George Soros Buys Beaten-Up Indian Stocks
Looks like legendary investor George Soros went on a shopping spree in the Indian stock market recently. According to The Economic Times (India) website:
Billionaire global investor George Soros has turned contrarian on the Indian stock market, which has seen stocks being beaten down over the past few weeks. His hedge fund Quantum, which was reported to have posted earnings of over 30% last year, went on a buying spree at a time, when most funds were dumping stocks in a sliding market.
On July 4, Quantum Fund bought a 3.8% equity in Jain Irrigation Systems, and close to 1% of the holding of Jai Corp for a value consideration of Rs 167 crore. Since February, the fund has made investments valued at close to Rs 600 crore, or $ 140 million, in various companies, including Indiabulls Financial Services, Indiabulls Real Estate and Kalindee Rail Nirman.
Bombay Stock Exchange
Mumbai, India
The Times’ Vijay Gurav discussed the Fund’s latest acquisitions in detail. Gurav wrote:
Among his latest acquisitions in India, Mr Soros bought a fresh stake of 3.8% in Jain Irrigation for Rs 121 crore. The stocks were bought at Rs 442.9 per share against the current market price of Rs 483…
Mr Soros also picked up a small stake of 0.9% in Jai Corp at Rs 282 against Friday’s closing of Rs 372. The scrip, in fact, has vaulted 27% in one week, outperforming the market by a wide margin…
Two Indiabulls group companies — Indiabulls Financial Services and Indiabulls Real Estate — are notable examples of Quantum’s recent acquisitions. The fund held 2.2% and 3.6%, respectively, in the two companies as of March 31, 2008. It also owns a 7.1% stake in Kalindee Rail Nirman, of which 6.8% was bought for Rs 32 crore in February.
Source:
“George Soros’ hedge fund Quantum on buying spree”
Vijay Gurav
The Economic Times (India), July 14, 2008
