Stocks to watch

Equities are likely to remain volatile Thursday on the day of the September series derivatives expiry. Global cues being positive, it is probable that Nifty futures is likely to test the 5000-mark today.

EIH Ltd, a member of the Oberoi Group, has decided to terminate its strategic alliance with Hilton International for marketing and co-branding the Trident Hilton brand in the country. This could see some action in EIH shares. The stock closed 0.91 per cent higher at Rs 116 on Wednesday.

The promoter of Kingfisher Airlines, Vijay Mallya, has acquired a 50 per cent stake in an US-based aircraft manufacturing company, Epic Aircraft Manufacturing Company, for an estimated $120 million. This could give a sentimental push to its holding company – UB Holdings’ shares. The stock ended 0.62 per cent lower at Rs 807

DLF plans to build and run its own metro rail to provide mass transport to its townships. According to reports, the developer is now in discussions with global railway equipment vendors to source automatic metro rail systems, which it claims will be more sophisticated than the current system being used by the Delhi Metro Rail Corporation. This augurs well for the realty major’s shares. The stock finished 3.5 per cent down at Rs 738.

Videocon Industries plans to enter the mobile telephony business. The company has applied for mobile licences in all 22 telecom circles in the country. Reports suggest that US communications giant Verizon is likely to partner Videocon for this foray.

In another development, Videocon Industries is planning to set up a semiconductor and LCD complex near Mumbai. The company has sought 200 hectares from the Maharashtra Government for the project, which is estimated to entail an investment of Rs 8,000 crore. This could spur the company’s shares. The stock closed 0.96 per cent lower at Rs 365.

Tata Sons has bought 14.7 per cent in engineering company Praj Industries, in an open-market transaction totalling Rs 338 crore, which signals the Tatas’ intention to enter the distillery and waste water treatment industry. Praj Industries’ shares were down 4.11 per cent at Rs 238.05.

Lumax group has formed an equal joint venture with the Turin-based Cornaglia Group, for the manufacture of vehicle emission systems. Lumax Auto shares are likely to benefit from the news. The stock was down 1.03 per cent at Rs 91.05.