SAIL falls; government seen selling stake at discount
Reuters Market Eye - Shares in Steel Authority of India Ltd (SAIL.NS) fall 3.9 percent on worries the government's planned stake sale will have to happen at a discount to attract interest as there are concerns about the company's earnings outlook.
Citigroup last week downgraded SAIL to "sell", noting downside risks to volumes, uncertainty on wages and its dependence on the domestic market, where steel prices may not rise as much as in global markets.
The government is planning to sell a stake in SAIL and other state-run companies including NTPC Ltd (NTPC.NS) in February and March.
Dealers also speculate SAIL could post lower-than-expected margins in the October-December quarter.
(Reporting by Abhishek Vishnoi)
- Tweet this
- Share this
- Digg this
- Malaysia Airlines plane missing at sea off Vietnam, presumed crashed
- Hollywood blockbuster 'Noah' faces ban in Arab world
- IndiGo plane evacuated after rear wheel catches fire in Nepal
- CORRECTED-UPDATE 4-Malaysia Airlines plane crashes in South China Sea with 239 people aboard - report
- WRAPUP 5-Malaysia Airlines plane missing at sea off Vietnam, presumed crashed
PLANE GOES MISSING
A Malaysia Airlines flight carrying 227 passengers and 12 crew went missing over the South China Sea on Saturday, presumed crashed, as ships and planes from countries closest to its flight path scoured a large search area for any wreckage. Full Article