Wires manufacturer Paramount Communications shares gain around 4%, here's why

Shares of wires manufacturer Paramount Communications on Wednesday gained around 4 per cent to trade at Rs 98.76 on the BSE. The surge in the counter comes as the company informs exchanges that it has received official communication from the promoter group regarding the release of pledged shares.

A total of 3.96 crore shares, pledged by the company's promoter group with Invent Assets Securitisation & Reconstruction Private Limited, have now been released.

"The aforesaid equity shares were pledged by persons/entities belonging to promoter/promoter group of the Company, to secure the debt of Paramount Communications Limited, since the Company has repaid and clear all dues of Invent, so the said pledge has been released by the Invent on the equity shares held by persons/entities belonging to promoter/promoter group of the Company," the company said in an exchange filing. 

Meanwhile, benchmark equity indices declined in early trade on Wednesday after a record rally, dragged by IT stocks and sluggish global market trends, ahead of the much-awaited US Fed's decision on interest rates.

The 30-share BSE Sensex declined 130.24 points to 82,949.42. The NSE Nifty dipped 37.75 points to 25,380.80.

From the 30 Sensex firms, Tech Mahindra, Infosys, Tata Consultancy Services, HCL Technologies, Asian Paints and Sun Pharma were the biggest laggards.

Bajaj Finance, ITC, Bajaj Finserv and HDFC Bank were among the gainers.

In Asian markets, Tokyo traded higher while Shanghai quoted lower.

The US markets ended on a mixed note on Tuesday.

"The significance of the Fed rate decision expected tonight is evident from the wait and watch market mood across the globe yesterday. Perhaps more important than the Fed action would be the Fed commentary and the message," said V K Vijayakumar, Chief Investment Strategist, Geojit Financial Services.

Foreign Institutional Investors (FIIs) turned buyers on Tuesday as they bought equities worth Rs 482.69 crore, according to exchange data.

Global oil benchmark Brent crude declined 0.46 per cent to USD 73.36 a barrel.

Extending its record-setting spree for the second day on Tuesday, the BSE benchmark climbed 90.88 points or 0.11 per cent to settle at a lifetime high of 83,079.66. The Nifty went up by 34.80 points or 0.14 per cent to settle at an all-time peak of 25,418.55.