NEWS ANALYSIS (14/03/2013)
Rajesh Desai
METALS & MINING
Nalco stake sale on Friday; Govt to raise around Rs 1,400 cr
· The Finance Ministry said that the government’s 12.5 per cent stake sale offer in Nalco will hit the markets on March 15, which could mop up around Rs 1,400 crore to the exchequer. The Empowered Group of Ministers (EGoM) on disinvestment, headed by Finance Minister P Chidambaram met today and decided on the base price for the share sale.
· The Department of Disinvestment (DoD) has held road-shows in Singapore, Hong Kong, Japan, the US and the UK on February 19 for disinvestment of the state-run aluminium company. The government currently holds 87.15 per cent stake in Nalco and post disinvestment, it will come down to 75 per cent.
· The government had in November last year deferred disinvestment of Nalco citing poor second-quarter performance which raised valuation concerns and said the stake sale would happen only after the third quarter results.
Nalco share auction may be scaled back’ |
· The government is likely to scale back the size of the its planned auction of shares in National Aluminium Co Ltd ( Nalco), two sources with direct knowledge of the matter said. The government could also offer a hefty discount to the company’s market price, because of the limited current float in the stock and the sluggish demand outlook for the metal, the sources said. · The shares are likely to be auctioned at a base price of INR40 each, a discount of about 13 per cent to today’s closing price of INR46.10, they said. At that price, a 10 per cent stake would be worth about $ 185 million. |
AUTOMOBILES
Tata Motors February global sales fall 22.37%, JLR sales up 10%
Tata Motors Ltd global sales in February fell 22.37 % to 98,837 vehicles from 127,318, the fourth consecutive monthly fall, as a 10 % rise in sales at its key Jaguar Land Rover unit was undermined by a slump in its Tata-branded vehicles.
Jaguar Land Rover sales stood at 35,485 vehicles from 32,257 in the same month last year.
|
Feb-13 |
Feb-12 |
Jan-13 |
YOY change(%) |
MOM change(%) |
|
35,485 |
32,257 |
38,173 |
10.01 |
-7.04 |
Regards,
Team Microsec Research
Microsec Capital Limited
Tel: 91 33 30512100
Fax: 91 33 30512020
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CA. Rajesh Desai