State-run banks
The government announced it was forming an asset management company to take over stressed assets of banks in an effort to clean up one of the world’s worst pile of bad loans. Banks, insurers rose on plans for setting up a bad-debt manager. State Bank of India Ltd., Bank of Baroda, Canara Bank, Union Bank of India, Bank of India and Punjab National Bank could be among the beneficiaries.
Textiles
Sitharaman’s announcement of the establishment of seven mega textile parks to be launched in three years could boost the sector, benefiting companies including Century Textiles Ltd., Raymond Ltd., Trident Ltd. and Arvind Ltd. among others.
Metropolis Healthcare, a leading diagnostic service provider, is set to acquire Chennai-based Dr Ganesan’s Hitech Diagnostic Centre Pvt Ltd for a cash consideration of Rs 511 crore. Metropolis will acquire 100 per cent equity of Dr Ganesan’s Hitech Diagnostic Centre in a cash and stock deal. The entity is a debt free company and will issue up to 495,000 equity shares of face value Rs 2 each on preferential basis, subject to shareholders approval, to the promoter group of Hitech. The cash consideration will be funded through internal accruals and a debt of up to Rs 300 crore. Dr Ganesan, promoter and founder, will be part of the leadership team for the next few years to enable a smooth transition and integration with Metropolis.