Bonus for Power, Gift for Energy

Reliance Power shareholders should be somewhat relieved that a bonus of 3:5 has been announced. Reliance Energy may have nothing to lose because Anil Ambani has decided to let his personal holding in Reliance Power fall to 40%from 45% to enable Reliance Energy's stake in Reliance Power to be maintained at 45%. While many will cheer this gift or sacrifice, there are others who feel the promoters invested just Rs2,000 crore and post-listing the value moved to around Rs75,000 crore. So giving away Rs5000 crore need not be cheered.
Whatever anyone may say, the ADAG group of stocks look set for a decent run at least at start. Then we have HDFC Bank all set to Centurion Bank of Punjab in an all-stock deal. The board will announce the swap ratio in a few minutes.
Given the global cues, we can expect a better opening. But the recent trading sessions have shown that there is tremendous resistance at higher levels. A rescue plan for bond guarantors has kept global markets positive. Reports state that New York-based Ambac Financial Group Inc. will get new capital to salvage its AAA credit rating, averting further writedowns for global financial companies.
Infrastructure Developers Ltd, which raised about Rs9.44bn through its IPO last month, will list on the bourses today. The company has fixed the issue price at the lower end of price band of Rs185-220. IRB Infrastructure offered 51mn equity shares through the IPO, constituting 15.36%of its fully diluted post issue paid-up capital. The issue got subscribed by over four times
Japan's Nikkei 225 Stock Average climbed 2.4 percent to 13,827.16. Indexes also gained in South Korea, Australia and New Zealand. The Philippines is closed for a holiday.
U.S. stocks rallied in the final 30 minutes of trading on Feb. 22, helping the Standard & Poor's 500 Index climb 0.8 percent.
Kishore Biyani promoted PE fund Indivision India Partners withdraws from Dish TV deal.
Future Ventures India, the VC arm of Future Group, likely to come with an initial public offer of around Rs38bn.
M&M plans to launch a premium SUV codenamed ‘W201’ by 2009 and the Ingenio MUV by end August of this year.
DoT draws up priority list for new telecom license holders; Datacom Solutions, in which Videocon’s Venugopal Dhoot holds a stake, has topped the list of companies in terms of precedence in converting its LoI into a license
Indian Oil Corp is on the look out to acquire stakes in oil sand blocks in Canada.
GSK Pharmaceuticals plans to launch four drugs in India within the next three months.
Reliance Retail is in talks with UK’s Mark & Spencer to float an equal JV.