Impact of 25% public holding & newslink

This is very positive move which would improve liquidity in stocks and avoid price rigging. But the time it has come would give a chance for long term investor to buy big company stocks @ cheaper value in my view. As this move can bring close to 2lac crore of issue (as per reports) when Global liquidity and local liquidity is waning. While major proportion of the impact will come from PSU sector and anyway this will help government to reduce fiscal deficit, if needed one more stimulus package can also be announced if globally if Double recession take place.

http://www.thehindubusinessline.com/2010/06/05/stories/2010060552730100.htm  


The Bombay Stock Exchange (BSE) moved over 600 stocks — nearly one-fifth of the total stocks listed on the bourse — to the trade-to-trade, or ‘T’ group, last month, to curb speculative activity. http://economictimes.indiatimes.com/markets/analysis/BSE-T-group-stocks-soar-as-punters-ramp-up-prices/articleshow/6005503.cms  

Some of these stocks have gained anywhere between 350% and 1350% since the beginning of this calendar. For instance, Shree Nath Commercial has gained 1346%, Veritas has rose 700%, Capital Trust has jumped 570% and Tirupati Sarjan 450%, while others like Insutech, ACE India, Jaihind Synthetics, among others, have gained between 400% to 300%.