Rally in full swing
Mumbai: The market rally continued unabated and information technology stocks along with media and entertainment stocks cornered all the attention. Investors are bullish over market information that a number of software companies are going to bag big deals from the US with Y2K becoming passe.  Stocks of Infosys Technologies, Satyam Computers, Wipro, Mastek, Leading Edge Systems and Polaris Software scaled the price band to reach the circuit breaker. Infosys Technologies once again clocked an all-time high of Rs 13,694 on the Bombay Stock Exchange while the company’s market capitalisation   crossed the Rs 45,342 crore mark. The stock also saw huge volumes – as many as 1,01,500 shares were traded. On the National Stock Exchange, the Infy commanded a price of Rs 13,451 – again an all-time high – and a volume of 64,432 shares. The company’s shareholders approved a share split of 2:1. In the media section, Zee Telefilms made substantial gains.

BSE’s Sensex closed at 4939.47, a gain of 77.54 points. The S&P CNX Nifty went up by 34.15 points to close at 1476.35.
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BSE gearing up for Internet-based trading
Mumbai: The Bombay Stock Exchange is formally writing to members of the bourse setting guidelines for Internet-based trading and explaining the rules formulated by the Securities and Exchange Board of India. BSE expects to start Internet-trading in about three months and nearly 15 brokers are understood to be fully prepared for this system. To start with, BSE will offer trading facilities. Later, the concerned brokers are expected to arrange for the required infrastructure.
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RBI panel moots guidelines for securitisation
Mumbai: A working group of the Reserve Bank of India has mooted legal and tax reforms before securitisation is introduced in the country. The in-house group said the Securities and Exchange Board of India should prepare a set of guidelines for listing relating to public issues and private placement of securitised instruments and for disclosures and investor protection. It has suggested that banks, development financial institutions and non-banking finance companies planning to invest in securitised assets must be governed by practical guidelines as it felt that securitisation is a process of pooling and repackaging of homogenous illiquid loans into marketable securities. The group finds that mutual fund as an entity is best placed to act as a special purpose vehicle in securitisation of assets.
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Silverline ADR plan cleared
New Delhi: The government has cleared the proposal of software company Silverline Industries to come out with a $125-million American depository receipts issue. The issue will comprise offering to the public as well as to employees, excluding promoter-directors. The company intends to offer 83 lakh shares, constituting 11.44 per cent of the equity. This will bring down the promoters' stake to 48.66 per cent from the present 54 per cent. The equity held by non-domestic companies will also come down to 7.94 per cent from 12.08 per cent now. Silverline has set a price range of $15 to $30 per ADR for the issue.
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Change proposed in Tata twin option fund
Mumbai: Tata Mutual Fund will covert the pure equity option of its Tata Twin Option Fund into the Tata Pure Equity Fund. The balanced fund option of the original scheme will be merged with the Tata Balanced Fund. The trustees of the fund have decided to declare a 100 per cent dividend for the Tata Pure Equity Fund.
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Tata Finance to offload equity
Mumbai: Tata Finance is placing three per cent of its equity with foreign institutional investors and companies to raise Rs 29.78 crore. Another 17 per cent of its equity will be offered on a private placement basis to raise Rs 150 crore. The company has notified the stock exchanges its plan to issue 23,00,000 equity shares on a private placement basis at Rs 86 per share and 10,00,000 cumulative convertible preference shares of Rs 100 each.

The company is raising the funds to boost capital adequacy ratio, finance the housing finance venture and to increase net worth.
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