Today's Biz Bit

• Communication Ministry is expected to announce the much-awaited policy on 3G mobile service along with policy for broadband wireless services and mobile number portability on Friday. It is expected that the policy will allow foreign and new players to participate in the auction for 3G spectrum. However, new players will have to pay an entry fee before they can bid. (BL)
• Commerce ministry’s BoA is expected to take its stand on four SEZs in Goa which were approved but not notified by the center in its meeting in Delhi. (ET)
• SEBI is learnt to be amending rules on collection of IPO money in order to help protect funds of retail investors and make existing issue process more efficient. SEBI is learnt to have issued circulars to market intermediaries stating the decision to introduce ASBA (application supported by blocked amount) - a supplementary process for applying in public issues which will require retail investors bidding at a cut-off price to apply through self-certified syndicate banks (SCSBs) (BS)
• Following RBI’s repo rate and CRR hike, banks have begun effecting steep increases in interest rates across sectors which move is expected to curtail credit growth. PNB has raised its benchmark lending rate by 100 basis points from next month, making homes, corporate, personal and auto loans much dearer and other banks including HDFC, Axis etc. have also announced a hike. (FE)
• According to sources, leading foreign brokerages along with stock exchanges are preparing a facility called the Direct Market Access (DMA), which will enable institutional investors like funds to access the exchange trading system through brokers’ infrastructure but without manual intervention of a broker. (ET)
• According to sources, Fortis Healthcare Ltd is eyeing developing countries in Africa, Latin America and Asia for a possible foray in international markets. (BL)
• According to sources, Videocon group has offered to buy Mahendra Nahata’s 36 % stake in Datacom Solutions, who received all-India mobile license few months ago. (BS)
• About 61 prominent companies with investment proposals worth Rs 88,018 cr, are learnt to have inked MoUs with the Madhya Pradesh government during a two-day-long Investors Meet. This is in addition to proposals worth Rs 2, 77, 000 cr, committed by various companies during the last nine months. Prominent companies which signed MoUs include Hero Motors, Ispat Industries, Videocon Group, JSW Steel and Infrastructure Leasing and Financial Services (IL&FS). (ET)
• According to sources, govt is proposing to sell about 21 % of its equity, held on behalf of govt. by specified undertaking of UTI (SUUTI) in Axis Bank through a QIP to a broad-based set of investors. (ET)
• Mahindra & Mahindra has announced its entry in 2-wheeler segment by agreeing to buy assets of Kinetic Motor Company for 110 crore through a new co. – Mahindra Kinetic Scooters and Motorcycles. M&M will own 80% of the new JV while Kinetic Motor will hold the balance. (ET)
• According to sources, M&M is considering an amalgamation scheme wherein its subsidiary- Punjab tractors ltd. (PTL) will be merged with M&M and all its assets and liabilities will be transferred to M&M at book values. The amalgamation is aimed at reviving profits and reducing costs. (ET)