Supreme Inds, Balrampur, NBCC gain up to 6% on F&O inclusion from Dec 31

Shares of Balrampur Chini Mills, Gujarat Narmada Valley Fertilizers and Chemicals (GNFC), Supreme Industries, Hindustan Copper and NBCC (India) rallied up to 9 per cent on the National Stock Exchange (NSE) in Wednesday’s intra-day trade on inclusion of these stocks in Futures & Options (F&O) segment from December 31, 2021. Rain Industries and Tata Communications were up 4 per cent and 2 per cent, respectively, in intra-day trade today.

Based on the stock selection criteria as prescribed by the market regulator Securities and Exchange Board of India (SEBI), the futures and options contracts on 7 additional securities would be available for trading w.e.f. December 31, 2021, subject to fulfilment of eligibility criteria of Quarter sigma computation cycle of December 2021, a circular dated November 30, 2021 from the National Stock Exchange (NSE) read. The move is expected to boost participation as investors and institutions can hedge underlying positions in the stock.

At 02:46 pm; except, Tata Communications (down 2 per cent) and GNFC (up 0.30 per cent), the remaining stocks were trading higher in the range of 2 per cent to 5 per cent on the NSE. In comparison, the Nifty50 index was up 1.15 per cent at 17,178.

Among the individual stocks, Balrampur Chini Mills was trading 5 per cent higher at Rs 326.50 after hitting intra-day high of Rs 327.95.

Last week, the company said CRISIL, the credit rating agency, has upgraded its rating on the long-term bank facilities of Balrampur Chini Mills to ‘CRISIL AA+/Stable’ from 'CRISIL AA/Positive’, The commercial paper has been reaffirmed at ‘CRISIL A1+’. CRISIL Ratings believes that the company will continue to benefit from its dominant market position in the sugar industry and diversified revenue streams will continue to offset the cyclicality in sugar business.