Weekly presentation 14


Published on

weekly news presentation 14

  • Be the first to comment

  • Be the first to like this

Weekly presentation 14

  1. 1.  Suspecting an uptick in the insider trading activities in the recent market rally, Sebi has enhanced its surveillance for possible violations of rules prohibiting trading based on prior and inside information.  The market watchdog has come across over two dozen instances of major suspected violations of insider trading norms during the recent rally to new record levels above 21,000 level and the subsequent correction last week, a senior official said  While the suspicious trading activities have been noticed in the Sebi's routine surveillance of market activities, the regulator has decided to probe further into these cases and enhance its oversight for such matters going ahead, he added.  Major violations have been suspected in trading of 25-30 stocks over the past few weeks, the official said, adding that suspicious activities have been noticed in many other shares also but those are minor in terms of trade value and nature.
  2. 2.  Anil Ambani group company Reliance Infrastructure today reported a growth of 10.95% in net profit at Rs 360.18 crore for the July-September quarter. It had posted a net profit of Rs 324.63 crore during the same period last year.  Total operating income of the company was Rs 4,042.59 crore for the quarter ended September 30, a growth of about 2% as compared to Rs 3,974.46 crore it had reported during the same quarter of 2009-10, it said in a filing to the Bombay Stock Exchange.  The order book of the company for its EPC (engineering, procurement and contract) business was Rs 24,000 crore at the end of the July- September quarter, the company said in a statement. The EPC division of the company is working on 6 power projects of over 7,500 MW along with 6 road projects, the statement added.  For the April-September period, the company reported a net profit of Rs 735.48 crore, a growth of 8% compared to the net profit of Rs 680.48 crore it had posted during the same period in 2009-10. Total operating income of the company stood at Rs 7,966 crore in the first half of this fiscal compared to Rs 7,645 crore it had reported during the same period of last year.
  3. 3.  Shipping Corporation of India's $320 million share sale is likely to hit the market in the last week of November or early December, its chairman Sabyasachi Hajara told reporters on Saturday.  The firm expects to receive regulatory approval for the follow-on public offer in a couple of days, following which it will file the final copy of the red-herring prospectus with the registrar of companies, said Hajara, who is traveling to the UK and the US next week for roadshows.  The government will sell a 10 per cent stake in the shipping services firm and the company will issue another 10 per cent of fresh equity.  India plans to sell stakes in Indian Oil Corp , ONGC and Steel Authority of India Ltd in the last quarter of this fiscal year ending in March  Proceeds from the share sale will be used to fund acquisition of 9 vessels, of which it will place orders for two very large crude carriers and three containers next week
  4. 4.  Power Grid Corp of India's share sale will raise $1.7 billion after its board fixed the issue price at 90 rupees a share, the top end of the price range, the firm said on Sunday.  The state-run firm's 841.7 million share public offer closed on Friday after being subscribed 14.5 times, buoyed by strong investor response to a stock seen as a safe bet on demand growth in a power-starved nation.  Retail investors and Power Grid staff will get a further 5 per cent discount on the issue price, the company said in a statement.  On Friday, Power Grid shares closed 1.6 per cent lower, at 99.60 rupees, in a weak Mumbai market.  The offer, part of India's ongoing programme to sell stakes in some 60 firms over the next few years, follows a successful $3.4 billion IPO in state firm Coal India , the world's largest coal miner.
  5. 5.  Ratan Tata , chairman of Tata group of companies, may move Supreme Court on Monday against the publication of intercepts of his conversation with Niira Radia, who handles corporate communication for the group.  The head of the Rs 320,000 crore salt-to-software conglomerate feels, according to sources, that publication of intercepts of the conversation has violated his right to privacy.  Sources also said Tata holds that as Radia's phones were tapped by government agencies specifically for investigating a possible offence, the recorded conversations should have been used for that purpose alone. He feels strongly about the publication of conversations, which have no bearing on the case under investigation.  He, however, wants to make it clear to the SC that he does not want to stand in the way of an investigation into the 2G scam in any manner.  Seeking to invoke the writ jurisidiction of the apex court for immediate relief, Tata plans to argue that as Radia's calls were intercepted by the Income Tax department and the recordings were required to be available only toofficial agencies, it was rather surprising the conversations found their way into the media.
  6. 6.  India has tightened norms for withdrawal of provident fund by overseas workers employed in the country, prohibiting them from taking back this money until they are 58 years old or are incapacitated.  "An international worker may withdraw the full amount standing to his credit in the Fund : a) on retirement of services in the establishment at any time after the attainment of 58 years, b) on retirement on account of permanent and total in capacity for work due to bodily or mental infirmity," said an amendment carried out by the Labour Ministry.  However, analysts said that these norms have been tightened for those countries that don't have social security agreements (SSA) with India and the move may prompt them to go in for such pacts.  India has such agreements with 11 countries, but they are effective only with Germany and Belgium.  "In general, international workers (IWs) coming from non SSA country will not be eligible to withdraw their PF accumulations before the age of 58. This may block huge amounts of contributions made by IWs and their employers," said Vineet Agarwal, Director with consultant KPMG.