Neogen Chemicals Stake Sale, Godrej Properties Land Acquisitions, TVS Motor Investment, and Vodafone Idea Tariff Hike

Opening Bell:             

Gift Nifty is down by 6.0 points in the early morning trade, indicating a negative opening for Indian stock market                        

Asian markets had mixed performances on Monday as investors evaluated important economic data from China and Japan. Japan’s Nikkei 225 increased by 0.8%, and the Topix limbed 0.94%. Meanwhile, South Korea’s Kospi declined by 0.16%, but the Kosdaq rose by 0.55%. Hong Kong markets were closed due to a public holiday.

The US stock market closed lower on Friday as investors digested in-line inflation data and considered political uncertainty following the US presidential debate, Reuters reported. The Dow Jones Industrial Average fell by 41.12 points, or 0.11%, to 39,122.94, while the S&P 500 decreased by 22.57 points, or 0.41%, to 5,460.30. The Nasdaq Composite ended 126.08 points lower, or 0.71%, at 17,732.60. Nike shares plunged 19.98%, marking their steepest one-day decline in over two decades, after predicting an unexpected drop in fiscal 2025 revenue. In contrast, Infinera shares surged 15.78% following Nokia’s announcement of its $2.3 billion acquisition of the company.

Stocks News:

👉Neogen Chemicals: Promoter Haridas Thakarshi Kanani has sold a 5.67% stake in the specialty chemicals company at an average price of Rs 1,611.14 per share. The stake was acquired by SBI Mutual Fund and White Oak Group. According to bulk deals data on the exchanges, India Acorn ICAV purchased 251,900 equity shares in Neogen, and Custody Bank of Japan Ltd RE RB Amundi India Small Cap Equity Mother Fund bought 770,000 shares at an average price of Rs 1,610 per share.

👉 Godrej Properties: The company has acquired leasehold rights for an 11-acre land parcel in Pune, which offers a developable potential of 2.2 million square feet and an estimated revenue potential of Rs 1,800 crore. The development on this land will primarily include group housing and high street retail. Additionally, the company acquired 7 acres of land in North Bengaluru on an outright basis for the development of a high-end residential project, featuring a developable potential of 900,000 square feet and an estimated revenue potential of Rs 1,200 crore.

👉 TVS Motor: The company has invested Rs 282.67 crore in TVS Credit Services by subscribing to an additional 68,94,335 equity shares. With this investment, the shareholding of the company in TVS Credit Services has increased from 80.53% to 80.69%.

👉 Vodafone Idea: The telecom operator has increased tariffs for its prepaid and post-paid consumers effective July 4. It is planning significant investments over the next few quarters to further enhance the 4G experience and launch 5G services.

👉 The Foreign institutional investors (FIIs) sold equities worth Rs 23 crore on June 28. In comparison, domestic institutional investors bought equities worth Rs 6,658 crore on Friday.

Domestic and International Events

• Foreign portfolio investors (FPI) became net buyers in June after two months of selling. In June, FPIs bought Indian equities worth ₹26,565 crore. FPI inflows into Indian equities were relatively modest in the first half of 2024, totaling ₹3,201 crore, following a substantial inflow of over ₹17,000 crore in the previous year.

• US monthly inflation remained unchanged in May, with the personal consumption expenditures (PCE) price index staying flat after an unrevised 0.3% increase in April. Over the 12 months through May, the PCE price index rose by 2.6%, following a 2.7% increase in April. Last month’s inflation readings met economists’ expectations.

• China’s factory activity contracted for the second consecutive month in June. The official manufacturing purchasing manager index (PMI) remained unchanged at 49.5 last month, the same as in May, according to the National Bureau of Statistics.

• Oil prices edged up in early trade on Monday, supported by forecasts of a supply deficit stemming from peak summer fuel consumption and OPEC+ cuts in the third quarter, although global economic headwinds and rising non-OPEC+ output capped gains.