Street signs: Bad timing for LafargeHolcim's stake hike in Ambuja, ACC

Bad timing for LafargeHolcim's stake hike in Ambuja, ACC

Cement major LafargeHolcim has been hit by the government’s demonetisation drive. Just ahead of the note ban, the Swiss cement maker increased its holding in Ambuja Cement and ACC by 1.97%  and 4.19%, respectively. Although the company hasn’t disclosed the buying prices, sources peg them at Rs 341 and Rs 1,537 apiece for Ambuja and ACC, respectively. After the announcement of demonetisation on November 8, shares of Ambuja have come off 19%, while ACC is down 13%.
 

Chandan Kishore Kant

Financiers busy allaying investors' concerns

Bankers and heads of  non-banking financial companies (NBFCs) are meeting  domestic and foreign investors to explain the likely impact on their loan growth and profitability after the withdrawal of Rs 500 and Rs 1,000 notes. “Several senior officials of NBFCs and banks are making whistle-stop tours to meet investors in Singapore, the US and the UK to explain that demonetisation could be more of a transient pain, and things could return to normal by December or latest by January,” a senior executive of a leading NBFC said. “We are also in talks with regulators to see how quickly we could improve the situation,” he added. 
 

Hamsini Karthik

Metal stocks rebound sparks IPO hopes for Rashtriya Ispat Nigam

A sharp rebound in the shares of metal companies has once again revived the IPO plan for state-owned Rashtriya Ispat Nigam (RINL). According to investment bankers, the steel maker is planning to file its draft prospectus with the market regulator in the next few months. The BSE Metal index has gained 55% from its February lows on the back of a rebound in global commodity prices. Interestingly, this is not the first time that RINL is seeking to list. The company had filed its offer document twice in the past but couldn't succeed due to weak markets and the slump in metal stocks.  
 

Pavan Burugula