<ul><li><keyword id="6019562" type="General" weightage="20" keywordseo="Divgi-TorqTransfer-Systems" source="Orion">Divgi TorqTransfer Systems</keyword> is looking to raise ₹412 crore at the upper price band with a fresh issue of ₹180 crore along with an offer for sale (OFS) of up to 39.34 lakh equity shares.</li><li>The company intends to use IPO proceeds towards the purchase of equipment/machinery and for general corporate purposes.</li><li>The shares of the company are currently commanding a grey market premium, or GMP, of ₹60 per share.</li><li>The company’s shares will be allotted to investors on March 9 and will be listed on stock exchanges on March 14.</li><li>The company’s overseas sales are primarily dependent on two countries, China and Russia, which exposes it to risks of concentration.</li></ul>Pune-based automotive component manufacturer Divgi TorqTransfer Systems is all set to open its initial public offering (IPO) this week on March 1 and will close on March 3. This is the third IPO of 2023, after Radiant Cash Management Services and Sah Polymers. The price band of the IPO is set at ₹560 - ₹590 per share. The shares of the company are currently commanding a grey market premium, or GMP, of ₹60 per share. <a href="https://www.businessinsider.in/stock-market/news/grey-market-premium-what-is-it-and-where-is-it-coming-from/articleshow/95454371.cms">GMP is the premium at which IPO shares are traded</a> in an unofficial market before they are listed on the stock exchanges. The company is looking to raise ₹412 crore at the upper end of the price band with a fresh issue of ₹180 crore along with an offer for sale (OFS) of up to 39.34 lakh equity shares to be sold by promoters and shareholders. The company’s shares will be allotted to investors on March 9 and will be listed on stock exchanges on March 14. Divgi TorqTransfer has reserved 75% of the equity shares for qualified institutional bidders, 15% for non-institutional investors and the remaining 10% equity shares for retail investors. The anchor investors can bid for the shares on February 28. Offer for sale by existing shareholders in the IPO <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"><colgroup></colgroup><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Selling shareholders </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Shares on sale </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Oman India Joint Investment Fund II </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">22.50 lakh </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">NRJN Family Trust </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">14.41 lakh </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Bharat Bhalchandra Divgi </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">49,430 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Sanjay Bhalchandra Divgi </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">40,460 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Ashish Anant Divgi </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1.04 lakh </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Arun Ramdas Idgunji </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">33,660 </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Kishore Mangesh Kalbag </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">15,232 </td></tr></tbody></table>Source: Divgi TorqTransfer Systems RHP Funds for equipment The company intends to use funds from the fresh issue of shares towards the purchase of equipment/machinery at its manufacturing facilities, and for general corporate purposes. It has three manufacturing and assembly plants at Sirsi in Karnataka, and Shivare and Bhosari near Pune in Maharashtra. A new facility at Shirwal, Maharashtra is expected to be fully operational by FY24. The company has designed, developed, manufactured and supplied software-embedded electronically controlled transfer cases and torque couplers for customers like Tata Motors, Mahindra &amp; Mahindra and others. It also manufactures and supplies engineered, turnkey solutions and components to automotive original equipment manufacturers (OEMs) across the globe including those in US, China, Korea and Russia. It says it has the capability to develop and provide transmission systems for electric vehicles. <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;"><colgroup></colgroup><col /><col /><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Year </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Revenue from operations </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Net profit </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">EBITDA margin </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY22 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹242 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹46 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">28.07% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY21 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹195 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹38 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">27.82% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">FY20 </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹171 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">₹28 crore </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">23.22% </td></tr></tbody></table>Source: RHP China, Russia business concentration a key risk The company’s overseas sales are primarily dependent on two countries, China and Russia, which exposes it to risks of concentration. Both countries contribute to over 77% of its overall export revenue. “Loss of all or a substantial portion of sales to any of our customers from these two countries, for any reason (including, due to any materially adverse social, political or economic development, civil disruptions, or changes in the policies of the state government or state or local governments in these countries, occurrence of Covid-19 infection and strict curbs), could have an adverse effect on our business, results of operations, financial condition, cash flows and future business prospects,” said the company in its red herring prospectus. After sanctions were imposed on Russia as it invaded Ukraine, there has been a reduction in imports from Russia. As a result, the company is unable to sell products to Russian customers. “There can be no assurance that we will be able to offset the loss of our Russian customers, which may adversely affect our business,” said the company. Inga Ventures and Equirus Capital are the book running lead managers to the issue. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/corporates/news/spicejet-to-raise-2500-crore-fresh-capital-convert-carlyles-debt-into-equity-and-demerge-cargo-biz/articleshow/98270557.cms">SpiceJet to raise ₹2,500 crore fresh capital, convert Carlyle’s debt into equity and demerge cargo biz</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/careers/news/ways-to-stay-relevant-in-a-competitive-job-market-upskilling-and-awareness-are-key-claim-experts/articleshow/98265572.cms">This layoff season, upskill to stay afloat say experts</a>

