NEWZ as on 22.06.2010

Today news 22-06-2010

1. INDIAN shares joined a global party in risky assets after China pledged to let its currency appreciate, which could boost international trade, but some viewed it as a gimmick to avoid exchange rate reform dis-cussions at the G20 meeting.Equity benchmarks across the globe, commodities and crude oil surged anticipating stronger demand from China , which may now have the double benefit of a stronger yuan and rising incomes after labour disputes.
2. JSW Steel, one of India ’s biggest steelmakers, has demanded a stake in the controversial Obulapuram Mining Company (OMC) or a definite deal to supply iron ore as talks with Karnataka’s Reddy brothers for taking over their steel company reach a crucial stage.Top officials close to the negotiations told ET that the demand was made recently. JSW is looking to secure iron ore supplies for its new and existing steel projects in Karnataka and does not want to do a deal without assured supplies.
3. Bharti Airtel has appointed Ogilvy Africa BV as its marketing services partner for its African operations, the company said on Monday. The country’s largest telecom operator acquired African operator Zain Group’s mobile operations in 15 countries across Africa early this month.
4. KIA Motors, South Korea ’s second largest carmaker, is set to drive into the fast-growing Indian car market and build a manufacturing facility here, a person with direct knowledge of the development said.
5. SPECIALITY Restaurants, which owns popular fine dining restaurant chains Mainland China and Oh!Calcutta, is looking to sell 30% stake through a public issue to raise about Rs 200 crore, a person with direct knowledge of the development said.
6. TOYOTA Kirloskar Motor (TKM), in which Japan ’s Toyota Motor holds an 89% stake, is tweaking its marketing strategy to make deep inroads into heartland India .Toyota Kirloskar, which till date has focused primarily in metros and urban areas, plans to sell 40% of its cars in rural markets.In calendar year (CY) 2010, the company has set a sales target of 70,000 vehicles compared with 55,000 in CY09.
7. INDIAN Institutes of Management (IIMs) are in talks to get foreign accreditation to adhere to global benchmark, which is likely to help them in seeking tie-ups with foreign counterparts.All premier domestic institutes—IIM Calcutta, IIM Kozhikode, IIM Lucknow and ISB Hyderabad—are in various stages of getting an accreditation. IIM Ahmedabad was the first to get such recognition when it got approval from the European agency EQUIS (European Quality Improvement System)in 2008. IIM Bangalore got a similar accreditation from EQUIS last week.
8. Tata Steel won the environmental ministry approval to expand capacity at its Jamshedpur unit as it seeks to benefit from increased demand from carmakers. The company won a clearance to increase steel making capacity 43% to 9.7 million metric tonnes, according to a letter from the environment ministry posted on Tata Steel’s website.
9. Travel company Cox & Kings ( India ) plans to raise Rs 2,000 crore of equity and debt to fund expansion plans. “We have sought our board’s approval to raise Rs 1,000 crore equity and Rs 1,000 crore debt to fund our future expansion, which also includes merger and acquisition plans,“ Cox & Kings (India) CFO Anil Khandelwal said.
10. The GMR Group is willing to buy stakes held by minority partners in all the three airports it operates if there is any such offer, the group’s chief financial officer A Subba Rao said on Monday.
11. International rating agency Moody’s Investors Service on Monday said the risk profile of Reliance Industries has increased following its entry into telecom by acquiring Infotel Broadband Services, but has retained the stable outlook of the company.
12. ICICI Lombard General Insurance Company has just settled a Rs 177-crore claim on account of a fire at Indian Oil Corporation’s (IOC) Jaipur storage facility last October.
13. BHARTI AIRTEL, the new owner of Zain’s Africa operations, will invest $100 million in Uganda over two years on technology upgrades and network expansion, a senior company official said.The investment will enable the company to double subscribers over the next two years from the current two million active users, Zain Uganda managing director Yesse Oenga said on Monday.
14. ESSAR group’s acquisition of AGC Networks from enterprise communications technology major Avaya has created a storm among back-office firms that are its customers in India . Essar group’s business process outsourcing (BPO) arm Aegis, which will now own 59% or higher in AGC, competes with other back-office firms in India for contracts.
