17 June 2021 Stock Market News

 Stocks in the News highlights (17-June-2021)

1)Pharmaceutical and contract research company Jubilant Pharmova’s subsidiary entered into an agreement with US-based Ocugen to produce Covaxin for the US and Canadian markets. In February, Bharat Biotech and Ocugen had decided to co-develop and sell Covaxin in the US.

2) Krishna Institute of Medical Sciences (KIMS) raised ₹956 crore from 43 anchor investors ahead of its IPO launch. Domestic and foreign investors such as HDFC Trustee, Axis Mutual Fund and Nomura Funds took up stakes in KIMS. 

3) Shares of FM radio broadcasting major ENIL fell 8.6% today. It took a large ₹97.5 crore impairment in two of its businesses viz. Mirchi Love and Kool, due to pandemic induced stress. This led to an overall loss of ₹66 crore in Q4 compared to a ₹18 crore profit in Q3.

4) Adani Ports: Fitch Ratings has affirmed Adani Ports’ long-term foreign-currency issuer default rating at BBB-minus.

 5) Crude oil futures hit a fresh high for 2021 and highest since October 10, 2018, due to higher demand boosted by economic recovery and tighter supply.

Brent crude, the London-based international benchmark, jumped 0.41 percent to $74.29 per barrel.

6) The Shyam Metalics IPO was subscribed 121.4 times the reserved portion on day 3 of bidding.

The issue received bids for 256 crore shares for the 2.1 crore shares that were on offer.

Subscription Status

Qualified institutional buyers subscribed 155.71 times the reserved portion.

Non-institutional investors subscribed 339.98 times the reserved portion.

Retail investors subscribed 11.58 times the reserved portion.

Employees subscribed 1.55 times the reserved portion.

7) The Sona Comstar IPO was subscribed 2.28 times the reserved portion on day 3 of bidding.

The issue received bids for 24.43 crore shares for the 10.71 crore shares that were on offer.

Subscription Status

Qualified institutional buyers subscribed 3.46 times the reserved portion.

Non-institutional investors subscribed 0.39 times the reserved portion.

Retail investors subscribed 1.57 times the reserved portion.

8) National Pension Scheme (NPS) subscribers can now withdraw the entire accumulated corpus at the time of retirement without purchasing any annuity if the corpus is less than Rs 5 lakh. Currently, the level is Rs 2 lakh.

9) Infosys: Finance Minister Smt. Nirmala Sitharaman is going to meet Infosys to resolve tech glitches on the new Income Tax Portal.

10) Reliance: Mukesh Ambani is going to unveil the most affordable smartphone in a tie-up with Google on June 24 in the shareholder meeting. However, the volumes of production have taken a hit due to increasing component prices and supply chain disruptions.

11) Coal India has decided to close down 23 unviable mines and it would help save the company around Rs 500 crore considering all costs. The world's largest miner has shut down 82 such mines in the last 3-4 years.

12) ICICI Bank said that it has raised over Rs 2,827 crores by issuing bonds on a private placement basis.

13) Wipro has joined the World Economic Forums Partnership for New Work Standards initiative to establish a "healthy, resilient and equitable future of work".

14) BPCL: The government is set to take up a proposal to permit 100% foreign direct investment (FDI) in state-owned oil refiners to clear the regulatory path for the privatization of BPCL.

15) Dr Reddys Lab: An international arbitrator has ordered Dr. Reddys in the US to pay Hatchtech $46.3 million for a skin treatment lotion.

16) Mutual Fund Category Performance

According to data from AMFI, overnight and liquid funds, where large companies park their short-term surplus cash, saw a net outflow of Rs 57,020.37 crore in May, which can be attributed to the urgency to hold immediate cash. Low yields also prompted the companies to retreat. Amid restrictions on people’s movement, companies are incurring certain overheads without any yields. However, the flow trend is expected to reverse, depending on the unlocking program.

17) Bajaj Finance plans to raise funds selling commercial papers maturing in one week at a coupon of 4.00% and has received commitments worth around Rs. 3500 crore.

