New yr bonaza for IPO scam hit investors

if you had applied in 21 IPOs That opened between 2003 and 2005, and were not allotted even a single share, you could be in line for some windfall gains. A sebi committee that was set up to suggest ways to compensate these investors who were affected by the IPO scam which was first detected in dec 2005, said that money recovered from the scamsters should be distributed among the affected IPO applicants.
the committee, headed by retired supreme court judge D P Wadhwa, also suggested ways to recover the gains from scamsters and distribute the same among those affected by the scam. the report said that the scamsters gained rs95.7cr by rigging the IPOs. as on oct 31, 2007, the value of frozen shares of these scamsters in the depositories worked out to Rs 147.85 cr and the balance in their bank accounts frozen by CBi was at rs 1.2 cr.

Ranbaxy exist Chinese Jv

Ranbaxy laboratories on tuesday said it has sold its entire stake in Chinesejoint venture Ranbaxy Ghuangzhou pharmacy co Ltd for an undisclosed amount.
Ranbaxy Ghuangzhou China(RGCL) is a joint venture formed in 1993 between the ranbaxy group, Guangzhou baiyunshan pharmaceutical company ltd, China and Hongkong new Chemic. This transaction will help Ranbaxy in cosolidating the overall global manufacturing operations by bringing synergies and in reducing complexities in production, a spokesperson of gurgaon based company told.

Infosys plans to set up 2nd Orissa facility

IT major Inofosys Technologies has decided to set up its second project in Orissa at an investment of Rs 300 cr, official said.
Infosys's plan for the state was announced by its director of human resource, T V Mohandas Pai, after a meeting with the chief minister Naveen Patnaik in Bhubaneswar on Tuesday.
while as many as 3,000 IT professionals were now busy working at the first infosys project in the state, he said about 5000 workers would get placement in its second project.The second project would come up at IT valley on the side of the National Highway no-5 between the state capital and Khurda town

jindal power files IPO prospectus to raise rs 7k cr

Navin jindal led Jindal power on tuesday said it has filed draftprospectus with market regulator SEBI to raise Rs7,200 cr through its maidan public issue.
Jindal power has filed a draft red herring prospectus (DHRP)with the securities and exchange board of India (SEBI), on tuesday" JPL said in a statement.
jindal power, which has sedt up the country's first mega power project- the 1000 MW O P Jindal Super Thermal power plant at Raigarh in chattisgarh, is a subsidary of Jindal Steel and Power Ltd(JSPL). the company would utilise the issue proceeds to part finance the construction and development of various thermal projects, besidesfor general corporate purpose. the equity shares pf the company are proposed to be listed on the Bombay Stock Exchange and National Exchange of India.

No rate hike in 6 months:SBi

India inc can rejoice .State bank of India chairman O P Bhatt on tuesday indicated that there will be no increasein intrest rates for next six months despite inflationary pressure.
As inflation is rising, the speculation is rife that RBI might take measures to tighten the money supply, leading top hardening of interest rates, in its review of monetary policy in january. As the global economy is still in the grip of recession, industry captains feel that any hike in intrest rates will affect the economic recovery in india.
Bhatt said there was surplus liquidity in the system and credit offtake was slowly picking up.This situation of liquidity surplus will force banks not to increase interest rates.Because of this surplus liquidity, banks have cut deposits rates.But they are not cutting the lending rates due to slow credit offtake, despite the speculation that RBI can increase key rates(repo or reverse repo)to contain inflation.

IBM signs 10 yr deal with Gujrat CO-OP Bank

Global IT major IBM on monday said it signed a 10 yr aggrement for providing managed IT services with Gujrat -based sardar bhiladwala pardi people co-operative bank.
under the agreement,IBM will provide managed services like servers network security back-up and database management to the bank, IBM said in a statement.
The engagement a complete expenditure in pay as you go model, would enable the bank to save up to 50% in it infrastructure epenses, it added.

govt to divest 8.38% in NMDC by this fiscal

The govt will sell its 8.38% stake in NMDC by march 31, 2010, the navratna mineral company said on tuesday. the govt of India has desiredx to complete the process of disinvestment of 8.38% of paid up equity in NMDC Ltd out of govt's shareholding through further public offer in the domestic market during the current fiscal year, the company said in a filing to the bombay stock exchange. As part of disinvestment programme the govt is proposing to offload 8.38% of its stake in NMDC through a follow-on public offer(FPO).

