Financial Technologies (India) leads gainers in 'A' group

Jaiprakash Power Ventures, Power Finance Corporation, IRB Infrastructure Developers and Jindal Steel & Power are among the other gainers.

Financial software maker Financial Technologies (India) shot up 30.88% to Rs 197.95. The stock topped the gainers in the BSE's 'A' group. Shares of Financial Technologies surged after the National Spot Exchange (NSEL) on Sunday, 4 August 2013, proposed two options for settlement of trades on the exchange in the aftermath of NSEL's decision on 31 July 2013 to suspend trading in most one-day forward contracts and to defer the settlement of all pending contracts for 15 days. Financial Technologies is one of the two promoters of the National Spot Exchange. The stock had witnessed steep slide recently after NSEL's decision on 31 July 2013 to suspend trading of all contracts, other than e-Series contracts, till further notice.

 

In a clarification to the stock exchanges, Mr. Jignesh Shah, Chairman & Managing Director of Financial Technologies (India) (FTIL) had on 1 August 2013 said that this action of NSEL does not entail any financial liability on FTIL and that the business of FTIL is as usual.

The National Spot Exchange (NSEL) on Sunday, 4 August 2013, proposed two options for settlement of trades on the exchange in the aftermath of NSEL's decision on 31 July 2013 to suspend trading in most one-day forward contracts and to defer the settlement of all pending contracts for 15 days. NSEL said that there are eight members/processors, who are willing to pay as per the scheduled due date or even earlier. The total amount pertaining these 8 members is Rs 2181 crore. NSEL said that there are 13 members/processors, who have offered to pay 5% of their total dues every week, if this proposal is agreed upon by the exchange. Total amount pertaining to these 13 members is about Rs 3107 crore. There are 3 processors with whom negotiation is still going on, NSEL said. The amount pertaining to these parties comes to Rs 311 crore.

As per the second option for settlement of trades, NSEL said that the exchange is in possession of post dated cheques (PDC) from various processors amounting to Rs 4900 crore against their settlement obligation and balance parties have confirmed payment regularly. While PSCs are a commitment, the payout process may not roll out smoothly in a month's time, NSEL said. Hence, the market participants have proposed the first option as a safer alternative, NSEL said.

Power generation firm Jaiprakash Power Ventures spurted 13.24% to Rs 11.55. The stock was second biggest gainer in 'A' group. Shares of Jaypee Group companies edged higher after it said in a corporate advertisement in a newspaper that the Group has embarked upon a focused plan of deleveraging across businesses, which will yield results in the coming twelve months.

Power projects financier Power Finance Corporation (PFC) galloped 11.62% to Rs 109.50 after net profit rose 23.3% to Rs 1198.24 crore on 27.2% growth in total income to Rs 5017.10 crore in Q1 June 2013 over Q1 June 2012. The Q1 result was announced after market hours on Friday, 2 August 2013. The stock was third biggest gainer in 'A' group.

IRB Infrastructure Developers jumped 7.95% to Rs 66.50. The stock was fourth biggest gainer in 'A' group.

Jindal Steel & Power climbed 7.73% to Rs 201.35. The stock was fifth biggest gainer in 'A' group.

Powered by Capital Market - Live News