HDFC to raise Rs. 500 cr via secured redeemable NCDs

The issue will open on February 22 and will close on the same day. With a tenure of three years and one month, the NCDs will be issued at a coupon rate of 8.7% per annum.

Housing Development Finance corporation Ltd (HDFC) has announced that it will raise Rs. 500 crore via issuance of Secured Redeemable Non-Convertible Debentures (NCDs) via private placement.

The issue will open on February 22 and will close on the same day. With a tenure of three years and one month, the NCDs will be issued at a coupon rate of 8.7% per annum.

“The objective of the issue is to augment the long-term resources of the company. The proceeds of the present issue would be utilized for financing/refinancing the housing finance business requirements of the company,” HDFC said in a statement.

Budget 2016: Auto Inc. expect incentives for electric vehicles, law on scrapping

SIAM recently submitted its plea to the government to reduce excise duty to 20 per cent in place of 30 per cent(current duty) on large cars and SUVs.

With the upcoming budget, every industry is putting forth their expecations to the Finance Minister. Auto Industry can't be far behind. The industry, which has been reeling under pressure from the diesel ban is expecting incentives for electric vehicles, reduction in excise duty and proper policy for scrapping old vehicles in the upcoming Union Budget.

One of the industry's top CEOs has suggested government on giving incentives for Electric vehicles like free parking, no transport and value added taxes. The governement should also consider scrapping permit requirements for e-autorickshaws, he added. This will lead to increase in awareness as well as sales of electric vehicles, aided by such concessions.

SIAM, recently submitted its plea to the government to reduce excise duty to 20 per cent in place of 30 per cent(current duty) on large cars and SUVs. The auto industry regulatory body has also requested the Finance Minister Arun Jaitley to launch an incentive scheme for scrapping old vehicles. 

BHEL commissions 270 MW Thermal Unit in Punjab

The unit has been commissioned at the upcoming 540 MW (2x270 MW) Goindwal Sahib coal-fired Thermal Power Project of GVK Power & Infra Ltd.

Bharat Heavy Electricals Limited (BHEL) has achieved yet another landmark by successfully commissioning a 270 MW coal-based power project in Punjab. 

The unit has been commissioned at the upcoming 540 MW (2x270 MW) Goindwal Sahib coal-fired Thermal Power Project of GVK Power & Infra Ltd. (GVKPIL), located in the historic city of Goindwal Sahib in Tarn Taran district, near Amritsar in Punjab. The second unit of the same project is also expected to be commissioned shortly. For the same developer, earlier this fiscal, BHEL had commissioned 4 hydro sets of 82.5 MW each at Alaknanda Hydro Power Project in Uttarakhand. 

Thermal sets of 270 MW rating are an in-house improvisation of 210/250 MW sets supplied earlier by BHEL, which today form the backbone of the Indian power sector and have been performing much above the national average as well as international benchmarks. BHEL has so far contracted 35 sets of 270 MW rating, out of which 10 sets have now been commissioned. BHEL’s scope of work in the Goindwal Sahib project envisaged design, engineering, manufacture, supply, erection and commissioning of Steam Turbines, Generators, Boilers, associated Auxiliaries and Electricals, besides state-of-the-art Controls & Instrumentation (C&I). 

The Boiler and its auxiliaries have been manufactured by BHEL at its Tiruchirapalli and Ranipet works in Tamil Nadu, while the Steam Turbine and Generator were manufactured at the company’s Haridwar plant. The Pumps and Heat Exchangers were manufactured at its Hyderabad plant and the Electricals at the Bhopal plant, while the C&I system was supplied by BHEL's Electronics Division, Bangalore. Notably, all the operational sets of 210-270 MW class in the state of Punjab have been supplied, erected and commissioned by BHEL, i.e., 6 units of 210 MW at Ropar, 2 units of 210 MW and 2 units of 250 MW at Bhatinda, besides 270 MW Unit at Goindwal Sahib. 

