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HDFC Bank, Centurion boards okay merger (Business Standard 25th Feb 2008)The boards of directors of HDFC Bank and Centurion Bank of Punjab (CBoP) today separately gave their in-principle approvals for merger of the two banks. HDFC Bank is expected to pay Rs 10,000-Rs 12,000 crore in shares for absorbing CBoP. Independent firms — Dalal & Shah and Ernst & Young — appointed by the two banks would work over the weekend to prepare their reports on the valuation of CBoP in time for boards of the two banks to consider when they meet again on Monday (February 25) to consider the swap ratio for the all-stock deal. The boards of both banks will meet on February 25 to consider the swap ratio and on February 28, to consider the draft scheme of amalgamation and any other matters as required. Consulting firm KPMG is the advisor to HDFC Bank and investment bank Ambit Corporate Finance to Centurion Bank. “ The swap ratio is expected to be around 1:25-30,” said a banking source. The merger wil...

Centurion Bank scrip surges on merger buzz (The Hindu Business Line 22th Feb 2008)The share price of Centurion Bank of Punjab on Wednesday shot up 14 per cent on the BSE, spurred on by rumours of a possible merger with HDFC Bank. The traded volumes as also the volume that came up for delivery were substantially higher than the average for the current month. The stock of Centurion Bank of Punjab (CBoP) opened the day at Rs 51.50 on the BSE, touched a high of Rs 58.40 and low of Rs 50.10, finally closing the day at Rs 57.05. As many as 1.5 crore shares changed hands as compared to the average volume of 20.82 lakh shares on the BSE, while the deliverable quantity was around 16.77 per cent of the total traded quantity. On the NSE, the volumes crossed over two crore, with a little more than a fifth (23 per cent) of it coming up for delivery at close. More

Ispat offers to supply steel for Tata Motor's Nano (The Economic Times 22th Jan 2008)Domestic steel maker Ispat Industries may become the first company outside the Tata fold to supply steel for Tata Motor's lakhtakia car Nano. The company has initiated talks with Tata Motors for supplying auto grade hot roll coils (HRC) for Nano scheduled for launch later this year. “We have started dialogue Tata Motors for supplying HRC required for its small car Nano. As the company is already an established supplier of steel to Tata Motors, we are hopeful to be part of Nano project too,” Ispat Industries (IIL) executive director (marketing) Vinod Garg said. IIL is currently meeting roughly 80% of HRC requirements of Tata Motors for its Pune plant. With the addition of Nano, the company would become the single largest domestic steel supplier for Tata Motors. Apart from IIL, Tata Steel and other global players supply steel to Tata Motors. More HDFC Bank net rises 45% to Rs 429 cr (Business St...

The Hindu Business Line Today's Pick: Bajaj Auto Finance (Rs 370.05) We recommend a buy in Bajaj Auto Finance. The chart reveals that the stock had been on a long-term downtrend, from the May peak of Rs 518 to November trough of Rs 306. However, it appears to have found support at around Rs 306 in mid November. ... More The Economic Times Northgate Technologies : Citigroup Rating: Buy CMP: Rs 580 Centurion Bank of Punjab Research: Credit Suisse Rating: Underperform CMP: Rs 55 Indian Oil Research: ABN Amro Bank Rating: Buy CMP: Rs 628 ICICI Bank Research: CLSA Rating: Buy CMP: Rs 1,157 DLF Research: Merrill Lynch Rating: Buy CMP: Rs 961 Business Standard Savita Chemicals