Aditya Birla Capital extends rally on credit ratings upgrade of arms

STOCK MARKET - Shares of Aditya Birla Capital rallied 8% to Rs 210, extending its two-session long rally of  9% after the company said the rating agency India Ratings and Research (Ind-Ra) has upgraded the long-term issuer rating of its subsidiaries - Aditya Birla Finance Limited (ABFL) and Aditya Birla Housing Finance Limited (ABHFL) – with a stable outlook.

The counter has seen huge activities with trading volumes surging more than three-fold today. A combined 18.51 million shares changed hands till 12:45 AM as compared to its two-week average of sub 6.1 million shares on the BSE and NSE.

Ind-Ra has upgraded ABFL’s and ABHFL’s long-term issuer rating to ‘IND AAA’ from ‘IND AA+’ with a stable outlook and affirmed the short-term issuer rating at ‘IND A1+’.

“The upgrade factors in the increasing importance of financial services to Grasim Industries and the larger Aditya Birla group franchise from a long term perspective. ABFL continues to be a high growth business, though its share in the consolidated balance sheet and profitability of the ultimate parent and the group is modest at present,” Ind-Ra said in a release.

Ind-Ra understands that financial services remains a strong focus area for the Aditya Birla Group and has a close oversight from the top management, increasing the likelihood of active support, in the event of liquidity tightness or even through timely availability of growth capital, as and when required.

ABFL has created a sizeable franchise in the non-banking financial services domain with a fairly diversified portfolio across segments. While ABHFL’s current franchise remains modest, it complements the group’s philosophy of providing complete product suits in the financial services segment, it added.

Jio deal, cashbacks: How to get the iPhone X for Rs 18,700

Reliance Jio is offering a buyback offer on Apple’s anniversary edition iPhone X. The buyback offer from Jio coupled with cashback offer  Citibank credit and debit cards brings down the effective cost of the smartphone’s 64 GB storage variant to Rs 18,700.

While the cashback offer for Citibank cardholders is a limited period offer, the buyback offer is subjected to certain terms and conditions. In India, the iPhone X with 64 GB and 256 GB storage is priced at Rs 89,000 and Rs 1,02,000, respectively. The buyback offer from Reliance Jio assures 70 per cent return value to customers that bring down the cost of smartphones to Rs 26,700 for 64 GB storage variant and Rs 30,600 for 256 GB storage variant. The additional Rs 8,000 cashback on Citibank cards further reduces the effective cost to Rs 18,700 for 64 GB storage variant and Rs 22,600 for 256 GB variant.

Here are terms and conditions of the buyback offer from Reliance Jio
The buyback offer is valid only for Jio subscribers who take up the Rs 799 monthly Jio-Apple contract, which is valid for 12 months.
The buyback offer assures 70 per cent money back to subscribers that will be refunded only if the customer chose to return the device to Jio after 12 months of use.
The Rs 799 monthly contract is available for postpaid and prepaid subscribers. In Rs 799 monthly plan, Reliance Jio will offer free voice calls, SMS and Jio apps coupled with 3 GB high-speed 4G data per day valid for 28 days.
The smartphone should be in good condition, subjected to inspection from Reliance Jio, to be eligible for buyback offer.

Rcom hits new low on media reports that Brookefield called off deal

Reliance Communications (RCom) hit a new low of Rs 15.50, down 8% on the BSE in intra-day trade as the media report suggests that Brookefield called off the deal with the company after Aircel merger falls through.

The stock has fallen below its previous low of Rs 16.60 touched on October 30, 2017 touched on the BSE in intra-day trade.

The BSE said that the exchange has sought clarification from Reliance Communications on November 6, 2017, with reference to news appeared in economictimes.indiatimes.com dated November 4, 2017 quoting "Brookefield calls off Reliance Communications deal after Aircel merger falls through"

The reply is awaited.

Meanwhile, according to PTI report, the loss-making telecom operator Reliance Communications will shut down voice call service from December 1 and its customers can move to other networks by the end of the year, as per direction issued by the Telecom Regulatory Authority of India (Trai) on Friday.

At 12:18 PM; the stock was trading 5% lower at Rs 16 on the BSE, as compared to a marginal 0.02% decline in the S&P BSE Sensex. A combined 24.73 million shares changed hands on the counter on the BSE and NSE.

Mahindra & Mahindra up 3% as board mulls bonus issue

Mahindra & Mahindra (M&M) was up 3% at Rs 1,373 on the BSE in an otherwise range-bound market as the company said that its board will consider bonus issue in their forthcoming meeting on Friday, November 10, 2017 after a gap of 12 years.

Earlier, in August 2005, M&M had issued bonus shares in the ratio of 1:1 i.e. 1 (one) bonus equity share for every 1(one) existing equity share held by the shareholders as on the "Record date".

M&M in a regulatory filing said this is in furtherance to our letter dated 12th October, 2017 informing about the board meeting to be held on 10th November, 2017 for inter-alia, considering and approving the unaudited financial results of the company for the second quarter and half-year ended 30th September, 2017.

At the said board meeting, the board will inter-alia, also consider a proposal for issuance of bonus ordinary (equity) shares of the company, subject to necessary approvals, it added.

At 10:45 AM; the stock was trading at Rs 1,371, up 3% on the BSE, as compared to a marginal 0.02% rise in the S&P BSE Sensex. A combined 540,816 shares changed hands on the counter on the BSE and NSE so far.

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Reliance Nippon Life lists at 17% premium against issue price

Reliance Nippon Life Asset Management (RNLAM) made a strong debut on the bourses by listing at a 17% premium against its issue price of Rs 252 on the National Stock Exchange (NSE). The stock listed at Rs 294 on the BSE (the Bombay Stock Exchange).

At 10:02 AM; the stock was trading at Rs 282 on the BSE and NSE after hitting a low of Rs 278 post its listing. A combined 16.03 million shares changed hands on the counter on the BSE and NSE so far.

The company's Rs 1,540 crore initial public offer (IPO) got a strong demand in all the three investor categories. The IPO was oversubscribed 81.54 times at the close of the bidding, with bids for 3,493 million shares, worth Rs 88,023 crore, data available with the stock exchanges showed.

The portion of company’s IPO reserved for non-institutional investors was subscribed 209 times while the portion reserved for qualified institutional buyers (QIBs) was subscribed 118 times and the retail individual investors (RIIs) by 5.65 times, data shows.

RNLAM is the first mutual fund listing on Indian stock exchanges, had fixed the price band at Rs 247 -252 per share. This was also the first IPO from the Reliance group after Reliance Power in 2008. Other listed firms of the group include Reliance Capital, Reliance Home Finance, Reliance Communications, Reliance Naval and Engineering and Reliance Infra.

RNLAM intends to use the net proceedings for setting up new branches and relocating certain existing branches, upgrading the IT system, advertising, marketing and brand building activities, lending to its subsidiary (Reliance AIF) for investment as continuing interest in the new AIF schemes managed by Reliance AIF, investing towards its continuing interest in new mutual fund schemes managed by them, funding inorganic growth and other strategic initiatives and general corporate purposes.