UB: A toast for acquisitions

Reshma Krishnan

AKSH Optifibre scrip shot up as news of its merger reached the market. The stock went up Rs 49.25 or 41.71 per cent to close at Rs 167.30 from the previous close of Rs 118.05.

This rise needs to be viewed in the backdrop of the news that the merger between the company and Telecords (India) Pvt Ltd has been approved by the courts.

Asian Paints: The scrip has suffered despite the news that the company has acquired Pacific Paints Co Pty Ltd, Australia for Rs 1 crore. The share price fell Rs 17.45 to close Friday's trading session at Rs 226.20 from the previous week's close of Rs 243.65.

United Breweries: The company was definitely in market favour during the week. The scrip went up Rs 10.55, 19 per cent to close the week's trading session at Rs 64.55 from last week's close of Rs 54. The rise could have been fuelled by the acquisitions made by the company in the last few days. These acquisitions will result in United Breweries having control over 26 out of 56 breweries all over the country. It will also give the company 50 per cent of the total marketshare.

Ranbaxy Labs: The market took kindly to the developments at Ranbaxy during the week. The share price soared Rs 32.05 to close at Rs 775.25 from last Friday's close of Rs 743.20. The rise needs to be seen in light of the proposed decision of drug control authorities in the country to permit Phase-II trials of the company's new chemical entity, RBX 2258.

Gesco: The company was also in investors' favour as it saw its share price rise. The stock closed at Rs 43.45, up Rs 7.50 or 20.8 per cent from the previous week's close of Rs 35.95. The rise can be attributed to the excitement surrounding the takeover attempt on the company. The present promoters, the Sheths, and the Mahindras, have made a counter-offer to acquire a 33.5 per cent stake in the company.

Thomas Cook: The company saw a marginal rise in its share price on the back of a possible merger. The share price rose to Rs 284.80, up Rs 3.70 from the previous week's close of Rs 281.10. The fact that the company is still in talks with Travel Corporation of India for a merger would have spurred interest in the scrip.

Tata Telecom: The scrip saw a small rise in value. The company formally announced a demerger of its loss-making Tatafone division during the week. The share rose Rs 6.25 to Rs 92.85 from the previous week's close of Rs 86.60.

Mico: The company saw a marginal rise in its share price. The scrip rose Rs 13.65 to close the week at Rs 3,452.65 from last Friday's close of Rs 3,439. The rise could have been fuelled by the buyback offer for 5.55 per cent of the equity at an offer price of Rs 3,800 per share.