Following are the important business news carried by leading financial dailies on Friday Nov. 09, 2012:
DHFL cuts home loan rates
Mortgage lender Dewan Housing Finance Corporation (DHFL) cut its home loan lending rates by 0.25% across categories for new customers. This is a second rate cut by the lender within a month. The variable rate of interest for loans of up to Rs 1.5 million has been cut to 10.75% from 11%, while for those above Rs 3 million but up to Rs 7.5 million will come at 11.25% and those above Rs 7.5 million at 11.75%, it said in a statement issued here.
NMDC cuts iron ore prices by up to 11% for Nov
State-owned iron ore producer NMDC has decided to cut iron ore prices by up to 11% for November, a development that would benefit steel producers. Price of iron ore lumps would come down by 11%, while the iron ore fines prices will get reduced by 3%, a senior company official told PTI.
GTL Infra restructures FCCBs worth USD 300 mn
GTL Infrastructure stock was up 6.78% as the company completed the restructuring of its foreign currency convertible bonds worth USD 300 million. The zero coupon foreign currency convertible bonds (FCCB) were due Nov. 29, 2012. The FCCBs have been restructured for a tenure of five years. Bondholders approved the restructuring of the bonds at a meeting in Singapore.
Tata Power acquires 26% stake in Indonesian coal miner BSSR
Tata Power, India's largest private power producer, said it has acquired 26% stake in Indonesian miner PT Baramulti Sukses Sarana Tbk (BSSR). The acquisition, done through Khopoli Investments, a wholly-owned subsidiary of Tata Power, would give the power generator access to a part of the 1 billion tonne (BT) coal reserves held by BSSR and its subsidiary PT Antang Gunung Meratus (AGM).
Sun Pharma to buy Dusa for Rs 12.5 bn
Sun Pharmaceutical Industries has announced that the company will acquire DUSA, a US-based dermatology company in all-cash transaction of USD 230 million (Rs 12.5 billion). Under the terms of the agreement, a 100% subsidiary of Sun Pharma will commence a tender offer for all of the outstanding common stock of DUSA at a price of USD 8 a share in cash, a 38% premium to the closing price of DUSA’s common stock on Nov. 07, 2012.
Infosys signs agreement with Corporate Affairs Min for MCA contract
Infosys, India’s second largest IT services company, on Thursday said it has signed an agreement with Ministry of Corporate Affairs to implement the second phase of the ministry’s e-governance programme, MCA21 v2. The contract worth about USD 50 million (approx. Rs 2.72 billion) will be implemented over a period of five years. As a part of the contract, Infosys will revamp the existing application to enable it to be transformed to the next level. The company will also provide services, application support, and infrastructure operations for the project.
ICICI Bank, Vodafone to jointly offer mobile payment service
ICICI Bank said it has formed an alliance with Vodafone India to offer mobile money transfer and payment service. The service, 'm-pesa', involves a mobile money account with ICICI Bank and a mobile wallet issued by Mobile Commerce Solutions, a 100% subsidiary of Vodafone India. Customers can deposit and withdraw cash from designated outlets, transfer money to any mobile phone or bank account in India, purchase mobile recharge and pay utility bills.
NTPC generation capacity increases to 39,674 MW
Country's largest power producer NTPC today said its generation capacity has increased to 39,674 MW, with the commissioning of another 500 MW unit at its joint venture plant in Haryana. The third unit of 500 MW has been commissioned at the Indira Gandhi Super Thermal Power Project. The plant is run by Aravali Power Company -- a joint venture of NTPC, Haryana Power Generation Corp and Indraprastha Power Generation Corp. The plant is located in Jhajjar, Haryana.
Actis in race to buy Cinemax
Private equity major Actis has joined the race to buy Cinemax India, a multiplex chain put up for sale by its promoters, expecting a valuation of close to Rs 7 billion, including a debt of Rs 1 billion. The proceeds of the sale will be invested by the Cinemax promoters, the Kanakia family, in their core business - real estate development. The promoters’ demand is almost double the market capitalisation of the company at Rs 3.68 billion. The promoters are of the opinion that the company is undervalued compared to its peers like PVR and, hence, should get a significant premium to the current market price, the source said, requesting anonymity. The Kanakias own close to 70% stake in the company.
Cipla does it again, slashes prices on 3 cancer drugs
In just six months after drug-maker Cipla slashed prices on three cancer drugs, the company has done it again. In an effort that will bring some relief to cancer patients, Cipla has halved, and in some cases cut prices over 60%, on three more anti-cancer drugs - Erlotinib (ERLOCIP), Docetaxel (DOCETAX) and Capecitabine (CAPEGARD). These drugs are used to treat lung and pancreatic cancer, breast cancer, head and neck cancer, gastric cancer, bladder, colorectal and colon cancers, the company said.
Nestle opens R&D centre to study Indian ways
FMCG giant Nestle opened its first research and development centre in the country at Manesar, Gurgaon to gain insights into Indian consumers and develop affordable products. This centre will focus on getting deeper consumer insights in Indian eating habits, and taste preferences of consumers as well as use herbs and spices in its products. It will also focus on providing scientific and technological expertise to other global markets.
CIC asks Sebi for details on RIL-RPL deal
The Central Information Commission (CIC) has directed India’s stock market regulator to disclose all details related to the insider trading case involving Reliance Petroleum (RPL) in 2007, in a move that could have a bearing on not just the functioning of the Securities and Exchange Board of India (Sebi), but also the regulator’s independence.
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