Govt stake sale plan on track despite volatile markets
Economic Times
Volatile stock markets have not changed India’s plans to sell stakes in state-run companies. The government has pencilled in proceeds of roughly 400 billion rupees ($8.6 billion) from sales in government companies in the fiscal year that began on April 1.

ONGC round II selloff talks grow louder as reform nears
Economic Times
The government is exploring further stake sale in Oil and Natural Gas Corporation, as it pushes for at least one more big-ticket disinvestment, other than SAIL and Coal India, to achieve the Rs 40,000-crore target for the year.

Support from ministers makes fuel hike imminent
Economic Times
An increase in prices of auto and cooking fuel appears imminent next month as an official proposal that favours freeing retail prices of petrol and diesel and increase in prices of kerosene by Rs 6 a litre and cooking gas by Rs 100 per cylinder seems to have a wide support in the government.

FM to open IT returns processing unit in B’lore
Deccan Herald
Taxpayers can expect faster refunds from the Income Tax (I-T) department this year as the ambitious Centralised Processing Centre (CPC) of the department in Bangalore will start functioning to its full capacity. The centre is equipped with a dedicated call centre, where taxpayers can enquire about the status of their returns and refunds, and also has a remote record storage unit, which reduces congestion in the I-T offices.

Base rate regime to protect interest of existing borrowers
Economic Times
Existing home loan customers may be in position to bargain for a lower interest rate, as many banks are expected to pare their rates after the new base rate regime kicks in from July 1. The banking regulator has already said that the existing customers should be given an opportunity, if they desire, to shift to the new transparent base rate system.

Magma Fincorp to get into insurance, expects IRDA nod in FY’11
Economic Times
Vehicle financing firm Magma Fincorp expects regulatory clearance for its general insurance venture with a Germany-based company during this year. The joint venture with HDI-Gerling International Holding AG is expecting R1 (initial approval) clearance soon as the process is almost complete.

LIC MF hopes to break into top five in country
The Hindu
LIC MF, the mutual fund established in 1989 by the country’s largest insurer, Life Insurance Corporation of India, is aiming to break into the top five MFs in the country from its present sixth position. The company has been almost doubling its business for the past two years and is on track to maintain such a growth rate.

Canara in big push for north
Hindustan Times
Canara Bank is all set to strengthen its presence in North India. The Bank, which enjoys a client base of over 37 million and has a strong presence in South India, plans to open most of its 200 new branches this financial year in the north. The bank also plans to add around 1,650 employees in the fiscal year.

Tripura bank posts record profit
Sify
Tripura Gramin Bank (TGB), one of India’s 84 Regional Rural Banks (RRBs), posted a net profit of Rs. 3,535 lakh, the highest among the RRBs in eastern and northeastern India, in the last financial year. TGB also attained a record in per branch business and per staff business with Rs. 2,567 lakh and Rs. 438 lakh respectively in fiscal 2009-10.

SpiceJet may get US loan to buy 2 Boeing jets
MarketWatch
Low-fare Indian carrier SpiceJet Ltd. may get a line of credit from the U.S. Export-Import Bank for the purchase of two planes from Boeing Co. The Ex-Im Bank had in the past financed purchase of Boeing aircraft by national carrier Air India and Jet Airways (India) Ltd.

StanChart IDR bid 2.2 times over; FIIs, MFs & corporates step in on last day
Economic Times
India’s first Indian Depository Receipts by Standard Chartered sailed through with the issue being subscribed over 2.2 times on the last day. Till Thursday, the issue had seen subscription of only 26% but a string of FIIs, local mutual funds and corporates stepped in a few hours before the closure to save the day for the British bank which will raise over Rs 2,400 crore from the offering.

IOC float hinges on fuel pricing
Calcutta Telegraph
Indian Oil Corporation’s plan to launch a follow-on public offer (FPO) will depend on the government’s decision on free market pricing of auto fuel. An empowered group of ministers (eGoM) will meet in the first week of June and is likely to take a call on the recommendations of the Kirit Parikh committee on fuel pricing.

Essar to buy AGC for Rs 205 cr
Business Standard
The Essar group said it would acquire US-based Avaya’s entire 59.13 per cent stake in AGC Networks, a company in the area of communications solutions, for $44.5 million (Rs 205 crore) or Rs 245 a share. The deal will put Essar’s BPO arm, Aegis, among top five IT solution providers in India.

Mukesh Ambani may buy MF firm
Livemint
Mukesh Ambani, who controls India’s most valuable company Reliance Industries Ltd (RIL), is in talks to buy a majority stake in JM Financial Asset Management Pvt. Ltd. Negotiations are under way for a deal that values JM Financial Asset Management, the money manager controlled by investment banker Nimesh Kampani, at around 8% of its assets under management, which equals Rs 685 crore.

Clenergen plans Rs 130 cr IPO
mydigitalfc.com
Clenergen India, which is looking at organic and acquisition routes to grow its biomass power generation capacity in India, intends to tap the capital market with an initial public offer to part-fund its biomass power project. The company, a subsidiary of US-based renewable energy company Clenergen Corporation, is proposing to come out with an initial public offer (IPO) in the first or second quarter of calendar year 2011 to raise about Rs 130 crore.

Mahindra, Ruia Group Submits Letter-of-Intent to Acquire Korean Car Company
Stock Watch
India’s largest manufacturer of tractors and utility vehicles Mahindra & Mahindra (M&M) and makers of the Dunlop brand of tyres, the Ruia Group, are reported to have come forward to bid for financially unstable Korean sports utility vehicle (SUV) manufacturer SsangYong Motor Company (SMC). The beleaguered South Korean Company is the smallest car maker in that country. The firm has received surprise bids from seven global giants, including the two from India and French automotive giant Renault, via a subsidiary.

Naxal strikes to take a toll on economy
Financial Express
Incessant Maoist violence is threatening to take a direct toll on the economy. The Indian Railways is considering a proposal to suspend night operations of trains in five Naxal-infested states of Jharkhand, Chhattisgarh, Orissa, Bihar and West Bengal till the situation improves perceptibly.

Finance Minister sure of 8.5% growth this fiscal
Hindu Business Line
The Union Finance Minister, Mr Pranab Mukherjee, said the country was poised to achieve a growth rate of 8.5 per cent during 2010-11 and if the current favourable trend continues, the economic growth rate of the country would cross 9 per cent next financial year. He pointed out that the industrial sector played a key role in the recovery of the economy with the industrial production recording a growth rate of 10.4 per cent during 2009-10.

Marriages to keep gold shining
Business Standard
The World Gold Council has painted a bullish picture for gold demand in India. In its report the council has said that the average 10 million marriages that take place in India every year could help maintain the gold demand in the country shinning.