BSE Telecom index nears record high; up 3%

Idea Cellular, Bharti Airtel, RCom, Tejas Networks, GTL, GTL Infra, Aksh Optifibre and Sterlite Technologies from the telecom index have surged up to 12% on BSE in intra-day trade.

Shares of telecommunication companies were in focus with the S&P BSE Telecom index rallying more than 3% on BSE, trading close to its record high.

Idea Cellular, Bharti Airtel, Reliance Communications (RCom), Tejas Networks, GTL, GTL Infrastructure, Aksh Optifibre and Sterlite Technologies from the telecom index have surged up to 12% on BSE in intra-day trade.

At 02:19 PM; the S&P BSE Telecom index, the largest gainer among sectoral indices, was up 3% at 1,725, as compared to 0.51% rise in S&P BSE Sensex. The telecom index hit an intra-day high of 1,728, trading close to its record high of 1,750 touched on November 3, 2017 in intra-day deal.

Idea Cellular has surged 12% to Rs 118 on back of five-fold jump in trading volumes after the board approved fund raising of up to Rs 3,250 crore through issue of shares to promoter group companies via preferential issue.

The company on Thursday after market hours approved issuance of around 326.6 million equity shares at a price of Rs 99.50 per share on preferential basis to the promoter group entities. The promoter group entities are Birla TMT Holdings Private Limited, Elaine Investments Pte (Singapore), Oriana Investments Pte (Singapore) and Surya Kiran Investments Pte (Singapore).

Idea Cellular said the board has also constituted a committee of board members to evaluate potential routes for raising further capital of up to Rs 3,500 crore including further preferential issue, qualified institutional placement, rights issue.

A combined 74 million shares representing 2% of total equity of telecom firm changed hands on BSE and NSE so far.

GTL Infrastructure and GTL up 7% each at Rs 7.53 and Rs 18.95, respectively, after Business Standard reported, lenders to Aircel and GTL Infrastructure have come up with a solution to clear the combined debt of the firms. CLICK HERE TO READ FULL REPORT

Bharti Airtel gain 3% to Rs 540 on BSE after the company and Samsung, India’s number one smartphone and consumer electronics brand, partnered to bring in a range of affordable 4G smartphone options to customers.

RCom surged 8% to Rs 36.15 in intra-day trade after media report suggested that Chinese Bank plans to withdraw insolvency filing against company.  The BSE said, the exchange has sought clarification from RCom and the reply is awaited.

COMPANY	LATEST	PREV CLOSE	GAIN(%)
IDEA CELLULAR	116.10	104.50	11.1
GTL INFRA.	7.55	7.02	7.6
AKSH OPTIFIBRE	44.35	42.25	5.0
TEJAS NETWORKS	442.80	422.05	4.9
REL. COMM.	34.50	33.35	3.5
BHARTI AIRTEL	538.40	522.45	3.1
STERLITE TECH.	344.35	334.80	2.9
S&P BSE Telecom	1721.66	1672.84	2.9
S&P BSE Sensex	34137.61	33969.64	0.5