The key points from the document are: 1) Reliance Industries reported its fourth consecutive quarterly decline in profits, with EBITDA down 10% and net income down 6%, due to falling natural gas output and weak petrochemical margins. 2) Axis Bank reported a 22% rise in Q2 net profit. 3) The document provides an update on global market indices, sectoral indices in India, key gainers and losers on the Nifty, and headlines from business newspapers.

1. V Valuehunt
Morning Notes – 16 October 2012
Market Commentary
Market was flat in the first day of the week. It was mainly driven by results of Reliance Industries Ltd – Energy major and one of
the India’s largest private sector company. For the 4th consecutive quarter, its profit had gone down. It’s EBITDA decreased by
10%, EBIT down by 5% and net income by 6%. Even the operating margin and net income margin down by almost 1%. The
reasons for this downfall are declining natural gas output from its KG-DG basin fields and poor petrochemical margins. This is
really a cause of concern for manufacturing companies in India. Also 3rd largest private bank Axis Bank Ltd had declared its Q2
results. It’s net profit was up by 22%. This whole week will be on roll by Q2 results
CP - Artha Model Portfolio:
We increased our position in Transgene Biotek Ltd.
Our holdings:
1. FDC Ltd
2. Gujarat State Fertilizers & Chemicals Ltd (GFSC)
3. Menon Bearings Ltd
4. Jindal Poly Films Ltd
5. Transgene Biotek Ltd
6. Ricoh India Ltd
7. Parrys Sugar Industries Ltd
8. Kilitch Drugs India Ltd
9. Brescon Advisors & Holdings Ltd
Contact Us:
E-Mail : dhananjayan@artha-cap.com | Mobile : +91 96294 74080

2. V Valuehunt
Morning Notes – 16 October 2012
Global Indices Nifty Movement FII & DII Turnover Currency
Close Change 5,900
Points Buy Sell Change (%)
Price (%)
5,687 FII (Rs.mn) 12,730 12,529 INR - USD 53.02 0.4
Nifty 5,687 11.2 0.2 0.20%
Nifty
5,700 Change (%) (44%) (40%) INR - EUR 68.75 0.7
Sensex 18,713 38.4 0.2
DII (Rs.mn) 6,570 7,426 INR - GBP 85.25 0.5
Nikkei 8,578 43.9 0.5
Change (%) (44%) (25%) JPY – USD 78.79 0.4
Straight Time 3,043 1.1 0.1
5,500
Hang Seng 21,148 12.3 0.1 **FII – Foreign Institutional Investor
8-Oct-12 15-Oct-12
**DII – Domestic Institutional Investor
Shanghai 2,099 (6.3) (0.3)
FTSE 100 5,805 12.3 0.2
CAC 40 3,420 31.2 0.9 Special Situation Stocks
DAX 7,261 28.7 0.4
DJIA 13,424 95.4 0.7 Special
S&P 500 1,440 11.5 0.8 Company Comments
Situation
NASDAQ 3,064 20.0 0.7
Indo Tech Transformers Ltd has informed that the "Company has
received a proposal dated October 12, 2012, from PROLEC-GE
INTERNACIONAL, S. DE R.L. DE C.V. (the "Acquirer"), to
Sectoral Indices voluntarily delist the equity shares of the Company presently
traded on the National Stock Exchange of India Limited (the
Close Price Change (%) "NSE") and the BSE Limited ("together, the "Stock Exchanges"),
Realty 1,879 0.5 in accordance with the Securities and Exchange Board of India
Indo Tech Transformers Ltd Delisting
(Delisting of Equity Shares) Regulations, 2009 (the "SEBI
Oil & Gas 8,589 0.5
Metal 10,611 (0.1) Delisting Regulations"), by offering to purchase, the equity shares
Bankex 13,135 0.4 of the Company held by public shareholders (as defined under the
Capital Goods 11,149 (0.2)
SEBI Delisting Regulations) (the "Public Shareholders"), currently
amounting to 2,724,375 equity shares, representing 25.65% of the
Power 2,043 0.4
issued and paid-up equity share capital of the Company (the
IT 5,685 (0.8)
"Delisting Proposal").
