Market Today

1. PBoC buys stake in HDFC

Shares of HDFC gained nearly 4 per cent in an otherwise weak session for equities on Monday after the latest shareholding data suggested the Chinese central bank has bought over 1 per cent stake in the mortgage lender.
At 9.25 am, the scrip was trading 3.62 per cent higher on BSE.

People’s Bank of China (PBoC) has 1.01 per cent stake in HDFC as of March 31. It is not known whether the Chinese central bank bought all the shares between January and March.
Companies need to disclose shareholding changes to the exchanges at the end of every quarter only if an investor's stake crosses 1 per cent.

2. Piramal Enterprise's director resigned

Arundhati Bhattacharya resigned as Independent Director, and to take role as Chairperson and CEO in another company.

3. GMR Infra share price raised

GMR Infrastructure share price rose over 1 percent intraday on April 13 after the company's subsidiary received LoA for the development and operations of Bhogapuram Airport.

GMR Airports (GAL), a subsidiary of GMR Infrastructure, has received the Letter of Award (LoA) for the development and operations of Greenfield international airport at Bhogapuram in Andhra Pradesh from the state government, as per the company release.

4. Avenue Supermarts share price slumped

The share price of Avenue Supermarts, which owns and operates retail chain Mart, slumped 5 percent lower circuit in the morning trade on April 13 after the company said half of its stores were closed and were getting fewer customers due to the lockdown.

AK Prabhakar, Head, Research, IDBI Capital in an interview to Moneycontrol placed Avenue Supermart in the category of multibaggers of the future. The company had been growing at 25 percent in the last few years, he had said.

5. OYO’s Ritesh Agarwal says WeWork crisis changed ‘atmosphere’; explains math behind $10B valuation

Market experts and critics have often compared WeWork and OYO backed by Masayoshi Son-led SoftBank who had pushed his portfolio founders to grow rapidly at all cost without much focus on the profitability and their questionable valuation. Also, a comparison has been drawn between the two founders – Adam Neumann and Agarwal.

From $47 billion, WeWork crashed to near bankruptcy before Softbank reportedly offered bailout of $9.5-billion package in October including a tender offer of $3 billion of WeWork shares. OYO’s valuation doubled from around $5 billion to $10 billion after Agarwal decided to buy back almost all the shares of its early investors – Lightspeed and Sequoia. Agarwal said the buyback wasn’t due to SoftBank’s push.” “It was my idea . . . As the CEO, I never ever sell the shares,” he said. He reasoned the valuation jump by comparing OYO with Netflix, Uber and Peloton, the US-based exercise equipment firm that was valued at 4.5 to 5 times revenue last year when it got listed. “We had revenues of between $2.7 and $2.9 bn, so that valuation checks out,” said Agarwal.