Banking and gas scrips benefitted most at the BSE: Experts

Mumbai, June 19 (UNI) Market analysts today said banking and oil&gas scrips benefitted the most from the rally at the premier Bombay Stock Exchange (BSE).

Strong buying momentum was seen in select index pivotals like Reliance Industries ltd (RIL), State Bank of India (SBI) and Oil&natural Gas Corporation (ONGC), besides the country's largest lender, ICICI Bank.

The follow-on public offer (FPO) of ICICI Bank was fully subscribed in the first twenty minitues of the opening of the issue today, and gathered further steam as the day progressed. The scrip advanced by 2.69 per cent to Rs 942.50. It had earlier set its price band at Rs 885 to Rs 950 per equity share.

Retail bidders were allotted shares at a discount of Rs 50 per share to the issue price determined by the book-building process.

The issue size was Rs 8,750 crore. In addition, there is a green-shoe option under which the bank may allocate additional equity shares up to Rs 1,312.5 crore. The issue, including the green-shoe option, aggregates Rs 10,062.5 crore.

Besides, state-run banking major State Bank of India (SBI) surged 3.78 per cent to Rs 1368.30 on 5.56 lakh shares. It was the top gainer from the Sensex pack. SBI is set to raise USD 225 million from the overseas market this year by issuing perpetual bonds. The overseas issue opened yesterday and the bank is expected to price the bonds this week. The bank plans to raise a total of Rs 15,000 crore this year in the form of equity (tier-I) and debt (tier-II).

Other shares from the banking pack also gained. Bank of India rose by 6.65 per cent to Rs 204, Bank of Baroda was up by 1.86 per cent to Rs 265.10, Kotak Mahindra Bank gained by 4.75 per cent to Rs 589.95, Canara Bank was up by 5.57 per cent to Rs 252 and HDFC Bank gained by 1 per cent to Rs 1098.70.

Among gas stocks, index heavyweight Reliance Industries ltd (RIL) advanced by 3.42 per cent to Rs 1728.35, on 7.49 lakh shares. It rallied to a high of Rs 1731.90, in late trade. Market analysts said that global oil giants including Shell, Exxon and Chevron are eying a stake in Reliance Industries' overseas oil &gas assets. RIL recently hived off these assets into a separate company, Reliance Exploration and Production DMCC, they noted.

State run oil exploration major Oil&Natural Gas Corporation (ONGC) advanced by 2.53 per cent to Rs 912. ONGC unveils fourth quaterly (Q4) March 2007 and financial year (FY) 2007 results later this month on June 25.

UNI