-20 countries will be participating.

The Finance Minster will also hold meetings with his counterparts from G-20 participating countries on the sidelines of the aforesaid Meet. 

The Finance Minister will leave for back home on 6th September, 2015 and will reach national capital early morning on 7th September, 2015. 

RBI should cut policy rate to stimulate investments in economy: India Ratings

This is a quarterly survey and aims to bring in focus what’s on the mind of Investors. The survey focuses on investment behaviour, understand the investment pattern, perception of the government and initiatives needed to boost investment.

India Ratings and Research (Ind-Ra) conducted its quarterly ‘Fixed-Income Investor Survey’ in August 2015 covering key fund managers, credit risk heads of banks, senior credit analysts, investment portfolio managers and select issuers.
 
This is a quarterly survey and aims to bring in focus what’s on the mind of Investors. The survey focuses on investment behaviour, understand the investment pattern, perception of the government and initiatives needed to boost investment. The survey looks at risk profile of the investors and relates it to savings and investment behaviour and helps understand the impact of regulatory policies on investment in the securities market.
 
Ind-Ra Fixed-Income Investor Survey August 2015 suggests that investors in India expect the governments push on infrastructure to be key to growth and also provide impetus to private investment. Corporate profitability and capital expenditure is expected to pick up only in FY17.
 
A majority of the respondents (64%) opined that Reserve Bank of India (RBI) should cut the policy rate to stimulate investments in the economy. A similar stand (52%) was taken to contain the rupee depreciation between INR 64-67/USD.
 
Respondents (91%) were convinced that corporate performance will not improve in this fiscal, but were optimistic of a recovery in profitability and capex in FY17. Most of the respondents expect an improvement in credit conditions over the next 12 months.
 
Majority of the respondents (63%) believed India’s fundamentals are strong enough to handle the impact of a US Fed tightening. However, a stimulus plan in Europe and the Fed tightening could push back RBI’s rate cut decision by three to six months
 
A majority of the investors in the survey expressed a growing appetite in long term bonds, with most of them looking for instruments with over one year of maturity.

Top mutual fund news of the day- September 3, 2015

ICICI Prudential MF has set September 7 as the record date for declaration of dividend on the face value of Rs. 10 per unit.

ICICI Prudential MF has set September 7 as the record date for declaration of dividend on the face value of Rs. 10 per unit under the dividend option of ICICI Prudential Fixed Maturity Plan Series 64. 

Edelweiss MF has set September 7 as record date for declaration of dividend on the face value of Rs. 10 per unit under the regular and direct plan dividend option of Edelweiss Arbitrage Fund.

UTI MF has announced September 7 as the record date for declaration of dividend on the face value of Rs. 10 per unit under UTI Fixed Term Income Fund, Series XII-VIII (1,098 days). 

SBI MF has unveiled a new fund named SBI Debt Fund Series B-25 (1,100 days), a close-ended debt scheme. The new fund offer (NFO) price fo the scheme is Rs. 10 per unit. 

UTI Mutual Fund has launched the UTI FTIF Series XXIII-I (1098 Days), a close ended income scheme. The NFO opens for subscription on September 03, 2015 and closes on September 10, 2015

Top Pharma news of the day

Sun Pharmaceutical's $3.2-billion acquisition of Ranbaxy Laboratories, which has made it the nation's largest drug maker, has opened an exit door for many employees and a hiring ground for rivals.

Sun Pharmaceutical's $3.2-billion acquisition of Ranbaxy Laboratories, which has made it the nation's largest drug maker, has opened an exit door for many employees and a hiring ground for rivals.

Cipla has its skin in the game, quite literally. The country's third-largest drug maker has acquired the exclusive rights to market skin care products of the country's leading derma and cosmeceutical player Percos India, in a deal worth an estimated Rs 90 crore.

The founder and CEO of India's second largest retail pharmacy chain MedPlus Health Services Madhukar Gangadi along with a clutch of private equity investors in the company have put it up for sale. 

Sun Pharmaceuticals Industries Ltd is currently trading at Rs. 892.6, up by 2.45 points or 0.28% from its previous closing of Rs. 890.15 on the BSE.

The scrip opened at Rs. 898 and has touched a high and low of Rs. 901.9 and Rs. 890.9 respectively. So far 671871 shares were traded on the counter. The current market cap of the company is Rs. 214214.25 crore.

