The government on Monday announced changes in the foreign policy, including those for sectors like aviation, DTH and defence. Here are 7 shares that could benefit from the new policy.
Foreign entities have been allowed 100 per cent FDI in the aviation sector.
One of the biggest beneficiaries would be Interglobe Aviation, which operates under Indigo Airlines. The company can now attract foreign capital for further expansion.
Shares of Interglobe were trading at Rs 1089.
Walchandnagar Industries a player in the defense industry with presence in Aerospace and missile, will be another beneficiary. The stock already rallied on Monday after the government allowed 100% per cent FDI in the Defense sector via government approval.
Shares of Walchandnagar Industries were trading at Rs 155.
In The Direct to Home space the government has allowed 100 per cent FDI, through the automatic route.
This is likely to see a major player like Dish TV seeing more investments. The stock closed at Rs 95.65 on the NSE.
Another company that is likely to benefit is SpiceJet due to the new FDI policy for the aviation sector.
This could help it get additional capital to invest and expand. The stock of SpiceJet closed at Rs 69.30 on the NSE.
Sun TV's subsidiary owns Sun Direct, which is likely to gain from the new Direct to Home FDI through the automatic route.
DTH is still a very small part of the Sun TV group. The shares of Sun TV last closed at Rs 371 on the NSE.
Reliance Defence and Engineering
The government allowed 100 per cent FDI in Defence via the government approval. Companies like Reliance Defense are likely to gain from investment inflows and also technical know-how.
Reliance Defense and Engineering last closed at Rs 69 on the NSE.
Jet Airways which sprang into profits this year, will gain from the automatic FDI route in the aviation sector.
The stock closed at Rs 586 on the NSE.