Real estate developer Indiabulls Real Estate witnessed a remarkable rise of 27.65%, reaching Rs 136.90, as optimism in the realty sector grew, fueled by expectations that a reduction in lending rates would boost demand for residential properties. The company's stock emerged as the top gainer within the BSE’s ‘A’ group shares.
On 20 October 2008, the Reserve Bank of India implemented a significant cut in the repo rate by 100 basis points, now standing at 8%, which took immediate effect. The repo rate represents the rate at which the RBI lends to banks, using government bonds as collateral, typically for durations ranging from one to three days.
In a related movement, Educomp Solutions, a provider of e-learning solutions, surged by 23.97%, climbing to Rs 2,066.40. This impressive gain positioned it as the second-largest gainer in the A group, and it marked a continuation of upward momentum for the stock after several sessions of growth. This increase is attributed to Educomp acquiring a 51% stake in Takshila Management Services, a company specializing in establishing schools across various Indian cities. The acquisition aligns with Educomp’s ambitious plan to open twenty-five schools in the next two years.
Additionally, the Infrastructure Development Finance Company, known for financing infrastructure projects, leaped by 20.82%, reaching Rs 62.10, making it the third-largest gainer in the A group.