Landbank logic vaults real estate shares

Parsvnath scrip zooms 75% on Day One; bulls outnumber bears for now

A little more than a decade ago, 42-year-old Pradeep Kumar Jain was a real estate broker for Delhi-based builders such as DLF, the Ansals and Unitech. On Thursday, when his real estate company Parsvnath Developers was listed on the National and Bombay Stock Exchanges, he ended up becoming a dollar billionaire.

Today, the self-made real estate baron, who’s been in the business for 23 years, saw his shares hit the stratosphere, rising 75% from its issue price of Rs 300 to close at Rs 526.30 a share. The company has on Day One crossed the $ 2 billion market-cap mark, with a valuation of Rs 9,715 crore.

With the promoters owning 80% of the newly-listed company, Jain and family are thus worth over Rs 7,800 crore.

Parsvnath’s listing marks a new high in the rapid unlocking of real estate values in grow-grow India. Between January, 2006, and November 30, real estate companies have added around Rs 54,000 crore of market-cap, two-thirds of it by Unitech alone. With Parsvnath

now getting listed, and Sobha Developers seeing a huge 108-fold oversubscription, and big daddy DLF waiting in the wings for a possible January issue, it is only a matter of time before the sector will top the Rs 200,000 crore market-cap mark.

Quite clearly, investors believe the real estate has nowhere to go but up. As Mark Twain said many eons ago: “Buy land, for they ain’t making any more of it no more.”

But not all are believers. “We are building towards a bubble”, says Jigar Shah, director of KR Choksey Shares and Securities. “When landbank valuations get reflected in share prices instead of cash flows and profitability of realty companies, share prices get inflated and then create a bubble,” warns Jigar.

In Parsvnath’s case, for example, the market is excited by the fact that the company acquired 108 million sq ft of land at an average cost of Rs 200 per sq ft whereas built-up property will be sold for an average of Rs 2,000-2,500 per sq ft. Even after construction and related costs, the margins will be nothing less than 100%.

Investors are jumping the gun, too. They have started discounting companies such as Century, Godrej Industries and Bombay Dyeing not for the businesses they are in, but the land they hold under their belt.

But if it’s primarily landbank logic that’s driving real estate valuations, there are two other reasons why bulls outnumber bears for now: limited supply of real estate scrip, and the sheer amount of money being raised for real estate investment. In January this year, the value of listed real estate companies was not even 1% of the BSE’s total market-cap. After the listing of Parsvnath, it’s closer to 2%, with the collective market-cap crossing Rs 73,000 crore.

Real estate buffs expect this to rise to 10% or thereabouts over the next four years as more real estate companies list themselves. And that’s merely what’s happening in India. Many realty companies are also listing subsidiaries abroad to raise funds for domestic investment.

Unitech, which is planning to raise $ 750 million, is the latest to seek a listing on the Alternative Investment Market (AIM), a subsidiary of the London Stock Exchange. Together with three other listings, the money raised is set to top $1 billion. And this does not include the billions raised by other global realty funds for investment in India and other emerging markets.

With that kind of money flowing into real estate, and given the kind of growth in infrastructure, hotels, retailing and special economic zones envisaged over the next decade, the bulls are carrying the day.

International hospitality majors such as Hilton and Accor are playing footsie with DLF and GMR. Bharti Wal-Mart, Kishore Biyani’s Future Group and Reliance are also wooing real estate developers with mind boggling lease rentals.

Jigar also admits that the strength and buoyancy of the Indian economy may act as a cushion and any bubble may be time to develop.

Uptrend may continue

The market will be eyeing the 14,000-mark in the coming week, betting on robust economic growth and strong results for December quarter from Indian companies. The domestic economy grew 9.2% in the July-September quarter from a year earlier, higher than market expectations of 8.90%.

Investors will continue to build fresh positions following a smooth rollover from November contracts to December series.

Expectations run high that FIIs may step up buying this month as allocations will be made for New Year calendar 2007. FII inflow in 2006 has reached $8.7 billion compared to a record inflow of $10.7 billion in 2005.

However, profit-booking can emerge at higher levels. The Sensex is already up 47.3% in calendar 2006 so far. A section of the market attributes the solid surge on the Indian bourses to increasing recognition of India’s long-term growth prospects. India’s growth drivers are a favourable demography (large share of young population), robust domestic consumption and acceleration in infrastructure creation.

