Rupee rises from session lows as shares gain

The rupee rises from a session low of 60.2450 to trade at 60.09/60.10, as gains in shares help offset dollar demand from state-run banks. It closed at 60.07/60.08 on Monday.

State-run banks have been mopping up dollars for oil- and defence-related payments in the recent sessions, aiding the greenback.

Some of this demand could be for the government's effort to pay Iran a part of its oil dues, dealers say.

India paid a second instalment of $550 million in oil dues to Iran last week under an interim deal that has allowed Tehran access to $4.2 billion in blocked funds globally, Reuters reported last week.

The Nifty up 0.3 percent, heading for its first daily rise in six sessions as interest rate-sensitive stocks gain after June consumer inflation slowed to the lowest since figures were first published in January 2012.

MCX Silverm November contract gains

MCX SILVERM August contract was trading at Rs 45180 up Rs 240, or 0.53 percent. The SILVERM rate touched an intraday high of Rs 45236 and an intraday low of Rs 44998. So far 8293 contracts have been traded. SILVERM prices have moved down Rs 1926, or 4.09 percent in the August series so far. MCX SILVERM November contract was trading at Rs 46040 up Rs 245, or 0.53 percent. The SILVERM rate touched an intraday high of Rs 46067 and an intraday low of Rs 45856. So far 282 contracts have been traded. SILVERM prices have moved down Rs 4156, or 8.28 percent in the November series so far.

DLF gains on fund raising plans

DLF is currently trading at Rs. 210.80, up by 3.15 points or 1.52 % from its previous closing of Rs. 207.65 on the BSE.

The scrip opened at Rs. 209.00 and has touched a high and low of Rs. 212.75 and Rs. 209.00 respectively. So far 302196 shares were traded on the counter.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 242.80 on 09-Jun-2014 and a 52 week low of Rs. 120.25 on 06-Aug-2013.

Last one week high and low of the scrip stood at Rs. 233.85 and Rs. 200.10 respectively. The current market cap of the company is Rs. 37627.87 crore.

The promoters holding in the company stood at 74.92 % while Institutions and Non-Institutions held 20.36 % and 4.72 % respectively.

DLF is planning to raise Rs 3,000-3,500 crore via commercial mortgage-backed securities. The company, which has hired Credit Suisse for this fund raising activity, will be issuing mortgage securities against IT Sezs portfolio of 12 sq metres.

Further, the company plans to utilize these proceeds to improve balance sheet and access cheaper debt. DLF recently raised Rs 900 crore via similar route from two malls.

DLF is one of India’s largest real estate companies that has over 60 years of track record of sustained growth, customer satisfaction, and innovation. The company has 314 msf of planned projects with 52 msf of projects under construction.

Etihad Airways to launch daily service to San Francisco

San Francisco is set to become one of Etihad Airways’ most popular destinations from New Delhi .

Etihad Airways will launch a new daily service to San Francisco on Tuesday 18 November 2014, providing an important air bridge between New Delhi and the Californian city.

San Francisco is set to become one of Etihad Airways’ most popular destinations from New Delhi due to the Bay Area’s significant Indian community, which currently stands at more than 250,000, and is the second largest in the United States.

The new service will also enhance the growing trade and commercial ties with India, particularly in the technology industry, with seven of out the top 10 social media companies, including facebook, YouTube, twitter and LinkedIn, based in the Bay Area.

James Hogan, Etihad Airways’ President and Chief Executive Officer, said: “Etihad Airways is renowned for its growing global flight network which provides an important link to Indian communities around the world, especially those living in the United States.

“This new service will benefit business and leisure passengers flying from New Delhi to San Francisco as the flight schedule will offer the most convenient transfer times as well as Etihad Airways’ world class service and product.”

Etihad Airways will operate a three cabin Boeing 777-300ER between San Francisco and New Delhi.

The aircraft will be leased from Etihad Airways’ strategic partner Jet Airways and will be configured to carry 346 passengers, with eight in First Class, 30 in Business Class and 308 in Economy Class.

San Francisco is the latest addition to Etihad Airways’ US network. The airline currently offers double-daily flights to New York and daily flights to Los Angeles, Chicago and Washington, D.C.

The San Francisco service will be followed a month later by the commencement of flights to Dallas / Fort Worth (DFW) International Airport from 3 December 2014.

