>Stocks on the move (ICICI Direct)

- > BALRAMPUR CHINI
- > TATA ELXSI

Balrampur Chini: Balrampur Chini Mills is one of the largest integrated sugar manufacturing companies in India. The company has nine sugar factories located in eastern UP having an aggregate crushing capacity of 73,500 tonnes per day. With the India sugar inventory falling from 9.1 MT in 2008 to less than 4 MT in 2009, the current demandsupply mismatch has led to a surge in sugar prices to Rs 22 per kg causing mills to register a significant improvement in margins. We believe the company is likely to benefit from the low-cost 1.17 lakh tonnes of sugar inventory, which the company is holding. It is also well capitalised to benefit from rising sugar prices due to its integrated business model and operational efficiency.

Tata Elxsi: Tata Elxsi is engaged in providing information technology related products and services. It offers embedded product design services, industrial design and engineering, animation and visual effects and systems integration services. The company primarily operates in India. The company had provided the animation support for one of theBollywood animated movie Roadside Romeo. Since the company operates primarily in India it will be less impacted from the slowdown in the global financial markets.

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