Daily News Roundup - Jan 12 2012

State Bank of India has cut the processing fee by half on loans when competitors were contemplating to raise it to offset losses on waiver of pre-payment penalty. (ET)

Reliance Communications, which has a US$925mn convertible bond maturing in March, is in talks with China Development Bank for a loan to redeem the bond. (BS)

Coal India’s new pricing system faces strong opposition from consumers across the country as it has pushed fuel costs up by up to 70% for the small and medium steel and cement industries. (ET)

Parliaments Public Accounts Committee is likely to meet on Thursday on the CAG report on production sharing of contracts with private oil companies, including the one with Reliance Industries Ltd for KG-D6. (BS)



Wockhardt has received USFDA approval to market generic nasal spray of Fluticasone. (BL)

Wipro expects to have a US$500mn consulting business in the next three years. (BS)

ITC plans to add 5,000 hotel rooms in the next five-seven years across four brands. (BL)

Mahindra Satyam is exercising caution on damages claimed in a suit filed against its former board of directors, certain employees and audit firm Price Waterhouse to avoid paying a higher non-refundable court fee initially. (ET)

The modalities of the joint venture between Steel Authority of India Ltd and South Korean firm Posco are likely to be finalised by the end of this month. (BL)

Srei Infrastructure Finance has deferred its plan to raise around US$1bn for its proposed infra fund in the current fiscal due to dollar scarcity in the global markets. (ET)

Biocon has said the phase-III study of its Itolizumab drug to treat skin related disease was positive. (BL)

Reliance Infrastructure has completed four-laning of 90 km from Trichy to Dindigul, in Tamilnadu. (BL)

Escorts Ltd has inked a licencing and technology pact with US-based firm Honeywell for technical assistance on railway brake systems. (BS)

Thermax is talking to Babcock-Wilcox of the US to expand the scope of its power equipment joint venture in India so that it can supply for overseas orders bagged by the US-based company. (ET)
Economy Snippets

The Reserve Bank of India has sought data from all commercial banks on their outstanding bad loans to the priority sector for the financial years (April to March) 2010 and 2011. (BL)

A Group of Ministers will soon meet to decide on allowing foreign entities to pick up stakes in airlines. (BS)

Investment proposals in India plunged 45% to a five-year low in 2011 as companies halted projects citing administrative hassles. New investment proposals in the country stood at ~Rs10.5tn in 2011 compared with ~Rs18.9tn a year earlier. (BS)

Banks’ loans to corporates and individuals rose 16.1% during the year as on December 30, falling below the Reserve Bank of India’s 18% target as investments falter and consumers balk at high rate of interest. (ET)