State-run National Hydro-electric Power Corporation is monitoring the market situation watchfully and is waiting for an opportune time for floating its initial public offer (IPO). Reacting to the news earlier surfaced about canceling the public offer, the management has contended that there was no plan of canceling IPO but it was considering deferring till a suitable time is reached. (more…)
Author: CP
Reliance Capital 52 week low + home loans entry
Reliance Capital Ltd is currently trading at Rs 417.50 down by 15.50 points or 3.58% from its previous closing of Rs 433 on the BSE.
The scrip opened at Rs 415 and has touched a high of Rs 418.40 with a low of Rs 392.15.So far 13, 63,822 shares were traded on the BSE. The stock touched a 52 week low of Rs 392.15 today despite being added to NIFTY. 52 week high is Rs 2,759 on January 16, 2008.
The Anil Dhirubhai Ambani Group-led Reliance Capital is set to foray into the home loan segment as it has received the approval from the National Housing Bank (NHB). The company has set its eyes on becoming a leading player in the home loan market in the next 2-3 years, according to a media report.
The two new entities are expected to launch their operations in the next couple of months. Reliance Capital officials added that employees of Reliance Consumer Finance would be transferred to the new businesses, the report stated.
Reliance ADAG Group topped the Corporate News Worldwide after we revealed Anil Ambani Group was the largest wealth destroyer for shareholders in the 2008 Global Meltdown.
Additionally, on Monday, LiveMint, subsidiary of the Wall Street Journal India said that Reliance ADAG ranked the Worst when it came to Corporate Governance, Ethics and Board Constitution.
Inflation at 5.24% for week ended Jan 3
India’s headline inflation as measured by the change in wholesale price index (WPI) has declined 5.24% for week ended January 3, 2009 compared to 5.91% in the previous week as the WPI registered a week-on-wwk decline of 0.2% to 229.
The decline was visible across most of the segments. Major relief came from the primary articles index where prices declined by 0.5% while manufacturing index was down 0.1% week-on-week. Meanwhile the inflation figures for week ended Nov 8 was revised to 8.71% versus 8.9% (provisional).
Inflation is finally down to the comfort level of Reserve Bank of India which predicted 5-5.5% inflation for FY09 in the monetary policy review at beginning of the fiscal. Economists expect inflation to continue falling in coming weeks due to lower base effect of last year and general slowdown in economic activity. In fact, most economists agree that while inflation will be under 2% by and of the fiscal, India may witness deflationary phase around second quarter of next fiscal.
No V-shaped recovery for Global Economy – MS
Morgan Stanley’s Asia’s chief Stephen Roch has said that there will be no V-shaped recovery for a world economy that has just entered its most severe recession. The worst of the global downturn may run its course by late 2009. After a 5% global growth over the past 5 years, it is likely to average 3% over the next 3 years. (more…)
Who Financed Ambani’s Stake Hike in Reliance ?
In a announcement made to the BSE, Reliance Industries Ltd (RIL) has informed that the promoters of the company have hiked their stake from 44.80% to over 49% at the end of the third quarter.
Disclosing the information, RIL stated that the promoters had purchased 12 crore shares during the period between September and December last year. As of now, the promoters hold 49.03% stake in the (more…)
HDFC Bank – Q3 Result Analysis
HDFC Bank delivered stable operational performance in the current quarter, in line with its historical trend. PAT (Rs6.2 bn) was up 30% yoy and 11% ahead of our estimates. The company was able to increase its net interest margin (NIM) to around 4.3% in 3QFY09 despite a decrease in CASA ratio due to better pricing of its loan products.
HDFC Bank’s outstanding loans declined by 3% on a sequential basis and while its investments increased sharply by 43% during the same period. We believe that slower loan growth is prudent in the current stage of the economic cycle.
Gross NPLs increased to Rs19.1 bn (up 14% sequentially)-management indicates that it is largely on account of erstwhile CBoP.
HDFC Bank is expected to report an EPS of Rs 53.5 for FY09 and Rs 67 for FY10.