India Cements might come out with an IPO for their IPL team

Post this round of two new teams being inducted in IPL at 333 million and 370 million, obviously all these teams’ valuation has gone up, at least would have doubled due to the new teams’ price competition. So the sense that we are getting is India Cements obviously is benefiting and also there are reports that India Cements might come out with an IPO for their IPL team.

Goenka Diamond's Rs 145-cr IPO subscribed 1.65 times on Day 1

The initial public offer (IPO) of Goenka Diamond and Jewels received a good response from non-institutional investors and was subscribed 1.65 times at the end of first day of issue today.

The Rs 145-crore IPO received bids for 1.65 crore shares against one crore equities on offer, thus getting subscribed 1.65 times, as per the data available with the National Stock Exchange (NSE).

On its opening day, the IPO was subscribed 7.36 times in the portion reserved for non-institutional investors, the NSE data shows.

The company has entered the capital market with one crore shares in the price range of Rs 135-145 per piece. The offer closes on March 26.

The company would use the proceeds to set up jewellery manufacturing and diamond processing facilities in Mumbai and expand its retail outlets pan-India.

Meanwhile, e-card services provider Intrasoft Tech's IPO, which also opened today, was subscribed 57 per cent on the first day, as per the NSE data.

UCO Bank trims issue size, FPO likely in May

State-owned public sector lender UCO Bank said it has cut own the issue size to six crore shares of its proposed follow-on offer (FPO), expected to hit markets in May.

“We have cut down the shares size now and are going in for only six crore shares issue against the earlier proposed size of 13.5 crore equity,” UCO Bank CMD SK Goel said here.

At the current market price, the bank would be able to raise about Rs 400 crore from the public offer. The board, in its meeting on January 30, decided to issue six crore equity shares with a face value of Rs 10 each at a suitable premium for raising funds.

The bank intends to come out with the public offer in May. Post FPO, the government holding will come down to 58.6% from the existing 70%.Shares of the bank were trading at Rs 56.80, up 1.88% during the afternoon trade on the Bombay Stock Exchange.

Asked about capital infusion, he said, during the month the bank expects to get Rs 500 crore from the government. This would help the bank in raising its capital to risk-weighted asset ratio (CRAR) over 12 per cent, he said, adding that the government would infuse capital in the next fiscal as well. However, as per the supplementary demands of grant tabled in Parliament recently, UCO Bank will get Rs 450 crore during FY10.

India Inc raises Rs 23,730 cr via IPO in April-January

India Inc has raised a whopping Rs 23,730 crore through initial share sales in April-January, which is nearly 10 times than that mobilised during the corresponding period last fiscal.

With the stock market re-emerging as the preferred place for fund raising, as many as 28 companies came out with initial public offers (IPO) during April-January 2009-10 raising a total of Rs 23,731.88 crore.

This is almost 10 times higher than Rs 2,058.51 crore mobilised by 20 companies during the same period in 2008-09, according to market regulator SEBI.

During the 10-month period, two companies also came out with further public offers (FPO) raising a total of Rs 64.47 crore, while none did this during the same period previous fiscal.

In total, there were 30 public issues which mobilised Rs 23,796.35 crore against 20 in the same period last year garnering Rs 2,058.51 crore, SEBI said in its February bulletin.

However, rights issue seems to have lost charm for companies as the amount mobilised through the route dropped 83 per cent to Rs 3,132.09 crore this fiscal.

There were 19 rights issues, which mobilised Rs 3,132.09 crore against 21 in the same period last year that raised Rs 11,997.31 crore.

Meanwhile, institutional placement seems to have gained favour with Indian corporates as a host of them mobilised Rs 39,144 crore during the April-January period of the current fiscal through the route.

During the current financial year so far, there were 54 Qualified Institutional Placements (QIPs), which mobilised Rs 39,143.89 crore against two QIPs during the same period last year that raised Rs 188.82 crore," SEBI said.