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Big bull enters IEX?

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Joydeep GhoshRajesh BhayaniSamie Modak
Last Updated : Aug 11 2014 | 12:59 AM IST
After buying a stake in the Multi-Commodities Exchange (MCX), big bull Rakesh Jhunjhunwala seems to have come to the rescue of its erstwhile promoter Financial Technologies (FTIL). According to market players, he bought four per cent stake in FTIL's group firm, Indian Energy Exchange, the leading exchange in power trading. FTIL, which is a majority shareholder at 26 per cent, has been trying to sell its stake for some time. Sources said that Jhunjhunwala has paid a premium of around 10 per cent for the deal. The last deal in this space, between Aditya Birla Private Equity and IDFC Private Equity, had valued IEX at Rs 1,700 crore. That value has now increased to Rs 1,850 crore.
Institutional Investors may back Maruti's Gujarat plant decision

Institutional Investors may back Maruti’s Gujarat plant decision
Institutional investors, who were crying foul over Maruti Suzuki's decision to hand over the Gujarat plant to Suzuki Motors, seem inclined to approve it in the annual general meeting later this month. Industry sources said that investors have agreed to support the move after Maruti tweaked the earlier proposal and said the investment would be made through a wholly-owned subsidiary. Also, the management has been able to convince them that Suzuki's plant in the unlisted space, where regulations are lenient, will help introduce models quickly and shareholders stand to benefit from this deal. Maruti Suzuki's share price closed at Rs 2,618 on Friday, down 1.26 per cent.

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Bhushan Steel's free fall may continue
Shares of debt-laden Bhushan Steel hit the lower circuit in the previous three trading sessions, since a bribery case came to light. But the free fall may continue, say market players, because 75 per cent of the promoter's holding (around 50 per cent of the total shareholding) is pledged with lenders. If the promoters are unable to cough up mark-to market margins, the lenders may start flooding the market with shares. The stock has already lost 45 per cent. It closed at Rs 219.35 on Friday.

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First Published: Aug 11 2014 | 12:47 AM IST

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