Havells rises on brand rights transfer
Reuters Market Eye - Shares in Havells India Ltd (HVEL.NS) gain 4.3 percent as analysts lauded the transfer of the brand name 'Havells' from one of its promoters to the company at no cost.
Havells shares on the BSE exchange (HVEL.BO) rose 4.15 percent after earlier hitting a record high of 683.90 rupees.
Havells India said on Monday its promoter QRG Enterprises would transfer its ownership of the trademark Havells, effective from April 2016.
Citigroup says the transfer would save Havells royalty payments of up to 400 million rupees a year that the company could use to pay out dividends.
Citi adds the move also is "a major positive" in terms of corporate governance as it benefits minority shareholders.
Havells shares gained 1.94 percent over the previous two sessions on the Sensex.
(Reporting by Manoj Dharra)
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