Divgi TorqTransfer Systems’ ₹412 crore IPO to open this week; grey market premium at ₹60

<ul><li>Indian markets <keyword id="6484188" type="General" weightage="20" keywordseo="sensex" source="Orion">Sensex</keyword> and <keyword id="2931774" type="General" weightage="20" keywordseo="nifty50" source="Orion">Nifty50</keyword> end slightly higher after a choppy trading session on Tuesday.</li><li>Among sectoral indices, auto, FMCG, energy and metal closed in the red while banks, IT and pharma were amongst the top gainers.</li><li>HDFC Life and SBI Life topped the charts in the benchmark Nifty50 index, while metal stocks and Reliance Industries were amongst the top losers.</li></ul>Indian markets Sensex and Nifty50 end slightly higher after a choppy session on Tuesday as investors turn eyes on upcoming quarterly earnings season amid mixed cues from global markets. Besides, losses in shares of heavyweight stocks like Reliance Industries, ITC and steel companies capped the gains of the two benchmark indices. While the 30-stock Sensex edged up 0.21% or 126 points to close at 61,294, the 50-stock Nifty50 index ended 0.19% or 35.10 higher to close at 18,232 points. In the Nifty50 index, HDFC Life Insurance, SBI Life Insurance, Axis Bank and Titan were top gainers on the index. Among sectoral indices, auto (-0.42%), FMCG (-0.41%), energy (-0.10%) and metal (-0.53%) closed in the red while banks (0.51%), IT (0.78%) and pharma (0.72%) were amongst the top gainers. In the first trading session of the year, the benchmark indices <a href="https://www.businessinsider.in/stock-market/news/tata-motors-maruti-suzuki-eicher-motors-among-stocks-in-focus/articleshow/96672634.cms">closed higher</a> led by a rally in metal stocks and heavyweights like RIL, Infosys, ICICI Bank. Shares of oil companies RIL and ONGC witnessed a sell-off today after the government raised windfall tax on petroleum, crude oil and aviation turbine fuel. Windfall tax on crude oil has been raised to ₹2,100 per tonne from ₹1,700 per tonne earlier effective on Tuesday. Export tax on diesel has been increased to ₹7.5 per litre from ₹5 per litre while tax on aviation turbine fuel has risen to ₹4.5 per litre from ₹1.5 per litre earlier. Meanwhile, Brent crude oil price fell by 1.57% to $84.55 per barrel on Tuesday. Here are the top gainers and losers on the Nifty50 index on Tuesday <table style="border-width: initial; border-style: none; table-layout: fixed; width: 468pt;" class="redcator-table-advance"><colgroup></colgroup><col /><col /><col /><col /><tbody><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Top gainers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Change </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Top losers </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Change </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">HDFC Life </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">4.54% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Hindalco </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-1.70% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">SBI Life </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">2.22% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">JSW Steel </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-1.01% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Axis Bank </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">2.21% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Britannia </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-0.98% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">Titan </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">2.07% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">M&amp;M </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-0.94% </td></tr><tr><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">TCS </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">1.55% </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">RIL </td><td style="border-left:solid #000000 1pt;border-right:solid #000000 1pt;border-bottom:solid #000000 1pt;border-top:solid #000000 1pt;vertical-align:top;padding:5pt 5pt 5pt 5pt;overflow:hidden;overflow-wrap:break-word;">-0.78% </td></tr></tbody><tbody></tbody><tbody></tbody><tbody></tbody><tbody></tbody></table>Source: NSE Global markets While markets in the US were closed on account of holidays, European markets witnessed a rally. France’s CAC index surged 1.17%, while Germany’s DAX gained 1.39%. Asian markets, however, were mixed, with some markets still closed due to holidays. While the Hang Seng index gained 1.82%, Nikkei 225 was flat and the Shanghai Composite index gained 0.88%. The Taiwan Weighted index was up 0.61%, while South Korea’s KOSPI declined 0.31%. Meanwhile, investors are awaiting the minutes from the US Federal Reserve meeting scheduled on Wednesday. On the global front, Russia’s defence ministry has said that 63 Russian soldiers have been killed in a Ukrainian New Year’s Eve attack in the Russian controlled part of Donetsk province. Among individual stocks, The food delivery platform Zomato slipped 5% during the day and ended with over 2% fall as its chief technology officer Gunjan Patidar has tendered resignation. Patidar was among the first few employees of Zomato and built core tech systems for the company, the company said. SEE ALSO: <a href="https://www.businessinsider.in/business/auto/news/december-auto-sales-fall-below-expectations-even-as-tata-motors-mm-post-strong-growth/articleshow/96686550.cms">December auto sales fall below expectations even as Tata Motors, M&amp;M post strong growth</a> <a href="https://www.businessinsider.in/stock-market/news/from-sah-polymers-to-chaman-metallics-four-ipos-that-will-raise-almost-110-crore-this-week/articleshow/96680142.cms">From Sah Polymers to Chaman Metallics – Four IPOs that plan to raise almost ₹110 crore this week</a> <a href="https://www.businessinsider.in/stock-market/news/stock-picks-for-2023-lt-sbi-axis-bank-among-top-brokerage-picks-for-the-new-year/articleshow/96667625.cms">Stock picks for 2023: L&amp;T, SBI, Axis Bank among top brokerage picks for the new year</a>

