BF Utilities gains amid Karnataka crisis
Shares of BF Utilities gained 18 per cent last week even as the benchmark Nifty fell about 2 per cent. While there was no apparent reason for the upmove, some believe it could be on account of the political crisis in Karnataka. Brokers say traders are betting that a change in regime could benefit BF Utilities, which has road interests in the southern state. “The stock has underperformed during the tenure of the current government. Some traders believe there could be a change in the fortunes of the company if a new government takes charge,” said a broker.
Firms eye IPOs before approvals lapse
There are eight companies whose one-year nod from market regulator Securities and Exchange Board of India to launch their initial public offerings (IPOs) is set to expire. Investment bankers say they have been approached by some of these companies to check if they can go to the market before the approval lapses. Cumulatively, these eight companies are looking to raise nearly Rs 9,000 crore. However, given the volatile market conditions, it looks unlikely that many of them will be able to hit the market.