San Francisco is the tenth route launch to be announced by Etihad Airways for 2014. New services have already commenced to Medina (1 February), Jaipur (1 April), Los Angeles (1 June), Zurich (1 June) and Yerevan (2 July), and will be followed by flights to Rome (15 July), Perth (15 July), Phuket (26 October), San Francisco (18 November) and Dallas (3 December).

Advani Hotels locked in upper circuit, up 20%, hits 52-week high; volumes surge over 1000%

Advani Hotels Ltd surged as much as 20 per cent in trade on Tuesday for a second day in a row on reports that ITCBSE -0.77 % Hotels could be close to buying its property in Goa. 

 Advani Hotels was locked in upper circuit at Rs 61.90, which also markets its fresh 52-week high level. The stock has more than doubled investor's wealth so far in the year 2014. 

The counter has seen huge trading activity with volumes surging as much as 1849.79 per cent in trade today as compared to average daily volume in the last 30 days, indicating strong buying interest in the stock. 

The stock recorded 65084 shares changing hands in morning trade on BSE as compared to its average daily volume of 3338 shares in the last 30 days, 

ITC Ltd's hotel division is close to acquiring the Ramada Caravela Beach Resort from Advani Hotels & Resorts at a cost of Rs 700 crore, ET reported quoting people with direct knowledge of the negotiations on Monday. 

A senior Advani Hotels executive also declined to comment. The property gives ITC the opportunity to take over a readymade hotel in a state where getting land for new projects hasn't been easy, according to experts. 

ITC Hotels currently operates amid-market facility under the Fortune brand in the state and has been on the hunt for a bigger property for some time now. 

Glenmark Pharma up 3% on final ANDA nod for skin drug

Shares of  Glenmark Pharma surged 3.3 percent intraday Tuesday on getting USFDA approval for skin drug by its US subsidiary. "Glenmark Generics Inc, USA, the subsidiary of Glenmark Generics, has been granted final approval from the United States Food and Drug Administration (US FDA) for its abbreviated new drug application (ANDA) for Fluocinonide Cream USP 0.1 percent, the generic version of Vanos Cream by Medicis," says the company in its filing. 

Fluocinonide Cream is indicated for the relief of the inflammatory and pruritic manifestations of corticosteroid responsive dermatoses. "VANOS Cream is a prescription corticosteroid (steroid hormone) used on the skin (topical) to treat adults and children 12 years of age and older with certain skin conditions that cause red, flaky, and itchy skin," says Medicis. According to IMS Health sales data for the 12 month period ending March 2014, Fluocinonide Cream garnered annual sales of approximately USD 103 million.

 Glenmark’s current portfolio consists of 93 products authorised for distribution in the US marketplace and 71 ANDA’s pending approval with the US FDA. "In addition to these internal filings, Glenmark Generics Inc continues to identify and explore external development partnerships to supplement and accelerate the growth of the existing pipeline and portfolio," it adds.

Atul Auto, Corporation Bank tie-up for vehicle finance

The bank will offer financing facilities to the eligible customers for purchasing commercial vehicles of the company through its branches

Atul Auto has tied up with Corporation Bank for financing of commercial vehicles manufactured by the company. The tie up makes the bank as the preferred financier for financing commercial vehicles of the company. The bank has signed a Memorandum of Understanding (MoU) with the three-wheeler maker to facilitate finance for those buying its commercial vehicles across India. The bank will offer financing facilities to the eligible customers for purchasing commercial vehicles of the company through its branches.

L&T bags Rs 5076 crore order from Kuwait; stock up 2%

Shares of infrastructure and engineering major L&T were up over 2 per cent in trade after its subsidiary L&T Hydrocarbons bagged Rs 5076 crore order from Kuwait Oil & Gas Company (KOC). 

L&T Hydrocarbon will execute a complete engineer-procure-construct contract for Gathering Centre of KOC. 

The scope of L&T's contract includes project management, detailed engineering, procurement, supply, construction, testing, mechanical complection  pre-commissioning and commissioning assistance including performance testing. 

Microsoft expected to announce job cuts this week

Microsoft Corp is planning its biggest round of job cuts in five years as the software maker looks to integrate Nokia Oyj's handset unit.

Since absorbing the handset business of Nokia this spring, Microsoft has 127,000 employees, far more than rivals Apple Inc and Google Inc.

Wall Street is expecting Chief Executive Satya Nadella to make some cuts, which would represent Microsoft's first major layoffs since 2009.

The restructuring may end up being the biggest in Microsoft history, topping the 5,800 jobs cut in 2009, the report said.

