Market Live: Sensex, Nifty higher post Fed statement; Coffee Day sinks

10:20 am Buzzing: Shares of Den Networks rose 5.5 percent intraday as it has received NCLT nod for demerger of its broadband undertaking with its wholly owned subsidiary.

“A scheme of arrangement for the demerger of broadband undertaking/internet service provider business of Den Networks with Skynet Cable Network, a fully-owned subsidiary of company, has been approved by the Hon’ble National Company Law Tribunal (NCLT), company said in press release.

The scheme of arrangement was unanimously approved at the court convened meeting of shareholder/secured creditors and unsecured creditors of Den and shareholders meeting of Skynet on March 11, 2017.

10:10 am Market Check: Equity benchmarks slipped into red in morning trade as the Sensex fell 173.37 points to 32,227.14 and the Nifty dropped 58.50 points to 10,082.65.

The market breadth was weak as about two shares declined for every share rising on the BSE.

10:05 am Dr Reddy’s Labs surges 6%: The drug firm informed exchanges that it has received an establishment inspection report (EIR) from the US FDA, for Formulation Srikakulam Plant (SEZ) Unit II, Andhra Pradesh.

The audit of this facility by the US Food and Drug Administration had completed with zero observations on May 25.

10:00 am Listing: Shares of Matrimony.com, the online matchmaking services provider, listed at its issue price of Rs 985, the higher end of price band. But the stock soon soared over 3 percent post listing.

The company raised Rs 500 crore through the issue that comprised of fresh issue of up to Rs 130 crore and an offer for sale of up to 37.67 lakh equity shares.

The public issue, which opened for subscription during September 11-13, was oversubscribed 4.44 times.

The category reserved for qualified institutional buyers (QIBs) was oversubscribed 1.88 times, non institutional investors 41 percent and retail individual investors 18.16 times.

9:55 am Buzzing: Shares of SMS Pharmaceuticals gained 6.5 percent intraday as it is going to consider the joint venture with a Switzerland company.

The company’s board meeting is scheduled to be held on September 27, to consider the proposal for joint venture, for the purpose of contract research organization (CRO) and contract manufacturing organization (CMO), with Chemo S.A (Switzerland).

9:50 am Pre-opening trade: Matrimony.com share price settled at Rs 985 per share in pre-opening trade.

Dishman Carbogen settled at Rs 350 per share and Lasa Supergenerics Rs 140 in pre-opening trade.

9:35 am I-T Raid: Income Tax Department has conducted a search operations at multiple locations of Cafe Coffee Day, the leading retail coffee chain in India.

Search operations are underway at residence of VG Siddhartha, CMD of the Cafe Coffee Day.

Coffee Day Enterprises shares fell nearly 5 percent.

9:25 am Buzzing: Shares of OM Metals Infraprojects touched 52-week high of Rs 80.50, adding more than 18 percent intraday on the back of share acquisition by Porinju’s firm Equity Intelligence.

On September 20, 2017 Equity Intelligence India [PMS], where Porinju Veliyath is a Founder & CEO, has bought 7,30,000 shares (0.75 percent) at Rs 62.70. Also, EQ India Fund bought 5,75,000 shares at Rs 62.24 of the comapny.

However, Udgam Commercial sold 14,10,000 shares at Rs 62.23.

As on June 2017, Udgam Commercial was holding 41,18,040 equity shares (4.28 percent) in the comapny.

9:16 am Fed statement: The US Federal Reserve left interest rates unchanged on Wednesday but signalled it still expects one more increase by the end of the year despite a recent bout of low inflation.

The Fed, as expected, also said it would begin in October to reduce its approximately USD 4.2 trillion in holdings of US Treasury bonds and mortgage-backed securities acquired in the years after the 2008 financial crisis.

New economic projections released after the Fed’s two-day policy meeting showed 11 of 16 officials see the “appropriate” level for the federal funds rate, the central bank’s benchmark interest rate, to be in a range between 1.25 percent and 1.50 percent by the end of 2017, or 0.25 percentage points above the current level.

9:15 am Market Check: Equity benchmarks opened marginally higher on Thursday after Federal Reserve monetary policy meeting.

The 30-share BSE Sensex was up 42.42 points at 32,442.93 and the 50-share NSE Nifty rose 10.95 points to 10,152.10.

Tata Steel, Dr Reddy’s Labs, Sun Pharma, Lupin, Hindalco, Infosys, HCL Technologies and Reliance Industries gained up to 2 percent.

TCS, Bank of Baroda, ICICI Bank and Ambuja Cements were under pressure in early trade.

Nifty Midcap was up 0.12 percent on positive breadth. About two shares advanced for every share falling on the NSE.

Novartis India, Om Metal Infra, Den Networks, MEP Infra, Bombay Dyeing, ITDC, Munjal Auto, Goa Carbon, Kamat Hotels and Shoppers Stop rallied 2-16 percent.
Reliance Capital fell a percent ahead of Reliance Home Finance listing tomorrow.