Invest in Dewan Housing: Atherstone Capital Markets

Firstly on Dewan Housing Finance and then on PSU banking counters like BOB, Corporation Bank, SBI. Any of these counters that you would particularly look to start investing in right now?

Gurunath Mudlapur: Dewan Housing Finance- yes we agree what the company has been doing right now is strategically the best possible way to consolidate and then grow itself into the home financing markets in India and we do have a positive call on the company and we think that one should be invested into this sector and this company.

As far as PSU banks are concerned and the government is concerned I think that its timely and appropriate move and India is a growing economy and there is a need of capital for all the banks when they have to grow their balance sheets and this is natural move of that. Be it from public markets or from the promoter either which ways I think it is a good move that the banks are getting the funds at this stage which can help them to continue to maintain their growth lending.

From that perspective I think for almost all the banks I think it’s a good development and we consider that yes there is a bit of dilution but I think it’s a very short term effect and incremental advantages for the business is far outweigh the dilution at this stage so from that perspective I think it is strategically a good move.