Today's Biz Bit

• Delhi-based Security and Intelligence Services (SIS) has taken over Australian guarding and mobile patrol business units of American conglomerate United Technologies Corp (UTC) in a deal worth $235 million (around Rs 1,000 crore). The deal involves SIS taking over 3 businesses of UTC Fire and Security, which includes Chubb Security Personnel, Chubb Mobile Services and MSS Security Group. (ET)
• Pepsico India is selling its seaweed cultivation business to a group of entrepreneurs led by former top PepsiCo India executive Abhiram Seth, in partnership with Prem Patnaik, through transfer of assets of seaweed business at book value to Aquagri Processing Pvt Ltd. The financial details of the deal are not known.
• Competition Commission of India (CCI) is likely to study RFQ model drafted by the Planning Commission for public-private partnership (PPP) projects in infrastructure in order to examine if government’s plan to restrict number of players bidding at RFQ stage would affect competition in the bidding process. The Model prefers limiting the number of pre-qualified bidders to five owing to greater risks, larger investments and long-term participation required for such projects.
• According to a CII survey of the manufacturing sector, about 21% of industrial segments reported a decline in production in the April-June quarter, against 13.86% in the same quarter last year. Meanwhile FICCI has issued a statement saying that outlook for the manufacturing sector looks robust, projecting manufacturing sector growth at 9.5% for 2008-09, against 8.8% in 2007-08. (ET)
• Mumbai Bench of ITAT has, in a recent order, held that taxpayers need not pay interest, if the assessment order does not clearly mention the quantum of interest as income-tax rules stipulate that assessment order should contain the quantum of interest, if interest has to be recovered from the taxpayer. (ET)
• RBI has extended its earlier deadline for NBFCs which do not accept deposits to meet RBI’s CRAR (capital-to-risk-assets ratio) requirements. These co.s now need to achieve a 12% CRAR ratio by March 2009 and on similar lines, to reach a CRAR level of 15% by March 2010. RBI has also told non-deposit taking NBFCs to make additional disclosures in their balance sheets with effect from March 2009. These include providing information relating to CRAR, direct and indirect exposures to the real estate sector and maturity pattern of assets and liabilities. (ET)
• Anil Ambani’s financial services arm, Reliance Capital, has launched a WOS, Reliance Equity Advisors Ltd (REAL), to offer entire bouquet of private equity services. REAL has put in place a 15-member advisory team and received regulatory approval to build an initial corpus of $1 bn. Of this, ADAG will contribute 15-20% while the balance will be mobilised by two linked funds, one based in Mauritius and the other in India. The fund will focus on sunrise sectors such as services, logistics, realty and pharma and size of investment will be in range of $15-100 mn. (ET)
• According to sources, FM has decided to bar fund managers from investing overseas and allow individuals an option to invest their entire corpus in debt instruments. In addition, foreign investment ceiling will be linked to cap prescribed for insurance sector, presently limited to 26 %. The government is also keen to raise cap to 49 %. The three key recommendations of a Parliamentary standing committee have been incorporated in the revised Pension Fund Regulatory & Development Authority (PFRDA) Bill 2005, which has been approved by Union cabinet. (BS)
• Ministry of Corporate Affairs has asked SEBI to examine lesser entry and exit loads charged by mutual fund houses in case of HNIs as they are felt to be highly detrimental and discriminating against interests of small investors. (BS)
• Karnataka govt has decided to develop 6 cluster-based sector specific industrial zones to ensure balanced industrial growth across the state. Karnataka Industrial Area Development Board (KIADB) has been allocated Rs 500 crore for the year 2008-09 to undertake developmental work of these industrial zones. (FE)
• SEBI has revamped its organizational structure by separating its investigation and adjudication wings, and assigning each to different members of its board. (Mint)