Stocks in Focus on July 12: KPR Mill, SBI to Tata Steel; here are the 5 Newsmakers of the Day
There are certain stocks that came in news after the market was closed for the day. These stocks can have an impact on the indices after the market is opened.
Benchmark Domestic indices, Sensex and Nifty, closed with gains of around 0.7 per cent on Thursday, July 11, 2019. However, there were certain stocks that came in news after the market was closed for the day. These stocks can have an impact on the indices after the market is opened for trading purposes on Friday, July 12, 2019. Here is a list of five such stocks:
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— Zee Business (@ZeeBusiness) July 12, 2019
KPR Mill: The textile manufacturer on Thursday withdrew its Rs263.31 crore buyback proposal after the government during budget presentation imposed an additional tax of 20% in case of repurchase of shares by Indian listed companies. Earlier in April 2019, the company announced its plan to buy back 37,50,784 equity shares of Rs51 each at Rs702 per share for a consideration not exceeding Rs263.31 crore. With this, KPR Mill turns up to be the first company to withdraw its buyback proposal after Budget imposed 20% tax on it.
Dewan Housing Finance Corporation (DHFL): Lenders of the cash-strapped Dewan Housing Finance Limited (DHFL) have given a week’s time (seven working days) to the company to present the debt-resolution plan, after the bankers and bondholders of the company met on Thursday to decide on a resolution roadmap for the outstanding loans. Apart from this, the debt-laden firm has termed reports stating the company’s auditors may resign ahead of the meeting of the board of directors of the company as baseless and mere speculation.
Tata Motors and Ashok Leyland: Following a slump in demand for commercial vehicles (CVs) the two companies have decided to temporarily close their Pantnagar, Uttarakhand plans to avoid inventory build-up. Ashok Leyland will close its Pantnagar plant for 12 working days from July 11 to 24,2019. On the other hand, Tata Motors has decided to observed block closure for two days – July 13 and July 22.
State Bank of India (SBI): SBI has put up for sale two financial asset reconstruction companies NBFCs and other financial institutions - Rajashree Sugars and Chemicals and Shree Vaishnavi Ispat - to recover dues of more than Rs309 crore. The e-auction of Rajashree will take place on July 22 while that of Shree Vaishnavi on July 29.
Tata Steel: The company has no plan to form a joint venture for European operations in the near future and will try to make the European operations sustainable on its own. The decision was made after the collapse of its proposed partnership with ThyssenKrupp.