PSU bank stocks have opened the day on a strong note with Indian Bank, Punjab & Sind Bank and UCO Bank leading the gains. As per a leading financial daily, public sector lender Punjab National Bank (PNB) has given up its plans to enter the Canadian market since regulatory clearance was taking too long. It must be noted that the bank had been pursuing this for about 4-5 years. It was planning to start a subsidiary in Canada with a capital of Rs 1 bn to cater to the Indian diaspora as well as to finance bilateral trade and investments. PNB has overseas presence in 10 countries and has 4 overseas branches. At the end of March 2014, PNB's overseas business increased by 52% to Rs 734 bn from Rs 483 bn a year ago.
Paint stocks have opened the day on a firm note with Asahi Songwon, Asian Paints and Berger Paints leading the gains. As per a leading financial daily, leading Indian paint manufacturer Asian Paints is gearing up to expand its international presence. In April, the company's wholly-owned subsidiary in Mauritius, Asian Paints (International)Ltd, had inked an agreement with shareholders of Ethiopia-based Kadisco Chemical Industry Plc. to acquire 51% stake in the company. The company is awaiting regulatory approvals for the closure of the acquisition. Moreover, the expansion of manufacturing capacity in Bangladesh from 12,000 kilo litre (KL) to 24,000 KL per annum is nearing completion. The company's subsidiary in Sri Lanka has acquired land in Matugama Industrial Estate for a new manufacturing plant. As far as the company's domestic business is concerned, going forward, it would be initiating capacity expansion at its Rohtak plant in Haryana to increase manufacturing capacity from the current 200,000 KL per annum to 400,000 KL per annum.