The BSE group 'A' stock of face value Rs. 1 has touched a 52 week high of Rs. 1200.8 on 07-Apr-2015 and a 52 week low of Rs. 748 on 26-Sep-2014. Last one week high and low of the scrip stood at Rs. 917 and Rs. 865 respectively.

The promoters holding in the company stood at 54.71 % while Institutions and Non-Institutions held 31.51 % and 13.78 % respectively.

The stock is currently trading below its 200 DMA. 

Bharti Airtel selects Ericsson to expand 3G Network in India

The new agreement includes rollout of 3G services in both UMTS 2100 MHZ and UMTS 900MHz band (in three circles). As part of the contract, Ericsson will supply, install and perform manage services for WCDMA Radio Access Networks (RAN).

Bharti Airtel, India’s leading telecom services provider has further strengthened its partnership with Ericsson by signing a four-year agreement to expand 3G WCDMA network across eight telecom circles in India. The new agreement includes rollout of 3G services in both UMTS 2100 MHZ and UMTS 900MHz band (in three circles). As part of the contract, Ericsson will supply, install and perform manage services for WCDMA Radio Access Networks (RAN).
 
Ericsson will provide its multi-standard radio equipment from the Ericsson RBS 6000 base station family for macro and small cells. This will enable energy-efficient and cost-effective operations while allowing the operator to meet growing demands of better and faster mobile internet connectivity for the end-users.
 
Abhay Savargaonkar, CTO Bharti Airtel says: “With the growing number of smartphones, our customers are increasingly demanding ubiquitous network performance and superior user experience. This investment in 3G network is in line with Airtel’s constant focus on building a world-class, next-generation smartphone network for its customers. Refarming of 900MHz spectrum in 3 circles to 3G is aimed at providing additional capacity and better indoor coverage. By partnering with Ericsson, we look forward to leveraging Ericsson’s experience to address the growing demands of our 3G subscribers, providing them with high-quality data experience at all times”.
 
Paolo Colella, Head of Region India, Ericsson says: “Consumers in India are rapidly embracing smartphones and mobile internet as a source of information and entertainment. By expanding Bharti Airtel’s 3G WCDMA network, we will help them address the growing demand for superior data services in India.”
 
As per the India appendix of the Ericsson Mobility Report released in June 2015, WCDMA/HSPA subscriptions are expected to increase from over 120 million in 2014 to around 620 million by 2020, as the proportion of WCDMA /HSPA subscriptions in the total subscription base increases from 13 per cent to 45 per cent .The total number of mobile subscriptions in India is expected to increase to approximately 1.4 Billion by 2020, resulting in a population penetration of 100 per cent.

Rupee opens lower by 6 paise at 66.25/$

The currency touched a high and low of 66.47 and 66.53 respectively.

Indian Rupee today opened at 66.25 against the dollar, lower by 6 paise in early trade on Thursday. Service PMI and composite PMI of August will be in focus. Asian markets are mostly higher. HangSeng is closed. US stocks gained following the Federal Reserve report that calmed nerves regarding possible impact of the slowdown in China on the U.S. The S&P was up 1.83%, Dow rose 1.82%  and Nasdaq rallied 2.5%.

Oil output from OPEC members declined last month due to disruptions to flows from Iraq's northern pipeline, a private survey has revealed. OPEC supply fell in August to 31.71 million barrels per day (bpd) from a revised 31.88 million bpd in July, according to the survey. The decline in OPEC output from July's level was the first since February.

Indian rupee ended at 66.19, stronger by 3 paise.The currency touched a high and low of 66.47 and 66.53 respectively. The Reserve Bank of India’s (RBI) reference rate for the dollar stood at 66.16 and for Euro stood at 74.60 on September 02, 2015. While, the RBI’s reference rate for the Yen stood at 55.09, the reference rate for the Great Britain Pound (GBP) stood at 101.2174.

15 Stocks in focus today

Check out the companies which will be in focus during trade today based on recent and latest news developments.

Cipla Ltd: The pharma company has acquired the exclusive rights to market skin care products of the country's leading derma and cosmeceutical player Percos India. The deal may be worth an estimated Rs. 90 crore.

Mahindra Holidays: The company stated that it will increase stake in Holiday Club Resorts Oy, Finland to 86.38%. The stake in Holiday Resorts Oy will Be 86.4% post €10 m Investment.

