Date: 07 August 2009
Thought for the day
“Untapped potential is the difference between where a person is now and where he or she can be.”
1)In a fresh attempt to kickstart the Army’s long-delayed over Rs 20,000 crore artillery modernisation programme, bedevilled by the Bofors ghost and other scandals for almost a quarter of a century, India will soon issue a mega global tender for 814 mounted gun systems.
2)The annual Wholesale Price Index-based inflation declined 1.58 per cent in the week to July 25 after falling 1.54 per cent on an annual basis in the previous week, the Government said on Thursday.
3)THE government will give Rs 2,546 crore financial help to domestic textile firms for upgrading their manufacturing units, textile miniter Dayanidhi Maran said. “(The) Rs 2,546 worth subsidies will reach the beneficiaries in 72 hours,” the minister said.
CORPORATE / INDUSTRY
4)LUPIN Pharma will launch a branded drug in the US every year for specialised therapeutic areas, as it looks to squeeze more from the market that contributes a third of its sales, where branded medicines command a higher margin. India’s fifth largest drug maker by sales markets 22 generic drugs in the US, but the company’s two branded products – advanced antibiotic Suprax and asthma drug AeroChamber Plus – accounted for about 27% of its total US sales of Rs 1,256 crore last year.
5)Energy and environment solutions provider Thermax on Thursday said it has got an order worth $20 million(about Rs 95 crore)from an Egypt-based cement maker for installing an air-pollution abatement system.
6)Premium rates in group medical cover segment are trending upwards, say general insurance industry officials. Rate-shopping by companies, for covering the medical expenses of their employees, has forced general insurers to stop offering large up- front discounts.
7)DEFYING the firm trend in overseas markets, India’s benchmark indices fell a little over 2% on Thursday, sparked by a bout of late selling. Brokers said the sell-off was triggered after an Australian institution initiated short positions in Nifty futures worth over Rs 100 crore after 2:00 p.m. This move, according to them, caused some panic among investors, who unwound a part of their long positions. BSE’s 30-share Sensex ended at 15,514.03 down 389.80 points or 2.45%, off the day’s high of 15,969.81. NSE’s 50-share Nifty closed at 4585.50, down 108.65 points or 2.31%.
8)The DCB scrip surged 10.92 per cent to Rs 38.6 on reports of fund raising. The bank plans to raise at least Rs 75 crore through sale of lower Tier-II bonds that opened on Thursday.
9)Jindal Poly Films shares rose 6.07 per cent to close the day at Rs 338.95 on buyback plan. The share buyback offer is worth Rs 73 crore and would be open till August 11.
10)The initial public offer of NHPC, a mini-ratna category-I public sector undertaking and hydroelectric power generating company, will open for subscription on August 7 and close on August 12. The price band has been fixed between Rs 30 and Rs 36 per share.
11)US-BASED investment management firm T Rowe Price which is set to buy a 26% stake in UTI Asset Management Company(UTI AMC) is paying around Rs 200 per share, which is less than the offer made informally by the existing shareholders of the AMC
12)Mutual funds will now have to disclose inter-scheme transfers of corporate bonds on stock exchanges where they are traded. The guideline, issued by the Securities and Exchange Board of India (Sebi), will come into effect from August 10.
13)ICE benchmark front-month raw sugar futures powered to a 28-year high of 19.82 cents a pound on Thursday, driven by prospects of strong import demand from India and slow harvesting in top grower Brazil, dealers said.
14)Gold was steady around $960 an ounce in Europe on Thursday, pressured by a slight up tick in the dollar, but trading was muted ahead of an interest rate decision from the European Central Bank due later in the session.
15)CONTINUING its firm trend in the face of good demand from northern states, turmeric prices at the market in Erode, largest in the country, touched an all-time high of Rs 8,000 per quintal, trade sources said.
