Stocks to Watch: Zomato, Paytm, IIFL Securities, Alkem Labs, BEML, Zen Tech, Paras Defence, and more

Here’s a quick look at stocks likely to be in focus in today’s trade.

Zomato and One 97 Communications: Zomato has made a significant leap into the entertainment sector by acquiring Paytm’s ticketing business for ₹2,048.4 crore ($244 million). This acquisition includes Paytm’s ‘TicketNew’ and ‘Insider’ platforms, which focus on movie and live event ticketing, respectively. This move allows Zomato to diversify its offerings and strengthen its presence in the “going-out” sector, while Paytm refocuses on its core financial services.

IIFL Securities: The Securities and Exchange Board of India (SEBI) has imposed a fine of ₹11 lakh on IIFL Securities for breaching stockbroker regulations. Following an inspection that covered April to July 2022, SEBI found lapses in the settlement of client funds and securities, attributed to a technical error by IIFL Securities. The penalty reflects SEBI’s ongoing efforts to enforce strict compliance in the capital markets.

IREDA: Indian Renewable Energy Development Agency (IREDA) is set to raise up to ₹4,500 crore through Qualified Institutional Placement (QIP), rights issues, or other means. The funds will support IREDA’s green financing initiatives, aimed at fostering the growth of renewable energy in India. The board will finalize the fundraising proposal on August 29, positioning IREDA to expand its impact in the sustainable energy sector.

Alkem Laboratories: The promoter of Alkem Laboratories is set to sell a 0.7 percent stake, equivalent to 8.5 lakh shares, through block deals. The floor price for these shares has been established at ₹5,616, representing a 3 percent discount to the current market price. This move could potentially impact the stock’s short-term performance as the market absorbs the additional supply of shares.

BEML: BEML has entered into a strategic partnership with the Indian Navy to develop advanced marine applications for defense purposes. This collaboration aims to bolster BEML’s capabilities in marine technologies, focusing on the indigenous design and development of critical marine equipment and systems. The partnership is expected to enhance India’s defense infrastructure and promote self-reliance in critical technology sectors.

Paras Defence and Space Technologies: Paras Defence and Space Technologies has been granted an industrial license by the Department for Promotion of Industry & Internal Trade (DPIIT) to manufacture various defense-related products. These include infrared and thermal imaging equipment, electro-optics systems, radar systems, and border security surveillance systems in Navi Mumbai, Maharashtra. This license marks a significant milestone in Paras Defence’s expansion into advanced defense manufacturing, potentially boosting its revenue and market presence.

Zen Technologies: Zen Technologies has initiated its Qualified Institutions Placement (QIP) on August 21, with a floor price of ₹1,685.18 per share. The QIP issue size is expected to be around ₹800 crore, with the potential to increase up to ₹1,000 crore. The funds raised will likely support Zen Technologies’ growth initiatives and strengthen its balance sheet, positioning the company for future expansion in the defense technology sector.

Cyient DLM: Cyient Ltd, the promoter of Cyient DLM, has offloaded a 14.5 percent stake in its subsidiary through a bulk deal valued at ₹879 crore. The shares were sold at ₹764.4 each, with Morgan Stanley emerging as a key investor in this transaction. This sale is part of Cyient Ltd’s broader strategy to optimize its investment portfolio while maintaining a significant holding in Cyient DLM.

Kalyan Jewellers: Trikkur Sitarama Iyer Kalyanaraman, the promoter of Kalyan Jewellers India, has acquired a 2.36 percent equity stake from Highdell Investment for ₹1,300 crore. This deal involves the purchase of over 2.43 crore shares at ₹535 each, further consolidating the promoter’s control and signaling strong confidence in the company’s future growth.

Procter & Gamble Health: Procter & Gamble Health reported a 43.7 percent year-on-year decline in net profit for the June 2024 quarter, amounting to ₹16.78 crore, down from ₹29.82 crore in the same period last year. Despite healthy operating numbers and reduced input costs, the decline was primarily due to an exceptional loss of ₹20.19 crore. Revenue from operations fell by 5.7 percent to ₹283.9 crore from ₹301.2 crore. The company declared a final dividend of ₹60 per share. The financial performance reflects the impact of one-time losses on the company’s profitability.

Shriram Properties: The company has announced its goal to double its sales to ₹5,000 crore by FY27, driven by the strong demand for mid-income housing and market consolidation. The Bengaluru-based developer, which achieved ₹2,300 crore in sales in FY24, plans to deliver 15-16 million square feet of residential projects in the coming years, underscoring its robust growth strategy in the real estate sector.

India Grid Trust: Sponsor Esoteric II Pte plans to divest a 17.32 percent stake in India Grid Trust through an Offer for Sale (OFS) scheduled for August 22-23, 2024. The OFS comprises a base offer of 9.66 percent and an oversubscription option of 7.66 percent. The floor price for the offer is set at ₹132 per share. Non-retail investors will participate on August 22, followed by retail investors on August 23. This OFS could influence the stock’s trading volumes and price movements during the offer period.