HCL Technologies: The IT company has won a contract to transform the operations of UK football club Manchester United, a deal that will see the Indian IT player create an innovation lab in the iconic Old Trafford Stadium.

IRB Infrastructure Developers: The company has now executed Concession Agreement with NHAI for the project of Six Laning of Agra-Etawah Bypass section of NH-2 (from km 199.660 to km 323.525) in Uttar Pradesh under NHDP Phase-V on BOT (Toll) mode.

DLF: DLF Home Developers Ltd., a wholly-owned subsidiary of DLF Ltd (DLF), and GIC, Singapore’s sovereign wealth fund, have entered into a joint venture to invest in two upcoming projects located in Central Delhi.

Maruti Suzuki India: The company plans to launch its first ever light commercial vehicle (LCV) during the ongoing financial year despite declining sales in the segment.

Vascon Engineers Ltd: The company planning to raise Rs. 200 crore through rights issue and sale of non-core assets to cut down on its debt burden. The rights issue was subscribed over 130%.

M&M Ltd: The company sees industry sales including that of its vehicles in rural areas weakening because of deficient monsoon rains in parts of the country, as per media reports.

Bharti Airtel: Nigeria-based telecommunications infrastructure group IHS Holding Ltd has completed sale and lease back of telecom towers in Zambia from Bharti Airtel.

Ratnamani Metals: The company has received an order for supply of CS pipes from L&T amounting to Rs. 528 crores (net of taxes and duties) which shall be completed by June, 2017.

Coal India: Majority of about 4 lakh coal workers across the country joined the strike called by trade unions, hitting 50 per cent of the about 1.7 million tonne (MT) day's production. Coal workers across the country have joined the nationwide strike on the call of major trade unions like INTUC, AITUC and CITU to pitch for their agenda that includes opposition to any further stake sale in Coal India.

VA Tech Wabag Ltd: VA Tech WabagBSE 0.36 % and its consortium partner Muhibbah Engineering (M) Bhd has bagged a contract worth Rs 1,500 crore from Malaysia's national oil and gas company Petronas (Petroliam Nasional Berhad).

Jet Airways Ltd: Jet Airways (India) LtdBSE -1.34 %, the country's second-largest airline by passengers carried, will merge its wholly owned unit Jet Lite (India) Ltd with itself, said media reports.

Bhushan Steel Ltd: The company will seek shareholders' nod to raise up to Rs. 547.50 crore through private placement of shares to meet fund requirements of the company. 

ONGC, Oil India: The government will auction 69 idle oil and gas fields of state-owned ONGC and Oil India to private firms on a new revenue sharing model and liberalised terms including pricing and marketing freedom. 

Top Corporate news of the day - September 3, 2015

Singapore wealth fund GIC will invest about Rs 19.9bn in a new joint venture with real estate developer DLF that will build two projects in the Indian capital New Delhi, the two firms said in a joint statement.

Singapore wealth fund GIC will invest about Rs 19.9bn in a new joint venture with real estate developer DLF that will build two projects in the Indian capital New Delhi, the two firms said in a joint statement.

The day-long nationwide strike called by 10 central trade unions crippled iron ore production of state-owned NMDC by nearly 75,000 tonnes across all its mines, a senior official of the PSU said.

WABCO inaugurated a new software engineering and business centre in Chennai. 

The government will auction 69 idle oil and gas fields of state-owned ONGC and Oil India to private firms on a new revenue sharing model and liberalised terms including pricing and marketing freedom. 

HCL Technologies has won a contract to transform the operations of UK football club Manchester United, a deal that will see the Indian IT player create an innovation lab in the iconic Old Trafford Stadium.

In its bid to rescue Vedanta's alumina refinery at Lanjigarh, the Odisha government has asked Odisha Mining Corporation (OMC) to start mining from Karlapat mines at the earliest.

Nigeria-based telecommunications infrastructure group IHS Holding Ltd has completed sale and lease back of telecom towers in Zambia from Bharti Airtel.

Maruti Suzuki India plans to launch its first ever light commercial vehicle (LCV) during the ongoing financial year despite declining sales in the segment.

Mahindra & Mahindra is working to expand presence of Peugeot Motocycles, in which it had acquired a majority stake, beyond Europe by entering markets like North Africa and Vietnam.

Top economy news of the day- September 3, 2015

Non-food credit of scheduled commercial banks decelerated to 8.4% in July as against a growth of 12.6% in the same period last year, RBI data showed.

