Daily Excelsior...Business

Kpit Cummins to issue bonus shares in 1:1 ratio

MUMBAI, Nov 8: Kpit Cummins Infosystems Ltd today said it will issue bonus shares in the ratio of 1:1. The board of directors at its meeting today ,.........more

ABG Heavy allots 15 lakh shares to PSA India

MUMBAI, Nov 8: City-based ABG Heavy Industries Ltd today said it has allotted 15 lakh equity shares to PSA India Pte Ltd on preferential basis. The board of .........more

Venus launches new drug in anti-infective segment

MUMBAI, Nov 8: Venus Remedies Ltd today said it has launched Mucomelt-Forte, an anti-biotic in the domestic market, further enhancing its focus on the anti-infective segment. .........more

Indiabulls Financial allots 72 lakh shares to FII

MUMBAI, Nov 8: Indiabulls Financial Services Ltd today said it has allotted 72.50 lakh equity shares to Crown Capital Ltd, a Foreign Institutional Investor .. .....more

Instanex Skindia DR Index moves up modestly

MUMBAI, Nov 8: The Instanex Skindia DR Index moved up modestly by 1.11 points or 0.05 per cent to 2,210.57 on November 7 and the Dr Index P/E Ratio .........more

Lower poultry exports due to bird flu this fiscal: Sohoni

NEW DELHI, Nov 8: Incidence of bird flu in some areas of western India early this year will impact exports of poultry products, despite the country declaring itself an avian ..........more

Power Min identifies grid lines for pvt Cos, PFC to invite EoIs

NEW DELHI, Nov 8: Taking forward its initiative to attract greater private investments, Power Ministry has identified about a dozen transmission lines that will be .......more

Govt to go slow on IT SEZs, rules out SEZ Act amendment

NEW DELHI, Nov 8: The Government has decided not to give more in-principle approvals for IT Special Economic Zones.............more

Australia-based SciGen to sell Hepatitis B vaccine in India ......

SEBI amendment bill likely in winter session........

Maruti residual stake sale decision this month..........

No interest rate change at the moment: ICICI Bank........

Kpit Cummins to issue bonus shares in 1:1 ratio

MUMBAI, Nov 8: Kpit Cummins Infosystems Ltd today said it will issue bonus shares in the ratio of 1:1.

The board of directors at its meeting today approved the issue of one bonus equity share for each share held in the company, the IT and IT enabled services provider informed the Bombay Stock Exchange.

The company would also split its shares from the existing face value of Rs 5 per equity share to Rs 2 per equity share, it added.

Kpit Cummins is engaged in development, maintenance and support of software applications, implementation and technology and knowledge based services.

The issue of bonus shares and the stock split ratio would be subject to shareholders approval.

Shares of the company were trading at Rs 600, up 0.22 per cent on the BSE. (PTI)

ABG Heavy allots 15 lakh shares to PSA India

MUMBAI, Nov 8: City-based ABG Heavy Industries Ltd today said it has allotted 15 lakh equity shares to PSA India Pte Ltd on preferential basis.

The board of directors at its meeting yesterday took the decision to this effect, the company informed the Bombay Stock Exchange.

Earlier this month, the company had decided to convene an EGM on November 4 to consider the issue of upto 15 lakh equity shares of Rs 10 each, fully paid at a premium of Rs 315 per equity share aggregating to Rs 48.75 crore, to PSA India Pte Ltd on preferential allotment basis.

The equity shares so alloted would rank pari passu in all respect with the existing equity shares of the company.

Shares of the company were trading at Rs 264.80, 0.09 per cent on the BSE. (PTI)

Instanex Skindia DR Index moves up modestly

The Instanex Skindia DR Index moved up modestly by 1.11 points or 0.05 per cent to 2,210.57 on November 7 and the Dr Index P/E Ratio stood at 25.83, Instanex Capital release said here today.

Following are the GDR and ADR rates for Nov 7 in US dollars with differences in percentage from the previous level given in brackets.

Bajaj Auto (GDR) 60.30 (-3.90)

Dr Reddy (ADR) 17.57 (-0.45)

HDFC Bank (ADR) 70.75 (+0.56)

Hindalco (GDR) 4.20 (+2.31)

ICICI Bank (ADR) 35.45 (-0.78)

Infosys Tech (ADR) 52.56 (+1.74)

ITC (GDR) 4.10 (UNCH)

L&T (GDR) 29.80 (-0.67)

MTNL (ADR) 6.18 (-0.80)

Ranbaxy Labs (GDR) 8.85 (-0.23)

Reliance (GDR) 58.05 (+0.26)

Satyam Comp (ADR) 21.20 (-0.42)

SBI (GDR) 64.50 (UNCH)

VSNL (ADR) 19.91 (-0.75)

Wipro (ADR) 14.23 (+0.14)

(PTI)

Lower poultry exports due to bird flu this fiscal: Sohoni

NEW DELHI, Nov 8: Incidence of bird flu in some areas of western India early this year will impact exports of poultry products, despite the country declaring itself an avian influenza free nation.

