Karvy in expansion mode
Hyderabad: Karvy, a leading financial services company headquartered at Hyderabad, is in expansion mode. According to its chairman,
C Parthasarathy, the company proposes to expand its network to 750 branches across the country by the year-end. It currently has presence in 333 cities and towns in the country.

The company recently inaugurated its 500th branch of the company at Hissar in Haryana. The Karvy branches offer a wide range of financial services ranging from stock broking, commodities broking, demat services, investments in mutual funds, bonds and insurance, the release said.
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Emkay Share and Stock Brokers IPO price band fixed at Rs100-120
Mumbai: Stock broking firm Emkay Share and Stock Brokers has fixed a price band of Rs100-120 per share for its initial public offering of 62,50,000 equity shares of Rs10 each. The company hopes to mobilise Rs75 crore (at upper price band of Rs120 per share) through the public issue.

The proceeds will be used for expansion of the company's operations and branch network in the country and overseas, the company's managing directors. The IPO will open for subscription on March 31.
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Sebi to roll out new turnover fee plan
Mumbai: The Securities and Exchange Board of India (Sebi) is making changes in the structure of turnover fee paid by stock brokers. The changes will be in line with the recommendations made by the D C Anjaria committee in 2003-04 which advised a fee payment of Rs100, Rs5 and Rs50 for every Rs1 crore turnover in the equity, the debt and the derivatives segments respectively.

It had also proposed that the fee should be perpetual and not just for the first five years of registration and that such fees should be applicable only to new registrations and not to brokers, who have already paid fees on the basis of the existing scale of fees.

The Sebi move will provide some respite to stock brokers, who have had to pay high turnover fee despite the fact that their earnings have come down drastically over the past decade.
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NSE in global derivatives league
Mumbai: India is now in the global league in the derivatives market. The National Stock Exchange has become the seventh largest exchange in terms of traded volumes in derivative contracts, according to an annual survey conducted by Calyon Financial Inc.

In 2005, of the 9,899 million derivatives contracts traded across the world, about 116 million were contributed by the NSE. The Nifty index futures was the seventh largest traded derivatives contract.

The study covers all derivatives contracts including those based on equity indices, single stocks, interest rates, currencies, agri-based commodities, metals and energy products.

The S&P CNX Nifty index futures was the largest gainer in terms of number of contracts traded.

The top three traded contracts in the past year were Eurodollar Futures CME (410.36 million), Euro-Bund Futures Eurex (299.29 million) and Eurodollar Options CME (188 million).

The NSE has risen to the 7th position, up from the 10th position in 2004. During the period, the contract volume rose from 67 million to 116 million, a spectacular jump of 72.5 per cent.

The top three exchanges in terms of volumes were Chicago Merchantile Exchange (883 million contracts), Eurex (784 million contracts) and Chicago Board of Trade (561 million contracts).

Brazil, India, Mexico and China have among the world's 10 largest futures exchanges. Smaller contract sizes, the emergence of electronic trading which has reduced trading cost, and the rise in hedge fund activity in the stock options market, have been the growth engine for the derivatives market.
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Bharat Hotels IPO soon
New Delhi: Bharat Hotels has filed its draft red herring prospectus with the Securities and Exchange Board of India (Sebi) for a public issue of 1.2 crore equity shares with a face value of Rs10 per share. The issue price is to be determined through a 100 per cent book-building process. The price band for this offer is yet to be determined.

Sixty per cent of the issue will be offered to qualified institutional buyers, 10 per cent to non-institutional investors and the remaining 30 per cent to retail investors. The issue will constitute up to 14.3 per cent of the fully diluted post-issue equity capital of the company.

Kotak Mahindra Capital Co, DSP Merrill Lynch and Deutsche Equities India have been appointed as the book-running lead managers to the issue.

Earlier this month, Lalit Suri, chairman and managing director, Bharat Hotels, announced that he wanted to raise Rs600 crore from an initial public offering for expanding his five-star luxury brand, The Grand, into Hyderabad, Amritsar, Jaipur, Chandigarh and Noida.
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