Indian share markets pared early gains but hovered slightly above the dotted line in the post-noon trading session. Sectoral indices are trading mixed with consumer durables, IT and pharma stocks being the biggest gainers whereas metal, power and oil & gas stocks are trading in the red.
Energy stocks are trading mixed with Gujarat Gas and Petronet LNG being the biggest gainers whereas Gas Authority of India Ltd (GAIL) and Gujarat State Petronet are the major losers. As per a leading financial daily, the board of Gujarat Gas has given a go-ahead for the merger of the state-run gas distribution companies with itself. As per the proposal, GSPC Distribution Networks, GSPC Gas, Gujarat Gas Financial Services and Gujarat Gas Trading Co will be merged with Gujarat Gas. The merger is likely to propel the company's valuations. For full year (CY13), the company's net sales grew by 1.5% YoY and the net profits were up by 28.9% YoY with margins at 11.8%, as compared to 9.3% in CY12. Gujarat Gas' stock is currently trading up by 7.9%.
Majority of the pharma stocks are trading in the green with Aurobindo Pharma and Orchid Chemicals being among major gainers whereas Dr. Reddy's Labs and Natco Pharma being among major losers. As per a leading financial daily, Zydus Cadila or Cadila Healthcare has won final approval from US Food & Drug Administration (USFDA) to market Clonidine Hcl injections in 0.1 & 0.5 mg/ml and 10 ml strengths. Clonidine Hcl injections are indicated in combination with opiates for the treatment of severe pain in cancer. Zydus cadila has filed 216 Abbreviated New Drug Applications (ANDA) and has received 90 approvals so far. The topline of Cadila Healthcare registered a healthy 17% YoY growth during the December 2013 quarter driven by strong growth in exports. The US business recorded an impressive growth of 61% YoY during the quarter. The company filed 31 ANDAs during the quarter. Cadila Healthcare's stock is currently up 1.3%.