Top gainers this week: Zee, Vodafone Idea, IRCTC buzzed the most. Here's why

SUMMARY

Indian equity benchmarks logged a fourth straight weekly gain, led by sharp gains in banking stocks. The Nifty Bank index surged to a record high, after the Cabinet approved the setting up of a bad bank for the resolution of stressed loans. A series of government support schemes also boosted investors' sentiment across sectors. Here are a few stocks that buzzed the most this week.

By CNBCTV18.comSept 18, 2021 11:42:59 AM IST (Published)

Zee Entertainment (up 39.6%): The company backed its two independent directors, Ashok Kurien and Manish Chokhani, who had resigned this week after two of its largest shareholders sought their removal. Earlier, proxy advisory firm IiAS raised serious corporate governance concerns at ZEEL, and had suggested its shareholders not to vote for reappointing the duo on the company's board at the AGM. Meanwhile, ace investor Rakesh Jhunjhunwala's Rare Enterprises and BofA Securities Europe SA bought Zee shares through open market transactions.

Vodafone Idea (up 33.1%): The debt-laden telecom operator' shares jumped after the Centre approved a relief package for the sector. The package brings several reforms aimed at stabilising the floundering sector. That included an option for telecom companies to avail a moratorium on any dues owed to the government for a period of four years. These can be both adjusted gross revenue-related dues and spectrum dues. At the end of the four years, the government will have the option of converting the existing debt into equity.

Banking stocks: Finance Minister Nirmala Sitharaman laid out details for the establishment of a bad bank. The Cabinet approved a government guarantee of up to Rs 30,600 crore for security receipts issued by the National Asset Reconstruction Company (NARCL). The Nifty Bank index surged to a record high, rising 23.1 percent for the week as SBI rose five percent and Kotak Mahindra Bank 10.5 percent. IndusInd Bank climbed up 13.1 percent, and PNB 5.7 percent.

IRCTC (up 17.3%): The stock hit a series of records, taking its market value to closer to the Rs 62,000 crore mark. Analysts said the surge can be attributed to reopening of the economy, which will benefit the travel sector, and the company’s monopoly in the internet ticketing for Indian Railways.

JSW Energy (up 15.6%): The company signed power purchase agreements with state-run Solar Energy Corporation of India (SECI) for a total wind capacity of 450 MW. With this agreement, JSW has signed a total of 2,218 MW of PPAs for wind and solar projects through various subsidiaries in the past few months. The development marks a major milestone in the company’s transition to becoming predominantly a renewables driven player, a regulatory filing said.

eClerx Services (up 9.6%): The company's board approved a buyback of 10.6 lakh shares worth Rs 303 crore at Rs 2,850 apiece. It set a record date of September 30.