Daily News Roundup - March 3 2011

Cairn India and its JV partners are set to undertake US $44mn drilling campaign in the eastern offshore Ravva Field of K-G Basin.(ET)

BHEL bags Rs32.2bn order for thermal power in west Bengal.(ET)

Tata Steel has increased its stake in Riversdale Mining to 27.14 % from 24.2 % at an investment of around Rs5bn. (BL)



Reliance Power has raised around Rs40bn of debt from public sector infrastructure financing company Power Finance Corporation to achieve financial closure of two ultra mega power projects. (BS)

HDFC has increased its retail prime lending rate (RPLR) by 25 bps to 15.5%, with effect from March 1. (BS)

IOC raised jet fuel price by 3.4%. ATF rates in Delhi have been hiked by Rs1,870 per kilolitre to Rs54,933 per kl. (ET)

SBI’s Rs200bn right issue will likely to come in early next fiscal year.(ET)

Three leading financial institutions and banks are in talks with Reliance Industries to sell their entire stake in IL&FS, giving the Mukesh Ambani-owned company a controlling stake. (BS)

SAIL wants to build Steel Plant on FCI’s unused plot in Jharkhand.(ET)

Hotel Leelaventure plans to cut its debt by raising around Rs9.5bn over the next 2 years via sale of a property and also by foraying into real estate development. (ET)

M&M has reiterated that the move to halt supplies of the 110cc Stallio motorcycle till June was not a recall but a proactive intent. (BL)

ONGC expected to file DRHP in the month of March. (BL)

GVK Airport Holdings is buying another 13.5 % stake in Mumbai International Airport from Bid Services Division. (BS)

Environmental restrictions could pull down the internal resource mobilisation of Coal India Ltd for the current financial year by 45%. (BS)

Srei plans to float the first PE fund for India’s defence and security sector. (BS)

Shriram Transport Finance Company has launched its latest initiative Shriram Automall. (FE)

Air India has finalised a restructuring plan under which it will float a Rs20bn bond issue through Air India Charters Ltd, a profitable subsidiary which runs low-cost operations under the brand name of Air India Express. (BS)

Bosch plans to invest more than Rs13bn over 3 years and expected its capex to touch the Rs4bn mark by 2011-end. (ET)

With the Economic Survey backing teaser loan schemes, SBI Chairman has said the bank would not have to make additional provisioning for such loans. (BS)

Telecom tower companies Ascend Telecom Infrastructure and India Telecom Infra (jointly owned by IL&FS and TVS Group) have announced their merger to create an independent telecom tower operator. (BS)

The Department of Telecom may impose a penalty on RCom for switching off some of the base stations it had rolled out as part of the Universal Services Obligation scheme. (BL)

Strides Arcolab gets nod to begin US supplies from its new plant at Bangalore. (BL)

Gati has started road transportation of goods from India (Pune and Wadi) to Bangladesh on a direct door delivery basis. (BL)
Economy Snippets

The Budget's target to slash the fiscal deficit to 4.6% of GDP is achievable even if oil averages US$100 a barrel for the year, says Montek Singh Ahluwalia. (FE)

Core infrastructure industry sector grows at 7.1% in januray.(ET)

Driven by a pick-up demand in the US and Latin American markets, India’s exports rose 32.4% yoy to U$20.6bn in January. (BS)

Government said a decision to free diesel prices will depend on the inflation situation. (FE)

Finance minister has urged the industry to help build the consensus for introduction of Goods and Services Tax (GST). (FE)

Taking into account the change in excise duty in 2011-12 Budget, cement players have increased prices by Rs 4-6/50 kg bag in the western region. (FE)

The CBI on Tuesday informed the Supreme Court that 63 persons, including promoters and CEOs of 10 telecom companies, have come under scanner in the 2G spectrum scam. (FE)

AgroChemical industry set to grow to 1.7bn by 2012.(ET)

The NHAI will issue the first lot of tax-free bonds for FY2011-12 worth Rs25bn by mid-May. (BS)

Paper companies are looking to raise prices by up to 8 %, following the steep increase in coal and wood prices. (BS)