Kingfisher buying SpiceJet?
Mumbai: Vijay Mallya's Kingfisher Airlines is close to acquiring a controlling stake in another low-cost carrier SpiceJet.The deal will value SpiceJet around $300 million dollars. It is likely to be a cash-and- share swap deal.
Mallya is likely to acquire 26% stake in SpiceJet, and make an open offer for an additional 20% stake. He is also likely to retain Spice as the low-cost carrier of Kingfisher Airlines.If the deal goes through, Mallya, through Kingfisher Airlines, Deccan and Spice, will control 40% marketshare beating Jet (along with Sahara), which has a marketshare of 33%.
It will also give Mallya the position to dominate fares in the marketplace. Currently, because of the low cost airline fares, Kingfisher and Jet are forced to sell tickets below cost.SpiceJet is a fairly well run, lean operation with the smallest loss in the industry.
Experts say it will give Kingfisher the right product in the low cost space. And, of course, access to trained manpower.What may not work too well for the two airlines is the fact that they operate different fleets. Spice flies Boeing while Kingfisher is an Airbus customer. So, there are no clear synergies in operations. Analysts say if the two airlines continue to function separately, it will not pose a big challenge for Mallya.
If the deal does fructify, it could change the aviation landscape in the country and make the airline industry more viable
Source: www. UTVi.com . We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information .
This blog is for providing daily news of Corporate Indian Stories, Corporate Results, Equities, MFs, Banking,Insurance, Brokerages Informations, World Business, Venture Capital, Angel Investors, BSchools, MBAs,Jobs, Politics & something Interesting.Our team will be grateful to the owners of various Indian/world/govt sites to refer their sites to get INFORMATION without objection.Request viewers to make verification about the information. Blog is not responsible for any faulty information.
05 July 2008
Sensex ends 360 pts up as bulls return to the ring: Sify
Sensex ends 360 pts up as bulls return to the ring
Save for a brief while this morning and for a few minutes before noon, the market remained in the positive territory today thanks to some strong buying in blue chip stocks.
Despite high oil prices and hardening interest rates, the market opened on a positive note today. Capital goods, realty and power stocks surged higher on strong buying support. Stocks from other sectors too joined the rally. However, ahead of release of inflation data, the market turned a bit shaky and gave up almost all its gains in late morning trade.
The crucial meeting of the Left parties that had the withdrawal of support to the ruling coalition as a main agenda had a role to play in forcing the investors on to a defensive mood around noon.
However, neither the Left meet nor the surge in inflation (inflation rate rose to 11.63% in the 12 months to June 21, 2008, above the previous week's annual rise of 11.42%) could halt the market which started gaining ground in the positive territory this afternoon. Even as the Left meeting was on, leaders from the Samajwadi Party met the Prime Minister and expressed their support for the Indo-US civilian nuclear deal.
So strong and sustained were the buying enquiries at the blue chip counters that the benchmark BSE index Sensex gained in strength and vaulted to a high of 13,509.74 today.
The BSE barometer, which had tumbled to a low of 13,027.79 in morning trde, ended the day at 13,454 with a thumping gain of 359.89 points or 2.75%. The Nifty, which swung in a range of around 137 points - it hit a low of 3896.40 and a high of 4033.50 today - closed with a gain of 90.25 points or 2.3% at 4016.
Realty stock DLF, which had tumbled sharply yesterday after a heady rise in the previous session, bounced back into the reckoning once again. With a host of other realty stocks too surging higher on sustained buying support, the Realty barometer shot up by 7.8% today.
Capital goods, power, bank and oil stocks also finished on a positive note. While the Capital Goods index ended stronger by 6.79%, the Power and Bankex ended up by 6.1% and 3.08% respectively. The consumer durables barometer, BSE CD, moved up by 3.15%.
Select PSU, auto and IT stocks posted impressive gains. Pharma and metal stocks ended on a subdued note. Thanks to frenzied buying, several stocks from midcap and smallcap segments too advanced to higher levels and signed off on a high note.
Reliance Communications flared up by 12.5% and ended as the top gainer in the Sensex. Jaiprakash Associates closed with a big gain of 10.65%. DLF ended 8.6% up at Rs 414.65.
