Religare MF launches Religare Fixed Maturity Plan-Series III-Plan A (12 months); L&T Mutual Fund unveils L&T FMP-I (September91D A); Pramerica MF introduces Pramerica Ultra Short Term Bond Fund; Birla Sun Life MF announces dividend under Birla Sun Life Tax Plan; Max Bupa Health Insurance releases 'Health Pulse 2010'
Religare MF launches Religare Fixed Maturity Plan-Series III-Plan A (12 months)
Religare Mutual Fund has launched Religare Fixed Maturity Plan-Series III-Plan A (12 months), a close-ended debt scheme. The plan offers growth and dividend payout. The investment objective of the plan, under the scheme, is to generate income by investing in debt and money market instruments maturing in line with the duration of the scheme. The scheme opened on 14th September and closes on 20th September. The new fund offer (NFO) price is Rs10 per unit. The exit load for the scheme is nil. The minimum investment amount is Rs5,000. The minimum target amount is Rs1 crore. The benchmark index for the scheme is Crisil Short-Term Bond Fund Index.
L&T Mutual Fund unveils L&T FMP-I (September91D A)
L&T Mutual Fund has launched L&T FMP-I (September91D A), a close-ended income scheme. The investment objective of the plan, under the scheme, is to achieve growth of capital by investing in debt/fixed income securities maturing on or before the maturity of the plan. The plan offers growth and dividend (payout) option. The exit load for the plan is nil. The new fund offer (NFO) price is Rs10 per unit. The scheme opened on 15th September and will close on 20th September. The minimum investment amount is Rs5,000. The minimum target amount is Rs1 crore. The benchmark index for the plan is Crisil Liquid Fund Index.
Pramerica MF introduces Pramerica Ultra Short Term Bond Fund
Pramerica Mutual Fund has launched Pramerica Ultra Short Term Bond Fund, an open-ended debt scheme. The investment objective of the scheme is to provide reasonable returns and high degree of liquidity by investing in debt and money market instruments. The scheme offers two options-growth and dividend. The new fund offer (NFO) price is Rs10 per unit. The NFO opens on 16th September and will close on 23rd September. The minimum investment amount is Rs5,000. The exit load for the scheme is nil. The minimum target amount is Rs1 crore. The scheme will be benchmarked against Crisil Liquid Fund Index.
Birla Sun Life MF announces dividend under Birla Sun Life Tax Plan
Birla Sun Life Mutual Fund has declared dividend under its scheme - Birla Sun Life Tax Plan. The quantum of dividend decided for distribution under the scheme is Rs2 per unit. The record date for distribution of dividend is 17th September. Birla Sun Life Tax Plan is an open ended ELSS scheme. The investment objective of the scheme is to achieve long-term growth of capital along with income tax relief for investment. The scheme is benchmarked against BSE Sensex.
Max Bupa Health Insurance releases 'Health Pulse 2010'
Max Bupa Health Insurance has released Bupa Health Plus 2010 international survey, highlighting the international insights of 'ageing' globally. The report is launched in 12 countries and talks about various health related observations. The first part of this series, 'Ageing', reveals that youth in India, between 18-24 years of age, fear heart diseases most in old age (25%), followed by diabetes (24%) and cancer (16%). In the other countries where the survey was conducted, namely Germany, France, Mexico, Australia, United Kingdom, Brazil, China, United States, Spain, Italy and Russia, cancer and dementia generate the greatest levels of public anxiety (34% and 23% of respondents respectively). The report also reveals that people across the globe continue to feel 'young at heart' even when they are in their 70s and 80s.
Bharti’s net additions of 2 million trailed Vodafone, BSNL, and even new entrant Uninor
This has been one of the worst performances ever for Bharti. It has reported its lowest-ever net additions since June 2007. With its net additions lower than Vodafone, BSNL and Uninor, it is possible that it could drop to number 6 in terms of net additions in August (if press reports saying Tata Teleservices added 2.1 million are correct and if Reliance Communications maintains its July 2010 rate). It is possible that Uninor is eating into Bharti's market share.
What is interesting is excluding Reliance Communications and Tata, overall GSM additions were 13.5 million in August 2010, which is much higher than 11.5 million in July - and especially significant because from April to July, subscriber additions have been in the 11-12 million range. This makes August a breakout month.
