It’s not dull and listless year-end
Mumbai: Market talk that the year-end is going to be gloomy as far as stock markets are concerned has been proved incorrect. There was intensified activity in the markets with stocks of IT, telecom and pharma companies participating in the rally that revived sentiments. Both individual traders and domestic funds were active on the bourses and prices were naturally on the upswing. Analysts said the buying spree is on account of the presumption that foreign institutional investors are going to return in the new year with a renewed vigour. Almost all the IT stocks – Satyam Computers, Pentafour Software, VisualSoft, Sonata Software, Global Telesystems, Leading Edge and Tata Infotech – reported gains.

FMCG stocks saw substantial sell-off. So was the case of Bajaj Auto, as investors feared negative growth for the company in the third quarter of 1999-2000.

The Sensex of the Bombay Stock Exchange gained 43.56 points to close at 4862, while the S&P CNX Nifty rose by 10.10 points, closing t 1442.20.
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Sebi holds bourses responsible
Mumbai: The Securities and Exchange Board of India has held the stock exchanges responsible for not taking action against price manipulation on the bourses. In a letter addressed to the executive directors and managing directors of stock exchanges, Sebi’s executive director L.K. Singhvi pointed out abnormal movements in certain stocks whose prices have risen by 300 per cent to 1500 per cent in one to two months. He said the exchanges have not taken any proactive action despite these abnormal price movements.

The letter has also pointed out that executive directors of stock exchanges are fully responsible for market surveillance. It has suggested that the stock exchanges must suspend trading in a scrip if they feel there is some manipulation.
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Gujarat Ambuja plans overseas float
Mumbai: Gujarat Ambuja Cement is planning a global depository receipt or an American depository receipt issue to raise Rs 870 crore to finance its recent acquisitions – buying out DLF Cement and acquiring a holding in ACC. It could also be a domestic convertible debentures issue.

The company has incurred fresh debt amounting to Rs 805 crore. Its debt burden has been Rs 794 crore at the end of June 1999, and after the acquisitions, the total debt for the financial year ending June 2000 would be Rs 1,579 crore.
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PNB comes out with bond issue
New Delhi: Punjab National Bank is coming out with unsecured subordinated bonds worth Rs 60 crore for private placement. The offering will be in the market on 29 December. It carries a coupon of 12 per cent per annum and will have a tenure of 88 months. The funds raised through the issue will be eligible for inclusion in the bank’s tier-II capital. It will raise the bank’s capital adequacy ratio.
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Telco raises Rs 179 crore through debentures
Mumbai: Tata Engineering and Locomotive Company has raised Rs 179 crore in seven-year debentures at 11.40 per cent interest per annum. The issue size was Rs 100 crore, with option to retain the oversubscribed portion. The debentures were raised with put and call options through the book-building route. The company could get an attractive coupon rate as the debentures can be redeemed at par once returned to the company after an initial two-year period.
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Zurich buys out ITC Threadneedle
Mumbai: Zurich Asset Management Company India, part of the Switzerland-based insurance company Zurich, has completed the acquisition of ITC Threadneedle Asset Management Company. Zurich had earlier picked up 50 per cent holding in the company. It has now acquired the balance 50 per cent holding for $7.50 million as part of  the worldwide takeover of BAT"s financial services businesses. Threadneedle Asset Management, which held 50 per cent stake in the Indian company, was part of BAT’s financial services business.

The company said ITC Threadneedle schemes will now be renamed as Zurich India High Interest Fund. The company has seven schemes with assets of Rs 600 crore under its management.
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