Daily News Roundup - Dec 28 2010

NTPC has signed a Power Purchase Agreement with the state-owned Grid Corporation of Orissa for sale of power from the central sector's proposed projects in three eastern states of Orissa, West Bengal and Bihar. (ET)

NTPC has commissioned the seventh unit of the Korba Super Thermal Power Station, with a capacity of 500mw in Chhattisgarh. (ET)

iGate is set to acquire Patni Computer Systems for US$1bn, at a price of around Rs525 per share, after it reached an understanding with its promoters on the contentious issue of a non-compete provision. (ET)

PFC and REC are hiring consultants to advise them on either setting up a bank, or buying one, to cut their cost of funds. (ET)

Maruti Suzuki is working on a small SUV to tap other growing segments in the domestic car market. (BL)

Power Grid Corporation has paid Rs1bn as compensation to farmers for land acquisition in past two years. (BS)

Divestment in Hindustan Copper, which aimed to raise Rs40bn, had been deferred and might now take place either in February or after the budget. (BS)

Bharti is looking at launching its Africa-centric DTH operations in early-to-mid 2011under the Airtel digital TV brand. (FE)

Tata Steel UK, the British unit of India's biggest producer of the alloy, borrowed US$2.9bn to refinance loans taken to buy Corus Group Plc. (FE)

Lanco Infratech to hive off its power business into a separate company with the aim of hitting the capital market with an initial public offer in 2012 for financing growth plans. (ET)

ONGC proposes to increase its stake in Pawan Hans Helicopters to 49% from 21.5% by infusing Rs960mn. (BS)

Unitech said its promoters have increased stake in the company by 1.2% to 48.6% by converting warrants worth Rs2.3bn. (BS)

Union Bank of India is expecting funds worth Rs11.5bn from the government by March 2011 to boost its tier I capital. (ET)

Union Bank of India raised base rate by 50 bps to 9%. (FE)

KEC International has bagged orders worth Rs10.2bn towards transmission lines construction and various supply and civil orders. (BS)

Fortis Healthcare has announced plans to set up stand-alone Speciality Medical Centres focused on the management of diabetes, metabolic diseases and endocrinology-related ailments. (BL)

Dishman Pharma will manufacture cardiac drug ingredients for a European multinational under a US$50mn deal. (ET)

Gujarat NRE Coke has allotted 60mn convertible warrants to promoters on a preferential basis at Rs62.5 a piece. (BS)
Economy Snippets

FICCI has asked the government to delay implementation of international accounting norms, IFRS, beyond April 2011, saying the deadline is "highly unworkable" and "unfair". (ET)

India's mobile phone market added 18.9mn new subscribers in October, taking the total number of connections to 706.7mn. (ET)

An EGoM on Food is scheduled to meet and review prices of essential commodities and also discuss imposition of import duty on sugar. (ET)

The National Housing Board has tightened lending norms governing housing finance companies. It has mandated the firms to make greater provisions for loans extended to companies and builders while limiting the amount a person can borrow against property. (ET)

FIPB to take up 38 foreign investment proposals. (FE)

The Centre is planning to increase the spending on social activities with a rise in government revenue. (FE)

The government has allowed exporters of over 100 products, including garments, silk yarn and food articles, to refix their export obligation. (FE)

The Planning Commission is reviewing the Build, Operate and Transfer (annuity) model of building roads to see why it is not finding acceptability in large sections of the government. (BS)