HDFC Bank in focus after RBI curbs FII stock purchase

HDFC Bank will be watched after the Reserve Bank of India (RBI) on Monday, 16 December 2013, restricted foreign institutional investors (FIIs) from buying additional shares in HDFC Bank as their shareholding has exceeded the limit. Stakes held by overseas investors, including FIIs, non-resident Indians (NRIs), persons of Indian origin (PIOs), foreign direct investment and global depository receipts, in HDFC Bank have crossed the ceiling of 49% of its paid-up capital, the RBI said in a release. No further purchases of the bank's shares will be allowed through the stock exchanges on behalf of overseas investors, it said. Total foreign holding in HDFC Bank was 51.01% as at 30 September 2013, of which 33.61% was held by FIIs.

Coal India (CIL) said its board has approved revision of raw non-coking coal sizing charges for different sizes and rapid loading charges with effect from 17 December 2013. This will be applicable to all subsidiaries of Coal India for regulated and non-regulated sectors. Due to this revision, CIL will earn an approximate additional revenue of Rs 197.21 crore for the balance period of financial year ending March 2014 (FY 2014), the company said in a statement.

Further, the company's board has also approved an additional 10% increase on the notified price for subsidiaries other than Western Coalfields (WCL) applicable with effect from 28 May 2013 on the existing notified price of non-coking coal of WCL of G-6 to G-17 bands with effect from 17 December 2013. Due to this increase, WCL will earn an approximate additional revenue of Rs 139.84 crore for the balance period of FY 2014, the company said.

The National Stock Exchange of India (NSE) will include Apollo Hospitals Enterprise and Mahindra & Mahindra Financial Services in the futures and options segment of NSE from 27 December 2013.

Apollo Tyres will be watched after media reports suggested that Cooper Tire & Rubber Company on Monday, 16 December 2013, lost its court bid to force Apollo Tyres to complete their proposed $2.5 billion merger. According to media reports, the Delaware Supreme Court dismissed Cooper's appeal against an earlier ruling that Apollo was meeting its obligations to reach new contract terms with unions at Cooper plants in Ohio and Texas.

Alstom T&D India said that it has entered into an agreement for selling the company's land in Bengaluru, which was previously used for manufacturing instrument transformers, to a large Indian business group company, for a total sale consideration of approximately Rs 120 crore.

Reliance Industries (RIL) will be watched after its organised retail unit, Reliance Retail, has decided to discontinue its non-vegetarian food offering, 'Delight', with immediate effect. Delight was introduced as an independent format for non-vegetarian offerings in select geographies. A completely dedicated and fully segregated supply chain was maintained for Delight in order to cater to the distinct preferences and ideologies of different customers. Despite this sensitive balance of availability and convenience, the company felt that certain sections of customers were still hesitant to shop at its stores. Reliance Retail has therefore decided to focus on vegetarian offerings only, within its retail portfolio, the company said in a statement.

The company company further added that, there have been some misconceptions among various stakeholders about a possible joint venture with a foreign partner for establishing quick service restaurants and non-veg processing business. The firm clarified that it has not tied up with any foreign partner for quick service restaurant business and also categorically stated that it is neither planning nor desirous of pursuing setting up of any such processing plant.

The company said it believes that this decision will help it fully leverage its core competencies and remain relevant with a wider section of consumers.

Wheels India said its board has approved issuing equity shares to public shareholders on rights basis to comply with the minimum public shareholding requirements. As on 30 September 2013, promoters held 91.43% in the company. Promoter shareholding in private companies is not allowed to exceed 75% i.e. minimum public shareholding of 25% to comply with Securities and Exchange Board of India (Sebi) norms.

Century Enka announced after market hours on Monday, 16 December 2013, that it has taken up modification of a part of its polymer lines to improve flexibility in the manufacturing process. As a result, continuous polymerisation unit (CPU) - Polyester will continue to remain in non-operative mode for some more time. Last month, the company had announced shutdown of CPU - Polyester at Bharuch site for preventive maintenance.

Swan Energy announced at the fag end of trading hours on Monday, 16 December 2013, that Ministry of Environment & Forests, New Delhi (MOEF) has accorded necessary Environment and CRZ Clearance to the company for the development of its Floating Storage and regassification Unit (FSRU) based LNG import terminal near Pipavav, Gujarat.

Warren Tea announced after market hours on Monday, 16 December 2013, that the Gauhati High Court on 16 December 2013 has given its sanction to the scheme of arrangement between Warren Tea and James Warren Tea and their respective shareholders.

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