Indian markets remain positive

Wed, 13 Feb 01:30 pm

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The Indian share markets continued to witness buying momentum in the post noon trading session. The most noticeable upward movement was witnessed in the realty and IT sector while stocks from the FMCG and power sectors were among the underperformers.

BSE-Sensex is up by 128 points and NSE-Nifty is trading up by 38 points. While BSE Mid Cap is trading up by 0.75%, BSE Small Cap index is trading up by 0.43%. The rupee is trading at 53.83 to the US dollar.

Majority of the FMCG stocks are trading in the green with Lakshmi Energy and Pidilite Industries being the among the top gainers. As per a financial daily, Hindustan Unilever's (HUL) competitor Reckitt Benckiser will be soon introducing Dettol kitchen gel, which will compete with HUL's Vim brand. Vim is one of biggest brands in HUL's portfolio, and has been dominating the dishwashing space for close to 100 years. India will become the second country after South Korea where Dettol Kitchen gel will be launched by UK based firm Reckitt Benckiser. Reportedly, the product is positioned as a multi-purpose cleaner and germ killer. Apart from washing utensils, the product could be used for varied kitchen purposes, which will not only clean but also disinfect. The overall size of liquids dish wash market in India is estimated at Rs 3 bn and the total size of dish wash including bars is around Rs 20 bn. However, the liquid segment is growing at a faster pace of 40% per annum on the back of urbanization and convenience. The UK firm has leading position in the liquid hand wash market in India, where Dettol handwash brand holds the top most position, followed by HUL's Lifebuoy. The stock of HUL is trading down by 0.5%.

Most of the Indian pharma stocks are trading in the green with Cadila Healthcare and Divi's Laboratories being the major gainers. However, Dr. Reddy's Laboratories and Lupin are among the few stocks trading in the red. As per a leading financial daily, Dr. Reddy's Laboratories (DRL) has acquired 93% shares of Netherlands-based specialty pharmaceutical company OctoPlus NV. In October 2012, the company had announced acquisition of OctoPlus NV for about Rs 27.4 m euros (around Rs 1.9 bn). As per the company, the transaction is expected to be completed by the end of FY13. DRL wants to acquire all shares in OctoPlus NV. Therefore, the company wants to raise its stake in the company to a threshold limit to initiate a "takeover squeeze-out procedure" in accordance with the Dutch Civil Laws. The stock of DRL is trading down by 1.5%.