In addition to thermal projects, BHEL has a significant presence in the state’s hydro sector also, with around 95% share in the hydro generating capacity of Punjab State Power Corporation Limited (PSPCL). Presently, BHEL is executing Electro-Mechanical works for hydro-electric power plants at Shahpurkandi (206 MW) and Mukerian (18 MW) in the state of Punjab.

Top Employers Institute: Cognizant named a Top Employer across Europe for 2016

The annual research undertaken by the Institute recognizes leading employers around the world that excel in offering outstanding employee conditions, develop and nurture talent through all levels of the organization, and strive to continuously optimize employment practices.

Cognizant has been named a Top Employer in Europe for 2016 by Top Employers Institute in five countries—Belgium, the Netherlands, Sweden, Switzerland and the UK. The annual research undertaken by the Institute recognizes leading employers around the world that excel in offering outstanding employee conditions, develop and nurture talent through all levels of the organization, and strive to continuously optimize employment practices.

Across all five countries, Cognizant excelled in its organization-wide talent strategy and active role played by executive management in its development and implementation. Other key competencies recognized were a globally defined learning and development strategy and execution and leadership development through strong leadership competency models and assessments. In addition, Cognizant was rated highly for its culture of ethics and integrity.

“Being named as a Top Employer in Europe is a testament to our employee-centric policies. We have a strong focus on developing our talent and leadership combined with an entrepreneurial culture that encourages individuals to grow and develop, both personally and professionally,” said Santosh Thomas, Executive Vice President for Continental Europe and APAC at Cognizant. “This recognition as a Top Employer will further raise our visibility among new university graduates and experienced professionals as we continue to recruit top talent across Europe.”

“Optimal employee conditions ensure that people can develop and grow in their careers,” added Dennis Utter, Global Business Director for the Top Employers Institute. “Our comprehensive research concluded that Cognizant provides an outstanding employment environment allowing employees to shape their careers, and a management team that actively promotes further development. Cognizant offers a wide range of creative initiatives, from secondary benefits and working conditions to performance-management programs that are well thought through and truly aligned with the company culture.”

KKR buys about 9.95% Stake in Max Financial Services

On Thursday, private equity firms KKR & Co LP said that it purchased around 10% stake in Max Financial Services for an undisclosed sum.

On Thursday, private equity firms KKR & Co LP said that it purchased around 10% stake in Max Financial Services for an undisclosed sum, looking to benefit from "robust growth" in Indian life insurancemarket.

The investment was made from KKR's Asian Fund II, the company said in a statement.

“KKR has been a long-standing, value-added partner to Max Group across various business initiatives. The extension of our partnership couldn’t have happened at a more opportune time than now, following the listing of Max Financial Services which creates an unparalleled platform to invest in the Indian life insurance space,” Analjit Singh said in the statement.

Max Group split several of its businesses last month into three separately listed entities, Max Financial Services, Max India, which have businesses in healthcare and health insurance, and Max Ventures and Industries Ltd, which makes specialty film for the packaging industry.

Max Financial Services owns a 72% stake in India's fourth-largest private life insurer Max Life.

Coal india up 1%; expected to auction coal linkages to non-power sectors

The company is expected to commence the auction of coal linkages to non-power sectors such as steel and cement in the next 45 days, according to a PTI report.

Coal India is currently trading at Rs. 316.25, up by Rs. 3.3 or 1.05% from its previous closing of Rs. 312.95 on the BSE. The state-run largest coal miner, Coal India (CIL) is expected to start the auction of coal linkages to non-power sectors such as steel and cement in the next 45 days, according to a PTI report.

The scrip opened at Rs. 315.55 and has touched a high and low of Rs. 318 and Rs. 315.05 respectively. So far 436819(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 197670.49 crore.

The BSE group 'A' stock of face value Rs. 10 has touched a 52 week high of Rs. 447.25 on 05-Aug-2015 and a 52 week low of Rs. 286.9 on 21-Jan-2016. Last one week high and low of the scrip stood at Rs. 330.75 and Rs. 296.3 respectively.

