hares of Amtek Auto have rallied 14.8 percent intraday Thursday as the auto ancillary company seems to be getting good response for its assets sale plan. Currently, Bharat Forge and Mahindra CIE Automotive are in race to buy out Amtek India’s assets, reports CNBC-TV18 quoting unnamed sources. Mahindra CIE Automotive has showed preliminary interest in Amtek Tekfor, one of the businesses that the company is looking to sell for reduction in debt.
CNBC-TV18 learned that debt-laden Amtek Auto is looking to divest stake in various domestic businesses include health & wellness and food & real estate. This divestment is a part of Amtek's plan to raise Rs 7,000 crore over 12-18 months. In order to cut down huge debts, loss making Amtek Auto (on November 2) had appointed Morgan Stanley as advisors to assist in the group’s debt reduction plan.
The market fell nearly a percent in late sell-off, weighed down by FMCG, auto and select banking & financials stocks despite positive European cues. The broader markets outperformed benchmarks, though indices ended marginally lower. The 30-share BSE Sensex ended below 26000-mark, down 231.23 points or 0.89 percent to 25886.62 and the 50-share NSE Nifty slipped 67.20 points or 0.85 percent to 7864.15.
The market fell nearly a percent in late sell-off, weighed down by FMCG, auto and select banking & financials stocks despite positive European cues. The broader markets outperformed benchmarks, though indices ended marginally lower. The 30-share BSE Sensex ended below 26000-mark, down 231.23 points or 0.89 percent to 25886.62 and the 50-share NSE Nifty slipped 67.20 points or 0.85 percent to 7864.15.
On the global front, European markets like France's CAC and Germany's DAX were up 1 percent each ahead of ECB decision. Economists expect the European Central Bank to announce further stimulus measures in order to boost inflation and growth.
Shares of Just Dial slipped 6 percent intraday on Thursday after Goldman Sachs has downgraded the stock to sell. The brokerage has also lowered target price to Rs 750 per share as it feels 22 percent rally in the past one month likely due to a small buyback to use as an exit opportunity. It is worried about Search Plus execution risks and expects core search revenue growth to decelerate over FY15-FY18 to 19 percent due to inadequate investments in the past and rising competition.
India's economy will grow at 7.4 percent in the current fiscal, which will further improve to over 8 percent in 2016-17, Standard & Poor's Ratings Services projected on Thursday. S&P in its 'India Credit Spotlight' newsletter noted that significant reforms are required with Indian corporates and banks currently facing a weak operating environment. Indian economy grew at 7.3 percent in last fiscal.
Market Updates by Epic Research - Top gainers: Adani Ports, Asian Paints, Bharti Airtel, ITC and Coal Indi
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