IT, pharma, FMCG not top performers
Mumbai: The popular sectors in the stock market -- software, pharma and fast moving consumer goods -- may not be the top performers between June 1998 and June 1999, a study by The Economic Times says.

Of the 700 largest companies based on average June 1999 market capitalisation covered by the study, at least 115 stocks grew over 100 per cent over June 1998-June 1999 period and of these only two were in the Sensex, namely Infosys and Ranbaxy.

Of the 700-sample, 192 companies grew by over 50 per cent and at least 300 stocks beat the market average return of about 21-22 per cent.

The 15 stocks, which doubled had an average market capitalisation of about Rs 100,000 crore as on June 1999 and gave an average return of about 125 per cent over the preceding two-month period.
Back to News Review index page

Greater disclosures for securitisation deals suggested
Mumbai: The Reserve Bank of India (RBI) and the Securities and Exchange Board of India (Sebi) have suggested that high level of disclosures, like in a public issue, should accompany any securitisation deal which involves selling of loan portfolios by financial institutions and banks,

The regulators are also of the view that financial institutions can offload the whole securitised portfolio off their books, excepting the amount of credit enhancement provided on the securitised portfolio.

These suggestions have been made at a series of meetings between representatives of RBI, financial institutions and Sebi over the last two weeks to suggest guidelines for securitisation of assets.
Back to News Review index page

Hughes Software plans equity issue
Mumbai: Hughes Software is applying for a Rs 300 crore equity issue through the book building process. The application will be made to the Securities and Exchange Board of India this week.

This will be the first public issue of equity through the book building route by any company.

The company, a 100 per cent subsidiary of Hughes Network System of the US, will use the finds to finance acquisitions, both in India and in the Silicon Valley in the US.
Back to News Review index page

IndusInd plans private placement of equity 
Mumbai: The Hinduja Group is planning private placement of equity worth Rs 200 crore in IndusInd Media and Communications. This for the first time that the Hindujas are going in for an equity dilution in the company, which is fully owned by the group at present.

This will be part of Rs 1,000 crore fund-raising by the company, a spokesman of the group said.

The equity will be placed with strategic investors in international markets.
Back to News Review index page

Hong Kong stock, futures exchanges merge
Hong Kong: The Hong Kong stock and futures exchanges agreed to a merger that values the combined equity at around $515 million.

The merged entity will include respective clearing houses. Control will be taken away from the member-brokers and a listing is planned for September next year.

Hong Kong is following other neighbours like Singapore and Australia in an attempt to remain competitive.
Back to News Review index page