Sensex, Nifty50 end slightly higher after another choppy day; HDFC Life, SBI Life top gainers

<ul><li>The <keyword id="6484188" type="General" weightage="20" keywordseo="sensex" source="Orion">Sensex</keyword> closed at 60,566, gaining 721 points, while the <keyword id="2931774" type="General" weightage="20" keywordseo="nifty50" source="Orion">Nifty50</keyword> topped 18,000 level to close at 18,014, up 207 points.</li><li>Barring pharmaceuticals and healthcare indices, all other sectors closed higher with the Nifty PSU Bank index registering the highest gains at 7.29%.</li><li>On the Nifty50 index, IndusInd Bank and SBI were the top gainers with an increase of over 4% each.</li><li>Three out of the top five losers on the Nifty50 were from the pharma sector, while the other two were from the FMCG segment. </li></ul>Indian benchmark indices on Monday shrugged off Covid and recessionary concerns to breach key psychological levels in a post-Christmas rally that brought some cheer to investors. The rally was supported by gains in banking stocks – especially the <keyword id="6369970" type="General" weightage="20" keywordseo="psu-banks" source="Orion">PSU Banks</keyword> index that raced past all other indices – besides realty and metal stocks. The 30-stock Sensex closed above the 60,000 psychological mark at 60,566, gaining 721 points while the 50-stock Nifty50 topped the crucial 18,000 level to close at 18,014, up 207 points. “Nifty recovered on December 26 after a three-day losing streak. Holidays in most global equity markets gave a chance to traders to ramp up stock values in India amidst low volumes. Broad market indices rose more than Nifty50 while the advance decline ratio jumped to 5.43:1. Defensive stocks underperformed while cyclicals bounced up smartly,” said Deepak Jasani, head of retail research at HDFC Securities. Overall, the volume on the benchmark Nifty50 index on Monday stood at 353.3 million. Barring the pharmaceuticals and healthcare indices, all other sectors closed higher, with the Nifty PSU Bank index closing with the highest gains of 7.29%. While the Nifty Media index was up 2.85%, the Private Bank index rose 2.44% and the Realty index gained 2.43%. The wider bank index was up 2.31% while the Metal index ended up 2.19%. Meanwhile, the Asian markets also closed higher with China’s Shanghai SE Composite and Nikkei 225 gaining 0.65% each, South Korea’s KOSPI up 0.15% and Taiwan SE Weighted Index rising 0.095%. Hong Kong and the US markets were closed on account of Christmas holidays. <div type="image" title="sectoral-indices-18" msid="96520741" hostid="261" sizebytes="47180"></div> Since this is the last week of the year, which coincides with the holiday season across the world, analysts believe the markets are likely to be flat to slightly higher. “After a sharp fall of 3% in the Nifty50 over the last three trading sessions, value- based buying emerged at lower levels. In the absence of any major global events due to year-end holidays, we expect the market to remain sideways to positive based on news flows,” said Siddhartha Khemka, head - retail research at Motilal Oswal Financial Services. Banks, auto, capital goods and defence sectors are likely to do well in the near term, he added. Brent crude oil prices rose to $84.5 per barrel, from $82.1 at market close on Friday. The Rupee appreciated 21 paise against the US dollar to close at 82.65. On the Nifty50 index, IndusInd Bank and SBI were the top gainers with an increase of over 4%, followed by Hindalco Industries (3.12%), Tata Steel (2.69%), and Coal India (2.69%). Three out of the top five losers were from the pharma sector, while the other two were from the FMCG segment. Here are top moving stocks in the Nifty500 index <div type="image" title="daily-profit-loss-18" msid="96520766" hostid="261" sizebytes="53670"></div> Easy Trip Planners rockets 20% after company announces referral scheme Among major movers, shares of Easy Trip Planners (EaseMyTrip) rallied nearly 20% after the company announced a referral scheme for its shareholders, wherein shareholders can get cash backs on flights, hotels, holidays, buses and train bookings on referring the site to others. The online travel company said that shareholders would need to be at least 15-day-old members of the company to utilise the offer on EaseMyTrip mobile app. Foreign institutional investors (FII) were net sellers on Monday pulling out ₹498 crore while domestic institutional investors (DII) bought ₹1,286 crore. SEE ALSO: <a href="https://www.businessinsider.in/thelife/personalities/news/top-five-billionaires-in-2022-elon-musk-gautam-adani-and-bill-gates/articleshow/96509847.cms">After a round of musical chairs, Musk, Gates and Adani are among 2022’s top 5 billionaires</a> <a href="https://www.businessinsider.in/stock-market/news/sah-polymers-ipo-to-open-on-dec-30-price-band-set-at-61-65-a-share/articleshow/96514593.cms">Sah Polymers IPO to open on Dec 30, price band set at ₹61-65 a share</a> <a href="https://www.businessinsider.in/stock-market/news/kfin-technologies-ipo-how-to-check-allotment-status-online/articleshow/96507782.cms">KFin Technologies IPO: Here’s how to check allotment status online</a>

