Sensex down by 23 points
Mumbai: Heavy selling in ICE stocks forced them to close in the negative territory. The Sensex was down by 23 points while the S&P CNX Nifty fell by 7 points on Friday.
The Sensex opened at 3686.16 and moved further upward at 3700.66 but suffered a set back at the fag end of the day to reach the intra-day low of 3647.35 before closing at 3659.81 against to Thursday’s close of 3683.20, a loss of 23.39 points. Nifty followed suit and lost 6.95 points to close at 1174.90.
Out of the 30 stocks on the BSE index, only seven stocks were gainers while 23 others were modest to heavy losers.

Grasim, Satyam and Zee Telefilms were the major gainers among the index stocks at BSE, while other major gainers at BSE included Tata Elxsi, Arvind Mills, Titan Industries, Bombay Dyeing, Tata Finance and Silverline Technologies.
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Diversification activities hit Cipla scrip
Mumbai: Cipla’s plans to diversify into unrelated activities hit its scrip on Friday which turned bearish.

The stock, after hitting the 8 per cent lower limit at Rs 1,014.65, recovered towards the end to close 3.43 per cent down at Rs 1,069.

The counter witnessed a volume of 3.02 lakh shares, compared to 64,935 shares traded yesterday.

Cipla is a leading player in the anti-infection and anti-asthmatic formulations segment and about 85 per cent of its revenues are derived from formulations and the remaining coming from bulk drugs.

According to a brokerage firm report, the company has launched a toothpaste and cold creams in the past three months and has added moisturisers and condoms to its product portfolio.

Amar Lulla, joint managing director of Cipla said the company has been in the fast moving consumer goods segment for a year now and the company has a host of products in this category, which would add up to almost 20 products, he said.

The company has an insignificant amount of investment in the consumer goods sector.

A section of the market believes that this is an unrelated diversification and that the company may lose its focus, but some analysts feel that the diversification would put the company in a win-win situation as it can tap its wide distribution network to market consumer goods.
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Tatas’ IT stocks rise on rumours of merger
Mumbai: Tata Elxsi and Tata Infotech—Tata’s two listed stocks gained ground Friday on rumours of their merger with unlisted group company Tata Consultancy Services.

After rising consistently for the last four trading sessions, Tata Elxsi opened at Rs 81.90 on the BSE from the overnight close of Rs 80.45, jumped 14.61 per cent to Rs 92.20.

Tata Elxsi’s price has now increased 28.59 per cent over the last four trading sessions. On the other hand, Tata Infotech jumped 15 per cent to Rs 180 today on the BSE.

With this, the Tata Infotech stock has gained 36.98 per cent in the last three trading sessions, from its close of Rs 131.40 on May 22.
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Sebi upholds ban on First Global
Mumbai: The Securities and Exchange Board of India (Sebi) confirmed its earlier order debarring Shankar Sharma, Devina Mehra, First Global Stock Broking Pvt Ltd, Vrudhi Confinvest Pvt Ltd and First Global Finance Pvt Ltd from undertaking any fresh business as stock brokers, merchant bankers or portfolio managers, pending further enquiries.

Sebi said a separate order appointing an enquiry officer to probe into the alleged violations by the First Global group is expected to be passed within a week.
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