Non-food credit of scheduled commercial banks decelerated to 8.4% in July as against a growth of 12.6% in the same period last year, RBI data showed. 

The railways have finally identified the projects that will be funded by the Rs 1.5 tn loan that Life Insurance Corporation (LIC) has extended to the cash-strapped organization for the next five years.

The number of Internet users in India rose 32% last year, to reach 302 mn, according to the Internet and Mobile Association of India, which includes members such as Google, Microsoft, eBay, IBM, Flipkart, Ola Cabs and LinkedIn. 

Sensex, Nifty to open on a positive note

Service PMI and composite PMI of August will be in focus. Asian markets are mostly higher. HangSeng is closed. US stocks gained following the Federal Reserve report that calmed nerves regarding possible impact of the slowdown in China on the U.S. The S&P was up 1.83%, Dow rose +1.82% and Nasdaq rallied 2.5%.

The cleansing in the stock market seems to be happening too soon for comfort. Indices are at 13-month lows but India has done significantly better compared to other Ems but has still underperformed global indices by a wide margin of 44% over a 5 year period. India deserves to be treated as a separate asset class. It has delivered much superior returns in the past three years versus other EMs and on par with global indices. More importantly, the outlook for India is much stronger given that it is on the cusp of an economic and earnings recovery.

For the day the attention for now is on what European Central Bank will do in terms of further stimulus. This could trigger some interest in equities temporarily. Meanwhile, the Federal Reserve’s Beige Book said several district banks “reported increasing wage pressures caused by labor market tightening.” Dollar movement and the drop in oil prices are seen as depressing and this could keep on hold Fed’s much expected move on raising interest rates at its policy meeting in a fortnight.

The outlook is a flat to positive start. Service PMI and composite PMI of August will be in focus. Asian markets are mostly higher. HangSeng is closed. US stocks gained following the Federal Reserve report that calmed nerves regarding possible impact of the slowdown in China on the U.S. The S&P was up 1.83%, Dow rose +1.82%  and Nasdaq rallied 2.5%.

Oil output from OPEC members declined last month due to disruptions to flows from Iraq's northern pipeline, a private survey has revealed. OPEC supply fell in August to 31.71 million barrels per day (bpd) from a revised 31.88 million bpd in July, according to the survey. The decline in OPEC output from July's level was the first since February.

The Coal Ministry has reportedly sought an exemption from forest clearances while prospecting for coal to help boost coal production. The issue was reportedly discussed in a 10th July meeting of Environment Minister Prakash Javadekar and Coal Minister Piyush Goyal.

The tax department's ambitious OTP-based ITR filing system has reportedly verified more than 29 lakh returns till now besides linking similar Aadhaar numbers with the PAN database. By August 31, the official portal of the I-T Department has electronically verified 29,19,726 ITRs while Aadhaar linkages with the Permanent Account Number (PAN) has been done in 29,68,953 cases.

The Union Cabinet approved the proposal of the Ministry of Consumer Affairs, Food & Public Distribution, to reimburse Rs.113.40 crore of losses on pulses imported between 2006-2011 by the National Agricultural Cooperative Marketing Federation (NAFED), Project and Equipment Corporation (PEC), State Trading Corporation (STC) and Metals and Minerals Trading Corporation (MMTC), apart from losses incurred in the sale of pulses upto six months after closure of the scheme.

The Union Cabinet chaired by the Prime Minister, Narendra Modi, gave its approval to the Marginal Fields Policy (MFP), for development of hydrocarbon discoveries made by national oil companies; Oil & Natural Gas Corporation Ltd. (ONGC) and Oil India Ltd. (OIL). These discoveries could not be monetized for many years due to various reasons such as isolated locations, small size of reserves, high development costs, technological constraints, fiscal regime etc.

Ratan Tata, chairman emeritus of Tata Sons, has made a personal investment of an undisclosed amount in the leading Indian food-tech startup, Holachef. Launched in September 2014 by Saurabh Saxena and Anil Gelra, Holachef has seen tremendous growth and a rapidly increasing customer base in Mumbai and more recently, Pune.

The Boards of Directors of Jet Airways (India) Limited and Jet Lite (India) Limited, the wholly owned subsidiary of Jet Airways, approved the merger of Jet Lite with Jet Airways. This is subject to compliance with all applicable laws and regulations and the receipt of all corporate, regulatory, governmental, judicial approvals and third party consents.