Voltas gets cool gains on the deal street

STREET SIGNS

Mr AB Amre's London arm was a buyer at the Voltas counter. The fund bought 2.2 lakh shares at the counter at Rs 670 levels. The support for the stock has been steadily growing in recent past.

From below Rs 300 levels four months back, the scrip has surged 128 per cent. The company is planning to invest Rs 120 crore in three years for setting up three manufacturing units in Uttaranchal and has started the valuation process to sell-off its loss-making Hyderabad unit.

Voltas would be setting up three units in Uttaranchal for manufacturing air-conditioners, central cooling plants and commercial refrigeration equipment with an investment of Rs 120 crore.

Ask Me Brokerage has been a big supporter of the company and had recently noted that the company is poised for growth.

According to them, the company's massive restructuring programme in FY02, under which the company exited from non-core businesses to become an engineering services company, has given it a competent and diversified business model.

The interest at the counter has also gone up after the company board approved a proposal to increase the maximum ceiling of investment by the foreign institutional investors in the paid-up equity capital of the company from 24 per cent to 30 per cent, under the portfolio investment scheme.

Ceramic tales

Tumble Ton's two schemes did an intra-fund transfer at the Murudeshwar Ceramics counter. The deal involved exchanging four lakh shares at Rs 124 levels. The stock has declined 8.80 per cent in the past month. However, the stock has risen 165 per cent in the past year.

Company trackers have noted that the company's business has got a boost from the ongoing boom in the real estate business and the higher demand for housing witnessed in the past two years.

The company is a leading manufacturer of fully vitrified tiles and has gained significantly from higher demand for vitrified tiles in flooring.

The company also has the advantage of using its products for captive consumption in the group's associate companies, which are established players in the construction and hotel businesses.

Sugar dealer

Prudent Fund was a buyer at the Mawana Sugar counter. The fund bought nearly five lakh shares at Rs 118 levels. Prudent seems to be influenced by the recent spate of news flow at the counter.

Recently, the company decided to raise funds through the issue of commercial paper for an amount up to Rs 100 crore to meet its working capital requirements. The company has also approved the amalgamation of Nanglamal Sugar (NSL) with the company with effect from October 1, 2004.

Nanglamal Sugar is a wholly owned subsidiary of Mawana Sugars. With the above amalgamation of NSL with Mawana Sugar, the combined crushing capacity of the company shall increase to 21,000 TCD.

In other news...

Lending brokerage was involved in a deal at the J&K Bank counter. The fund's two arms did a transfer of 4.2 lakh shares at Rs 485 levels.