Some of the job cuts will be in marketing departments for businesses such as the global Xbox team, and among software testers, while other job cuts may result from changes Nadella is making to the engineering organization, Bloomberg reported.

Last week, Nadella circulated a memo to employees promising to "flatten the organization and develop leaner business processes" but deferred any comment on widely expected job cuts at the software company.

Nadella said he would address detailed organizational and financial issues for the company's new financial year, which started at the beginning of this month, when Microsoft reports quarterly results on July 22.

Microsoft could not be immediately reached for comment outside regular business hours.

Tata Power plans to raise Rs 7,000 crore through NCDs

Tata Power, which is pursuing "aggressive growth plans", has sought shareholders' nod to raise up to Rs 7,000 crore through issue of non-convertible debentures.

"Approval has been sought for raising up to Rs 7,000 crore through issue of non-convertible debentures (NCDs) on private placement basis," according to notice sent out to shareholders for company's annual general meeting to be held on August 13.

The approval would be valid for a period of one year and the amount would be within the overall borrowing limits.

According to the notice, NCDs, issued on private placement basis, are a significant source of borrowings for the company.

"The borrowings of the company presently aggregate approximately Rs 11,000 crore," it added.

Tata Power has also sought permission to increase its borrowing limit to Rs 27,000 crore in order to meet financial requirements for projects as well as other corporate needs.

"In view of its strategic intent to be the largest integrated power company in India, the company has aggressive growth plans in the fields of generation, transmission, distribution and fuel securitisation," the notice said.

Noting that it is in the process of executing various thermal, hydro and renewable energy projects, Tata Power said these works would entail high capital expenditure, which needs to be financed by debt and equity.

"The company is also required to refinance Foreign Currency Convertible Bonds of Rs 2,000 crore, maturing in November 2014, and extend support to Coastal Gujarat Power Ltd, a wholly-owned subsidiary," the notice added.

According to the company, the proposed borrowings might have to be secured by way of mortgages, charges and hypothecations on its movable/immovable properties.

"As the documents to be executed by, with, or in favour of, the lender/parties may contain the power to take over the management and concern of the company in certain events, it is necessary for the members to pass a resolution for creation of mortgages, charges and hypothecation to secure such borrowings," it noted.

Since security to be provided is usually 1.25 times the amount borrowed, it is proposed to seek members' consent for creation of charges up to Rs 33,750 crore, the notice said.

Tata Power has an installed electricity generation capacity of more than 8,500 MW.

Indian rupee down 11 paise against US dollar, at 60.18

The Indian rupee fell by another 11 paise to trade at 60.187 against the US dollar in early trade at the Interbank Foreign Exchange market due to renewed demand for the American currency from importers and appreciation of the Greenback overseas.

Forex dealers said besides dollar's gains against other currencies overseas, increased demand from oil importers for the US currency put pressure on the rupee. They said, however, easing inflation and a higher opening in the domestic equity market limited the rupee fall.

The BSE Sensex rebounded by 188.70 points, or 0.75 per cent, to 25,195.68 in early trade on Tuesday.

The Indian currency had shed 14 paise to close at 60.07 against the US currency in the previous session on fresh dollar demand from banks and importers, amid weak local equities.

Brent hovers near $107 on Libya, Iraq concerns.

Brent crude inched down on Tuesday, but held near $107 a barrel as worries over conflict in the Middle East and North Africa supported prices. 

Several soldiers were killed and aircrafts were damaged in Libya on Monday, as rival militias in the OPEC nation fought for control of Tripoli's airport in the worst violence for six months. 

Brent futures had dropped 18 cents to $106.80 a barrel by 0423 GMT, after climbing 32 cents to settle at $106.98 in the previous session. Prices remain near their lowest in three months. 

U.S. crude climbed 5 cents to $100.96 a barrel, consolidating an 8-cent gain from the day before. 

Brent has steadily fallen since prices soared to a nine-month high of $115.71 in mid-June. That climb came after Islamic insurgents took control of swathes of northern and western Iraq, although output from the main southern oilfields has remained unaffected by the violence. 

But Brent could rise again as traders take forward positions on expectations there will be further threats to oil supplies in Iraq, Nunan said. 

Investors are also waiting for U.S. oil inventory data on Tuesday, after a Reuters poll of analysts forecast a 2 million barrel drop in stocks last week as refiners increased activity, while gasoline and distillate stocks both rose.