"The exports are expected to be lower this fiscal due to spill over effects of bird flu," Animal Husbandry Secretary Charusheela Sohoni told reporters on the sidelines of a CII organised conference here.

She was, however, confident that exports would soon pick up, as the country was complying with the guidelines of importing nations.

Exports of poultry and allied products stood at Rs 326 crore in 2005-06 as against Rs 154.11 crore in 2004-05.

She said the country had effectively combated the bird flu epidemic in Maharashtra and Gujarat in February this year.

The Secretary made it categorical that a nation-wide surveillance system had already been put in place with close coordination with the state animal husbandry departments.

On the preparedness during winter season when migratory birds come calling, she said the state forest departments are taking special care of these birds, but did not elaborate.

She, however, made it clear that these migratory birds are not the only carrier of bird flu virus, contrary to common perception.

The Government is also providing training to poultry workers through various agencies, she added. (PTI)

Power Min identifies grid lines for pvt Cos, PFC to invite EoIs

NEW DELHI, Nov 8: Taking forward its initiative to attract greater private investments, Power Ministry has identified about a dozen transmission lines that will be awarded to private firms after a competitive bidding process.

Power Finance Corporation, which has been made the nodal agency for conducting the tariff-based bidding, would invite Expressions of Interest after the ministry finalises these grid lines, government sources told PTI.

PFC would set up a Special Purpose Vehicle for transmission, similar to the manner in which it is conducting the bidding for the 4,000 MW ultra mega power generation projects. The state-run company has already received the approval of its Board of Directors, sources said.

The ministry has given PFC the flexibility to set up either only one SPV or various project-specific SPVs, sources said, adding EoIs could be invited by the end of this month.

The SPVs would do all the necessary work related to various statutory approvals. After bidding, these SPVs would be transferred to the selected developer.

As transmission is a relatively new segment for private players, the ministry has identified lines which relate to generation projects that would start operation after about five years. This would ensure that even if a private firm fails to complete the project on time, the government would have enough time to build the line by alternative means.

The lines were identified by the Empowered Committee, a core group of experts set up by the ministry to identify transmission projects that would be taken up by private firms.

Central and State Government-owned agencies and joint venture companies will also be eligible to bid, so that there is sufficient competition among the bidders.

The bids could be conducted either in one stage or two stages, comprising Request for Qualification and Request for Proposal. But the entire process would have to be completed within 240 days from the date of publishing of RfQ documents.

Sources said the identified lines do not relate to the Sasan and Mundra ultra mega projects. These lines would be constructed by state-owned Power Grid Corporation of India.

The decision to set up the core group was taken in view of the fact that within power sector, the transmission segment has seen participation from only a handful of private firms.

The group is headed by Central Electricity Regulatory Commission member Bhanu Bhushan. It also includes Central Electricity Authority Member (Power Systems) V Ramakrishna, Power Grid Corporation’s Director (Projects) S Majumdar, Planning Commission deputy advisor Shabir Khan and Power Ministry Director Jiwesh Nandan.

In fact, no private company has so far executed any transmission project on its own. Only one company - Tata Power - has so far made a presence in the segment. The Tata group company has formed a joint venture with central transmission utility PGCIL for the Tala transmission line project, which evacuates power from the Tala hydel project in Bhutan.

PGCIL is also in the process of setting up more joint ventures with Essar Power, Torrent, Reliance Energy and IL&FS to evacuate electricity from their generation projects. (PTI)

Govt to go slow on IT SEZs, rules out SEZ Act amendment

NEW DELHI, Nov 8: The Government has decided not to give more in-principle approvals for IT Special Economic Zones, Commerce Secretary G K Pillai said today.

Pillai said so far the Board of Approvals for SEZ in the Commerce Ministry has given formal clearance to 148 IT SEZs and in-principle to about 70 more.

"We have decided not to give in-principle approvals for IT SEZs. No cap is being put... If any company comes with land already acquired we will give a formal approval," he said at an Assocham seminar here.

He ruled out putting a cap on the number of SEZs in other sectors such as textiles or even multi-product zones.

