Akruti looks at collecting Rs500-cr through IPO
New Delhi: Infrastructure developer Akruti Nirman, which is developing apartments for slum dwellers, plans to raise about Rs 500 crore by going public.

The company plans to utilise the proceeds of the IPO for part-funding its expansion plans.

Akruti has filed the draft prospectus for its IPO with market regulator SEBI and would open its IPO for subscription in January next year. The company is planning to dilute 10 pc of its stake through the IPO route.

The company is working on as many as seven commercial projects entailing an investment of about Rs800 crore.
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Cairn IPO just about makes it
Mumbai: The initial public offering of Cairn Energy was subscribed 1.12 times on Friday, the last day of the book building process. The company had issued 32.87 crore equity shares of Rs10 each in the price band of Rs160-190. NSE data said a majority of the bids were received at the lower end of the price band.

The unsubscribed portions will now be allotted to the qualified institutional bidders.
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Financial Tech raises $100mn from overseas
Mumbai: Financial Technologies India has raised $100 million (Rs 450 crore) by issuing foreign currency convertible bonds to be listed on the Singapore Stock Exchange.

The bonds will be convertible into shares at Rs2362 a share, a premium of 20 per cent to the closing price on December 14. The company has an option to call for mandatory conversion of the FCCBs into equity shares after one year from the date of closing of the issue.

The proceeds of the FCCB issue will be used for establishing new development centres in India, for financing new overseas ventures as well as for funding acquisitions abroad company officials said.
Deutsche Bank AG acted as the lone book running lead manager to the offering.
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IDBI signs agreement with IFCI
New Delhi: The Industrial Development Bank of India (IDBI) has entered into a non-exclusive memorandum of understanding with Washington-based International Finance Corporation to assist domestic companies undertaking Clean Development Mechanism (CDM) projects, to reduce carbon emissions.

The two financial entities will also help companies realise the value of the carbon credits, arising from the implementation of CDM, by selling the credits in the global markets.

With the IDBI-IFC tie up, domestic companies planning to undertake CDM projects under the Kyoto Protocol can now avail of solutions such as project identification, funding implementation of CDM projects, registration and verification, advisory services for trading certified emission reduction units.
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QIB placement approved at Development Credit Bank EGM
Mumbai: The extraordinary general meeting of Development Credit Bank has approved the issue of equity shares for an aggregate amount of up to Rs225 crore to qualified institutional buyers (QIBs) which will result in promoter's stake (Aga Khan Fund for Economic Development) falling from 29.8 per cent to 22-23 per cent post-issue. The issue is for around four to five QIB investors.

The bank has applied to the RBI to open an 16 additional branches to add to its existing strength of around 67 branches. The bank also plans to increase its deposit base from Rs3,000 crore to Rs4,000 crore and advances from Rs2,000 crore to Rs2,800 crore by the end of this fiscal.
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UTI MF launches closed-ended scheme
Mumbai: UTI Mutual Fund has launched UTI-Capital Protection Oriented Scheme- Series I, a closed-ended scheme oriented towards protecting the capital at the end of the term. The new fund offer opens on December 26 and closes on January 25.

The scheme will offer a three-year and a five-year plan. The fund will invest in high-quality fixed income securities as the primary objective and generate capital appreciation by investing in equity and equity-related instruments as the secondary objective.

The scheme's portfolio structure has been rated AAA (SO) by Crisil Ltd, indicating highest degree of certainty on payment of face value of investment to unit holders on maturity.

The scheme will have growth and dividend payout options. The minimum initial investment is Rs10,000 for dividend option and Rs5,000 for growth option.
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Nikko, Ambit to set up AMC
Mumbai: Nikko Asset Management and Ambit RSM have agreed to set up an asset management company in India in which the former is expected to hold 74.9 per cent stake with Ambit holding the rest. The two firms plan to commence the formal licensing process with the Indian financial regulators.

The Nikko AM group is an FII in India via the group's regional base in Singapore. Ambit is a financial services group in India with interests in investment banking, private equity, stock broking and consulting.
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Franklin Templeton announces 40 pc dividend for growth fund
Mumbai: Franklin Templeton Investments (FTI) India, has announced a dividend of 40 per cent for its open-ended growth fund. FTI would distribute a tax-free dividend of Rs4 per unit on face value of Rs10, in its open-ended diversified equity fund Templeton India Growth Fund (TIGF), according to a release issued by the company here on Friday. The fund manages over Rs338 crore of assets for about 24,500 investors.

FTI also announced a dividend of 20 per cent or Rs2 per unit on face value of Rs10, in Templeton India Pension Plan.

The dividend declared under the pension plan will be reinvested at the NAV of December 22, 2006 and unit holders will be allotted additional units for the dividend amount.
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Nymex in talks to acquire 9 pc holding in MCX
New Delhi: The US-based New York Mercantile Exchange (Nymex) has initiated discussions to acquire a 9 pc equity stake in the Multi Commodity Exchange of India (MCX). Merrill Lynch, which is also advising MCX on its proposed IPO, is running the deal on its behalf. The transaction value, sources say, could be more than Rs270 crore ($60 million). However, there is a freeze on shareholding patterns in all commodity exchanges till the government releases the new ownership rules.

MCX MD & CEO Jignesh Shah denied any such development.

MCX, sources say, has been open to selling equity to global exchanges during the past few months. Dubai Multi Commodities Centre (DMCC), was said to be interested in entering a global alliance with MCX. However, the Indian exchanges are waiting for clarity on the FDI norms for exchanges.

Sebi recently issued guidelines to the BSE, proposing a cap of 49 pc on foreign holding, which includes 26 pc FDI and the balance 23 pc for FIIs. Industry anticipates that Sebi would maintain these norms for commodity exchanges in the country as well.
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