The News International Team
The Sensex declined over 80 points while Eveready Industries surged 3 percent.
Amritanshu Khaitan, ED, Eveready says the company is not looking at any further price hikes in the near-term. The company had take a price hike in July for premium AAA batteries.
Khaitan says the free cash flow (FCF) for the company is expected to jump to Rs 100 crore from the current Rs 50 crore on back of price hikes. The company hopes to pare debts from these FCF funds, adds Khaitan.
As of now the input prices have been stable but in case the prices increase the company plans to pass it on to customers, says Khaitan.
According to him, the company does not require large capex amount in the near-term although the ad spends for the current year have increased.
12:00pm The market remained under pressure on weak Asian cues. The Sensex fell 102.67 points to 26987.75 and the Nifty declined 40.60 points to 8080.85 dragged by defensives like IT and healthcare while Asian peers like Shanghai and Hang Seng lost over a percent.
About 1450 shares have advanced, 1267 shares declined, and 84 shares are unchanged.
Sandeep Bhatia of Kotak expects another 10-15 percent returns till next budget. In the near term, his focus remains on curtailment of energy subsidy and gas price hike. However, he feels higher energy prices will be the only possible risk for the market.
Force Motors (up 15 percent), ITC, Jubilant Foodworks, JK Tyre (up 4 percent), Tata Elxsi, Infosys, Tata Motors, SBI and Sun Pharma were most active shares on exchanges.
PNB gains more than a percent after its board approved exploring avenues for raising funds via the QIP, FPO or rights issue. The board also approved a stock split of 1:5. The management told CNBC-TV18, the stock split is to improve retail participation in the counter.
Bharti Infratel fell over 3 percent as reports suggest that KKR is looking to exit its 2.38 percent equity stake in the company via a share sale and raise USD 232 million.