Buzzing Stocks: Indigo, Axis Bank, Max Financial, UPL, BPCL, Vedanta, Yes Bank and others

InterGlobe Aviation, SpiceJet: IndiGo, the airline with the largest market share, saw a slight dip at 60.2 percent in January 2024, from 61.8 percent in the previous month, as per data released by the Directorate General of Civil Aviation (DGCA) on February 15 shows. The market share of SpiceJet remained unchanged at 5.6 percent during the same period. IndiGo’s passenger load factor stood at 88.4 percent in January 2024 against 90.7 percent in December 2023, and SpiceJet’s at 93.7 percent against 93.5 percent during the same period.

Axis Bank: The private sector lender has issued clarification on the transaction of shares with Max Life Insurance Company after the filing of a public interest writ petition by Subramanian Swamy against Union of India, Axis Bank, Axis Securities Limited, Axis Capital, and others before the High Court of Delhi. The bank said it has obtained all necessary regulatory approvals in connection with these transactions and would take the required steps to defend the bank against any unfounded allegations. The bank believes that there is no material impact from the allegations being made against Axis Bank in connection with the said transactions.

Max Financial Services: The company issued clarification on the petition filed in the High Court of Delhi alleging that Axis Bank and its group companies have made undue profits from the purchase and sale of the equity shares of the material subsidiary of the company, i.e., Max Life Insurance Company. Max Financial said the transactions were consummated after taking appropriate approvals from the respective regulators, namely the RBI, IRDAI, and CCI, and believes there is no legal or regulatory anomaly in the transactions and due process of law has been followed. The company and Max Life will take all requisite legal recourse to defend the matter before the Court.

UPL: Global rating agency Fitch Ratings has downgraded UPL Corporation’s Long-Term Issuer Default Rating to ‘BB+’, from ‘BBB-‘, citing the weak 9MFY24 EBITDA and lower global crop-protection industry demand due to prolonged destocking and production overcapacity in China. The outlook is negative. Fitch has also downgraded UPL Corp’s senior unsecured rating and the ratings on the senior unsecured notes to ‘BB+’, from ‘BBB-‘. The senior unsecured notes have been assigned a recovery rating of ‘RR4’.

Yes Bank: CA Basque Investments, the special purpose vehicle controlled by the affiliates of Carlyle Group Inc., sold 39 crore equity shares (which is equivalent to 1.35 percent of paid-up equity) of the bank via open market transactions. These shares were sold at an average price of Rs 27.10 per share and were worth Rs 1,056.9 crore. However, Morgan Stanley Asia (Singapore) Pte. Ltd. bought 30.63 crore equity shares (1.06 percent stake) at the same price, valued at Rs 830.09 crore.

Bharat Petroleum Corporation: The green hydrogen project is a pilot project for gaining experience in handling hydrogen for the automobile sector with an estimated capital investment of approximately Rs 25 crore. The project is planned in collaboration with Cochin International Airport (CIAL). Discussions were held with officials of CIAL, and a Memorandum of Understanding (MOU) was signed on February 14.

Vedanta: Promoter entity Finsider International Company has sold 6,55,18,600 equity shares in the mining company via open market transactions. These shares were sold at an average price of Rs 265.14 per share and were worth Rs 1,737.16 crore.

Dilip Buildcon: The infrastructure company, through a joint venture (Vijay Kumar Mishra Construction-Dilip Buildcon), has been declared the L-1 bidder for the tender floated by the water resources department in Madhya Pradesh. The joint venture company will construct the Machhrewa irrigation project dam and pressurized pipe irrigation network on a turnkey basis at a cost of Rs 412.92 crore.

KPI Green Energy: Subsidiary KPIG Energia has received a new order of 1.5 MW for executing a solar power project under its captive power producer segment.

Medplus Health Services: The company’s subsidiary has received a suspension order of drug license for 15 days from the Food and Drug Administration (FDA), Thane, for its store at Khopat, Thane. The company said there is no major financial impact from this order, and it is taking corrective action in this regard.

Newgen Software Technologies: The company has entered into an addendum to the earlier engagement with the same top-tier global management consulting firm by adding further scope of work to build phase for a growth transformation across the key geographies. The aggregate value of the engagement is $1.55 million. The work order will be completed within FY 2024–25.

Epack Durable: The original design manufacturer of room air conditioners has recorded consolidated profit of Rs 4.9 crore for the quarter ended December FY24, against a loss of Rs 6.25 crore in the corresponding period of the last fiscal. Revenue from operations grew by 1.2 percent year over year to Rs 279 crore for the quarter.

Polysil Irrigation Systems: The HDPE pipes, fittings, and micro irrigation systems manufacturer is set to list its equity shares on the NSE Emerge on February 16. The issue price is Rs. 54 per share. Its equity shares will be available for trading in the trade-for-trade surveillance segment.

Entero Healthcare Solutions: The healthcare products distributor, is set to debut on the BSE and NSE on February 16. The final issue price has been fixed at Rs. 1,258 per share.

Sudarshan Chemical Industries: HDFC Mutual Fund has bought 17,75,551 equity shares (which is equivalent to 2.56 percent of paid-up equity) in the chemical company at an average price of Rs 513.99 per share, valued at Rs 91.26 crore. However, promoters Nisha Ajay Rathi sold 4,00,404 equity shares at an average price of Rs 514 per share, and Ajay Balkrishna Rathi offloaded 14 lakh shares at an average price of Rs 514.18 per share.

Escorts Kubota: The tractor maker has executed a long-term wage settlement agreement with the Workers’ Union for three years. The company said it committed to maintaining cordial industrial relations with all stakeholders and continues to offer good growth potential.