Ambuja Cement Acquires 46.8% Stake for Rs 8,100 Cr

• On Tuesday, a strong selloff hit the Indian stock market, causing the Sensex and Nifty 50 to fall by over 1% each. Among sectoral indices, Nifty PSU Bank dropped 4.18%, Realty fell 3.38%, and Metal slid 3%.

• Nifty Auto, Media, Consumer Durables, and Oil and Gas sectors also declined by more than 2% each.

• Experts attribute the market downturn to heightened geopolitical tensions, uncertainty surrounding the 2024 US elections, and continued selling by foreign portfolio investors (FPIs).

• Additionally, lacklustre September quarter earnings and the Indian market's stretched valuations are contributing factors to the decline.

City Union Bank +11.88%

• Shares jumped 12% on October 22 after the private sector lender posted quarterly earnings that exceeded expectations.

• International brokerage Investec maintained its buy rating with a price target of Rs 200 per share, signalling a 33% potential upside. The Q2 results showed improvements across all key areas: growth, profitability, and asset quality.

Garden Reach Shipbuilders & Engineers (11.75%)

• Shares dropped by 12% as worries over high valuations intensified.

• Rising uncertainties in defence stocks and the broader market led to a wave of profit booking, triggering a sharp pullback, with many defence stocks falling significantly from their record highs.

• Longer payment schedules are exacerbating liquidity issues for exporters. (FE)

• Paytm has received approval from the payments authority to onboard new UPI users. (Mint)

• Sebi has issued a notice to Adani Energy for the alleged misclassification of shareholding. (BS)

• India's central bank deputy said boosting macro fundamentals is the best defence against global risks. (RT)

• Zomato's board approved raising Rs 8,500 crore ($1.01Bn) via QIP. (ET)

• Danish Power's Rs 198 crore ($23.5Mn) SME IPO opened for public subscription. (MC)

• Godavari Biorefineries raised over Rs 166 crore ($19.7Mn) through its anchor book. (MC)

• Waaree Energies' IPO was subscribed 8.8 times on Day 2, led by NIIs. (MC)

• Deepak Builders & Engineers' IPO saw 12x overall subscription on day two, with the retail portion at 16x. (MC)

• Hyundai Motor India shares fell 7% on debut following the country’s largest IPO. (RT)

This week’s mainboard IPO schedule

• Waaree Energies

  • Offering Period: 21 October - 23 October, 2024

  • Listing Date: 28 October, 2024

  • Issue Price: 1427-1503

  • Lot Size: 9

• Deepak Builders & Engineers India

  • Offering Period: 21 October - 23 October, 2024

  • Listing Date: 28 October, 2024

  • Issue Price: 192-203

  • Lot Size: 73

• Godavari Biorefineries

  • Offering Period: 23 October - 25 October, 2024

  • Listing Date: 30 October, 2024

  • Issue Price: 334-352

  • Lot Size: 42

• Afcons Infrastructure

  • Offering Period: 25 October - 29 October, 2024

  • Listing Date: 01 November, 2024

  • Issue Price: 440-463

  • Lot Size: 32

M&A / Investments

• Ambuja Cement is set to acquire a 46.8% stake in Orient Cement for Rs 8,100 crore ($963Mn). (BS)

• Info Edge has received approval to invest Rs 30 crore ($3.6Mn) in its subsidiary, Redstart Labs. (BS)

• GlobalBees, a subsidiary of FirstCry, has invested Rs 4.5 crore ($535k) in Dynamic IT Solution. (YS)

• Zomato is set to acquire an 8% stake in kitchen appliance maker Byondnxt. (Inc42)

• Ranjan Pai and the Cipla family are vying for a stake in Zepto. (ET)

• Bharti Airtel has received CCI approval to increase its stake in Indus Tower to over 50%. (BS)

• Manipal HealthMap has acquired iGenetic Diagnostics. (ET)

Debt

• The ADB has committed a Rs 2,026 crore ($241Mn) loan to enhance power distribution in West Bengal. (ET)

VC