16)INDIA’S struggling realty industry may have sprouted some green shoots of late, but the top nine listed real estate firms posted a 76% dip in profit and 57% fall in sales in the June quarter, prompting the segment leader to observe that the industry is not “completely out of the woods”. Analysts said the revival in demand could improve things, especially in light of a government subsidy for loans taken for affordable housing, but warned that a possible price war between players sitting on huge inventories could spoil the scene.
17)Real estate firm 3C Company on Thursday announced the launch of Rs 1,550-crore residential project in the national capital region, the first phase of which would be completed in the next two years. The project, Lotus Boulevard, would be funded by real estate private equity firm Red Fort Capital, which has a 50% stake in it.
18)AIRCEL Cellular has shortlisted four players – US-based American Tower Corporation and Crown Castle International, Bharti Infratel and the Tata-Quippo combine – for buying out its tower business in a deal worth $1.5-2 billion, according to an executive familiar with the development. These four companies will have access to Aircel’s books, starting next week to begin due diligence.
BUSINESS PROCESS OUTSOURCING
19)WARBURG Pincus has approached its global private equity peers for selling its 50.12% stake in BPO firm WNS Global Services, an indication that the global recession could lead to consolidation among providers of back-office services. NYSE-listed WNS, India’s second largest BPO firm, may fetch a valuation of around $800 million providing Warburg with an exit payout of $400 million, according to investment banking sources.
20)NASDAQ-Listed BPO firm ExlService Holdings(EXL) on Thursday said it expects revenue growth to accelerate in the second half of current year on the back of strong demand in key verticals. The company maintained its revenue and operating margin guidance for 2009, even as forex losses and one-time expenses brought down its net income for the second quarter ended June 30 by 76% to $1.3 million. Revenues plunged 10.6% year-on-year to $42.4 million due to discontinuation of work with clients such as Aviva, Orange Business Services and mortgage clients.
21)Following the multi-billion dollar fraud at Satyam Computer early this year, the Hyderabad-based firm is now officially out of the league of the country’s largest software companies, but its new parent, Tech Mahindra, is now among the top five IT firms. Besides, rival HCL Technologies has now moved up one place to grab the fourth position, occupied by Satyam Computer till last year, according to the latest rankings by the industry association, National Association of Software and Services Companies(Nasscom).
22)In what is probably the biggest IT deals in the domestic market currently, Indian Air Force’s e-maintenance project will see India’s top three IT players- TCS, Infosys Technologies and Wipro Technologies-slug it out among themselves to grab the deal, pegged to be worth Rs 2,500 crore.
23)Crude oil futures extended declines in New York, falling as much as 2.4 per cent. Crude oil stockpiles climbed 1.67 million barrels to 349.5 million last week, the Energy Department said. Crude oil for September delivery dropped $1.61, or 2.2 per cent, to $70.36 a barrel at 10:04 a.m. on the New York Mercantile Exchange. Oil earlier fell as low as $70.22 a barrel.
24)The Bank of England increased its bond purchase programme by 50 billion pounds($84 billion), saying the UK’s economic recession is deeper than policy makers expected. The nine-member Monetary Policy Committee, led by Governor Mervyn King, kept the key interest rate at 0.5 per cent and said it will increase its purchase program to 175 billion pounds. Twenty-three of 44 economists in a Bloomberg News survey predicted an expansion of the plan, and the rest saw no further purchases.
FOR MORE INFORMATION, PLEASE BROWSE THROUGH THE FOLLOWING SITES.
Karvy Consultants Ltd www.karvy.com
KARVY Global Services Ltd www.KARVYGlobal.com
KARVY Realty (India) Limited www.karvyrealty.com
Economic Times www.economictimes.com
The Financial Express www.financialexpress.com
Business Line www.businessline.in
Business Standard www.business-standard.com
The Times of India www.timesofindia.com
The Hindu www.hindu.com
Deccan Chronicle www.deccan.com
The New Indian Express www.newindpress.com