Sensex jumps by 191 pts to regain 20k level in opening trade

MUMBAI: The BSE benchmark Sensex bounced back by 191 points to regain the psychological 20,000 points level in opening trade on as metal, capital goods and banking stocks rallied amid firming Asian cues.

The 30-share index of the Bombay Stock Exchange, which had plummeted by 444.55 points in the previous session on Tuesday, rose by 191.30 points to 20,056.44 points in opening trade.

Similarly, the wide-based National Stock Exchange Nifty index moved up by 87.50 points to 6,076.20.

Brokers said fresh foreign capital inflows into equities and a firming trend in global markets helped shares of Indian blue-chip companies rebound.

Meanwhile, in Asia, Hong Kong's Hang Seng Index was up by 1.06 per cent and Japan's Nikkei Index by 0.61 per cent in early trade. In the US, the Dow Jones Industrial Index ended a shade lower on Wednesday.

Read more: Sensex jumps by 191 pts to regain 20k level in opening trade - The Times of India http://timesofindia.indiatimes.com/business/india-business/Sensex-jumps-by-191-pts-to-regain-20k-level-in-opening-trade/articleshow/6945587.cms#ixzz15bcV2X00

Axis Bank buys Enam for Rs 2,067cr

MUMBAI: Axis Bank chief Shikha Sharma on Wednesday played a masterstroke by clinching a Rs 2,067 crore all-stock deal to take over the highly lucrative investment banking and equity businesses of Enam Securities.

The deal, under which 5.7 shares of the bank will be exchanged for each share of Enam, valued the domestic financial services major at Rs 8,333 per share. Apart from being a precursor to many such deals aimed at creating a financial supermarket model, it also represents the highest such valuation (20 times earnings) for a standalone investment banking firm.

As part of the deal Vallabh Bhanshali, co-founder and chairman of Enam, and a master deal-maker, will join the Axis Bank board. In addition, some other Enam directors will also work with the bank and 400 of its staff will move to a new wholly-owned subsidiary of Axis Bank. The bank has signed a five-year no compete clause with Bhansali and will use the Enam brand name for two years. Bhanshali, however, retains the assets management and portfolio management businesses.

Its a win win for both. While Enams strong mergers & acquisitions team can bring in large deals on the table, Axis Bank, with a strong balance sheet size can back such deals to earn substantial fees. Besides, the bank will use Enams expertise in distributing public offers through its 1,100 branch network.

Read more: Axis Bank buys Enam for Rs 2,067cr - The Times of India http://timesofindia.indiatimes.com/business/india-business/Axis-Bank-buys-Enam-for-Rs-2067cr/articleshow/6944046.cms#ixzz15bcHuEML