The promoters holding in the company stood at 79.65 % while Institutions and Non-Institutions held 17.44 % and 2.91 % respectively.

The stock is currently trading above its 200 DMA.

Govt sets 3-year deadline for shipbuilding aid

Committed liabilities on shipbuilding subsidy in the earlier scheme were liquidated by the Government till March 2014.

Shipbuilders will get financial aid from the Government only if they complete construction of a ship within three years of signing the contract, according to the draft guidelines.

The Centre is taking precautions as some of the ship orders signed before the previous subsidy scheme ended in August 2007 were left incomplete, reports a business daily.

Committed liabilities on shipbuilding subsidy in the earlier scheme were liquidated by the Government till March 2014.

South Korean and Chinese yards build a ship in 18 months whereas Indian ship builders take anywhere between 2-3 years to construct a ship, according to the daily.

The 3-year timeframe will be relaxed for construction of specialized vessels such as LNG, LPG, passenger ships built under the Indian Merchant Shipping Act with a minimum capacity of 500 (barring the vessels built under Inland Vessels Act), chemical tankers, floating or submersible drilling or production platforms, FPSO units, FSO units and FSRU units.

Moreover, the Government has stated that contracts signed between the shipyard and the buyer or ship owner for construction or manufacture of more than one vessel (in a single order) shall not be eligible for claiming financial assistance, reports the paper.

To qualify for the shipbuilding subsidy, a six-ship contract would have to be split into orders for six separate ships, according to the daily.

The financial assistance to shipbuilders will be valid for a 10-year period beginning 1st April 2016.

The quantum will be reduced by 3% every three years, starting with 20% during the first three years.

Glenmark up 4.5% after USFDA approval

The pharma company announced the receipt of tentative approval from USFDA for its generic version of azelaic acid topical gel used for treating skin inflammation.

Glenmark Pharmaceuticals is currently trading at Rs. 753, up by Rs. 20.3 or 4.5% from its previous closing of Rs. 720.65 on the BSE.The pharma company announced receipt of tentative approval from USFDA for its generic version of azelaic acid topical gel used for treating skin inflammation.

The scrip opened at Rs. 730 and has touched a high and low of Rs. 745.5 and Rs. 725.6 respectively. So far 119898(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 20333.73 crore.

The BSE group 'A' stock of face value Rs. 1 has touched a 52 week high of Rs. 1261.95 on 21-Aug-2015 and a 52 week low of Rs. 671.5 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 726.6 and Rs. 671.5 respectively.

The promoters holding in the company stood at 46.47 % while Institutions and Non-Institutions held 42.5 % and 11.02 % respectively.

The stock is currently trading above its 200 DMA.

Quick Heal lists at Rs. 305

The company has raised Rs. 451 crore through its initial public offer, which opened on Feb 8 and closed on Feb 10.

Quick Heal listed at Rs. 305 as against the issue price of Rs. 321.

The company has raised Rs. 451 crore through its initial public offer, which opened on Feb 8 and closed on Feb 10.

The IPO, which closed on February 10, was over-subscribed 11 times at a price band of Rs 311-321 per share.

The stock has hit a high of Rs. 330 and a low of Rs. 291.

ABG Shipyard jumps12.5%; looking to sell 51% stake

The company is at an advanced stage of negotiations with interested parties for a strategic investment into the company, which will see the management divesting its majority control, according to reports.

ABG Shipyard jumped 12.5% to Rs.51.15 on BSE. The company is at an advanced stage of negotiations with interested parties for a strategic investment into the company, which will see the management divesting its majority control, according to reports. The deal is expected to be announced by March-end.

The scrip opened at Rs. 48 and has touched a high and low of Rs. 54.2 and Rs. 48 respectively. So far 716351(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 245.03 crore.

The BSE group 'B' stock of face value Rs. 10 has touched a 52 week high of Rs. 260 on 10-Mar-2015 and a 52 week low of Rs. 39.5 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 47.55 and Rs. 39.5 respectively.

