Stocks to Focus: Bharat Electronics, Tata Steel, Adani Ports, BPCL, NBCC
Stocks to Watch, Thursday, September 12, 2024: Indian benchmark equity indices are expected to open on a positive note on Thursday, bolstered by strong overnight gains on Wall Street, where all three major indices closed higher. As of 6:50 AM, the GIFT Nifty index was trading at 25,100, up by approximately 150 points from Nifty futures' previous close. Japan's Nikkei 225 surged 3% in early trading, while the broader Topix index gained 2.48%. Meanwhile, futures for China's CSI 300 stood at 3,181.6, slightly below its Wednesday close of 3,186.13.
Bharat Electronics Ltd (BEL): On Wednesday, Bharat Electronics Ltd (BEL), a public sector defense manufacturer, announced it had secured orders totaling Rs 1,155 crore through two separate agreements. The first order, worth Rs 850 crore, was placed by Cochin Shipyard Limited (CSL) for the delivery of indigenous multi-function X-Band radars. Additionally, BEL secured Rs 305 crore in orders for various naval systems, including navigational complex systems for ships, thermal imagers, communication equipment, fire control, gun control systems, along with associated spares and services, according to its stock exchange filing.
Tata Steel: Tata Steel Ltd has secured a £500 million grant from the UK government for its £1.25 billion green steel initiative in Port Talbot, Wales. This investment will enable the installation of an electric arc furnace, with the goal of decreasing the UK's industrial carbon emissions by 8% and cutting Port Talbot’s emissions by 90%. Tata Steel CEO T.V. Narendran highlighted that, with government backing, the project could transform Port Talbot into a prominent European center for green steel production and significantly advance circular economy practices by utilizing scrap materials.
Adani Ports and Special Economic Zone (APSEZ): Adani Ports and Special Economic Zone (APSEZ), via its subsidiary DPA Container and Clean Cargo Terminal Limited (DPACCCTL), has entered into a concession agreement to develop Berth No. 13 at Deendayal Port, Kandla, Gujarat. This berth will be used for handling multipurpose clean cargo and containers, with operations anticipated to commence by FY27.
Bharat Petroleum Corporation (BPCL): Bharat Petroleum Corporation Limited (BPCL), via its subsidiary Urja Bharat Pte Limited (UBPL), has obtained a production concession in Abu Dhabi. This concession covers an area of 6,162 square kilometers and encompasses both conventional oil and gas resources.
Auto Stocks: Auto stocks are set to draw attention following the Union Cabinet's approval of two significant schemes: the PM Electric Drive Revolution in Innovative Vehicle Enhancement (PM E-DRIVE) and the PM-eBus Sewa-Payment Security Mechanism (PSM). With a combined budget of Rs 14,335 crore, these initiatives are designed to encourage the adoption of electric vehicles (EVs), including buses, ambulances, and trucks.
Vedanta: Vedanta has raised $900 million through a US dollar bond issue, aimed at prepaying existing debt. The bond, issued at a coupon rate of 10.875 percent, was significantly oversubscribed.
Nazara Technologies: Nazara Technologies has acquired a 15.86 percent stake in blockchain-based e-sports startup Stan for $2.2 million. Stan focuses on mobile-first fan engagement and digital collectibles.
Route Mobile: Route Mobile's promoter, Proximus Opal, plans to sell up to 38 lakh shares, or 6.03% of its equity, through an offer for sale (OFS) on September 12 and 13. The floor price for the OFS is set at Rs 1,635 per share. Non-retail investors will have access to the offer on September 12, while retail investors can participate on September 13.
HPCL: The board of Hindustan Petroleum Corporation Ltd (HPCL) has given the green light for the Visakh-Raipur Pipeline Project. This initiative involves building a pipeline from Visakhapatnam to Raipur and establishing supporting infrastructure, including a depot at Kantabanji. The estimated cost of the project is Rs 2,212 crore.
NBCC: NBCC has entered into a partnership with MTNL to develop a 13.88-acre land parcel in New Delhi. The project has a valuation of Rs 1,600 crore.
Arvind Fashions: Goldman Sachs has purchased more than 1.3 million shares of Arvind Fashions in a block deal, totaling an investment of Rs 75 crore.