Genpact to handle Max New York Life customer care

Max New york life insurance , a joint venture between Analjit Singh promoted Max India Ltd and US based New York Life international, is outsourcing customer service work to BPO firm Genpact, as part of international restructuring exercise. the move is aimed at consolidating operations and synergising efficiencies within the organisation. It will be a three yr contract and the private life insurer is looking to transfer 100 people to Genpact for the purpose.

Inox group acquires US c0

the rs 2500 crore Inox group's venture Inox India has acquired US-based Crygenic Vessel Alternatives (CVA), the world largest cryogenic transportaion equipment maker. the group announced the acquisition on monday, without divulging the deal value.

one liners

1)LG Electronics India on monday announced top level management changes with election of Y V Verma to the position of chief operating officer(COO)
2) At least 2 research students have been reported dead in a fire that broke out in a part of a laboratory in BARC complex at suburban trombay.
3) Government move triggers fear of president's rule in Andhra.
4) Reliance making super profit of rs 20K cr from KG gas : RNRL
5) Nitish cabinet nod for revised payscales to state employees
6) Sponsors of Golf superstar Tiger Woods have lost around $5-12 billion since reports of his extramartial affairs broke out, a new survey has said.

11 digit cell no. plan on hold

DoT has put on hold its plan to get all the 500 million plus mobile users in the country to change theirs phone no from 2010 and adopt a 11- digit cellular number. The DoT has recently prepared a draft notification in which it sought all mobile users to adopt a 11 digit numbering plan by prefixing 9 to their existing cellphone nos.

airfares to go up by 25% in new year

flying in the new year will be costly. Domestic airline such as Jet Airways, Air India, Kingfisher Airlines and low cost carriers are considering raising airfares by up to 25%, in jan encouraged by the recent rise in air travel and higher passanger load factor. A few airlines companies have already hiked the fares in the selected and profitable routes.

bisleri to launch natural water vedica

Ramesh Chauhan is poised to extend his bisleri packaged segment with the imminent launch of Vedica, the first wtaer brand in four decades from the pioneer of the packaged water industry. Vedica will be available from 1st jan 2010.

investor guide

GOLD
while gold has been on a winning streak for a decade , its price swings have become sharper in the past few years . since aug 2009 , when the yellow metal breached its 2008 high , its price movement has been linked to the dollar and scepticism over global economic conditions, however there is a risk of inflation with the huge fiscal stimulus over the past 18 months. gold being a natural hedge against inflation , the yellow metal could touch a new high closer to $1,300 an ounce while on the downside , there could be a support at $1,000.
SILVER
the gains in gold prices could provide more respite for silver than the trouble due to sluggish economic demand. while demand from the photography industry has declined in the past few yrs, that from electronic and medical industries is expected to see more innovative usages(such as use in battery of hybrid cars). the momentum in gold could propel the white metal towards its 2008 high of close to $21 an ounce. on the downside, $15 may become a crucial support due to to the pattern in which international prices are moving since oct 2008.
CRUDE
while crude prices have more than doubled from their early yr lows, they seem well capped by the $80 a barrel mark, as demand recovery has been factored in by the gains in the past nine months . while global demands is expected to show a gradual improvement , supply from non opec countries may rise further , limiting the upside . though demand from emerging economies has risen , opec may not increase supply without stronger signs of recovery. in 2010 this tug of war is expected to keep the crude oil supported by$64 while a breach of 480 can take it to $92.
INDUSTRIAL METAL
among industrial metals, aluminium and zinc are expected to post good performance compared to copper at the beginning of 2010. copper may see a correction towards $6,000 per tonne, given the high inventory levels(stocks on the london metal exchange increased by 85 % since july 2009). a combination of demand recovery and a possible supply crunch from the second quarter of 2010 may push prices towards $8000. demand from china traditionally starts showing improvement in feb-april.

sensex back with bang.....closes at 19 months high

markets trade at higher end.....index at 17,401.56
BSE's sensex closed at its highest level since may 16, 2008 at 17,401.56, up 40.95 points or 0.24%, off the days high of 17,486.05
niffty once again failed to close above its much talked about hurdle of 5200. NSE's index ended at 5187.95, up 9.55 points or 0.18% after touching days high of 5214.60, its highest since may 5, 2008. techanical analyst said the index would need to cross the 5200 mark on higher volumes for atleast a couple of session for traders to cover their short position and create fresh positive bets.
"markets are trading at higher end of their fair value at the moment." said Nilesh shah , deputy Md and CIO, ICICI prudential asset managememt. "investor will now wait to see how the goverenment translates its promises on economic growth and reforms into real action". he added