House of Pearl Fashions to float IPO
New Delhi: House of Pearl Fashions has filed a draft red herring prospectus with the Securities and Exchange Board of India for an initial public offering.

The company plans to offer 6.12 million shares at a price to be determined during the book-building process, it said in a statement. 50 per cent of the share issue will be earmarked for institutional investors, with 35 per cent set aside for retail investors, the company said. House of Pearl Fashions didn't disclose the amount of money it aims to raise through the IPO.

The investment manager for the issue will be JM Morgan Stanley Private, the clothing company said. The shares are proposed to be listed on the National Stock Exchange and Bombay Stock Exchange.

HoP Fashions is an apparel company operating in three distinct business streams — manufacturing, marketing and distributions and sourcing of garments. The company has 10 apparel manufacturing facilities — six in North India, one in the South, two in Bangladesh and one in Indonesia.
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FIIs may be allowed to offer foreign sovereign securities as collateral in F&O
Mumbai: Foreign institutional investors may be allowed to offer `AAA' rated foreign sovereign securities as collateral to stock exchanges against their deals in the derivatives segments. If the RBI and SEBI vet the proposal the measure could lift derivative trading in terms of liquidity and turnover.

The Union Budget had proposed that FIIs be permitted to submit appropriate collateral, in cash or otherwise, when trading in derivatives. Currently, only domestic players have the flexibility of offering collaterals, such as bank guarantee or shares or deposit receipt, in place of cash or along with cash, for meeting margin requirements. A consensus on the issue will be arrived at shortly, said informed sources.

The move will widen the FII base allowing for greater exposure through derivatives contracts. Analysts said the move would result in arbitrage margins, between spot and derivatives, coming down and in turn would bring down the overall cost of carrying future positions.
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UAE Exchange plans IPO in 2007-08
Mumbai: UAE Exchange and Financial Services (UAE Exchange), an authroised dealer for remittances and money changing is planning to come out with a public offer in the second half of 2007-08 to raise capital for business expansion. It has over 200 branches staffed by over 2,000 professionals in the country.

The NBFC wants to have at least one branch in each district of the country at a total outlay of around Rs250 crore. The company has also sought approval from the Reserve Bank of India for accepting deposits and internal money transfer.

It plans to enhance its presence by increasing branches to 500 in the next two-three years and emerge as a financial services group. It also plans to enter into banking services subject to regulatory approvals.

At present, the non-banking finance company is also involved in equity broking, distribution of financial products - mutual funds and insurance - and travel and ticketing business.

The RBI has upgraded the NBFC from a money changer to authorised dealer with permission to release foreign exchange (outward remittance) for transactions such as overseas education, employment and emigration and Visa fees.
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DCB IPO price fixed at Rs26 per share
Mumbai: Development Credit Bank (DCB) has fixed a price of Rs 26 per share for its initial public offer of 71,500,000 equity shares amounting to Rs 186 crore.

The issue, which opened for subscription on September 29 and closed on October 6, was over-subscribed 35.68 times, a release said today.

The qualified institutional buyers' portion was over-subscribed 38 times, High net worth individual portion by 84 times and the retail portion 15 times.

Shares would be listed on both the Bombay Stock Exchange and the National Stock Exchange, it said.
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