The market benchmark BSE Sensex recovered over 109 points in mid-session trade Thursday on widespread gains amid a firming trend at other Asian bourses following another record closing of the US markets.
The 30-share barometer was quoting 109.11 points, or 0.38 percent higher at 28,264.67. The gauge had lost 196.06 points in the previous two sessions.
Here are under-the-radar stocks in today's trade
SBI, associate banks
Shares of SBI and its associates rose sharply by as much as 13.5 percent today after the Cabinet approved their merger, a step aimed at strengthening the sector through consolidation of public banks.
The scrip of State Bank of Mysore soared 13.54 percent, State Bank of Bikaner and Jaipur zoomed 10.86 per cent, State Bank of Travancore jumped 10.54 per cent while SBI gained 3.10 per cent on BSE.
Seeking to create a global-sized bank, the Cabinet yesterday gave the go-ahead to the merger plan of SBI and its five associates. However, no decision was taken on the proposal to merge the Bharatiya Mahila Bank with SBI. The merger of associate banks is likely to result in recurring savings, estimated at more than Rs 1,000 crore in the first year, through a combination of enhanced operational efficiency and reduced cost of funds, an official statement said.
Also Read: Cabinet approves merger of five subsidiaries of State Bank of India
The two unlisted associate banks which will be merged with SBI are State Bank of Patiala (SBP) and State Bank of Hyderabad (SBH).
Dr Reddy's Laboratories
Shares of Dr Reddy's Laboratories today fell by nearly 4 percent after the company said it has received an unfavourable ruling in the US court regarding a patent infringement case over anti-nausea injection Aloxi.
Reacting to this, shares of the company went down by 3.66 percent to hit its one year low of Rs 2,803.50 on BSE. On NSE, it fell by 3.86 percent to Rs 2,798.95 -- its 52-week low.
In a BSE filing, Reddy's Laboratories said: "The United States District Court for the District of New Jersey issued its opinion regarding Helsinn Healthcare's patent infringement claims against Dr Reddy's proposed palonosetron product".
"The court found that Dr Reddy's proposed palonosetron hydrochloride 0.25 mg/5 ml infringes on certain claims of the US patents...And that the asserted claims were not valid". Helsinn Healthcare SA is a Switzerland-based pharma company. "We are disappointed in the decision and intend to pursue an appeal in due course," a company spokesperson said.
Nestle
Shares of Nestle India today fell by 3.5 percent after the company reported a decline of 8.66 percent in standalone net profit for the fourth quarter ended December 2016.
The stock slipped 3.5 percent to Rs 5,957.20 on BSE. At NSE, shares of the company dipped 3.35 per cent to Rs 5,962.35.
FMCG major Nestle India yesterday reported a decline of 8.66 percent in its standalone net profit to Rs 167.31 crore for the quarter ended December 2016, hit by higher tax expense and demonetisation that impacted its domestic sales.
The company, which follows January-December financial year, had posted a net profit of Rs 183.19 crore during the October-December quarter last fiscal.
However, net sales of the company during the quarter under review were up 16.17 percent to Rs 2,261.28 crore as against Rs 1,946.44 crore in the corresponding quarter last fiscal, Nestle said in a BSE filing.
TCS
Scrip of Tata Consultancy Services (TCS) today rose by nearly 3 percent after the said its board will meet next week to consider share buyback.
After a positive opening, shares of the company gained 2.55 percent to Rs 2,477.50 on BSE. On NSE, it rose by 2.66 percent to Rs 2,478.
"We would like to inform you that the Board of Directors will consider a proposal for buyback of equity shares of the company at its meeting to be held on February 20, 2017," Tata Consultancy Services Ltd said in a BSE filing.
With Agency Inputs