Also the crawling crude oil prices, which are near $62 per barrel, may put brakes on the rally.

Dhampur Sugar Mills and Pioneer Embroideries will announce their results in the coming week.

Sensex advances 141 points

The market kept its rally intact as investors continued to mop-up shares at higher levels. The BSE Sensex advanced 141.45 points (1.03%) during the week ended 1 December, to 13,844.78, a record closing high. The S&P CNX Nifty rose 46.75 points (1.18%), to settle at 3,997.60, an all-time closing high.

Trading for the week began on a firm note. On Monday (27 November), the Sensex jumped 70.26 points, to 13,773.59, a record closing, partly on steady-to-firm Asian markets and partly due to short covering in the derivatives segment.

The Sensex plunged 171.64 points, to 13,601.95, tracking weak global markets on 28 November 2006. The BSE Sensex rose marginally by 14.78 points, to 13,616.73 on 29 November, amid a mixed trend in its constituents. On 30 November 2006, the Sensex finished with a gain of 79.58 points, at 13,696.31.

Sensex jumped 148.47 points to 13,844.78 on Friday (1 December), a record closing following a smooth rollover of November contracts and the sunsequent build up for December series, coupled with robust GDP figures.

Tata Power rose 1.32% to Rs 598.10. The company reported 61% growth in net profit for Q2 September 2006, to Rs 202.32 crore (Rs 125.67 crore). Total revenue rose 16.5% to Rs 1,279.17 crore, from Rs 1,097.21 crore.

Software major TCS rose 2.85% to Rs 1,183.30. TCS signed a 7-year deal worth $65 million for reorganising Somerfield's IT services. Somerfield is a leading UK-based, small-format food retailer.

Oil & refinery stocks slipped after the government announced a cut in retail prices of diesel and petrol by Re 1 and Rs 2, respectively, on Wednesday. Also crude oil prices moved near $62 per barrel, leading to a further fall in these stocks. Indian Oil Corporation (down 11.10% to Rs 445.50), Hindustan Petroleum Corporation (down 7.30% to Rs 289.75) and Bharat Petroleum Corporation (down 9.15% to Rs 342) declined.

Punj Lloyd jumped 15.46% to Rs 1,112. Punj Lloyd Group, a global infrastructure services provider, has bagged the order through Simon Carves, UK, a group company. The order is from PTT Polyethylene Company (PTT PE), a wholly-owned subsidiary of PTT Chemical Company, jointly with its partner Toyo Thai Corporation.

Ranbaxy Laboratories rose 0.10% to Rs 385.60. The company on Friday announced the acquisition of Be-Tabs Pharmaceuticals, the fifth largest generics company in South Africa, for $70 million.

Car major Maruti Udyog added 4.45% to Rs 952.60. In early-trade on Friday, the car major reported selling 55,033 vehicles in November, a 16.1% rise from a year earlier. The company said domestic sales rose an annual 20.7%, to 52,574, but exports fell 35.7% to 2,459 units.

Godfrey Phillips surged 42.49% to Rs 1,449.05, even as company denied rumours of a bonus issue and stock-split.

On 28 November 2006, Torrent Power (TPL), the umbrella company of the newly amalgamated generation, transmission and distribution businesses of the Torrent Group, settled at Rs 70.70 on BSE after listing at Rs 60 on BSE. Three companies, Torrent Power AEC (TPAL), Torrent Power SEC (TPSL) and Torrent Power Generation (TPGL), were merged into TPL giving shape to a scheme of arrangement.

GE Shipping re-listed on 27 November at Rs 264.65, and settled at Rs 222.70 that day, compared to the last trading price of Rs 336.70 of 7 November 2006. The scrip was relisted after giving effect to a restructuring scheme, whereby its offshore services division has been demerged into a separate company, and will be listed separately at a later date.

On 27 November, Lanco Infratech closed at Rs 241.40 on BSE, a marginal premium compared to the IPO price of Rs 240. Its public issue was oversubscribed nearly 12 times.

On 30 November, Parsvnath Developers settled at Rs 526.30, compared to the IPO price of Rs 300 per share. The company's paid-up equity capital is Rs 181.60 crore.

Mutual funds were net sellers for the first four days of the week, to Rs 262.48 crore, while FIIs purchased shares worth Rs 265.40 crore during the same period.