Sensex tops 60,000 points while Nifty50 reclaims 18,000 powered by banks, realty and metal stocks

<ul><li><keyword id="44530" type="General" weightage="80" keywordseo="psu" source="Orion">PSU</keyword>s have staged a comeback in 2022 after a decade of underwhelming performance, powered by PSU banks.</li><li>The <keyword id="4668838" type="General" weightage="80" keywordseo="PSU-bank-index" source="Orion">PSU bank index</keyword> is up over 61% in 2022 so far, making it the best sectoral index this year.</li><li>However, analysts suggest there’s more juice left going forward, and the BFSI sector is expected to drive the bottomline of PSUs.</li></ul>After a decade of underwhelming performance, public sector undertakings (PSUs) have staged a comeback in 2022, thanks largely to a robust recovery in banks – which had seen muted earnings due to the non-performing asset (NPA) crisis and a subsequent clean up. For context, the <keyword id="6354813" type="General" weightage="50" keywordseo="nifty" source="Orion">Nifty</keyword>50 index has gained 205% in the last 10 years, while the Nifty PSE index has gained only 49%. However, the year 2022 has proved to be a boon for PSUs with PSU banks reporting an accelerated improvement in their bad loan ratios, while credit growth touched 20% in Q2 FY23, up from 3% in Q1 FY22. “A large part of the FY12-22 decade was spent in cleaning up the balance sheets of Financials (sector), which took its toll on the overall PSU profits as PSU banks formed one-third of the profit pool of Indian PSUs. This, coupled with several other macro disruptions, kept the PSU profit pool suppressed over FY12-20,” said a report by <keyword id="46252" type="General" weightage="50" keywordseo="motilal-oswal" source="Orion">Motilal Oswal</keyword>. According to the brokerage, most of the PSU companies are in sectors that are heavily cyclical in nature – these include oil &amp; gas, metals, and financial services. However, given the dominance of financial services companies, or banks, the overall performance of PSUs mirrored the peaks and troughs of the banking sector. <cmsannotation type="cmsannotation" annotationid="PSU banks help boost PSU performance" comment="subhead" text="PSU banks help boost PSU performance">PSU banks help boost PSU performance</cmsannotation> The positive improvements in PSU banks’ performance have also had an impact on the Nifty PSE (public sector enterprise) index, helping it beat the benchmark Nifty50 index handily in 2022 so far – while the Nifty PSE index has gained 10.7% in 2022 till date, the Nifty50 index has lagged far behind with returns of just 2.5%. Interestingly, both the indices were close to their 52-week lows in June when the markets crashed. A big boost to the PSU index has come from PSU banks – the 13-stock Nifty PSU Bank index has gained over 61% in 2022 so far, making it the<a href="https://www.businessinsider.in/stock-market/news/best-and-worst-performing-sectoral-indices-of-nifty-in-2022/articleshow/96448669.cms"> best sectoral index on the NSE</a> this year. Notably, all the 13 stocks in the PSU Bank index have gained this year, with six of them posting gains of 60% or more in this period. <cmsannotation type="cmsannotation" annotationid="PSU banks’ valuations still ‘reasonable’ – more juice left" comment="subhead" text="PSU banks’ valuations still ‘reasonable’ – more juice left">PSU banks’ valuations still ‘reasonable’ – more juice left</cmsannotation> Despite the strong rally in stocks of PSU banks, a report by ICICI Direct states that the valuations of PSU banks are still “reasonable”, suggesting that there’s more juice left going forward. “Post the phase of significantly higher gross non-performing assets (GNPA), treasury mark-to-market (MTM) losses, lower capital and sub-par growth, there has been a turnaround with comfort on asset quality; reversal of treasury losses, credit growth pick-up and just adequate capital position for most of them. Despite the