The Hindu Business Line : Blue Dart: Stake sale talk at it again

THE stock of courier express company Blue Dart Express has appreciated by more than 16 per cent over the last three trading sessions. The stock, which had ended at Rs 266.05 on October 29, was ruling at around Rs 309.55 (BSE) and Rs 310.60 (NSE) on the bourses on Tuesday.

The counter has appreciated by almost 49 per cent since October 1. Despite repeated denials by the company, the market is awash with rumours of a stake sale. The talk is that the stake sale is likely to take place at around Rs 350 levels hence the run up at this counter. Analysts maintain that the domestic express market is still at a nascent stage for any foreign participant to be a serious player. They speculate that it would be more of a feasible option to go in for a tie-up with a domestic player for inbound and outbound traffic.

From a fundamental point of the view the company's profitability is said to have seen a good growth.

Up on tie-up talk with Japan SE

ONE software company stock that remained almost unaffected by the Kerry-Bush face off was Financial Technologies.

Brokers maintain that rumours of the company going in for a tie-up with a Japanese stock exchange are what fuelled the more than 15 per cent run up in the counter today. At end of trade, the stock was ruling at Rs 90.85, up 15.29 per cent, with around 12.98 lakh shares traded on the BSE. Dealers said that the last time the counter had witnessed such a sharp run up was just before Reliance Capital picked up a stake in the company. As on September 30, 2004, Reliance Capital holds 8.76 per cent of the company's equity. The run up is also said to be in tandem with the broad market trend.

Bottom fishing in island waters

BARGAIN hunting at the counter of Tourism Finance Corporation saw the stock end the day 2.42 per cent higher at Rs 12.27 with around 69,863 shares traded on the BSE.

Brokers said the stock has touched rock bottom and will only move one way i.e. northwards from these levels.

Analysts maintain that after the Government decision to allow MNC players to develop the Andaman and Nicobar Islandshas given the counter a shot in the arm. TFC is gaining ground as a nodal agency looking to finance interested private or government players to set up and develop tourism ventures in the islands. Analysts maintain that the company's restructuring exercise has also led to a drastic reduction in its debt.

Deeptha Rajkumar

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