Share markets in India are presently trading marginally lower.
The BSE Sensex is trading down by 81 points, down 0.2% at 43,871 levels.
Meanwhile, the NSE Nifty is trading down by 33 points.
Tata Motors and Mahindra & Mahindra are among the top gainers today. BPCL and Hero MotoCorp are among the top losers today.
The BSE Mid Cap index is trading up by 0.6%
The BSE Small Cap index is trading up by 0.5%
On the sectoral front, stocks from the auto sector are witnessing most of the buying interest.
On the other hand, stocks from the IT sector are witnessing most of the selling pressure.
US stock futures are trading lower today, indicating a negative opening for Wall Street indices.
Nasdaq Futures are trading down by 55 points (down 0.5%), while Dow Futures are trading down by 145 points (down 0.5%).
The rupee is trading at 74.34 against the US$.
Gold prices are trading down by 0.5% at Rs 50,515 per 10 grams.
In global markets, gold rates edged lower today even as coronavirus cases continued to surge in many parts of the world. On the domestic front, gold prices in India also edged lower, tracking muted global cues. On MCX, gold futures today fell 0.4% to Rs 50,546 per 10 grams, extending losses to the third day.
Moving on to stock-specific news...
Among the buzzing stocks, today is DHFL.
Lenders to troubled Dewan Housing Finance Ltd (DHFL) are looking at a repayment strategy for 55,000 fixed deposit (FD) holders as part of a resolution plan.
According to the minutes of a meeting of the Committee of Creditors (CoC) held last week, the lenders are looking at various scenarios to distribute the proceeds of the funds received from the new investor.
This includes distribution under the waterfall mechanism or under the pari-passu distribution mechanism or setting aside some amount of the outstanding claims for small investors.
According to the waterfall mechanism under the Insolvency and Bankruptcy Code (IBC), secured creditors have to be paid fully before any payments can be made to unsecured financial creditors, who in turn, have priority over operational creditors. The pari-passu distribution mechanism gives equal priority to all creditors, and the proceeds are distributed in proportion to their debt.
Most lenders, however, favor a distribution plan where the CoC sets aside 5% of the claim amount for small investors, unsecured financial creditors, and operational creditors, with the remaining resolution amount being distributed across secured creditors under the waterfall mechanism.
The consensus of all CoC members is not final as lenders remain divided over how much amount should be allocated to unsecured financial creditors that represent a small portion of CoC voting share.
How this pans out remains to be seen. Meanwhile, stay tuned for all the updates from this space.
At the time of writing, DHFL share price was trading up by 4.9% on the BSE.
Speaking of the finance sector, note that the market crash impacted all stocks, but finance stocks took the worst hit.
Even as the Sensex made a comeback to pre-Covid levels, the slowdown and asset quality concerns amid the moratorium extension is an overhang on the financial sector.
Moving on to news from the software sector...
Tanla Platforms Shares Hit a Record High as Promoter, Investors Acquire Stake
Shares of Tanla Platforms, previously known as Tanla Solutions, jumped to a record high after its promoter and other investors acquired a stake in the cloud communications provider.
According to data available on the exchanges. Promoter Mobile Techsol acquired 1.7 million shares, or 1.3% stake of the company on November 17 at Rs 391.3 apiece.
Besides, Singapore-based Amansa Investments picked up more than 4 million shares, amounting to a 3% stake at Rs 391.3 apiece.
American Funds Insurance, too, acquired a 6.3% stake, or 8.6 million shares, at Rs 391.3 apiece, the data showed.
The shares were sold by Banyan Investments. The public shareholder sold an 11% stake, or 15 million shares, at Rs 391.3 apiece. Shares of Tanla Platforms are locked in an upper circuit of 5% at Rs 435.7 apiece. The stock is up for the fifth straight day. The rally began since Tanla Platforms was included in the MSCI India Domestic Small-Cap Index on November 12.
The stock had hit a 52-week low of Rs 37.1 on March 25, but since rebounded more than tenfold.
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