S&P 500 2,441.20 17.28
Gold$1,224.80 $5.30
Nasdaq 6,253.81 61.92
Crude Oil $60,490.00      $-1570.00
Market Update

Sun Completes Ranbaxy Merger, Tata Motors in $1.2 billion Issue


Author: Mukesh Buch
ticker.com
Last Update: 9:22 AM ET March 25 2015

6:00 PM Mumbai – Stocks in Mumbai declined for the sixth day in a row. NTPC won the latest coal mining awards as the central government speeds up allocation. Tata Motors announced a rights plan to raise $1.2 billion. Sun Pharma completed the purchase of the troubled Ranbaxy Laboratories.

Stocks on Dalal Street declined for the sixth day in a row after public sector companies led the decliners.

Sun Pharmaceuticals finalized its purchase of smaller rival Ranbaxy Laboratories and the founder and Managing Director Dilip Shanghavi said that the company still has appetite to make large acquisition.

For every Ranbaxy share held, 0.8 share of Sun Pharmaceuticals share was exchanged.

Shanghavi told reporters in Mumbai that the merged companies’ primary focus will be to win the confidence of regulatory agencies in India and in the U.S.A. and he is planning to expand research capabilities and not eliminate jobs.

Shaghavi added that the recent $290 million investment in Suzlon to acquire 23% stake in the wind turbine maker is only for financial purpose and he has no interest in operating the company.

Rupee weakened 7 paisa 62.32 against one dollar.

The Sensex Index fell 49.89 to close at 28,111.83. The CNX Nifty slid 12.15 to 8,530.80.

Gainers & Losers

Deccan Gold Mines Limited surged 19.9% to ₹33.65 after The Reserve Bank allowed foreign investors to invest up to 24% in the company.

GMR Infrastructure, Ltd slid 0.3% to ₹15.30 after the infrastructure services provider plans to increased stake to 64% from 54% in Delhi International Airport Pvt Ltd.

Godrej Properties Limited dropped 2.2% to ₹245.40 and the real estate developer plans to develop new residential communities in Kolkatta & Pune.

Hindustan Construction Company Limited advanced 2% to ₹30.35 after the infrastructure developer secured arbitration order worth ₹217.18 crore for Lucknow-Muzaffarpur National Highway Project- Package IV.

NTPC declined 3% to ₹147.25 and the company won coal mining rights at five mines; two locations at Chhatti Bariatu, Talaipalli, Dulanga and Kerandari.

Om Metals Infraprojects Limited soared 9.8% to ₹38 after the real estate developer was awarded an order worth ₹193.76 crore from the irrigation department of Uttar Pradesh State.

Punjab National Bank declined 3.8% to ₹155.50 and the financial services provider plans to raise ₹1,800 crore through long-term bonds to finance infrastructure projects.

Tata Motors Limited advanced 1.6% to ₹541.20 after the largest automaker plans to raise ₹7,500 crore or $1.2 billion in rights issue.

The company announced the plan to issue 6 shares for every 109 shares held at a price of ₹271 a share.

  1
Sources: Data collected by 123jump.com and Ticker.com from company press releases, filings and corporate websites. Market data: BATS Exchange. Inc