Tuesday, May 19, 2009

Corporate News

Private equity giant Kohlberg Kravis Roberts and Diageo likely to acquire 10% & 14.99%, respectively in United Sprits. (ET)

Amtek Auto has entered into Rs1bn JV (50:50) with Sumitomo Metals, which is part of Sumitomo Corporation of Japan. (ET)

Apollo Tyres has acquired Dutch tyre maker Vredestein Banden for an undisclosed sum. (ET)

Madras HC allows TVS to use Bajaj's patented technology. (BS)

The Tiruchirappalli unit of BHEL has asked its subcontractors to increase their capacity to 50% from the current 32% in order to achieve a turnover of Rs100bn for FY10. (BS)

Indiabulls Real Estate plans to raise US$600mn through qualified institutional placement of equity shares. (ET)

ONGC to float new tender for cancelled rig contract. (BS)

M&M workers call off a 15-day-long 'tool down' strike at Satpur plant in Nashik. (ET)

Maytas Infra wants IL&FS to increase its stake in the Hyderabad Metro Rail Project. (FE)

Coal India board has cleared the draft agreement for the proposed fuel supply agreement with NTPC and other power utilities. (FE)

KS Oils plans to raise Rs4.5bn from a PE companies and promoters. (ET)

Aditya Birla Nuvo will allot 18.5mn convertible warrants to its promoters for Rs10bn. (ET)

MRF has declared lockout at its Arakonam plant in Tamil Nadu, effective from May 17, 2009. (FE)

Tata Motors will give performance-linked wage hikes to its employees in FY10. (BL)

The Switzerland based Oetiker Group, a supplier of clamps for Tata Nano has set up a unit in Patalganga near Mumbai. (FE)

Source: Indiainfoline.com

Intraday Trading Calls for 19th May

Stock Market India may open positive but some profit booking can be seen at higher levels.

Today's Intraday Stock Tips / Trading Calls (Keep strict Stop Loss for Each Trade):

SCRIP NAME

TRIGGER

PRICE

TARGET 1

TARGET 2

ITI

Buy Above

30.10

33.15

36.00

Sell Below

28.70

26.25

24.00

GMR INFRA

Buy Above

137.80

142.15

146.00

Sell Below

135.40

131.20

126.00

EKC

Buy Above

166.40

171.35

175.00

Sell Below

164.20

160.15

155.00

CAIRN INDIA

Buy Above

217.50

222.45

228.00

Sell Below

214.35

209.65

205.00

CORE PROJECT

Buy Above

117.50

121.35

126.00

Sell Below

114.70

110.35

106.00

HMT

Buy Above

53.25

56.15

60.00

Sell Below

51.70

48.35

45.00

NTPC

Buy Above

211.60

216.75

222.00

Sell Below

209.40

205.35

200.00

GOOD LUCK

Stock Idea: PFC

A Navaratna PSU, Power Finance Corporation (PFC) reported a steady growth in its standalone net profit for the second quarter ended September 2008. During the quarter, the profit of the company rose 16.69% to Rs.329.33 crore. Operating income for the quarter rose 29.12% to Rs.1584.98 crore, while total income for the quarter rose 30.51% to Rs.1602.11 crore, when compared with the prior year period. The company posted EPS of Rs.2.87 during the quarter, registering 16.67% growth over prior year period.


Net Profit for the current quarter was impacted by exchange loss of Rs.86.06 crore and it also received an income Tax refund of Rs.27.87 crore


PFC had tapped the primary market in 2007 with a Rs.997.19 crore issue. It was priced at Rs85 per share and got listed at Rs.113. Today it is quoted at around Rs.170 levels, which continues to remain a very good deal for the original shareholders even now, even in this market.


The company has plans to raise Rs.300- Rs.400 crore through a bond issue with a green shoe option. This was to have happened in November 08' but it yet to see the light of the day, obviously the market conditions is making PFC do a rethink.


PFC is the dominant investor in the country's power sector, funding about 20% of the projects. PFC has been designated as a nodal agency by the union government for facilitating the development of UMPPs and with six more UMPPs to go, PFC seems to have its work all chalked out! Power is one of the sectors which is expected to get the maximum impetus and irrespective of any slowdown or inflation, the growth of this sector will continue relentlessly. PFC remains a good stock in the portfolio.


Source: www.premiuminvestments.in (By S P Tulsian)

Disclaimer

The information in this publication is provided by http://www.moneybazzar.blogspot.com/ is intended for use for Readers & Traders . Every effort is made to provide accurate information, but http://www.moneybazzar.blogspot.com/ cannot guarantee the accuracy of the information or of the market analysis. This is a newsletter and is for informational purposes only. It is not a solicitation or offer to buy or sell futures. There is a high risk of loss in trading futures. You should not trade with money that you cannot afford to lose. No representation is being made that any account will or is likely to achieve profits or losses similar to those discussed on this newsletter. The past performance of any trading system or methodology is not necessarily indicative of future results.



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