Post blasts BSE to remain open; stocks expected to decline
Mumbai: The Bombay Stock Exchange will remain open for trading on Wednesday according to officials at the Exchange. All the Exchanges' systems and staff would be ready for trading. The Exchange made arrangements for the staff to stay back on Tuesday night for it to function normally on Wednesday.

Brokers and analysts said trading in the next few days may be affected by the implications of the serial blasts in Mumbai today.

Bourses were poised to open to the results of Infosys on Wednesday morning, but the sentiment would be glum in the light of these blasts, they said.
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Bombay Stock Exchange tightens conditions for IPOs, FPOs
Mumbai: The Bombay Stock Exchange has decided to tighten the norms for listing the shares of initial public offerings (IPO) and follow-on public issues (FPO) to check fly-by-night operators entering the capital market. The conditions will come into effect from August 1, 2006.

An important requirement under new norms is that due diligence for IPOs and FPOs for less than Rs10 crore would have to be done by merchant bankers and chartered accountants appointed by the BSE.

This requirement will be waived off if a financial institution or a scheduled commercial bank has appraised the project in the preceding 12 months, according to the revised listing norms issued here on Tuesday. The minimum number of public shareholders after the issue shall be 1,000 for small-cap companies. Small-cap companies are those companies that have a market capitalisation of less than Rs25 crore or companies that tap the IPO market with an issue size of less than Rs10 crore.

Under the new norms, BSE said minimum post-issue paid-up capital and minimum issue size for a small cap companies should be Rs3 crore respectively.

Again, for small-cap companies tapping the IPO/FPO market, the minimum market capitalisation is stipulated at Rs5 crore and the minimum turnover of the company should be Rs3 crore in each of the preceding 12 months period, the BSE said.

For large-cap companies, the minimum post-issue paid-up capital of the applicant company should be Rs3 crore; and the minimum issue size is stipulated at Rs10 crore.

Under the existing norms, new companies can be listed on the BSE, if their issued and subscribed equity capital after the public issue is Rs10 crore.

In addition to this, the issuer company should have a post issue net worth (equity capital + free reserves excluding revaluation reserve) of Rs20 crore.

BSE said the new norms would be in addition to the conditions prescribed under SEBI (Disclosure and Investor Protection) Guidelines, 2000.
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Indian ADRs fall on Mumbai blasts
New York: Shares of Indian stocks fell in Tuesday trading on news that hundreds of were killed in several train blasts during rush hour in Bombay.

American Depositary shares of Dr. Reddys Laboratories Ltd. fell 68 cents, or 2.4 percent, to $28.31 on the New York Stock Exchange. Tata Motors Ltd. plunged 60 cents, or 3.5 percent, to $16.38 on the NYSE. HDFC Bank's stock plunged $1.65, or 3.1 percent, to $51.36, while shares of ICICI Bank Ltd. lost 57 cents, or 2.5 percent, to $22.26 on the Big Board.

Shares of Infosys Technologies shed $2.60, or 3.3 percent, to $75.15 on the Nasdaq. Internet portal Rediff.com India plunged 58 cents, or 3.9 percent, to $14.40 on the Nasdaq. Shares of Satyam Computer Services lost $1.10, or 3.3 percent, to $32.20 on the NYSE. Shares of Mahanager Telephone Nigam fell 25 cents, or 3.9 percent, to $6.22 while Videsh Sanchar Nigam's shares dropped $1.01, or 5.9 percent, to $16.26 on the NYSE.

Shares of Wipro Ltd fell 26 cents, or 2.1 percent, to $12.32 on the NYSE.

Morgan Stanley India Investment Fund shares fell $1.59, or 3.7 percent, to $41.42 on the NYSE while shares of India Fund Inc. fell $1.53, or 3.6 percent, to $41.47 on the NYSE.
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BoI launches online trading in Chennai
Chennai: Bank of India (BoI) has launched its online trading service, named Star Share Trade, for securities in Chennai in association with Asit C. Mehta Investment Intermediaries. Mr Jayaraman, AGM, BoI, said the bank's customers could avail themselves of this service by opening an online trading account.

Investors can trade both on the NSE and the BSE through www.bankofindia.com or www.investmentz.com (trading Web site of Asit C. Mehta Investment Intermediaries, a Nucleus Group Company, which is promoted by Asit C. Mehta jointly with Deena A. Mehta, former BSE President), said Yoganandan, senior manager, Chennai Depository Participant Office, Bank of India.

Initially the service would be available for only the cash market, but the bank plans to introduce it for derivatives soon.
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