The domestic economy grew by 9.2% in the July-September quarter from a year earlier, higher than market expectations of 8.90%, data released earlier today showed. The annual growth rate in the second quarter of the 2006/07 financial year was higher than the April-June rate of 8.9%.

India's wholesale price index rose 5.45% in the 12 months to 18 November, higher than the previous week's annual rise of 5.29% due to a rise in mineral and manufactured product prices, data showed on Friday.

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Movers & Shakers

• Maruti rallied sharply on reports of a 36% jump in the November sales numbers of its Omni and Versa models.
• Ranbaxy flared up on acquiring Be-Tabs Pharmaceuticals, the fifth largest generics company in South Africa, for $70 million.
• Punj Lloyd zoomed up on bagging a large contract for the construction of a LDPE plant in Thailand.
• Heritage Foods notched up significant gains on commissioning its first pilot retail store at Secunderabad.
• Banswara Syntex gained on bagging an export order worth Rs15 crore from Carreman Michel Thierry of France.
• Steel Strips Wheels shot up after showing a growth of 49% in its production and a growth of 35% in its sales in the month of November 2006.

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Weekly Close: Party continues.. !

Huge activity were seen during F&O expiry weak...Mid caps were also active.

Its clearly a party on the markets and there was activity in the mid caps as well. There was huge activity given that it was the FNO expiry. Markets were volatile after falling a big way on Tuesday on Global cues. But it was global cues which helped really. Japan had a booming economy against expectations that it was slipping. US economic data was mixed but the earlier GDP growth data was revised upwards and that had the US stocks rallying. The US housing prices and demand seems to be slipping. The worry also was the US Dollar which hit a 14 year low against the pound and was again created records in terms of weakness against the yen.

Leading the charge this week for the Sensex which closed up 1.12% was State bank. The Banking regulation act is to be presented and that had the interest flowing in. There was news of the petrol and Diesel price cut which fueled the Cement stocks and ACC and Ambuja were the Sensex gainers really. Maharashtra had more benefits with Sales tax being cut on diesel and also the surcharge being removed. We believe that reduction in taxes is positive but this cut in fuel prices is only robbing Peter to pay Pan with no real benefits. The Auto stocks fired up at the end of the week helped by strong sales numbers for November which were announced. Metal stocks were typically weak and also weak were the refinery stocks who will be really hit badly because of this fuel price cut. The software stocks were strong this week though they recovered from the initial lows not to end up gaining much. The dollar is weak and rupee was strong at Rs 44.5 against the dollar. However these software companies are resorting to innovative ways of increasing productivity. HCL T has increased the working hours. TCS has cut the number of holidays. Thats some way of beating the need for higher manpower in a crunch environment.

The leaders in the Nifty this week were, State Bank + 10%, ABB + 4%. ACC + 5%. Bajaj Auto + 4%. Gujarat Ambuja + 4%, Hero Honda + 7%, ITC +5%, Maruti + 4%, Rel com + 5%. Sun Pharma + 6%, Tata Power + 4%,

The losers this week were Bharat Petroleum -9%, HPCL -8%., Cipla -4%, Hindalco - 7%, Jet -4%. Sail -4%, Tisco -3%

India GDP galloping with agriculture a lagard; Honda Siel, Tyres, RSystems were some action stocks this week.!

The Indian economy grew by 9.2% in the July-September quarter (Q2) and 9.1% for the first half of the current fiscal. This is the highest such growth rate registered by the economy since the CSO started compiling quarterly GDP data 1996-97 onwards. The share of agriculture, forestry and fishing in the economy has come down to 17.2% in the first half, less than half the share of the primary sector in 1990-91, agriculture has grown by only a meagre 1.7%. Manufacturing registered a growth of 11.9% in the second quarter as against 8.1% in the corresponding period last year. The sector contributes to 16% of the GDP. The services sector, which now accounts for aboutt 66% of India's GDP, saw growth of 10.9% from a year earlier, accelerating from annual growth of 10.6% in the previous period. Within services, Trade, hotels and transport services expanded 13.9 percent, while financial services business grew 9.5 percent. Construction at 9.8% and financing, and real estate at 9.2 % and 9.5% were the drivers.

RBI statistics released upto 10th November indicate that credit growth is placed at 28.4% YoY. There has been a slowdown in % YoY terms largely on the back of a high base effect. Total deposit growth uptill the same period has increased to 20.7% YoY from 19.8% YoY on 27th Oct, 06. We seem to be headed towards a crunch period.