The promoters holding in the company stood at 38.57 % while Institutions and Non-Institutions held 10.67 % and 50.76 % respectively.

The stock is currently trading above its 200 DMA.

Bank of Baroda surges 4%

The scrip opened at Rs. 141.9 and has touched a high and low of Rs. 145.8 and Rs. 141.9 respectively.

Bank of Baroda Ltd stock was higher by 4% at Rs. 144. Report says that given the backdrop of the Bank of Baroda's Rs. 6,000 crore illegal remittance case, CBI will be engaging with Indian Banks Association to have look into economic and banking offences being reported from large number of banks and come up with preventive measures.

The scrip opened at Rs. 141.9 and has touched a high and low of Rs. 145.8 and Rs. 141.9 respectively. So far 3329194(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 31866.53 crore.

The BSE group 'A' stock of face value Rs. 2 has touched a 52 week high of Rs. 216.25 on 18-Aug-2015 and a 52 week low of Rs. 109.45 on 12-Feb-2016. Last one week high and low of the scrip stood at Rs. 142 and Rs. 109.45 respectively.

The promoters holding in the company stood at 59.24 % while Institutions and Non-Institutions held 33.71 % and 7.06 % respectively.

The stock is currently trading below its 200 DMA.

Cipla completes acquisition of generic businesses in US

The acquisition was made by Cipla (EU) Ltd through a wholly owned special purpose vehicle which would merge into InvaGen Pharmaceuticals Inc. after the acquisition.

Cipla, a global pharmaceutical company which uses technology and innovation to meet the everyday needs of all patients, today announced that its UK arm, Cipla (EU) Limited has closed the transaction to acquire two US-based companies, InvaGen Pharmaceuticals Inc., and Exelan Pharmaceuticals Inc. The acquisition was made by Cipla (EU) Limited through a wholly owned special purpose vehicle which would merge into InvaGen Pharmaceuticals Inc. after the acquisition. The combined revenue for the two companies for the year-ended 2015 is over USD230 million.

This acquisition is the second landmark acquisition in Cipla’s 80 year history – the first was Cipla Medpro, South Africa. This acquisition will give scale to Cipla’s US business - currently 8% of total revenue as well as providing a launch pad to introduce Cipla’s pipeline of products in respiratory and injectables, among others, in the coming years. Combined with the pipeline of InvaGen products, the overall portfolio will be wide-ranging and will cover chronic therapies like CVS, CNS, respiratory, oncology and diabetes among others.

The acquisition of InvaGen pharmaceuticals also provides Cipla with about 40 approved ANDAs, 32 marketed products, and 30 pipeline products which are expected to be approved over the next 4 years. In addition, InvaGen has filed 5 first-to-file products. Dosage forms include immediate release, modified release and extended release tablets and capsules. With a manufacturing footprint of ~350,000 sq.ft of GMP area, InvaGen has 3 units located in Long Island, NY, with a total production capacity of 12 billion tablets and capsules per annum and about 500 employees. With this acquisition, Cipla will have more relevance to wholesale and retail customers. Commenting on the acquisition, Mr. Umang Vohra, Global Chief Operating Officer, Cipla Limited said, “The acquisition will further strengthen Cipla’s presence in the US pharmaceutical market. InvaGen’s balanced portfolio, robust manufacturing base and strong R&D capabilities will act as lever to expand Cipla’s reach in the US market.

Motherson Sumi Systems eyes Wilbur Ross company IAC for $800 mn buyout

Presently, 84% of MSSL's revenues come from overseas, with Germany being the biggest contributor.

Motherson Sumi Systems is in advance negotiations with billionaire investor Wilbur Ross to buy one of his portfolio companies International Automotive Components (IAC) Group for $750-800 million as the restructuring guru seeks to cash out of the low margins business following aborted attempts of an IPO,according to media reports.

Presently, 84% of MSSL's revenues come from overseas with Germany being the biggest contributor. The company aims to get 30% of its revenue from Americas alone in the next 5 years.

