MARKET WRAP: Sensex sheds 262 pts; Nifty ends at 11,004; OMCs slip up to 7%

All that happened in markets today.

2:09 PM

Why has India's mega public sector banks merger plan failed to lure funds?

India’s biggest bank overhaul in decades to merge state-run lenders beset with bad loans and low capital hasn’t convinced investors to increase holdings of the shares.

 

Fund managers including Aberdeen Standard Investments Ltd. and JPMorgan Chase & Co. are shying away from increasing their positions in government-owned lenders. As well as poor asset quality at the banks, they cited uncertainty about the mergers’ time-line. READ MORE

2:00 PM

NEWS ALERT | CARE Ratings revises Syndicate Bank's outlook to 'Credit watch with developing implications': CNBC TV18

1:51 PM

Buzzing stock :: HEG soars 16%

1:46 PM

Emkay Global on Colgate

We expect a sequential improvement after the weak Q1 but do not see upsides to our forecasts for now (13% earnings CAGR). The improvement in growth and market share would be a positive in the near term, but Colgate needs to do more beyond oral care to return to and sustain double-digit growth. We maintain Hold with a revised target price (TP) of Rs 1,370 (Rs 1,240 earlier), now valuing it at 38x Sep’21E EPS, in line with Dabur/Marico. We increase our weight and become overweight in Emkay Alpha Portfolio (EAP).

1:36 PM

EXPERT COMMENT | Rahul Gupta, Currency Research Head, Emkay Global

“India’s WPI has marginally increased than what market was expecting, mainly on an uptick in food and vegetable prices. The market was expecting 0.95 per cent while August WPI came in at 1.08 per cent, unchanged from July figure of 1.08 per cent. On an average, the uptick in food inflation has been offset by lower fuel and power inflation. Going ahead, if the tensions in Middle East worsen, it will have adverse impact on inflation prints. Lower inflation numbers (CPI, WPI) state that possibility of a repo rate cut by RBI is still alive.”

1:30 PM

Warburg Pincus may buy Andhra Bank's 20.5% stake in IndiaFirst, says report

Private equity firm Warburg Pincus, which already owns a 26 per cent stake in IndiaFirst Life Insurance, is looking to buy another 20.5 per cent stake in the insurer from Andhra Bank, The Economic Times has reported.

 

“Warburg Pincus is in talks to buy a 20.5 per cent stake in IndiaFirst Life Insurance from Andhra Bank… Andhra Bank is looking to sell a partial stake in the company,” a person familiar with the deal was quoted as saying in the report. The deal, if finalised, will help Andhra Bank earn up to Rs 700 crore, said sources who were quoted in the report. READ MORE

1:18 PM

Market check

1:16 PM

OnMobile Global rallies 20% as Jump Networks set to acquire promoter stake

Shares of OnMobile Global were locked in the upper circuit of 20 per cent at Rs 39 apiece on the BSE on Monday after Jump Networks announced that it will acquire entire 48.18 per cent promoter stake held by OnMobile Systems Inc (OMSI) in the company.
 

OMSI entered into a share purchase agreement (SPA) on September 13, 2019 with Jump Networks for the sale of 19 million equity shares of OnMobile at a price ranging from Rs 75.50 to Rs 78 per equity share. READ MORE

1:05 PM

Market check

12:57 PM

Eveready Industries hits over 5-year low, stock tanks 75% in eight months

Shares of Eveready Industries hit an over five-year low of Rs 57, down 5 per cent on the BSE on Monday after the company announced that Calcutta High Court has restrained from transferring, alienating or encumbering any of its assets till the application filed by Infrastructure Leasing & Financial Services (IL&FS) was disposed of. The High Court Order is likely to delay the company’s plan to sell its battery business to pare debt. READ MORE

12:52 PM

Single-use plastic ban sees paper stocks rally. Are the gains sustainable?

It has been a dream run for the paper stocks in the last one month as the scrips have rallied up to 85 per cent. The biggest reason behind the rally, as per experts, is the government's announcement to ban single-use plastics to curb pollution. The announcement has been the shot in the arm for most paper stocks.

 

Consider this. Last week, as many as 14 stocks from the sector gained 10 per cent or above as compared to a modest 0.64 per cent gain in the benchmark S&P BSE Sensex. Balkrishna Paper Mills, up 29 per cent, was the top gainer in this space followed by Star Paper Mills (up 26 per cent), ACE Equity data show. READ MORE

12:45 PM

NEWS ALERT | JSW Steel seeks protection from any liabilities arising out of ongoing money laundering investigation: CNBC TV18

-- JSW Steel moves NCLAT

-- Seeks protection from liabilities arising out of allegations levelled by former promoters of Bhushan Power & Steel 

-- NCLAT will next hear the case on October 14

Alert: On September 5, NCLT had approved JSW bid of Rs 19,700 cr for Bhushan Power & Steel

12:40 PM

NEWS ALERT | US FDA begins inspection at Cipla’s Goa facility: CNBC TV18

-- Audit expected to be a surprise inspection 
 

12:37 PM

Aramco Attack | Saudi oil crisis may push domestic air fares up by 10-15% by month end

"If the crude oil price keeps on rising we will have to decide on hiking airfares. We are closely monitoring the crude oil prices," a senior Air India executive said on Monday.

 

The national carrier, which is already struggling with its fuel payments, spends around Rs 6,000-7,000 crore annually on fuel. A 10 per cent hike in crude price would mean over Rs 50-58 crore of extra costs for the airline. READ MORE

12:30 PM

Market check | Sharp fall in Sensex