Mr Chidambaram said inflation was the only worrying factor in the overall macro-economic story and that we agree with. We believe that India's central bank will hike interest rates by at least 25 basis points in December or January. To add to the above.. Lower agriculture growth is a negative sign for the FMCG companies dependent on higher rural offtake.

We had a wow call on Honda Siel and that delivered wonders. The company is into engines gensets and pumpsets. The stock delivered a fantastic 15% gains and more expected in due course. The company has introduced LPG run products in the 1.5 KVA segment and that is a big positive. Going ahead they are trying to get the 5 KVA genset and that really will be the killer. We have a research note here do read

We had a Quickies call on R Systems which delivered a super 15% returns in a matter of days. The company is into offshore product development. It had fallen out of interest and with interest in offshore product development expected to increase the stock delivered. The stock remains inexpensive at around 14 times FY 08 even at current levels.

We had a research note on Apollo Tyres but the stocks we had calls on were Ceat and Premier Tyres. Both were fantastic super gains in a matter of days. Tyres benefit because of lower rubber prices and also because of lower costs of crude related raw materials. This sector has not performed and we caught it bang on. Do read the research note on Apollo tyres.


Mid caps have started performing and party may go on.. but be careful as always: Performance unbelievable this week too !

The mid caps have started joining the party and more is possible next week. However the worry is from the global markets where the US cues are not too encouraging. A weak dollar is certainly bad for the US markets we believe. However the US GDP growth has been the saviour and hopefully these negatives should pass. However, as investors its best to play safe. Get some cash off the table. Put stoplosses and all fresh entries should be with stoplosses.

FII: FII's net buyers of ..

FII Gross purchases Rs 4073 Cr Gross Sellers Rs 3815 Cr Net Buyers Rs 258 Cr

MF Gross Purchases Rs 589 Cr Gross Sellers Rs 677 Cr Net Sellers Rs 88 Cr

This buying by FIIs is certainly a positive. Flows are back.. However better to ignore this data which is for the last day of the expiry. This in conjunction with FII FNO data would be more useful.

Riding the retail wave

With India's burgeoning middle-class, and a relatively young population - about 500 million Indians are below the age of 24 - there is growing hunger for credit cards, auto and consumer loans, and a host of other products.

And banks, especially the new crop of private sector institutions, have been feeding this monstrous demand for credit with a slew of innovative products. India's retail banking industry grew by a whopping 120 per cent in 2005, and total asset size has topped US$ 65 billion.

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Sensex gains 148 points

Driven by the sharp gains in heavyweight, auto, capital goods, FMCG and banking stocks the market ended on a buoyant note for the third consecutive session. After registering gains of 80 points yesterday, the Sensex resumed with a positive gap of 34 points at 13730. Maintaining its upward bias, extensive buying in several sectoral stocks saw the index edge past the 13850 mark and touch an all-time high of 13858, up 162 points for the day. The Sensex closed the session with gains of 148 points at 13845. The Nifty touched an all-time high of 4001 and closed the session at 3998, up 43 points.

The breadth of the market was positive. Of the 2,650 stocks traded on the BSE, 1,516 stocks advanced, 1,063 stocks declined and 71 stocks ended unchanged. Among the sectoral indices, the BSE Auto index gained 2.84%. The BSE CG index added 1.84%, the BSE FMCG index advanced 1.61% and the BSE Bankex was up 1.53%. The remaining indices were up around 1% each.

Among the Sensex stocks Tata Motors vaulted 4.14% at Rs843, Bajaj Auto soared 3.91% at Rs2,748, Hero Honda surged 3.91% at Rs772, SBI advanced 3.52% at Rs1,360, Reliance Communication gained 3.03% at Rs442, Ranbaxy spurted 2.94% at Rs383, Dr Reddy's soared 2.62% at Rs770 and Reliance Energy was up 2.33% at Rs540.

Among the auto and auto ancillary stocks Balkrishna Industries surged 4.74% at Rs581, Punjab Tractors soared 4.58% at Rs250, Escorts advanced 3.62% at Rs122 and Amtek Auto added 3.58% at Rs367. Maruti Udyog, Cummins India and Mahindra & Mahindra gained above 2% each. However, Apollo Tyres, Asahi India and Exide Industries closed in negative territory.

