GDR index rises on overseas market

However the volatility in the local bourses failed to influence the movement of the GDRs which saw the Skindia GDR premium index take a severe beating. The index slumped by 10.83 per cent to close at 18.84 per cent on July 16 against the previous week’s close of 21.13 per cent. As many as 65 GDRs registered a gain of 3.15 per cent during the week ended July 16 however the underlying shares registered marginal gain of 2.36%.

The price earning multiple GDR index however quoted at 17.16 points as against 16.94 theprevious week. Interestingly, the among the top gainers in the GDR market Videocon International featured as the top ranker recording a net gain of 52.17 per cent to close at $ 1.75. The other gainers were GDRs of Crompton Greaves and Finolex cables which appreciated by 17.65 per cent to close at $ 1 and $ 3 respectively.

However the GDR of Wockhardt was the top loser during the week ended July 16. The GDR lost 21.63 per cent. GDRs of BSES and Ranbaxy laboratories were the next to follow with each of them recording a loss of 7.27 per cent and 2.17 per cent respectively. GDRs of Oriental Hotels was trading at a large premium of 263.24 per cent on July 16 over its underlying shares, while Flex Industries was quoting at a premium of 219.20 per cent and JK Corp was trading at a premium of 195.56 per cent to their underlying share. As against this the GDRs of Himachal Futuristic was trading at a discount of 42.59 per cent to their underlying share, GDRs of Usha Beltron was trading at a discount of 28.99 percent and Wockhardt was at a discount of 10.34 per cent. The cable sector continued to remain a gainer in the GDR market, recording a rise of 8.82%, this was followed by telecom and auto.