The Hindu Business Line : Gains on growth prospects

THE counter of Kanoria Chemicals & Industries was in the limelight after a long time on Tuesday. Dealers said the interest in the counter came in line with other companies in the sector. Kanoria makes caustic soda and other chemicals. Dealers said the company is well placed in the industry compared to its peers.

Kanoria's investment of Rs 93 crore to upgrade the manufacturing process for chloro alkali to cell membrane technology instead of the earlier mercury cell technology has brought interest into it. The move would enable it to de-risk its business.

The company is also spending Rs 87 crore for enhancing its captive power generation and looking at hiking its caustic soda production to 88,000 tonnes, from the existing level of 50,000 tonnes.

All these factors are likely to bring the desired results in the next few quarters, dealers said.

On Tuesday, the stock gained 11.39 per cent at Rs 89 on the BSE with volumes of 8,290 shares; on the NSE, it closed at Rs 89, up 11.25 with volumes of 18,790 shares.

FIIs' interest drives up M&M

BUYING interest in utility vehicles and tractor company Mahindra & Mahindra is being seen in the last few days. Dealers said most of the interest is from FIIs who feel the company is well placed for good growth in the next few quarters.

The talk is that company's overseas expansion plans are being considered as growth areas. The recent acquisition by the company and more acquisitions that are likely to happen soon are seen as positives for the stock.

The talk is that next financial year is expected to show strong growth compared to current fiscal. On Tuesday, the stock gained 4.44 per cent at Rs 470.65 on the BSE with volumes of 3.05 lakh shares; on the NSE, it closed at Rs 470, up 3.91 per cent, with volumes of 12.29 lakh shares.

Back in action

AFTER a long time, Novartis witnessed rise in volumes along with increase in stock price. The stock gained 3.92 per cent at Rs 683.35 on the BSE with volumes of 22,566 shares. Dealers said the interest in the stock is on expectation of some growth initiative the company is likely to announce soon. However, the dealers did not know the exact details of it.

Virendra Verma

More Stories on : Stock Markets | Ear to the ground

Article E-Mail :: Comment :: Syndication :: Printer Friendly Page

Stories in this Section
Franklin Templeton's Flexi Cap to be first co-managed fund

Reliance Capital all-sector fund awaits SEBI nod

Bull onslaught

To widen market depth — Players moot independent research body for mid-caps

Tea stocks jump on higher consumption

Gains on growth prospects

Consider OTM call spreads on ONGC

Banking, auto shine; Reliance helps Sensex recovery