BHEL notched up a gain of 7.45%. Reliance Infrastructure climbed up 7.25%. Larsen & Toubro jumped 6.55% to Rs 2379.85. HDFC posted a gain of 6.2%. Ranbaxy Laboratories and ICICI Bank moved up by 4.75% and 4.7% respectively.
More @ Sensex ends 360 pts up as bulls return to the ring
Coke to invest $250 m more in India
Mozilla Firefox 3 sets world record
Customs seizes 2 aircraft belonging to RIL
Inflation rate gallops to 11.63 per cent
Direct tax receipts up 39% y/y in June quarter
Punj Lloyd bags GVK Power order
Prakash Industries inks Rs 485-cr deal
Two-thirds of IPO stocks battered
Suzlon to invest Rs 4,000 cr in TN
Greenply to invest Rs 370 cr
Source: http://sify.com/finance. We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information
Save for a brief while this morning and for a few minutes before noon, the market remained in the positive territory today thanks to some strong buying in blue chip stocks.
Despite high oil prices and hardening interest rates, the market opened on a positive note today. Capital goods, realty and power stocks surged higher on strong buying support. Stocks from other sectors too joined the rally. However, ahead of release of inflation data, the market turned a bit shaky and gave up almost all its gains in late morning trade.
The crucial meeting of the Left parties that had the withdrawal of support to the ruling coalition as a main agenda had a role to play in forcing the investors on to a defensive mood around noon.
However, neither the Left meet nor the surge in inflation (inflation rate rose to 11.63% in the 12 months to June 21, 2008, above the previous week's annual rise of 11.42%) could halt the market which started gaining ground in the positive territory this afternoon. Even as the Left meeting was on, leaders from the Samajwadi Party met the Prime Minister and expressed their support for the Indo-US civilian nuclear deal.
So strong and sustained were the buying enquiries at the blue chip counters that the benchmark BSE index Sensex gained in strength and vaulted to a high of 13,509.74 today.
The BSE barometer, which had tumbled to a low of 13,027.79 in morning trde, ended the day at 13,454 with a thumping gain of 359.89 points or 2.75%. The Nifty, which swung in a range of around 137 points - it hit a low of 3896.40 and a high of 4033.50 today - closed with a gain of 90.25 points or 2.3% at 4016.
Realty stock DLF, which had tumbled sharply yesterday after a heady rise in the previous session, bounced back into the reckoning once again. With a host of other realty stocks too surging higher on sustained buying support, the Realty barometer shot up by 7.8% today.
Capital goods, power, bank and oil stocks also finished on a positive note. While the Capital Goods index ended stronger by 6.79%, the Power and Bankex ended up by 6.1% and 3.08% respectively. The consumer durables barometer, BSE CD, moved up by 3.15%.
Select PSU, auto and IT stocks posted impressive gains. Pharma and metal stocks ended on a subdued note. Thanks to frenzied buying, several stocks from midcap and smallcap segments too advanced to higher levels and signed off on a high note.
Reliance Communications flared up by 12.5% and ended as the top gainer in the Sensex. Jaiprakash Associates closed with a big gain of 10.65%. DLF ended 8.6% up at Rs 414.65.
BHEL notched up a gain of 7.45%. Reliance Infrastructure climbed up 7.25%. Larsen & Toubro jumped 6.55% to Rs 2379.85. HDFC posted a gain of 6.2%. Ranbaxy Laboratories and ICICI Bank moved up by 4.75% and 4.7% respectively.
More @ Sensex ends 360 pts up as bulls return to the ring
Coke to invest $250 m more in India
Mozilla Firefox 3 sets world record
Customs seizes 2 aircraft belonging to RIL
Inflation rate gallops to 11.63 per cent
Direct tax receipts up 39% y/y in June quarter
Punj Lloyd bags GVK Power order
Prakash Industries inks Rs 485-cr deal
Two-thirds of IPO stocks battered
Suzlon to invest Rs 4,000 cr in TN
Greenply to invest Rs 370 cr
Source: http://sify.com/finance. We thank (will be grateful to) the owners of the above articles/sites/sources/Govts for allowing/referring this. We are just providing the link/information of business updates from the leading sources for the benefit of readers. Viewers are strictly advised to take own decision in Stock buying and make verification about the information. Blog is not responsible for any faulty information
Subscribe to:
Posts (Atom)