Jeweller Fund hot on India Infoline

STREET SIGNS

The India Infoline stock has been attracting a lot of buying interest post-listing, which has resulted in the stock price doubling to Rs 165 levels in the past two months alone.

Jeweller Fund is another one which has been smitten by the delights the counter offers. The fund recently bought some 3.5 lakh shares at the counter at Rs 161 levels.

With the markets booming, companies such as Indiabulls and India Infoline have been in the forefront of making new client acquisitions thus expanding business.

India Infoline is also planning to invest Rs 80 crore in three wholly owned subsidiaries of the company - India Infoline Securities Pvt Ltd, India Infoline Commodities Pvt Ltd and India Infoline Investment Services Pvt Ltd.

The company's board has also approved the formation of a subsidiary company in Dubai, to acquire the membership of the Dubai Gold and Commodities Exchange.

Aiming for Amtek

There are a number of companies planning to raise capital from the markets. While the uncharitable may have something to say about this, the fact remains that the number of such plans have been on the rise, considering the 'feel good' sentiments in the market.

Not so surprisingly, the moment a company announces plans to raise money from the markets or otherwise, buyers queue up to buy the stock.

Auto parts maker Amtek India had also recently announced that it would issue convertible bonds worth $ 60 million for its expansion plans.

The five-year bonds would be convertible into Amtek ordinary shares and were expected to carry a coupon of 0.50 per cent. Sure enough, there has been big buying at the counter of late.

One particularly big deal occurred with Metro Fund being one of the parties. Metro is said to have bought the stock at Rs 95 levels. Whether the stock price supports that decision remains to be seen.

More on Metro

There is something about Metro Fund and news flows in a counter. So was the case of Welspun Gujarat Stahl Rohren stock too.

Recently, the company announced that it has bagged an order for the supply of coated line pipes to the South Sumatra - West Java Gas Pipeline Phase II project, located in the Grissik Pagardewa region of Indonesia.

Next heard, Metro Fund had bought a big chunk of shares from the markets at Rs 102 levels. Getting into specifics of the order, it was awarded to Welspun by PGN of Indonesia.

Welspun had earlier secured another order from Amerada-Hess, Indonesia, for the supply of 42 km of sour service pipes. Welspun Gujarat Stahl Rohren is the major beneficiary of the order from PNG, with the order amounting to Rs 500 crore.

PGN had awarded a total contract of $132.4 million to three companies, including Welspun, but the balance has been distributed between local State-owned companies.

In other news...

There were some sellers too, Jeremy Fund for example was a seller at the Fedders Llyod counter. With the stock climbing down from Rs 91 levels in mid-September to the current Rs 74 levels, that is no surprise.