Sebi wants UTI to pay face value on maturity
Mumbai: Securities and Exchange Board of India wants Unit Trust of India to protect the unit capital at the time of maturity of schemes.
"We understand that in the case of monthly income plan MIP 1996-IV, which was wound up recently, UTI has paid less than the face value to the unitholders," Sebi said in a communication to Investors' Grievances Forum (IGF) president and member of parliament Kirit Somaiya.
Sebi said UTI pays dividends out of unit capital in case of any shortfall during the tenure of assured return schemes. This practice was not in accordance with Sebi regulations and "we have been taking it up with UTI and have also brought it to the notice of government of India in the past."
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IDBI cuts rates on Flexibond issue
Mumbai: The Industrial Development Bank of India has reduced the return on its Flexibond issue which will open for subscription on 4 February.
As against a yield of 10.47 per cent on its 10-year regular income bonds offered in the last issue, the institution is offering a yield of 10.2 per cent on bonds with a 10-year maturity. The yield on the seven-year bonds has been maintained at 9.92 per cent. The bonds have been rated AA+ by Crisil, LAA+ by Icra and Ind AA+ by Fitch.
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Bharti IPO likely to be oversubscribed
Mumbai: The initial public offer of Bharti Tele-Ventures is likely to be over subscribed by over two times when it closes on 2 February. The 100 per cent book-building IPO has already received bids for 27.37 crore shares, which is 47.7 per cent higher than the offer of 18.53 crore shares.
The subscribers have an over lapping price bid between Rs 45 and Rs 50. The IPO has demand for 21.80 crore shares at Rs 46 a share. The demand for 14.60 crore shares have been at a price of Rs 47. At Rs 48, about 7.62 crore shares, at Rs 49 the offer is for 3.32 crore shares and at Rs 50, the offer is for 3.21 crore shares.
Around 25 foreign institutional investors are believed to have submitted bids for picking up a stake in Bharti Tele-Ventures.
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US-64 redemptions touch Rs 648 cr
Mumbai: The total redemptions of US-64 were over Rs 648 crore as on 31 January after the fund opened a limited repurchase window on 1 August 2001 for the small investors.
The scheme, whose NAV-based sales and repurchases opened on 1 January saw redemptions under the special scheme total Rs 635 crore for the six months ended 31 January 2002.
The redemptions for the five months ended December 2001 under the limited repurchase window stood close to Rs 415 crore. However, small investors redeemed units worth Rs 220.88 crore under the special window in January.
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