Stocks to Monitor: Dr Reddy's, Mphasis, IDBI Bank, Wardwizard, Dalmia Bharat
Stocks to Watch on June 10, 2024: Equity markets may start the week on a slow note on Monday after a good performance in the latter part of the previous week. At 7:40 AM, GIFT Nifty was trading 30 points lower at 23,295 levels. Investor concerns are expected to ease as Prime Minister Narendra Modi takes the oath of office as the head of a 72-member Council of Ministers for a third successive term. The next major market trigger will be the full Union Budget for 2024-25, to be presented in less than a month, under the new coalition government. Globally, sentiment is mixed in Asia with Kospi down 0.8 percent, but Nikkei up 0.5 percent.
Dr Reddy’s Laboratories: The pharmaceutical company reported that the US FDA issued a Form 483 with four observations at its API manufacturing facility (CTO-6) in Srikakulam, Andhra Pradesh on June 7. The company stated that it will address these issues within the stipulated timeline.
Mphasis: BCP Topco IX Pte, a Singapore-based private limited company associated with Blackstone, plans to sell a 10.6 percent stake in Mphasis at a base price of Rs 2,350 per share. The deal is valued at Rs 4,700 crore and could potentially increase to 15.1 percent, raising the deal’s total potential value to Rs 6,697 crore. The agreement includes a 180-day lock-in period for the shares involved in the block deals.
IDBI Bank: The bank has received an income tax refund order amounting to Rs 2,701.62 crore for the assessment year 2016-17. The bank is currently evaluating the implications of this refund order on its financial statements.
Wardwizard Innovations & Mobility: WIML has secured a significant order worth $1.29 billion from Beulah International Development Corporation of the Philippines. The order is part of a strategic collaboration to modernize the public transportation system in the Philippines with electric vehicles.
Dalmia Bharat: The company has announced that its subsidiary, Dalmia Cement, will acquire 26 percent of Solarcraft Power India 23 Pvt Ltd. The acquisition includes 1.03 crore equity shares and 84.37 lakh compulsory debentures, with a total amount of Rs 18.76 crore. The acquisition is expected to be completed within 60 days.
KEC International: The company has secured new orders totaling Rs 1,061 crore across its various business segments. These include orders for transmission lines and substations in India, a transmission line project in Malaysia, and the supply of towers, hardware, and poles in the Americas.
Gland Pharma: The company has appointed Srinivas Sadu as executive chairman and CEO, effective from June 10, 2024. Sadu, who has served as managing director (MD) and CEO since April 25, 2019, brings over two decades of experience to his new role.
Borosil Renewables: The company has announced that it will raise up to Rs 450 crore through a rights issue. The company has informed stock exchanges that it has approved the Draft Letter of Offer (DLOF) to be filed with the market regulator, Sebi. The proceeds from the rights issue will be used to prepay part of the term loans.
Jubilant Pharmova: The company announced that its contract manufacturing facility operated by Jubilant HollisterStier LLC in Spokane, Washington received three observations from the US FDA.
Reliance Infrastructure: Anil Ambani-led Reliance Infrastructure plans to raise $350 million (Rs 3,000 crore) through foreign currency convertible bonds (FCCBs) to repay its rupee debt and venture into new businesses such as electric power generation.
Mankind Pharma: A group consisting of Warburg Pincus and ChrysCapital, as well as TPG, Blackstone, EQT, and Mankind Pharma, are competing to acquire BSV Group, formerly known as Bharat Serum & Vaccines Ltd. The company is valued at Rs 12,000-13,000 crore ($1.4-1.5 billion). Dr. Reddy’s Laboratories may also enter the bidding process, as they have requested more time to submit a bid. The final offers are expected to be submitted in July.
Suzlon Energy: Marc Desaedeleer, an independent director on the board of Suzlon Energy, a major wind energy company, resigned due to concerns about compliance and transparency.
RailTel Corporation of India: The company has received an order worth Rs 81.6 crore from the National Informatics Centre Services Incorporated (NICSI) for ICT infrastructure. The project includes the supply, installation, configuration, commissioning, and integration of the infrastructure. It is expected to be completed by 31st August 2024.
ONGC: The state-run company is seeking a technical service provider to boost oil and gas production from the Mumbai High field. The provider will be selected through an international competitive bidding process, with bids due by September 15. The provider will conduct a comprehensive review of field performance and assist in implementing technological interventions to enhance production. The bidding process is open to international oil and gas majors with annual revenues exceeding $75 billion.
Inox Wind: The company has established four subsidiaries, namely Junachay Wind Energy Pvt Ltd., Dharvi Kalan Wind Energy Pvt Ltd., Dangri Wind Energy Pvt Ltd., and Kadodiya Wind Energy Pvt Ltd., for developing wind farms across India.
Adani Enterprises: The company announced that Adani Airports handled over one million tonnes of cargo in the financial year 2024, capturing a 30.1 percent market share and recording a 7 percent year-on-year growth.
Vodafone Idea: The company has been successful in reducing customer complaints, with 60 percent of service requests now being handled digitally, up from 40 percent last year. There has been a 17 percent decrease in complaints not related to the network, and the transactional Net Promoter Score has improved from 47.1 to 55.7 within a year. Furthermore, the company has expanded its physical presence with over 3,000 outlets in the form of Vi Mini Stores and Vi Shops.
TVS Motor: The company has announced a proactive recall of a select set of iQube electric two-wheeler units for inspection. The company will inspect the bridge tube of units manufactured between July 10, 2023, and September 9, 2023, to ensure good ride handling over extended usage. Any necessary rectifications on affected scooters will be carried out at zero cost to the customer.
Lupin: The company has entered into a Business Transfer Agreement with Lupin Life Sciences Ltd., a wholly-owned subsidiary, to expand its trade generics business in India, effective 1 July 2024.
SpiceJet: SpiceJet has informed the National Company Law Tribunal (NCLT) that it has cleared its pending dues with Raymach Technologies Pvt Ltd, one of its vendors. Raymach Technologies Pvt Ltd has also indicated its intention to withdraw the insolvency case against SpiceJet. The NCLT has given Raymach time until August to submit the withdrawal application. In separate news, the airline has stated that it is currently operating on a cash-and-carry basis at all its airports in India, which means that the airline must make advance payments for using airport services.
Royal India Corporation: RICL has announced a preferential issue totaling Rs 99 crore. The proceeds will finance the Kalyan Marina project. The promoters will also increase their stake in the company by 5 percent through this preferential offer.
Bajaj Auto: The company has unveiled its latest offering, the Chetak 2901, priced at Rs 95,998 (ex-showroom). The new variant of the Chetak electric scooter will be retailed from June 15 across 500+ showrooms in the country. The scooter has an ARAI-certified range of 123 km per charge. Bookings for the new Chetak 2901 are currently open on the company’s website.
PNB: State-owned Punjab National Bank plans to open a representative office in Dubai as part of its plan to expand its global presence.
Godawari Power and Ispat: The company's board will consider a buyback of equity shares on 15 June.
Coromandel International: On 9 June, the company unveiled a new Nano Fertilizer plant at its Kakinada complex in Andhra Pradesh.
Apeejay Surrendra Park Hotels: The company has constructed a new hotel called ‘The Park’ in Amgarhi, Nainital (Uttarakhand), scheduled to open by October 2025.
Artson Engineering: The company has been awarded a project valued at Rs 126.15 crore by the Guwahati International Airport.
