In the week ahead, the US Fed meeting outcome, progression in Trump's impeachment process and the conclusion of the ongoing US-China trade war are the global events which are likely to sway the stock markets. Closer to home, listing of Ujjivan Small Finance Bank IPO and fundraising by Yes Bank will be some events which market participants will keep an eye on. Let’s look at company specific news you shouldknow before markets open on Monday:
- Bharti Airtel Ltd: Bharti Telecom, a promoter of Bharti Airtel, has sought government nod for the infusion of Rs4,900cr investment from Singapore-based Singtel and other foreign entities, a move that would make the telecom operator a foreign entity. The fund infusion will enhance foreign stake holding in Bharti Telecom to over 50% that will make it a foreign-owned entity. Sunil Bharti Mittal and his family own around 52% stake in Bharti Telecom, at present.
- Jaypee Infratech Ltd: Lenders of Jaypee Infratech on Saturday decided to put on vote simultaneously the bids of state-owned NBCC Ltd and Suraksha Realty to acquire the bankrupt realty firm, media reports suggested citing unnamed sources. The voting process will start on December 10 and end on December 16. A decision in this regard was taken in a meeting of the Committee of Creditors (CoC). This is the third round of the bidding process, which has been initiated on the direction of the apex court. Lenders were divided over which bid is the highest.
- CG Power Ltd: Beleaguered CG Power and Industrial Solutions has sought shareholders' nod to borrow up to Rs 5,000cr to meet working capital and other business needs as it looks to spring back from the worst crisis in its history. CG Power has called an annual general meeting of shareholders on December 14 where the resolution for borrowing will be put to vote. The company is also seeking external advice on mode and sources of fundraising.
- Axis Bank: Jairam Sridharan, Group Executive and Chief Financial Officer and Key Managerial Personnel of Axis Bank, has stepped down from his post on Friday. He informed that he would like to pursue other career opportunities and as such has resigned from his services, Axis Bank said in a filing on Bombay Stock Exchange. Sridharan will continue to serve as the Group Executive and Chief Financial Officer of the bank under his notice period of three months, the statement added. The Mumbai headquartered lender said that it has initiated the succession plan for the post of group executive and Chief Financial Officer under guidance from the Nomination and Remuneration Committee and the Audit Committee of Board.
- Dish Tv Ltd: Dish TV India has received downgrade in credit rating from CARE Ratings for short term bank facilities aggregating Rs850cr from CARE “A4”+ to CARE” D” .The revision in the rating assigned to the bank facilities of Dish TV India (DTIL) takes into account default in payment of short term loan due on November 28, 2019.
- Equitas Holdings Ltd: Equitas Small Finance Bank (SFB) on Saturday said it would raise Rs250cr through private placement of shares. The bank’s board had approved to issue 4.74cr equity shares of Rs10 each at a price of Rs52.68 per equity share (including a premium of Rs42.68 per equity share) aggregating Rs250 crore. This will be for a 4.51% stake in the post-issue paid-up share capital of the bank. At the end of September, the bank’s capital adequacy ratio was at 21.58% with Tier-I ratio at 20.46%. Equitas SFB is expected to come out with an initial public offering (IPO) by the end of the current financial year, to comply with the licensing guidelines.
- Maruti Suzuki Ltd: Maruti Suzuki India (MSIL) increased its production in November by 4.33%, after having reduced output for nine straight months due to lower demand. The company produced a total of 1,41,834 units in November as against 1,35,946 units in the year-ago month, MSIL said in a regulatory filing. Passenger vehicles’ production last month stood at 1,39,084 units as against 1,34,149 units in November 2018, an increase of 3.67%, it added. In October, the automaker had cut its production by 20.7% to 1,19,337 units. Similarly, in September the automaker reduced its production by 17.48% to 1,32,199 units.
- KNR Construction Ltd: KNR Constructions announced that KNR Palani Infra has signed Concession Agreement with NHAI for Rs920cr road project in State of Tamil Nadu. The project will be executed under Bharatmala Pariyojna Phase - I under the category of Residual Works of NHDP on HAM in the State of Tamil Nadu with a concession period of 17 Years including construction period of 2 years from the appointed date.
- Punjab & Sindh Bank: The Board of Punjab & Sind Bank at its meeting held on December 06, 2019 has approved raising of equity capital up to an amount of Rs500cr through qualified institutional placement in one or more tranches within a period of 12 months up to December 05, 2020.
- IRB Infrastructure Developers Ltd: The Board of IRB Infrastructure Developers at its meeting held on December 06, 2019 has approved the issuance of secured, redeemable, unlisted non-convertible debentures (NCDs) amounting to Rs1,400cr on a private placement basis, being proposed to be allotted in one or more tranches/series.
US stocks rallied to end on a positive note Friday after better than expected jobs data and optimism about US-China trade negotiations ahead of an upcoming deadline. The Dow Jones Industrial Average jumped 337.27 points, or 1.22%, to close at 28,015.06. The S&P 500 gained 28.48 points, or 0.9%, to end at 3,145.91. The Nasdaq Composite added 85.83 points, or 1%, to 8,656.53.
The US economy created 266,000 new jobs in November, the Labor Department reported, the biggest gain since January, signaling the labor market remains robust even though economic growth has slowed. Economists polled by Dow Jones expected closer to 187,000 nonfarm payroll additions. The government also revised the increase in new jobs in October to 156,000 from 128,000 and September’s gain was raised to 193,000 from 180,000. The unemployment rate slipped to 3.5% from 3.6%.