|
Summary
of Contents
STOCK UPDATE
ORG Informatics
Cluster: Emerging
Star
Recommendation: Buy
Price target: Rs190
Current market
price: Rs174
Acquisition of
DGIT Solutions
ORG
Informatics (ORG) has acquired 100% stake in Singapore-based DGIT
Solutions Pte Ltd. Earlier, ORG had successfully raised $10 million
through a global depository receipt (GDR) issue in the overseas
markets. The issue had been priced at around Rs155 per share and
resulted in a dilution of the equity base by 28.6 lakh shares. The
company had also considered a preferential issue of 6 lakh warrants
to its investors; the same has now been put on the backburner.
Instead the company is considering dilution of equity through a
fresh issue of shares for its future acquisitions. The additional
dilution will be in line with the preferential issue of warrants
considered earlier.
SECTOR UPDATE
Cement
Higher base
effect subdues dispatch growth
Cumulatively the cement majors have reported a negative
growth of 1% year on year (yoy) in the cement dispatches during
December to 55.3 lakh tonne. We believe this negative growth can be
attributed to the higher base effect as well as the operations of
the companies at near capacity levels.
| 
