Of late, L&T Finance Holdings and Tata Coffee have been attracting huge market interest. Last week, both stocks hit their life-time highs, accompanied by heavy trading volumes. This was despite the companies’ clarification to the exchanges that there were no price or volume sensitive information, which market-men ignored promptly. Apart from M&A news, talk of banking entry also has also been doing the rounds in the market circle. L&T Finance Holdings, however, cooled a bit after the Reserve Bank Governor D. Subbarao said it would be not possible to give banking licences to private players without fulfilling certain regulatory parameters. The company in a clarification to the stock exchange, while expressing concern over reports of merger and acquisition activities that could have impacted the spurt in volume and stock price, said it pursues both organic and inorganic opportunities on an ongoing basis. However, Tata Coffee sustained the gains. It clarified to the BSE that currently “there is no market sensitive information” relating to the company that has not been shared with the Exchange.
Will interest in Tata Coffee, L&T Finance Holdings sustain?
November 18, 2012: