Zee Business Managing Editor Anil Singhvi has advised investors not to buy Lakshmi Vilas Bank (LVB) shares based on considerations of takeover by the multi-national bank DBS. Market Guru said that investors who are holding this stock should try to exit it. 

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He said that the investors should consider themselves lucky if they manage to sell Lakshmi Vilas Bank shares even at the lower circuit.

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He opined that that this is not a negative news as far as the top banks are considered. However, for the mid cap and small cap banks, this could be a make or break situation.  

The direction of Nifty will be decided by the movements in Bank Nifty, he said. The good thing is that there is no weightage of mid cap bank stocks on Nifty and there will not be any fall because of the mid cap stocks.  

There are a few listed companies who have stake in the Lakshmi Vilas Bank  including Srei Infrastructure but this has already become a penny stock.   As for India Bulls Housing stock, it is already in ban in futures and options. There will be a pressure on this stock, the Managing Editor said. 

Also of importance today is that the Supreme Court will hear the loan moratorium case on Wednesday, and it is still not known if the decision will come today. The parties are still presenting their arguments and it is unlikely that the decision would come today, he said.

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It would be interesting to see how banks react to this news, he further said.