SBI Mutual launches One India Fund
Mumbai: SBI Mutual Fund has launched SBI One India Fund, a three-year close-ended fund investing in a diversified portfolio of stocks of companies in the four regions of the company along with debt and money market instruments.

The fund will open on November 24 and close on December 22. It will reopen for continuous repurchase from January 17. The minimum initial investment is Rs5,000 and will have growth and dividend options.

Officials said the fund will invest at least 15 per cent and not more than 55 per cent of the equity corpus in every geographical region. The fund will achieve portfolio diversification through a region-specific approach and will incorporate best performers from each region.

The fund would invest minimum of 70 per cent in equity and equity-related instruments with the balance going into debt and money market instruments.
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Blue Bird float gets decent response
Mumbai: The IPO of Blue Bird India has been subscribed 5.04 times on the last day of book building. The QIB portion was subscribed 7.3152 times, while the retail individual portion was subscribed 3.2004 times. The non-institutional investors' portion was subscribed 1.7798 times.

Bids were received across the price band of Rs90 - Rs105. The company issued 87.75 lakh equity shares of Rs10 each.
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Technocraft files for IPO
Mumbai: Technocraft Industries (India) has filed a draft red herring prospectus with the SEBI for its IPO of 83,20,000 equity shares through a 100 per cent book building process to fund its expansion plans estimated to cost Rs160 crore.

Technocraft manufactures and exports drum closures, steel tubes, scaffolding and cotton yarn.
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XL Telecom to tap market to raise Rs60-cr
Hyderabad: XL Telecom Ltd engaged in mobile handset assembly operations, solar photo voltaic system and ethanol, is planning to issue an IPO to raise Rs60 crore. The Rs400-crore company is also planning to divest 39.56 lakh shares of Rs10 each, at a price band of Rs125-150 per equity share.

The divestment constitutes 25 pc of the authorized share capital of the company while the balance stake would be held by the promoter. Of the total 39.56 lakh shares being divested, 50 per cent will be for qualified institutional bidders (QIBs), 35 pc for retail buyers and 15 pc for high networth individuals (HNIs). The issue opens on December 4, 2006 and closes on December 7, 2006.

Of the total sum being raised through the IPO, Rs20 crore will be invested in setting up facilities for surface mounting technology (SMT) lines to produce parts used in mobile phones.

About Rs8-9 crore will be invested in stepping up the module making capacity of our solar photo voltaic division. The division makes solar power plants and home and street lights based on solar energy. The rest will be used for the repayment of term loan and for working capital needs.
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Cairn collects up $100 million ahead of IPO
Mumbai: Cairn India, a subsidiary of the Edinburgh-based Cairn Energy is believed to have received huge amount of funds from companies like the New York-based investment firm Blackrock-Merrill Lynch and Indian electronics major Videocon Industries (VIL) who bought shares worth close to $100 million in the pre-IPO placement of Cairn.

Cairn India is set to collect about $500m from private investors ahead of its initial public offering (IPO) in December.

Company sources refused to divulge the price at which these shares were picked. They believe the price band would be in the Rs180-200 range.

The IPO is likely to hit the market in the third week of December. Cairn India expects to mop up over $1.8bn through this floatation and over $1bn of the proceeds may go to its parent company. Last week, Cairn shareholders approved the flotation of its subsidiary in the Indian market.

Cairn Energy is expected to hold about 69.5 per cent of Cairn India immediately after the flotation (67.2 per cent in case over allotment option is exercised in full).
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Hiranandani plans to raise $750 million through LSE listing
Mumbai: Mumbai-based real estate major the Hiranandanis are planning to list on London's Alternative Investment Market (AIM) to raise between $500m and $750m to fund projects in Mumbai, Chennai and Jaipur. HSBC and Bear Stearns are learnt to be advising the Hiranandanis, though it couldn't be confirmed.

Hiranandani plans to focus on development of residential and commercial properties to boost their presence in the realty market, estimated to cross $50bn by '10 from the current level of $12 billion.

In 2005, 519 companies joined the AIM, raising £8.9 billion. The list of companies covers 37 sectors across 26 countries, the LSE said on its website. According to analysts, Indian realty companies are aiming to raise capital through the AIM, as external commercial borrowing is not allowed for such companies.
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