The restriction in trading of these 40 stocks comes on top of shares of close to 500 companies already being kept under restricted-trade category by both BSE and NSE
New Delhi: Leading stock exchanges BSE and National Stock Exchange (NSE) have restricted trading in stocks of as many as 40 new companies on account of their failure in meeting the market regulator Securities and Exchange Board of India (SEBI)'s direction on dematerialising of shares, reports PTI.
The action comes after these companies failed to convert a mandatory 50% public shareholding into demat or electronic format, or either they did not submit the shareholding data for July-September quarter or provided the exchanges with wrong shareholding patterns.
The restriction in trading of these 40 stocks comes on top of shares of close to 500 companies already being kept under restricted-trade category by the two bourses.
As per SEBI regulations, shares of all listed companies having less than 50% public holding in demat form need to be traded only in the 'Trade-for-trade' segment of the exchanges. The trading in this segment requires compulsory delivery and these shares can be sold only after a buyer is found at their quoted prices.
In a circular, BSE has listed out 39 such stocks that are being moved to 'Trade-for-Trade' group with effect from 23 November 2012. The NSE has also listed out three such stocks, which includes two named by BSE as well, taking the total number of such stocks to 40.
These include Deccan Chronicle Holdings, Falcon Tyres, Ion Exchange India, Prithvi Information Solutions, Rama Vision and Vikash Metal and Power Ltd.
In addition, BSE said that as many as 459 stocks would continue to be traded on 'Trade-for-Trade' basis due to their non-compliance to SEBI's demat shareholding norms.
These companies include Austral Coke and Projects Ltd, Bhilwara Spinners, Dhanlaxmi Cotex, India Cements Capital, Jaybharat Textiles and Real Estate Ltd, Oswal Yarns, Sakthi Finance and Zenotech Laboratories Ltd.
At NSE, shares of 15 companies would continue to be traded on 'Trade-for-Trade' basis, including stocks of Austral Coke, Jain Studios, Sakthi Finance and Jupiter Bioscience Ltd.
Besides, BSE has named a total of 448 companies whose shares would continue to be traded in 'Trade-for-Trade' group "for reasons other than the demat criteria". NSE has named 10 companies in this category, including Birla Power Solutions, Shree Ashtavinayak Cine Vision and 3i Infotech Limited.
NSE also said in a circular to its member brokers that two companies -- Koutons Retail and Samtel Color -- have complied with demat regulations, but would continue to remain under restricted trade category due to 'surveillance' reasons.
However, BSE has decided to move 100 stocks out of this restricted-trade category with effect from November 23, as they have complied with SEBI's regulations for demat shares.
These include 3i Infotech, Eastern Sugar and Industries Ltd, Monnet Sugar, Ontrack Systems, Shree Ashtavinayak Cine Vision and Zenith Healthcare Ltd.
SEBI is conducting auction in government and corporate debt security investments worth Rs10,616 crore or over $1.9 billion on 20th November for foreign investors
According to a World Bank study, the planet could warm 4.0 degrees Celsius above pre-industrial levels in as early as the 2060s if governments' promises to fight climate change are not met
Washington: The World Bank has warned that global temperatures could rise by four degrees this century without immediate action, with potentially devastating consequences for coastal cities and the poor, reports PTI.
Issuing a call for action, the World Bank tied the future wealth of the planet -- and especially developing regions -- to immediate efforts to cut greenhouse gas emissions from sources such as energy production.
"The time is very, very short. The world has to tackle the problem of climate change more aggressively," World Bank President Jim Yong Kim said yesterday on a conference call as he launched a report conducted for the global lender.
"We will never end poverty if we don't tackle climate change. It is one of the single biggest challenges to social justice today."
The study said the planet could warm 4.0 degrees Celsius (7.2 Fahrenheit) above pre-industrial levels as early as the 2060s if governments' promises to fight climate change are not met.
Even if nations fulfill current pledges, the study gave a 20% likelihood of a four-degree rise by 2100 and said that a three-degree rise appeared likely. UN-led climate negotiations have vowed to limit the rise of temperatures to no more than two degrees.
"A four-degree warmer world can and must be avoided. We need to hold warming below two degrees," Kim said. "Lack of ambitious action on climate change threatens to put prosperity out of reach of millions and roll back decades of development."
UN Secretary-General Ban Ki-moon said in a statement that the study showed the need to hold nations to their commitment, made last year in Durban, South Africa, to put in place a legally binding new climate agreement by 2015.
The more than 190 nations in the UN Framework Convention on Climate Change start their latest annual talks on November 26 in Qatar.
Global temperatures have already risen about 0.8 degrees Celsius. The planet has charted a slew of record-breaking temperatures over the past decade and experienced frequent disasters some experts blame on climate change, most recently superstorm Sandy, which ravaged Haiti and the US East Coast.
The report said that, if temperatures rise by four degrees, regions will feel different effects -- recent heatwaves in Russia could become an annual norm and July in the Mediterranean could be nine degrees higher than the area's warmest level now.
Under that scenario, the acidity of the oceans could rise at a rate unprecedented in world history, threatening coral reefs that protect shorelines and provide a habitat for fish species.