MARKET EYE-Exide down on insurance diversification; Citi downgrades

Thu Jan 24, 2013 1:09pm IST

Related Topics

Stocks

   

* Shares in Exide Industries fall 1.3 percent after
Dutch banking and insurance group ING said it was
selling its 26 percent stake in an Indian insurance venture to
local partner Exide.  
* Besides buying ING's 26 percent in ING Vysya, Exide said it
would buy 24 percent from two other private Indian investors -
Enam Group and Hemendra Kothari Group - for a total of about 5.5
billion rupees ($102 million). 
* Citigroup downgrades Exide to "sell" from "buy" and cuts its
target price to 118 rupees from 149 rupees on the news.
* The bank says the acquisition of the insurance stake is
"completely unrelated" to its core business and is also
"loss-making", thus requiring additional incremental funding. 
* Citigroup adds Exide "is unlikely to find a purchaser" for the
stake in the insurance unit.

 (abhishek.vishnoi@thomsonreuters.com /;
abhishek.vishnoi.thomsonreuters.com@reuters.net)
FILED UNDER:

REUTERS SHOWCASE

2015: India Outlook

2015: India Outlook

India in 2014: A dream run for markets  Full Article 

Funding Woes

Funding Woes

Co-founder of SpiceJet seeks time to finalise rescue  Full Article 

Regulating Airfares

Regulating Airfares

India considers temporary cap on airfares - government official  Full Article 

Flying Back on Course

Flying Back on Course

The inside story of the new Airbus A350 jet  Full Article 

Oil Price Forecast

Oil Price Forecast

Oil prices likely to rebound in second half of 2015: poll  Full Article 

Cyber Attacks

Cyber Attacks

China condemns cyberattacks, but says no proof N.Korea hacked Sony  Full Article 

Connecting Markets

Connecting Markets

China stock connect scheme scorecard throws up surprises  Full Article 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device  Full Coverage