The Hindu Business Line : Stock-specific action in markets

The start of the week saw a couple of steel majors — Tata Steel and SAIL — support a strong market rally on the back of good Q4 results. While Tata Steel moved from Rs 591 last week to Rs 624.3 this week, SAIL shares moved from Rs 1,38.9 to Rs 1,47.9. Energy major Reliance Energy's shares moved by a steep 9 per cent from Rs 511.3 to Rs 555.7 last week. The week saw an inter se transfer of a substantial 5.7 per cent stake in Reliance Energy between companies belonging to the Anil Ambani group.

The markets reacted favourably to the news that HDFC plans to raise nearly Rs 4,200 crore from strategic investors such as the Carlyle group and Citigroup. The scrip gained nearly Rs 117 from Rs 1,701. HDFC Bank saw its shares fall, after an initial increase, from Rs 1,072 to Rs 1,069.5 levels.

There was a mid-week correction as Sensex fell by 235 points in a couple of days of trading. Block sell offs from FIIs and domestic funds, following weakness in other Asian markets, were held chiefly responsible for this correction.

In the media segment, NDTV's shares fell from Rs 415 to Rs 390. The stock price had run up steeply over the past couple of months.

The company reported a loss of Rs 6.89 core for the previous financial year.

Raj Television continued its good run, with an increase of Rs 85 in its share price from Rs 240.8.

Power equipment major BHEL saw its share price go up 3.1 per cent, from Rs 2,620 to Rs 2,702.

Close to the weekend there were a couple of stock specific actions, on the back of acquisitions and stake sell-offs related activity.

Wind-Energy major Suzlon acquired a 75 per cent stake in REpower Germany in a 1.3 billion deal.

The markets seemed to welcome this development and the company's share gained nearly Rs 247 or 22 per cent in the week to close at Rs 1,378.45.

The important development was Tata Tea's sale of its 30 per cent stake in US-based Energy Brands Inc, which owns the Glaceau brand to Coca-Cola for $1.2 billion, and thus making a profit of about $523 million.

This news saw the company's share go up to Rs 913.65, gaining nearly Rs 71.2, or 8.5 per cent over the past week.

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