15. Hindustan Global Solutions (HGSL) acquired UK-based customer support services firm Careline. The companies did not disclose financial terms of the transaction. “Careline is a strategic fit as it opens up a new geography and provides access to new clients,” said Partha Sarkar, CEO of HGSL.
16. Acer plans to focus on the Gateway brand in the Indian market to compete in the premium segment dominated by HP and Sony Vaio. While Acer India, till late, was selling the Gateway range through Tata Group’s electronics retail chain Croma, it now plans to sell the product through its own pan-India distribution network and multibrand retail chains.
17. THE department of disinvestment has sought a review of the recent norms that make it mandatory for all listed firms to have at least 25% public float, arguing it could affect the divestment programme and impact the valuation of public sector firms.
18. Noting that some financial institutions were allegedly flouting its norms, the Reserve Bank on Monday directed banks to carry out the settlement of non-performing assets (NPAs) in a transparent manner. “Of late, certain serious concerns have been expressed in different quarters and by Debt Recovery Tribunals over the manner compromise settlements have been effected by banks,” RBI said in a notification.
19. India on Monday favoured tighter financial regulations, as opposed to an European Union proposal to tax banks to pay for future crisis, to support the fragile global economic recovery. “The important thing is that the global economy should fully recover... We support all efforts at raising the benchmark of financial regulations,” finance secretary Ashok Chawla told reporters here on the agenda of G-20 meeting beginning June 26.
20. Trade, investment, and an easier visa regime are expected to be the key focus as Indian and US policymakers and corporate leaders meet here on Tuesday to discuss how to enhance business ties. Finance minister Pranab Mukherjee leads the high-powered team of policymakers including commerce minister Anand Sharma and Planning Commission deputy chairman Montek Singh Ahluwalia at the India-US CEOs Forum.
21. Banks raised nearly Rs 5,000 crore through the CD route on Monday which is almost double of the money raised through the same route on Friday.Major issuers included PNB, which raised over Rs 1,100 crore for less than three months at 6.30%, Central Bank of India raised around Rs 1,525 crore for three months at 6.30%, Corporation Bank raised about Rs 800 crore for three months at 6.25%. Among others, State Bank of Hyderabad raised Rs 310 crore, Canara Bank raised 425 crore, Uco Bank and Vijaya Bank raised Rs 400 crore each for one year.
22. CAPITAL market regulator the Securities and Exchange Board of India (Sebi) will form a panel to examine conflict of interests in mutual funds (MFs) between different investor classes such as retail and wealthy, said a person familiar with the plan.
23. SBG Projects Investments, a part of Saudi Arabia-based Saudi Binladin Group (SBG), made an open offer to acquire an additional 20% stake in Maytas Infra at a price of Rs 195.72 per share. SBG Projects has made an open offer to acquire 1,54,23,236 shares, representing 20% stake in the infrastructure company, at Rs 195.72 per share, Maytas Infra, initially promoted by the kin of disgraced Ramalinga Raju of Satyam, said in a public announcement.
24. Anil Ambani Group firm Reliance Broadcast Network (RBS) today surged 5% in early trade on BSE after the company announced to form an equal joint venture with US media conglomerate CBS to own and operate TV channels. Shares of Reliance Broadcast Network (earlier known as Reliance Media World) climbed 4.9% to hit the upper circuit at Rs 79.85 a piece on the Bombay Stock Exchange.
25. IN THE past two months, Prakash Industries’ (PIL) stock price has declined gradually from its peak in tandem with its metal peers. Notwithstanding this drop, the company promises a strong growth ahead given the expansion plans and opportunities in domestic steel and power industry.A Rs 1,945-crore company, PIL belongs to the Surya Roshni Group. It is integrated steel and power producer and manufacturers sponge iron, heavy and medium structural wire rod, ferroalloys and power generation. It has been aggressively ramping up capacity to take advantage of growing demand for steel and power in India .
26. Silver prices rose further to touch a new record high on Monday on sustained demand from industrial users triggered by firm global cues. Silver ready (.999 fineness) firmed up by Rs 105 per kg to end at Rs 30,340 from weekend’s closing level of Rs 30,235.