Indian stock market benchmarks commenced trading with gains on Tuesday, driven by a notable increase in Shriram Finance shares. This surge followed the company’s announcement of plans to sell its housing finance division.
The NSE Nifty 50, an index comprising 50 of the most prominent Indian companies, experienced a 0.18% increase, reaching 22,141.5 points. Simultaneously, the S&P BSE Sensex, another benchmark that measures the performance of 30 blue-chip stocks, rose 0.05% to 72806.61 as of 9:28 a.m. IST (Indian Standard Time).
Shriram Finance witnessed a substantial 4% jump in its share price during early trading hours after revealing its decision to divest its housing finance business to Warburg Pincus, a U.S.-based private equity firm, in a transaction valued at $554.6 million. As the top gainer on the Nifty, Shriram Finance’s positive performance contributed to an 0.11% rise in heavyweight financial stocks.
Additionally, Hindalco, an aluminum producer, experienced an approximately 2% increase in its share price following the announcement by its subsidiary, Novelis, regarding its filing for an initial public offering (IPO) in the United States. Metal stocks collectively gained 0.8% during early trading. By 11:15 a.m. IST, the Nifty 50 had further climbed by 0.32%, reaching 22,177.35 points, and the Sensex had advanced by 0.24%, reaching 72868.86 points.
