Markets show divergent trend
Mumbai: The major stock markets moved in tandem with the election results, causing moderate to high volatility. The Bombay Stock Exchange index of 30 shares declined 11 points to close at 4,697 on 6 October 1999. The National Stock Exchange index of 50 shares closed at 1,392, up 14 points.

The BSE and the NSE showed intra-day movements of 130 and 44 points respectively. After 1 p. m., both the exchanges witnessed a fall as they realised that the BJP would gain only a thin majority.
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NSE changes issue norms
Mumbai: The National Stock Exchange has said that companies with a minimum paid-up capital of Rs.10 crore can now get listed on it. Earlier, the minimum requirement was Rs.20 crore.

In another move, the NSE has suspended seven companies for violating the provisions of the listing agreement. These companies are Consortex Karl Doelitzsch, Premier Automobiles, Rajdarshan Industries, Rinki Petrochemicals, SRG Infotech, Vatsa Corporation and Xedd Telecom.
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Ministries give clearance to Sebi
Mumbai: The Securities and Exchange Board of India has received clearance from the finance and law ministries on the issue of public issue norms for information technology companies. With this, Sebi will be able to permit IT companies to float their issues for only 10 per cent of their equity.

The finance ministry had earlier referred Sebi’s move to the law ministry, seeking an opinion as to whether Sebi is empowered to change issue norms in such a manner.

HCL Technologies, which was thinking of other alternatives, can now come out with its issue for only 10 per cent of its equity capital.
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More than 100 FIIs evince interest in India
Mumbai: According to a report in the Business Standard, about 100 foreign institutional investors have opened sub-accounts with the custodial division of Hongkong and Shanghai Banking Corporation. This shows the level of attraction the Indian markets have globally. HSBC has a 50 per cent market share in FII investments.

HSBC also has plans of setting up an asset management company with equity capital of $5 million, which will come out with schemes during the next year. The bank will also offer internet banking services from year 2000.
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DSP Merill, Enam – lead managers for Glenmark
Mumbai: Glenmark Pharmaceuticals has appointed DSP Merill Lynch and Enam Securities as the lead managers for its forthcoming public issue. Glenmark will shortly file the application with the Securities and Exchange Board of India.

The issue size and price are as yet undecided. Glenmark will use the issue proceeds for setting up a Rs.10.7-crore research and development centre in Thane district and for a Rs.17.3 crore manufacturing unit in Goa for soft and hard gel capsules and tablets. These will be manufactured according to norms laid out by the European Union’s good manufacturing practices and United States Food and Drugs Administration norms.
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Jindal Strips plans issue
New Delhi: Jindal Strips Ltd has received permission from the finance ministry to come out with a $22 million international debt issue. The proceeds will be used to fund its phase II cold rolled steel project in Hissar, Haryana.

The debt that will be raised will be converted into equity at market price as soon as the cold rolled project starts generating revenue. There will be a dilution in the promoter’s equity, but it will not fall below 51 per cent, according to Arvind Parekh, vice-president, finance, Jindal Strips.
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Wipro fixes 14 October 1999 as record date
Mumbai: Wipro has informed the Bombay Stock Exchange that the record date for splitting the face value of its shares from Rs.10 to Rs.2 will be 14 October 1999.
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