Negative bias seen for Nifty, Sensex at open

Indian markets are expected to open flat with negative bias. The SGX Nifty is currently ruling at 14,225 against Nifty futures’ Monday’s close of 14,254. Asian markets are giving mixed signals, with Nikkei (Japan) and Singapore STI ruling firm with 0.5 per cent gains, and Kospi and ASX (Australia) slipping in the red.

The S&P BSE Sensex on Monday declined 531 points to 48,347, while the Nifty50 index plunged 133 points to 14,239, as index heavyweight Reliance Industries dragged the market.

Stocks to watch

Adani Ports and Special Economic Zone Limited has commenced a tender offer to purchase for cash any and all of its outstanding $500,000,000 3.95 per cent Senior Notes due 2022. The tender offer will expire at 5:00 p.m., New York time, on February 2.

Auto stocks: Union Minister for Road Transport and Highways has approved a proposal to levy a ‘green tax’ on old vehicles. Personal vehicles will be charged a tax at the time of renewal of Registration Certification after 15 years. The proposal will now go to the States for consultation before it is formally notified. It includes a 10-25 per cent road tax on transport vehicles older than eight years at the time of renewal of fitness certificate. Focus will be on Maruti, Tata Motors, M&M, Escorts, Bajaj Auto and others.

Affle (India) Limited, through its wholly-owned step-down subsidiary Affle MEA FZ-LLC (AMEA), has entered into an agreement to acquire the business assets of Discover Tech Limited (registered in Israel). The fixed consideration for business transfer is $1.15 million and maximum success fee (incremental contingent consideration) is $3.37 million to be paid over a maximum period of four years. As part of the deal, business assets, including the technology platform, brand name, intellectual property rights, business relationships and technical information of Discover Tech Limited will be acquired by AMEA.

Bank of Baroda: The Central Bank of the UAE has imposed a financial sanction of AED 6,833,333 (about ₹13.56 crore) on Bank of Baroda, GCC Operations, Dubai, for deficiencies in compliance of AML and Sanctions Compliance Framework as at December 31, 2019. The bank is in consultations with the relevant stakeholders and exploring options (including filing of an appeal) to get the aforesaid financial sanctions lifted.

INOX Leisure Ltd has commenced commercial operations of Cinema, taken on Leave & License basis, located at R Mall, Ghodbunder Road, Dhokali, Thane (West), with effect from January 26. The Cinema has four screens and 240 seats. INOX is now present in 69 cities with 151 multiplexes, 641 screens and a total seating capacity of 1,46,320 seats across India.

HG Infra Engineering: lrcon International has cancelled the tender of GevraPendra/Pkg 1 in Chhattisgarh due to high quoted/ revised rate, for which the company was declared L-1 bidder by lrcon International. The estimated project cost was ₹713.69 crore.

Results calendar

AK Capital, Axis Bank, Bannari Amman Sugars, Canara Bank, Cosmo Films, Hindustan Unilever, Bank of Baroda, Marico, Emami, HG Infra Engineering, Hindustan Organic Chemicals, ICICI Prudential Life Insurance Company, India Cements, JK Paper, Jyothy Labs, Lakshmi Machine Works, Marico, Mahindra EPC Irrigation, Nippon Life India Asset Management, PNB Housing Finance, PSP Projects, Quess Corp, PNB Housing, Tata Coffee, Thangamayil, United Spirits and Welspun India are among the 50 companies that are scheduled to release their quarterly numbers on Monday.

IPO watch

Stove Kraft: The public issue was subscribed 99 per cent on Day One of opening on Monday. Ahead of the IPO, the manufacturer of kitchen appliances, has raised a little over ₹185 crore from anchor investors. A total of 48,22,290 shares have been allotted to 32 anchor investors at ₹385 apiece, which is the upper end of the price band. The initial public offering comprises a fresh issue aggregating ₹95 crore and offer-for-sale of up to 82.5 lakh equity shares by selling shareholders.

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