18) Banks borrowed Rs. 27 crore under the central bank’s marginal standing facility on June 10, 2021 compared with nil borrowing on June 09, 2021.

19) RBI announced the auction of four Government of India Dated Securities namely 5.63% GS 2026, GoI FRB 2033, 6.64% GS 2035 and 6.67% GS 2050 for a notified amount of Rs. 32,000 crore. The auction would be carried out on June 18, 2021.

20) Network 18 Media and Investments plans to raise funds selling commercial papers maturing in three months at a coupon of 3.53% and has received commitments worth around Rs. 100 crore.

21) Brazil’s central bank delivered its third consecutive interest rate increase of 75 basis points on Wednesday to 4.25% and raised the specter of larger hikes ahead as it returns to “neutral” rates, dropping plans for a “partial” normalization of policy. 

22) Drug firm Alembic Pharmaceuticals on Wednesday said its joint venture firm Aleor Dermaceuticals has received final approval from the US health regulator for Testosterone Topical Solution, used for treating testosterone deficiency. The approved product is therapeutically equivalent to the reference listed drug product (RLD) Axiron Topical Solution of Eli Lilly and Company. Aleor Dermaceuticals has received final approval from the US Food and Drug Administration (USFDA) for its abbreviated new drug application (ANDA) for Testosterone Topical Solution USP, 30 mg per pump actuation.

23) Larsen & Toubro Infotech Ltd. (L&T Infotech) has signed a definitive agreement to acquire Cuelogic Technologies, a digital engineering and outsourced product development company, headquartered in Pune. Cuelogic has built capabilities in digital engineering, and primarily focuses on developing cloud native web and mobile applications, modernisation, and runs innovation lab as a service for its clients in the USA and India. Digital Engineering is a significant market opportunity, and this acquisition will provide instant access to a fast- growing business with an impressive client roster.

24) Asian Paints, India' largest decorative paint player has hiked prices of all products in the decorative segment by 1.5-2% on average. It has hiked the price of its entry-level brands and products like Tractor/Sparc by Rs. 3/litre and of its premium and luxury brands like Royale and Ultima by Rs. 6/litre. It had also hiked prices for decorative paints back in May by ~2.8%.

25) Voltas Limited, has successfully commissioned its first solar project in Dubai at the Misterlight Electrical Installation Items Trading warehouse within Dubai’s National Industries Park, working with UAE’s leading distributed solar energy provider SirajPower. The rooftop solar project, which was installed on Misterlight’s warehouse by Voltas Limited, will generate clean and green electricity, catering to 85% to 90% of the power required by the facility, while reducing 100 metric tonnes of CO2 emissions per year.

26) SBI to consider raising additional tier-1 capital next week: A meeting of the central board of State Bank of India is scheduled to be held on June 21, 2021, to consider raising capital. The bank said it plans to raise additional tier-1 (AT-1) capital by way of issuance of Basel III compliant debt instruments in US dollar or Indian rupee through a public offer or private placement to overseas and/or Indian investors during FY22.

27) ABFRL’s Jaypore enters menswear category: Fashion retailer Jaypore, part of Aditya Birla Fashion and Retail Limited, has announced its entry into the menswear category with the launch of kurtas, shirts, jackets and pants. This collection will exclusively be available at Jaypore stores and online. Jaypore currently retails women’s ethnic wear, jewellery and accessories both online and through stores. The brand sources from more than 70 craft clusters while retailing online as well as three stores in Delhi and Bangalore.

28) Nagaland govt shuts down three ONGC wells for starting operations 'without permission'.

29) Asahi India Glass Ltd reported 35.9% yoy rise in consolidated net revenues at Rs 815cr. On a sequential basis, net sales revenues were up 8.3%. Automotive glass segment grew 34.8% while float glass was up 45.9% to Rs 340cr. For FY21, net cash from operations were 79% higher at Rs526cr on inventory efficiency gains. Net profits in the Mar-21 were up 62.3% to Rs 84cr on the back of sharp EBITDA growth in its two core verticals.