Details of net additions (month-on-month)
-Bharti: 2 million versus 2.6 million
-Vodafone: 2.3 million versus 2.4 million
-Uninor: 2.22 million versus 850,000
-Idea: 1.99 million versus 1.86 million
The most surprising performer has been Uninor. With its 2.2 million net additions, its total subscriber base is up 32% m-o-m to 9.1 million and this after being present in only 13 out of 22 circles. Kotak said in a note today, "Uninor possibly benefited from its increasing understanding of the Indian consumer (reflected in simpler pricing plans of late as compared to initial launch plans) as well as increasing network coverage in the 13 circles."
The subscriber base in Jammu & Kashmir continues to decline with more stringent know-your-customer norms. Since similar norms are being imposed on Assam and North-Eastern circles, the base in these areas could very well get affected in the coming months.
Bharti still leads with 141 million subscribers (30% market share). The subscribers and market share data for the rest is as follows:
In terms of market share of net additions in August, Vodafone and BSNL lead with 17% each, followed by Uninor at 16%, trailed by Bharti at 15%, Idea at 14% and Aircel at 12%.
New Delhi: Cairn Energy Plc's deal to sell a majority stake in its Indian arm to Vedanta Resources for up to $8.48 billion is contingent upon the billionaire Anil Agarwal-led group completing an open offer to minority shareholders of Cairn India, reports PTI quoting a senior official.
Vedanta Resources Group is yet to get the Securities and Exchange Board of India's (SEBI) approval for an open offer to acquire up to a 20% stake from minority shareholders at a price of Rs355 a share, Rs50 less than what it is paying Cairn Energy for a majority stake.
The conclusion of the deal is "conditional to completion of open offer in India," Cairn Energy CEO Bill Gammell said today after a 45-minute meeting with Oil and Natural Gas Corporation (ONGC) chairman and managing director R S Sharma here.
The open offer, as per the schedule announced by Vedanta last month, is to open on 11th October.
Mr Gammell said Cairn Energy will call an extraordinary general meeting (EGM) of its shareholders in early October to seek ratification of the Vedanta deal.
But the shareholders' nod will mean nothing unless Vedanta is able to complete the open offer in India, he said.
Mr Gammell met Mr Sharma for the second time since announcing the deal to sell a 40% to 51% stake in Cairn India - the firm that operates the giant Rajasthan oilfield - to Vedanta on 16th August.
ONGC insists that Cairn Energy cannot sell a stake to Vedanta without its approval, as it has the pre-emption or right of first refusal by virtue of its participating interest in the Rajasthan oilfield and two other producing assets of Cairn India.
Mr Gammell said his meeting with Mr Sharma was "good."
Cairn Energy, he said, believes that the deal does not trigger ONGC's pre-emption right as it is a corporate transaction between two parties and not the sale of stake in any particular field that normally gives partners right of first refusal (RoFR).
He, however, refused to say if ONGC had diluted its position. "But I am very positive."
ONGC has a 30% interest in the 6.5 billion barrel Rajasthan fields, the centrepiece of the Cairn-Vedanta deal.
Mr Gammell said the state-owned firm had not asked for operatorship of the Rajasthan field in return for waiving its pre-emption rights.
Cairn Energy had last week written to ONGC saying its nod for the Vedanta deal is not required, as Cairn India will continue to exit.
"There is no real change (happening at) Cairn India," he said today. "This is just a corporate deal (involving sale of shares by one party and purchase by another)."
Vedanta is paying Cairn Energy Rs405 per share for a 40% to 51% stake in Cairn India. This includes a Rs50 non-compete fee to keep the Edinburgh-based firm out of India, Pakistan, Bangladesh and Sri Lanka for three years.
In another related development, Cairn Energy Plc today said it will pay all taxes due, both in India and the United Kingdom, on the $8.48 billion it will gain from selling a majority stake in its Indian arm to Vedanta Resources.
"We will pay all the taxes (due) in UK and India," Mr Gammell said here today.
Averaged across both countries on the gross proceeds, "It will be in the low teens. What is paid will be determined eventually by the final proceeds," he said.
He did not elaborate, but analysts said the 'low teens' being referred to by Mr Gammell may be the 13%-14% tax liability on gross proceeds of the sale.
If Cairn Energy was to eventually sell only 40% out of its 62.38% stake in Cairn India for $6.65 billion, the combined tax liability in India and UK would be around $868 million. But if it was to sell 51% for $8.48 billion, the tax liability would be $1.1 billion.