The company reportedly said the acquisition, if completed successfully, will help Vivek Chand Sehgal, co-founder and chairman of the Motherson Group diversify further into newer product categories in the auto interiors space and more importantly break into key markets like US where it has so far shopped only once - the wiring harness business of Stoneridge in 2014-15.

Stock view:

Motherson Sumi Systems Ltd ended at Rs. 223.2, down by Rs. 3.2 or 1.41% from its previous closing of Rs. 226.4 on the BSE.

The scrip opened at Rs. 226.1 and touched a high and low of Rs. 227 and Rs. 211.2 respectively. A total of 7460458(NSE+BSE) shares were traded on the counter. The current market cap of the company is Rs. 29526.66 crore.

The BSE group 'A' stock of face value Rs. 1 touched a 52 week high of Rs. 395.85 on 06-Aug-2015 and a 52 week low of Rs. 211.2 on 17-Feb-2016. Last one week high and low of the scrip stood at Rs. 245.9 and Rs. 211.2 respectively.

The promoters holding in the company stood at 65.61 % while Institutions and Non-Institutions held 23.38 % and 11.01 % respectively.

The stock traded above its 200 DMA.

Sensex, Nifty to open on a positive note

The outlook is a positive start. The Nifty did stage a strong recovery but has not yet managed to surpass the high of “Bearish Engulfing” candle stick pattern which is placed at 7204 formed on Tuesday.

Caution and optimism go hand in hand as markets world worry about something unknown to fear. The known fears are probably priced in the prices of most stocks. IIFL Global Investor's Conference ­ Enterprising India VII is underway in Mumbai with over 100 companies presenting to domestic and international fund managers.  Indian economy in 2014 bottomed out and now it's in sweet spot for the coming years. Inflation is declining and RBI is behind the curve, hence the central bank needs to cut interest rates aggressively to support the economy, says Jim Walker of Asianomics who was the keynote speaker at IIFL’s conference on the first day.

The outlook is a positive start. The Nifty did stage a strong recovery but has not yet managed to surpass the high of “Bearish Engulfing” candle stick pattern which is placed at 7204 formed on Tuesday. The positive momentum is likely to continue only if Nifty manages to surpass multiple hurdles of 7204 and 7240. The currency movement will be closely tracked after it hit multi-year lows on Wednesday. The rupee is not too far away from hitting 70 to the dollar and could slump even further to a new record by the end of the year, according to an ET Poll.

US stock indices rallied on Wednesday after the minutes from the Federal Reserve’s January policy meeting indicated that the central bank will likely take time before raising interest rates further. The majority of Fed officials agreed that the best policy would be to wait for additional economic data before making any further attempts to raise interest rates in 2016.

Asian markets are in the green. The Dow Jones Industrial Average climbed 257.42 points, or 1.6%, to end at 16,453.83. The S&P 500 index advanced 33.25 points, or 1.7%, to close at 1,926.83 - recording its first three-day winning streak this year.  The S&P has gained more than 5% since Thursday’s close - its biggest three-day gain since August. The Nasdaq Composite index surged by 98.11 points, or 2.2%, to finish at 4,534.06.

Oil futures jumped 5.6% to end at US$30.66 a barrel, driven by talks between Iran and OPEC to freeze oil production to boost prices. Iran’s oil minister Bijan Zanganeh said he supported efforts to calm oil markets.

The Cabinet Committee of Economic Affairs has approved construction of six Railway Lines and a Railway bridge to cater to both increased passenger and freight needs in various areas of the country. The proposals will cost over Rs.10,700 crore and most part of the expenditure will be met through extra budgetary resources (Institutional Financing).

Quick Heal shares will be listed on the BSE and NSE on February 18. The company has raised Rs. 451 crore through its initial public offer (IPO).

National Highways Authority of India is planning to add around 50,000 km of road network in the next five to six years with an investment potential of nearly USD 250 billion (about Rs 17 lakh crore), according to reports.