Stocks to Focus: Jio Financial Services, SpiceJet, Vedanta, Ola, PNB Housing

Stocks to Watch, September 9, 2024: Indian markets are likely to open lower on Monday, as suggested by the GIFT Nifty futures, following a significant sell-off in the US markets on Friday. The S&P 500 experienced its worst week since March 2023, while the tech-heavy Nasdaq Composite saw its worst week since March 2022. On Friday, the S&P 500 fell by 1.73 percent and the Nasdaq dropped by 2.55 percent. As of 6:50 AM IST, GIFT Nifty futures stood at 24,828, about 100 points below the Nifty futures’ previous close of 24,906. Additionally, markets across the Asia-Pacific region declined on Monday, with Japan's Nikkei 225 leading the losses. The Nikkei fell by 3 percent, and the broader Topix index dropped by 2.79 percent, following a weaker-than-expected US jobs report on Friday.

Jio Financial Services: Jio Financial Services and BlackRock Advisors Singapore Pte. Ltd. have established a joint venture to create Jio BlackRock Investment Advisers Private Limited. As per a filing with the Bombay Stock Exchange (BSE) on September 8, the new entity will concentrate on providing investment advisory services within India. Jio Financial Services announced an investment of 3 crore for an initial purchase of 3,000,000 equity shares at a price of 10 each.

SpiceJet: SpiceJet Ltd’s Chairman and Managing Director, Ajay Singh, is set to divest over 10 percent of his stake in the airline as part of a new funding round expected to wrap up by the end of September. As reported by PTI on September 8, SpiceJet is grappling with financial troubles, legal challenges, and aircraft groundings. The company is seeking to raise capital to address its financial commitments and stabilize its operations.

Vedanta: Vedanta is planning to demerge its diverse business segments, which encompass more than 15 commodities. Chairman Anil Agarwal stated that this demerger will shift the company’s role from managing assets to owning them. The reorganization will result in the formation of separate entities dedicated to aluminium, oil and gas, power, steel, and base metals. Meanwhile, Vedanta Ltd. will remain responsible for its zinc operations and newly established businesses.

Punjab National Bank, Bank of Maharashtra: Punjab National Bank and Bank of Maharashtra have both been authorized to raise up to Rs 5,000 crore each via qualified institutional placements (QIP) in FY25. This funding will enable them to fulfill public shareholding requirements.

Ola Electric Mobility: The one-month lock-in period for Ola Electric’s shares ends on September 9, allowing 18.18 crore shares to become eligible for trading.

PNB Housing Finance: PNB Housing Finance is set to raise up to $125 million via External Commercial Borrowing (ECB) in the third quarter of FY25. Currently holding an ECB sanction of $125 million, the company is looking to secure an additional $100 to $125 million. PNB Housing aims to expand its retail loan portfolio to Rs 1 trillion by FY27, a significant increase from its current Rs 65,000 crore, with a projected growth rate of 17 percent for FY25.

Deep Industries: Deep Industries has been awarded a Rs 1,402 crore contract by Oil and Natural Gas Corporation (ONGC) to enhance production operations at ONGC's Rajahmundry facility. As of June 30, 2024, Deep Industries' order book stands at Rs 1,246 crore.

Suven Pharma: Suven Pharma's subsidiary, Casper Pharma, has successfully completed an inspection of its Hyderabad facility, receiving a Voluntary Action Indicated (VAI) classification from the US FDA.

Suzlon Energy: Suzlon Energy has acquired a 51 percent stake in Renom for Rs 400 crore, making Renom a subsidiary of the company.

Mazagon Dock Shipbuilders: The company has received a Rs 1,486 crore order from Oil and Natural Gas Corporation (ONGC) for a subsea pipeline replacement project.