NEW DELHI:
Foreign institutional investors (FIIs) have raised their exposure to 29
Sensex companies, with purchase of shares worth an estimated amount of $ 5 billion, in the quarter ended December 31, 2012.
The
FII holding declined in only one blue-chip company
Hero MotoCorpBSE -1.96 % during the October-December 2012 quarter, showing the shareholding pattern of 30 Sensex companies.
Most of the foreign entities trade in Indian stocks through FII route
and market analysts said the overseas investors appear to have been
enthused by the stability in the equity market and reform initiatives
taken by the government during the quarter.
As per the current
market value of the Sensex companies, FIIs are estimated to have
purchased shares worth about Rs 26,335 crore ($ 5 billion) in 29 Sensex
companies during the last quarter.
At the same time, the FIIs
are estimated to have sold shares worth about Rs 129 crore ($ 24
million) in one Sensex company - resulting in a net investment of over
Rs 26,207 crore ($ 4.89 billion) in all the Sensex firms together.
FIIs infused a net amount of more than Rs 46,000 crore in the entire
Indian stock market in October-December quarter on the back of a slew of
reforms initiated by the government, pushing the broader market Sensex
to surge 664 points, or 3.5 per cent, during the period.
Among the Sensex firms, FIIs raised their stake in HDFC,
HDFC BankBSE 1.24 %, Reliance Industries, Infosys,
WiproBSE 1.57 %, ICICI Bank, Larsen & Toubro,
SBIBSE -1.75 %, Cipla, GAIL,
BHELBSE 1.21 % and Mahindra & Mahindra during three months ended December 31, 2012.
Besides, they also increased their holdings in Sun Pharma, ITC, HUL,
Hindalco, Jindal Steel & Power Ltd, Maruti, Bajaj Auto,
ONGCBSE -2.02 %, GAIL,
Tata Group firms -- Tata Power,
Tata MotorsBSE -1.09 %, Tata Steel and TCS --
Bharti AirtelBSE 0.42 %, Dr
Reddy's LaboratoriesBSE -1.99 %,
NTPCBSE -0.10 % and Coal India in the quarter under review.
Interestingly, shareholding of overseas institutional investors in HDFC
has risen to 73.17 per cent--the highest level in nearly seven years-
up from 68.72 per cent at the end of previous quarter. Incidentally,
largest rise in FII ownership was also recorded by HDFC.
After HDFC, largest rise in FII ownership was recorded by auto maker Mahindra & Mahindra followed by Maruti.
In Mahindra & Mahindra overseas investors hiked their stake by 2.86
per centage points to 32.86 per cent at the end of December quarter,
wherein their holding rose by 2.68 per centage points to 23.13 per cent
in Maruti. a FII raised their holding in Bajaj Auto from 15.11 per cent
to 17.04 per cent in the October-December quarter.
In contrast,
FII reduced their stake marginally in Hero MotoCorp from 32.34 per cent
during July-September quarter from 31.99 per cent in October-December
quarter.
--
CA. Rajesh Desai