Pillai also said the ministry would modify the SEZ Rules to simplify procedures. There was no need for an amendment of the SEZ Act, as was demanded by Left parties, he added. (PTI)

Australia-based SciGen to sell Hepatitis B vaccine in India .

MELBOURNE, Nov 8: Australia-based pharma company SciGen Limited will market its Hepatitis B vaccine in India starting from mid 2007.

The company has received approval for the sale of Sci-B-Vac#61472 in India and the commercialisation of the 'third generation' vaccine would commence as soon as the manufacturing facility in Rehovot, Israel, is commissioned, SciGen said.

The Israel plant is slated to be commissioned in the second quarter of 2007, it added.

By getting marketing approval in India, SciGen would get exposure to the second largest pool of Hepatitis B carriers in the world.

According to estimates, at least 45 million people in India were infected with Hepatitis B while 89,000 people died of the disease in 2005. Ten per cent developed the chronic infection.

SciGen Hepatitis B vaccine will be distributed by Shreya Life Sciences, one of the top 20 pharmaceutical companies in India, it was announced.

(UNI)

Daimler Chrysler to set up Rs 250 cr plant in Pune

NEW DELHI, Nov 8: In a bid to arm the market regulator with more powers, a comprehensive legislation to amend the SEBI Act is expected to come up in the winter session of Parliament beginning November 22.

A detailed note is being prepared by the Finance Ministry on the basis of proposals made by SEBI for this purpose and it is expected to go before Cabinet for approval in the next couple of weeks, ministry sources said.

The comprehensive amendment to SEBI Act is aimed at addressing the gaps in the legislation so that judicial settlement processes do not remain torturous, according to SEBI Chairman M Damodaran.

At present, the fines provided in the act to deal with manipulators of markets were not adequate. Therefore, there was a strong case for imposing large fines so that they act as a deterrent for scamsters.

"We need to deal with the perpetrators of scams in real time and if you have long torturous process you cannot get there", Damodran had told PHDCCI recently.

The amendment would also intend to expedite the enforcement process as the system is getting delayed, the sources said.

The amendment is likely to provide for disgorgement, which means that money amassed through unethical business transactions are paid back with interest to those affected by the action.

Disgorgement, therefore, is a remedial civil action rather than a punitive civil action.

The amendment may also have a provision for compounding offence, which means that the entities admit their mistakes before judicial settlement and pay fine.

The SEBI amendment may include "pre-bargaining" whereby entities do not admit their irregularities but pay fine.

The provision of disgorgement would arm SEBI to impose fine on those committing irregularities, which would act as deterrent to recurrence of misconduct in the capital market, Damodaran said.

The amendment would also provide access to fund for investors education. At present, all fines and penalties collected go into the consolidated fund of India, denying direct access to the money for investors education.

Through the amendment, fines and penalties accrued to SEBI would form a corpus for the Fund for Investors Protection, Damodaran said. (PTI)

Maruti residual stake sale decision this month

NEW DELHI, Nov 8: The Government today said a decision on the sale of 10.27 per cent residual stake in car-maker Maruti Udyog Ltd will be taken this month.

"A decision will be taken this month and implementation will be done next month," Heavy Industries Minister Santosh Mohan Dev told reporters on the sidelines of SCOPE directors’ conclave on corporate governance.

The minister said a final note has been moved for the consideration of various ministries and coalition partners. "I am sure that they (coalition partners) will not object to it," he said.

He said a group of officers will decide on the mode of disinvestment so that a right price can be arrived at.

The Government is expected to invite competitive bids for the stake sale, as it had done in January when it offloaded 8 per cent stake.

Maruti shares closed Tuesday at Rs 943.90 and at that price level the stake, comprising 2.96 crore shares, is expected to fetch the Government around Rs 2,793 crore.

The minister would be meeting leaders of the Left parties tomorrow or day-after to discuss the issue. (PTI)

No interest rate change at the moment: ICICI Bank

MUMBAI, Nov 8: ICICI Bank, the country’s largest private lender, today ruled out any interest rate hike in the near future and said it was rebalancing its portfolio.

Liquidity in the banking system was comfortable and there seems to be no indication or signals that could prompt an interest rate change, ICICI Bank’s Managing Director and CEO, K V Kamath said here today.

Banks would need to rebalance their portfolios and ICICI Bank was doing this on a continuous basis, he told reporters.

He said banks would should focus on deposit mobilisation, but sought a level-playing field for banks compared to other savings institutions such as mutual funds and insurance companies. (PTI)