decent rally, valuation still looks reasonable for PSU banks,” said the ICICI Direct report. For context, PSU banks’ price-to-earnings ratio (PE) currently stands at 9.9, while for the overall Nifty Bank index it is 17.4 and for the broader Nifty50, it is 21.4. The Nifty PSE index has a PE ratio of 7.9. According to Motilal Oswal, the BFSI (banking, financial sector and insurance) sector will once again lead PSU growth – the brokerage estimates that it will contribute to 118% of the incremental profits of the PSU universe. <cmsannotation type="cmsannotation" annotationid="Healthy growth outlook for PSUs, says Motilal Oswal" comment="subhead" text="Healthy growth outlook for PSUs, says Motilal Oswal">Healthy growth outlook for PSUs, says Motilal Oswal</cmsannotation> Analysts at Motilal Oswal expect a healthy outlook for the public sector companies in the next two financial years. “We estimate an FY22-24 PAT (profit after tax) CAGR (compounded annual growth rate) of 8% for the <keyword id="109426" type="General" weightage="100" keywordseo="PSU-stocks" source="Orion">PSU stocks</keyword> having consensus estimates,” said a report by Motilal Oswal. Majority of the earnings growth contribution comes from BFSI, capital goods and utilities, while conversely metals and oil &amp; gas are likely to drag down the momentum. “BFSI will lead the earnings CAGR with 28%, followed by Capital Goods (+11%), and Utilities (+9%). On the other hand, Metals (-31%), and O&amp;G (-5%) would report an earnings decline over FY22-24E,” said the report. This also aligns with the analysis of ICICI Securities, which said in a <a href="https://www.businessinsider.in/stock-market/news/capital-intensive-cyclical-and-value-stocks-to-continue-their-outperformance/articleshow/95659482.cms">previous report</a> that cyclical, capital-intensive and value stocks have outperformed since FY21. These stocks reversed the trend observed between FY12 to FY20, when stocks which were either expensive or less volatile had outperformed others in the market. “The above trend is the longest period of outperformance seen from the aforementioned factors since the peak of the investment and credit cycle in India in 2011-12,” said the ICICI Securities report. The report further added that this is not a false beta rally since the cyclical, capital-intensive and value stocks have continued to outperform despite the aggressive quantitative tightening cycle and interest rate hikes by the US Fed. Thus, with banks having got their act together and looking set to power through another year of growth and analysts expecting strong momentum in key sectors like capital goods and utilities, the PSU sector looks set for another year of outperformance in 2023. SEE ALSO: <a href="https://www.businessinsider.in/stock-market/news/capital-intensive-cyclical-and-value-stocks-to-continue-their-outperformance/articleshow/95659482.cms">Capital-intensive, cyclical and value stocks to continue their outperformance</a> <a href="https://www.businessinsider.in/thelife/personalities/news/top-five-billionaires-in-2022-elon-musk-gautam-adani-and-bill-gates/articleshow/96509847.cms">After a round of musical chairs, Musk, Gates and Adani are among 2022’s top 5 billionaires</a> <a href="https://www.businessinsider.in/stock-market/news/sah-polymers-ipo-to-open-on-dec-30-price-band-set-at-61-65-a-share/articleshow/96514593.cms">Sah Polymers IPO to open on Dec 30, price band set at ₹61-65 a share</a>

You Searched For "Sah Polymers" and got 4 results

Divgi TorqTransfer Systems’ ₹412 crore IPO to open this week; grey market premium at ₹60

Bhakti Makwana

Sensex, Nifty50 end slightly higher after another choppy day; HDFC Life, SBI Life top gainers

Rounak

Bhakti

Sensex tops 60,000 points while Nifty50 reclaims 18,000 powered by banks, realty and metal stocks

Rounak

Bhakti

Public sector enterprises stage a comeback in 2022 thanks to PSU banks – the future looks healthy, say analysts

Rounak

Bhakti