* Act I: Eyes on India The Player: Novelis Inc. (TSX:NVL) Recent Price: $51.33 Action: Up 13.9 per cent, or $6.26, in one day on news (from $45.07 on Feb. 9, 2007) 52-week high: $51.71 (Feb. 12, 2007) 52-week low: $20.12 (Feb. 23, 2006) India is on the move. The country has been forging northward for the last 200 million years and today the pressure it is putting on the Asian continent is lifting the Himalayas more than a centimetre per year.

And now it's the West's turn to be a target - at least economically.

With low costs and easier access to global financing (thanks to India's return to full investment-grade status by Standard & Poor), Indian companies are primed and on the hunt for takeover possibilities.

The recent $12-billion Tata Steel deal for Britain's Corus Group paved the way for other mega Indian buys.

Less than two weeks later, India's aluminum producer Hindalco Industries Ltd. agreed to pay $3.5 billion cash for Atlanta-based Novelis Inc., a spinoff from Montreal's Alcan Inc.

Novelis's shareholders embraced the news, pushing the stock up more than 13 per cent in one day.

And why wouldn't they? If India has the power to move mountains, who are we to stand in the way?

* Act II: The Outsourcing Blues The Player: Shermag Inc. (TSX:SMG) Recent Price: $2.07 Action: Down 18.8 per cent, or $0.48, in one day on news (from $2.55 on Feb. 9, 2007) 52-week high: $3.40 (Feb. 10, 2006) 52-week low: $2.03 (Feb. 12, 2007) A shrinking globe does have its downside, as Shermag shareholders found out.

In its release of third-quarter results (for the period ending Dec. 29, 2006), the Sherbrooke, Que.-based residential furniture company described a "difficult transition" from domestic production to global outsourcing of mass-produced products.

That transition included the permanent closure of two domestic manufacturing plants, resulting in a $3.5-million writedown of long-term assets.

Combined with a softer retail market and the bankruptcies of several clients, there wasn't much good news to be found in the company's third-quarter numbers.

Gross revenue for the quarter was $40.6 million, down 17.3 per cent from $49 million the same period last year. Net loss was $7.7 million, compared to $4.3 million for the equivalent period last year.

Judging by the stock price slide, results like that can "sher mag" an investor grumpy.

* Act III: Pass the Buck(skin) The Player: Danier Leather Inc. (TSX:DL) Recent Price: $8.25 Action: Up 48.4 per cent, or $2.69, in less than a month (from $5.56 on Jan. 9, 2007) 52-week high: $9 (Feb. 24, 2006) 52-week low: $5.37 (Sept. 12, 2006) Some say there's nothing better than the smell of new leather, but shareholders of Danier Leather can savour the sweet scent of money.

Shares of the leather design, manufacturing and retailing company have jumped more than 48 per cent on good second-quarter news. Sales for the quarter ending Dec. 23, 2006 were $67.6 million, up nine per cent, or $5.8 million from the same quarter last year. Comparable store sales were up 12 per cent. The company credits the good results to marketing planning and better merchandise. (Their clever TV commercials aren't bad either.)

Granted, the stock isn't yet back up to the levels reached around a year ago, but with the uptick in their portfolios, shareholders can at least afford to celebrate with - well, maybe a new leather jacket.

(The above is not intended as investment advice to buy or sell any mentioned securities. Investors should do due diligence before investing. Quotes are based on results through Feb. 12, 2007.)

(Nicole Strandlund can be reached at nicole@businessedge.ca)