BPL at Rs71.45, Godfrey at Rs1,449.05, Lakshmi Machine Works at Rs34,051.65, Thomas Cook at Rs546 and Flex Industries at Rs82.65 hit the upper circuit breaker. On the other hand Torrent Gujarat Biotech at Rs10.12 and Tips Industries at Rs27.80 hit the lower circuit on the BSE.

Over 41.96 lakh Parsvnath Developers shares were traded on the BSE followed by Dena Bank (25.75 lakh shares), Reliance Communication (16.99 lakh shares), Lanco Infratech (15.99 lakh shares) and Alstom Project (15.33 lakh shares).

Sensex about 150 points short of 14,000

The market’s gravity defying rally continues. The Sensex today struck an all-time high, and made a move closer to 14,000. A smooth rollover from November contracts on Thursday to December series coupled with robust GDP growth data released during trading hours on Thursday, lifted the Sensex by almost 150 points today. Auto scrips, PSU banks and index heavyweight Reliance Industries were at the forefront of today’s rally.

The Sensex jumped 148.47 points (1%), to settle at 13,844.78, a record closing. It is now just about 150 points away from the psychologically important 14,000 milestone.

S&P CNX Nifty advanced 43.10 points (1%), to settle at 3,997.60, a record closing. It also hit 4,001.30, a life high for the index.

The BSE clocked a turnover of Rs 4,451 crore, compared to Thursday’s Rs 4,854 crore.

The market-breadth was strong. For 1,484 shares that rose on BSE, 1,080 declined. As many as 72 stocks were unchanged.

The salient feature of the recent rally has been a surge in small-cap and mid-cap shares. Even as the Sensex kept striking a string of record highs over the past few days, small-cap and mid-cap stocks had lacked momentum.

From 6,531.39 on 28 November, the BSE Small Cap Index has risen 187.35 points (2.8%) in the past three trading sessions to current 6,718.74. From 5,651.21 on 28 November, the BSE Mid Cap Index has gained 124.21 points (2.1%) in three days, to current 5,775.42. The Sensex added 242.83 points (1.7%) in this three-day period, from 13,601.95 on 28 November 2006.

The market sentiment remains bullish due to strong FII-inflows and an upward revision in earnings growth by brokerages, on the back of strong Q2 results. Widespread optimism that FIIs may step up buying this month, as allocations are made for calendar 2007. FII inflow in 2006 has reached $8.7 billion, compared to a record inflow of $10.7 billion in 2005.

The BSE Sensex is up 47.3% in calendar 2006 so far. From 4,644 on 23 June 2004, it has galloped 198% in less than two-and-a-half years. A section of the market attributes the solid surge on the Indian bourses, to increasing recognition of India’s long-term growth prospects. India’s growth drivers are a favourable demography (large share of young population), robust domestic consumption and acceleration in infrastructure creation.

In today’s trade, Ranbaxy Laboratories surged nearly 4% to Rs 385.60, with the stock rallying in late-trading after the company announced the acquisition of Be-Tabs Pharmaceuticals, the fifth largest generic drugs company in South Africa, for $70 million.

Auto shares dominated the proceedings on decent-to-strong sales numbers for November. Bajaj Auto rose 4% to Rs 2,751, after its total sales rose 33% in November 2006, to 2,43,713 units from a year ago. Bike sales rose 36% to 2,14,321 units and sales of three-wheelers were up 71% at 29,384 units. Exports rose 56% to 36,086.

Hero Honda rose nearly 2% to Rs 757.35. Hero Honda today launched two variants of its CD series motorcycles, CD Deluxe and CD Dawn, in the 100-cc, entry-level segment.

Tata Motors surged 4% to Rs 844.25, on expectations of strong sales for November 2006. Tata Motors is likely to disclose its monthly sales figures today.

Car major Maruti Udyog added nearly 3% to Rs 952.60. In early-trade today, the car major reported selling 55,033 vehicles in November, a 16.1% rise from a year earlier. The company said domestic sales rose an annual 20.7%, to 52,574, but exports fell 35.7% to 2,459 units.

PSU banks were in demand after the latest data showed lower-than- expected rise in inflation. SBI jumped 4% to Rs 1,369.90. The stock hit Rs 1,370, a life high for the scrip.

Cellular services provider Reliance Communications rose 3.7% to Rs 445.25. The scrip struck Rs 446.90, an all-time high. A staggering 16.8 lakh shares changed hands in the counter on BSE.

Reliance Energy gained 2.2% to Rs 540.05. As per reports, Maharashtra Electricity Regulation Commission has directed the company to discontinue levy of load management charges.

