Daily News Roundup - Sep 27 2010

L&T plans to spin off its financial services vertical into an independent entity under a separate holding company. The move is aimed at facilitating its application for a banking licence when the opportunity arises. (BS)



Mahindra Satyam stated that it has notified NYSE of its intent to delist its ADRs. (BL)

BHEL has stated that it is in talks with SAIL and Vizag Steel to tie up for manufacturing high-grade steel, while Posco might also join the proposed JV company as a technology partner. (BS)

BHEL is open to all possible opportunities - brownfield, greenfield, acquisition and joint venture — to enhance its capacity, Some units, in particular, are on a major expansion drive. (BS)

Government says it has issued show cause notices to GVK Power and Bhushan Steel and Power for their failure to develop coal blocks awarded to them within the timeframe stipulated in the mining agreements. (BS)

Reliance Infrastructure will complete the process of raising a debt of about Rs84bn by next month to execute its current portfolio of 11 road projects worth Rs120bn. (BL)

Aban Offshore received shareholders' nod to raise around US$400mn by way of FCCB, GDRs, ADR/shares and others. It also got nod to raise around Rs25bn through QIBs. (BS)

Nalco has proposed to the Orissa government for setting up of a power station in association with a couple of state PSUs. (BS)

Berger Paints plans to set up a paint manufacturing complex at an outlay of Rs3.5bn in Andhra Pradesh. (BL)

Promoters of Dr Reddy's Laboratories have stated of having no intention to sell their stake in the company. (BL)

IVRCL Infrastructures bags Rs7.5bn Maharashtra road project. (BL)

Bharat PetroResources, wholly owned subsidiary of BPCL for E&P, plans to divest stake in a few of its overseas blocks. (DNA)

BPCL plans to invest Rs500bn in the next five years for expansion of refinery capacity, overseas acquisitions of oil and gas assets and setting up power projects. (ET)

Strides Arcolab has raised US$100mn through a QIP issue. (BS)

Reliance Power is setting up the world’s largest solar power plants in the country with an investment of Rs90bn; plans to generate around 600MW from these ventures. (TOI)

Ranbaxy arm exits Orchid Chemicals, sells 13% stake in tranches. (FE)

The government has approved the sale of 26% stake by Indiabulls in Indian Commodity Exchange to Anil Ambani-led Reliance ADAG. (ET)

SCI plans to spend around US$4.3bn to buy 57 new vessels of which it will get delivery of 27 vessels by the end of FY12. (ET)

The Supreme Court refused to stay a probe by fair trade regulator Competition Commission of India into alleged anti-competitive practices by Kingfisher Airlines. (ET)

HCC receives Rs6.6bn hydel project contract. (FE)

Max India chairman Analjit Singh would subscribe to the Rs13bn rights issue announced by EIH. (ET)

Aditya Birla PE and Bajaj Holdings & Investment have together picked up around 10% stake in rating agency Credit Analysis & Research. (ET)

Crew B.O.S. plans to raise over Rs1bn partly through a preferential allotment to a private equity fund. (ET)

Omaxe bags Rs700mn project from GMADA. (BS)

Gammon Infrastructure is planning to raise as much as Rs2bn this financial year by selling partial stakes in projects which have either started or in advanced stages of becoming operational. (BS)
Economy Snippets

Forex reserves rose by US$3.2bn in the week ended September 17 to US$288bn. (BS)

Government tightens norms for providing sovereign guarantees for funding of projects and asked financially-strong PSEs to raise money from the market directly without state support. (BS)

Power Ministry is considering the option of accommodating blocks affected by the ’no-go’ policy through boundary adjustment where permissible or moving proposed sites to the ‘go' zones. (BL)

August oil product sales dip 0.3% yoy, says government. (FE)

The RBI asks several state governments not to give new businesses, which could generate thousands of crores of income, to private sector banks. (ET)

The RBI may soon allow micro-finance institutions to set up banks. (ET)

DoT to consult Finance Ministry on bailout package for new telecom companies. (BS)