Infosys ADR takes a hammering
Chennai: With Infosys declaring its Q3 results Wednesday, its ADR, which represents one equity share of the company, tumbled by over eight per cent.

The Infosys ADR, which hit its new 52-week high on January 9 at US$83.38, was ruling at US$73.8 against Tuesday's closing price of US$80.64, a drop of 8.48 per cent amidst robust trading volumes of about 5.07 lakh ADRs.

The Satyam ADR, representing two equity shares, was also ruling weak at US$36.94 (US$38.32), a decline of about four per cent. The Wipro ADR, which represents one equity share, was last quoted at US$11.97 ($12.20), down by 1.8 per cent.
Back to News Review index page  

Unichem Lab. board sanctions hike in FII limit
Mumbai: The board of directors of Unichem Laboratories Ltd has given its approval to increase the investment limit of foreign institutional investors' (FII) in the company to 49 per cent. FIIs at present hold about 2 per cent stake in the company.

At its board meeting on Tuesday, the company also received approval to make a preferential allotment of 1,875,000 equity shares to New Vernon Pvt Equity Ltd (formerly New Vernon Bharat Ltd) at a premium of Rs295 per equity share of Rs5 each. This would fetch about Rs56 crore to the company and would be utilized towards funding the company's expansion plans.

The two proposals are subject to shareholder approval, Unichem told the Bombay Stock Exchange.
Back to News Review index page  

Sree Sakthi IPO to reposition it in the high-end kraft paper market
Chennai: Sree Sakthi Paper Mills Ltd has chalked out an expansion plan towards repositioning itself as a high-end player in the kraft paper market. The company plans to fund the same through a Rs25-crore equity offer to the public.

The company's public issue is set to open on January 17.

The company now intends to reduce its focus on its duplex board buisness, as it considers it to be an area dominated by much larger players. The kraft paper area is a high-value segment with lesser competition.

The Kerala-based company makes industrial packaging papers — kraft paper, for corrugated box making, and duplex board for making cartons. The expansion will now enable it to take its kraft paper production capacity to 50,000 tonnes a year from the current 20,000 tonnes. The expansion would make the company the second biggest producer of kraft paper in South India.

The company is also setting up a 2 MW cogeneration unit as a part of the expansion plan to control energy cost.

The company plans to issue 83.33 lakh equity shares at a price of Rs30 each (face value of Rs10 and premium Rs20). The issue will open on January 17 and close on January 21.
Back to News Review index page