Reliance Industries gained 1.3% to Rs 1,262.25. A strong 7.4 lakh shares changed hands in the counter.

A host of power equipment makers/solutions provider to the power sector surged. Alstom Projects jumped 9.7% to Rs 468.90, Bharat Bijlee gained 7.9% to Rs 1,205, ABB surged 7% to Rs 3,747, Voltamp Transformers gained 5.8% to Rs 631.80, Areva T&D rose 5% to Rs 972.10, Siemens advanced 4.7% to Rs 1,182, and KEC International gained 3% to Rs 390.

Construction firm Punj Lloyd jumped 7.6% to Rs 1,112, after the firm said it had an order worth Rs 1,000 crore to construct an LDPE manufacturing plant in Thailand.

Gas cylinder maker Everest Kanto Cylinder jumped 10% to Rs 606.50, on expectation that the firm will announce a large order in the next few days.

Thomas Cook India jumped 10% to Rs 564.05, ahead of the company's board meeting to consider merger and acquisition proposals.

Sponge iron and steelmaker Raipur Alloys and Steel jumped 14% to Rs 140 after the company informed Friday that Reliance Long Term Equity scheme of Reliance mutual fund purchased 9.62% in it. The fund acquired about 1.26 million shares on 29 Nov, the company said.

Essar Shipping jumped 17.8% to Rs 27.80. The company today said it had received a letter from promoters, Essar Shipping & Logistics, to delist the company's shares from BSE. The company has called a board meeting on Saturday, to consider delisting.

McLeod Russel India rose 2.6% to Rs 109.95 on reports that the company had acquired 72 % stake in Moran Tea Co for Rs 41.50 crore. The acquisition of Moran Tea will add Rs 32 - Rs 33 core to McLeod's annual revenue, Managing Director Aditya Khaitan said.

Paramount Communications jumped 8.5% to Rs 255. The scrip rose on heavy volume of 37.1 lakh shares on BSE. A block deal of 2,67,268 shares was executed in the stock on BSE, at Rs 247.

Global Vectra Helicorp jumped 20% to Rs 192, on reports that the government is planning to raise FDI limit to 74% in helicopter services, non-scheduled airline operations and regional airlines using small aircraft. The current ceiling for airline services is 49%.

Shoppers’ Stop rose 3% to Rs 702.25, after the company formed a 50:50 joint venture with Swiss firm Nuance Group, a global market leader in the airport retail space, to operate duty free shops at international airports in India.

Ispat Industries was flat at Rs 11.09. The company has reduced prices of hot-rolled coils by Rs 400 - Rs 600 per tonne, with immediate effect.

Tamil Nadu Newsprint & Papers gained 1.5% to Rs 94. The company said on Friday that Reliance Growth Fund and Reliance Portfolio Management Services, have picked up an additional 0.32% stake in the company. This takes their collective stake to 5.08%

Nandan Exim dropped 5% to Rs 10.55 in volatile trade. Initially, the scrip had surged 5% to Rs 11.65 after a block deal of 5 lakh shares was executed in the scrip on BSE, at Rs 11.45.

Steel Strips Wheels rose 3% to Rs 155.90, after the company said on Friday its November sales of wheel rims rose to 4,10,086 units, up 35% from a year ago. It produced 4,00,824 wheel rims in November compared to 2,68,555 rims same month a year ago.

Flex Industries (up 20% to Rs 82.65) surged for the second day in a row after the company said on Thursday that the merger of two other group companies, had been cleared by the Delhi High Court. Group companies, Flex Engineering and FCL Technologies, will be merged with Flex Industries, enabling accumulation of resources under a single entity that will provide end-to-end packaging solutions.

Financial Technologies shed 1.8% to Rs 2,062. The company on Thursday said it had in principle approval from the Financial Services Commission, Mauritius, for setting up an international multi-commodity exchange styled Global Board of Trade.

TRF lost 0.8% to Rs 425. ACC has cut its stake in the company by 2%, bringing it down to 4.54%, informed TRF.

HCL Infosystems rose 0.3% to Rs 165. The personal computers market recorded 24% growth in the third quarter ended 30 September 2006. HCL Infosystems has retailed its number two slot with a market share of 12%.

Graphite India rose 1.4% to Rs 303, after the company fixed 18 December 2006 as a record date for 5-for-1 stock-split.