Bizbits

Hinduja unit faces delayHYDERABAD: THE financial closure for the 1040 mw Hinduja National Power Visakhapatnam power project is likely to ...

Hinduja unit faces delay

HYDERABAD: THE financial closure for the 1040 mw Hinduja National Power Visakhapatnam power project is likely to be delayed with its financiers and APTRANSCO, the successor entity to the APSEB, locked in a dispute over identification of the revenue stream for the project.

It was only last December that all the outstanding issues like the CST and the risk sharing forumla had been sorted out paving the way for the grant of the counter guarantee for the fast track project which had been hanging fire for the past five years.

Though all hurdles have now been cleared last minute differences which have cropped up due to differing perceptions on the paying capacity of APTRANSCO could further delay the project, sources felt. The financiers for the $1.2 billion project have demanded that the TRANSCO identify the high tension consumers for the power generated by it and to work out the revenue generation from each of the these consumers and their capacity to pay for the powerdrawn.

Birla Corp

MUMBAI: THE capacity of the Durgapur Cement Works of Birla Corp Ltd is proposed to be raised from six lakh tonnes per annum to one million tonnes once the newly launched brand, Birla Cement Samrat, is established in West Bengal. The new brand has been launched in the first phase in the districts of Burdwan, Bankura and Birbhum.

The senior vice-president of Durgapur Cement Works, P S Marwah, told The Financial Express that the brand will be introduced in other districts like Nadia and also marketed selectively in the north-eastern states. The new brand, he disclosed, is a blend of high quality slag from Durgapur Steel Plant and clinker brought from the company’s Satna works.

HDFC Bank

MUMBAI: HDFC Bank, promoted by Housing Development Finance Corporation, has revised the interest rates on its domestic deposits. It is now offering 8 per cent for maturities between 30 to 90 days — down from 8.5 per cent, 9 per cent for maturities between 91 days to 181 days — revisedfrom 10 per cent and deposits maturing after 180 days has been pegged at 10 per cent revised from 11 per cent.

Bank of Baroda

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MUMBAI: BANK of Baroda has revised the rate of interest on FCNR (B) deposits for various maturities for different currencies from March 8. In case of pound sterling, the rate of interest for maturity period of 6 months to less than one year is 5 per cent and 1 year to 3 years is 5.25 per cent. In case of dollar deposits, it is 4.75 per cent for 6 months to less than one year, 5 per cent for one to less than two years, 5.25 per cent for two years to three years.

KSEB placement

KOCHI: KERELA State Electricity Board has successfully raised Rs 300 crore through a private placement of debt. According to a press release from Canara Bank the funds mobilised have exceeded Rs 305 crore as against the target of Rs 200 crore plus a greenshoe option of Rs 100 crore.

Consequently, the Board has closed the issue on March 5. Canara Bank’s merchant banking division was thelead arranger and RR Financial consultants were the arrangers to the issue.

Konkan Irrigation

MUMBAI: THE Konkan Irrigation Development Corporation has successfully raised Rs 80 crore through the private placement route. The issue has met with a good response from institutional investors with actual subscription crossing Rs 92 crore. Canara Bank’s merchant banking division was the co-ordinating lead arrangers along with RR Financial. Aryaman Financial and L&T Finance were the other arrangers to the issue.