Auto 10,244 (0.3)
FMCG 5,793 0.8 Board of Directors of the Company proposes to pass a resolution
HeathCare 7,595 0.3 Hitachi Home & Life Solutions by circulation pursuant to Section 289 of the Companies Act,
Rights issue
(India) Ltd 1956, on October 18, 2012 for issue of equity shares on rights
basis
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3. V Valuehunt
Morning Notes – 16 October 2012
Nifty Gainers Headline News
Economic Times Business Standard
Close Change (%)
Company
Price  EU tightens financial noose on Iran with new sanctions  HT Media Q2 net down 24% at Rs 33 cr
Hindalco Inds. 120.10 1.74
 SEB loan recast: Moily says issues to be sorted out  OVL-led consortium shortlisted for oil sand stake sale by
Siemens 698.10 1.65
Cipla 369.75 1.55  VIP Industries enters ladies handbag category ConocoPhillips
BHEL 249.20 1.55  ICVL to conduct due diligence on overseas coal assets
 Royal Enfield looks to expand overseas presence
Bharti Airtel 264.05 1.42
 Value of India's Global Pension Index slips
 PSL norms for foreign banks: K C Chakrabarty dismisses
criticism  JLR retail sales jump 22% in Sept
Nifty Losers  Pradip Overseas Limited plans industrial hub in Gujarat  RIL-BP relinquishes 9 oil & gas blocks on poor prospects
 Mahindra Satyam signs MoU with University of  SC refuses to stay FDI policy in retail
Close
Company
Price
Change (%) Petroleum  Stocks cheap for a trillion-dollar economy
Maruti Suzuki 1,338.25 (2.46)  JSW Steel Sep production up 54% to 7.33 lakh tonnes
 Sebi moves spook IPO mkt
Infosys 2,365.60 (1.24)
Sesa Goa 171.90 (1.06) Business Line Live Mint
Power Grid Corpn 118.85 (0.92)
Lupin 561.45 (0.86)  Reliance Industries Q2 net dips 5.7% on fall in  Axis Bank Q2 net profit rises 22% to Rs 1123cr YoY
exploration biz, rise in material costs
 Nifty to range between 5600-5800 in October: Baliga
 Private equity deals rise 16% in July-Sept
 Diageo to get controlling stake in United Spirits: Sources
Commodity  LMW’s sales, profit slump
 Rupee falls for 2nd session; inflation darkens outlook
 HT Media Q2 net down 24% at Rs 33 cr
Rs. Change (%)  Everest Kanto aims at 20% growth post FCCB redemption
Crude (Rs/Bbl) 4,838 (0.5)
 Accor sells 60% stake in 15 hotels to investment co
SAMHI  UK's Pavers to knock on FIPB's door for FDI nod on Oct 19
Gold (Rs/10 grms) 30,973 (1.0)
Silver (Rs/Kg) 59,943 (2.0)  Pharma sales growth docile in Sept at 12%  Real estate firms should not be listed: InGovern's Shriram
Copper (Rs/Kg) 435 (0.1)
 Tilaknagar Ind gets restraint order against Rhizome  RIL refuses to hike gas production till price is hiked
Note: MCX near month Futures Price Distilleries
Note : Click on article to read the respective news
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4. V Valuehunt
Morning Notes – 16 October 2012
Insider Trading Bulk Deal (BSE/NSE)
Buy Shares Trans. Holding Buy
Transaction Company Client Name Quantity %
Company Buyer / Seller /Sal after /Sale
Date Quantity %
e Trans.
EL DORADO BIOPTECH
Bayer Veer Energy B 462,000 11.89
Bilag Industrial Pvt PVT.LTD
CropScience B 5,982,948
Ltd
Ltd
EL DORADO BIOPTECH
Sea TV Network B 60,252 78.69
Birla ICICI Prudential PVT.LTD
27/09/2012 B 685,989
Corporation Ltd Mutual Fund
Fineotex Chem SHAH PATHIK B 67,851 31
Divine
Mono Herbicides
Multimedia 21/09/2012 B 1,478,475 2.21 7.93
Ltd
(India) Ltd ** Weighted Average
Dr Reddys Corporate Action
Laboratories K Satish Reddy 25/09/2012 S 7,234,992
Ltd
Company Ex-Date Purpose Rs.
Hexaware Infosys 18-Oct-12 Interim Dividend -
Technologies Elder Venture LLP 27/09/2012 B 238,026 10.1
Ltd
HCL Tech 19-Oct-12 Final Dividend 4
The Thirumbadi
Jayshree
Rubber Company 25/09/2012 B 312,900 6.26
Chemicals Ltd
Ltd HCL Tech 19-Oct-12 Interim Dividend -
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Reports prepared by Artha Capital Management LLP contain selected information and do not purport to be complete. The reports based on publicly available information
and data ("the Information") believed to be accurate and complete. Possible errors or incompleteness of the Information do not constitute grounds for liability, neither with
regard to indirect nor to direct or consequential damages. Artha Capital Management LLP, their shareholders and employees are not liable for the accuracy and
completeness of the statements, estimations and the conclusions derived from the Information contained in these documents.