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Market Update

* PHARMA : Cipla retains the top slot in the domestic mkt for year ended Dec 09
with a mkt share of 5.38% followed by Ranbaxy's 4.91% & Glaxo's 4.35%.. the
domestic drug mkt grew 17% yoy @ Rs400.5bn according to ORG-IMS

* BANKS/REAL ESTATE : RBI rules out one more round of restructuring of real
estate loans which may increase NPAs of banks but instead suggests that
developers shud bring down pxs and clear their inventory to pay the lenders

* PNB : buys controlling stake in Dana bank of Kazakhstan for undisclosed amt
to focus on small & medium sized biz

* AVIATION : Civil Aviation Min decides to wait before relaxing norms to allow
dom carriers to fly abroad

* JET AIRWAYS : in initial discussions with Fedex for a dedicated cargo airline
to be setup as a JV.. Jan domestic seat factor @ 73.6% vs 64.7% yoy, intl seat
factor @ 84.9% vs 74.9% yoy

* MARUTI : expects to double exports in FY10 to 160mn units due to scrappage
incentives in Europe

* GMR INFRA : in advanced discussion with a couple of pvt equity funds to raise
~ Rs15bn for its power subsidiary, GMR Energy

* SOBHA DEVELOPERS : plans to pursue asset monetisation thru sale of land

* MADHUCON PROJECTS : awarded 3 hydel power projects of 25mw each expandable to
100mw in BOT mode in Uttarakhand

* RAYMOND : mgt says aims to increase revs from current Rs 10bn in retail biz
by 40% in 2 yrs

* SUBEX : board approves issue of 6mn shrs to promoters @ Rs 80/shr

Corporate News – Industry trends

– India Infrastructure Finance Company (IIFCL) has kicked off work on a US$1bn
medium term note programme to raise funds for power, road, port and airport
projects. (BS)

– Domestic bulk drug exporters have complained that the value-added reexports
of common medicines, like penicillin and erythromycin, are in trouble
due to a recent government directive. The government has fixed 15% value
addition as the minimum requirement for duty-free import of raw materials. (BS)

– The country’s largest car maker, Maruti Suzuki India, said it expects to
double
its exports to 160,000 units in the current financial year, while it is
aiming at
over 20% growth in its overall sales. "Last fiscal, we exported 80,000
units. (BS)

– The Supreme Court has stayed the order of the Customs, Excise and Service
Tax Appellate Tribunal rejecting the appeal of automobile major M&M on
payment of differential excise duty of Rs 2.1bn and a penalty of Rs 880mn
for its
Commander range of vehicles. (BS)

– Lupin has launched a generic version of the hypertension drug Amlodipine /
Benazepril in the US market, following final approval for the product last
week.
The company is expected to get an upside from the launch of this drug as,
currently; there are only two other generics in the market from Teva
Pharmaceuticals and an authorised generic of Sandoz. (BS)

– BHEL has bagged a Rs 10bn order from Punatsangchhu Hydroelectric Project
Authority in Bhutan to supply equipment for a 1,200-Mw hydro power plant
being developed in the neighbouring country. (BS)

– Mahindra & Mahindra Ltd and the UK’s BAE Systems said they would inject
US$21.25 mn over a three-year period into their joint venture company,
Defence Land Systems India.(BS)

– France’s second-largest car maker Renault is ready to make an aggressive
solo entry with seven or eight new models, ranging from a 1.1 litre hatcback
to a luxury sedan; the French major will officially announce its solo India
plans on Tuesday. (BS)

– The South has proved to be a drag on the cement industry's performance
during April-December 2009 over the same period in the previous year. In the
southern region, cement dispatches increased just 5% compared to double
digit growth in the other regions.(BL)

– Electrical equipment maker Areva T&D India said it has bagged two projects
worth Rs 2800mn from State-owned Power Grid Corporation of India Ltd
(PGCIL) for installation of sub-stations in Punjab and Haryana. (BL)

– Nagarjuna Construction Company Ltd has announced that it has secured
five orders aggregating Rs 5830mn, including an Rs 2380mn deal from
Director of Public Health Engineering, Kolkata for a surface water-based piped
water supply scheme, to be completed in 15 months. (BL)

– L&T Finance plans to raise Rs 2500mn through a non-convertible debenture
issue, with the option of retaining an oversubscription of Rs 2500mn. The
NCDs bear a coupon rate of 8.4-8.5%. (BL)

– PANTALOON Retail plans to spin off at least five of its brands and merge
them with Capital Foods, as Kishore Biyani looks to consolidate the foods
businesses under one company to get ahead of global giants Nestle and Kraft
with his home-grown recipes such as pav bhaji masala and lemon pickles.(ET)

– GMR Infrastructure is in advanced discussion with a couple of private equity
funds to raise nearly Rs 15bn for its power subsidiary, GMR Energy, to enable
the company fund its planned rapid expansion. (ET)

– Shriram Transport Finance said it is setting up a unit to build
infrastructure
for pre-owned commercial vehicles trade. (MINT)

– PNB has bought a controlling stake in the small Kazakhstan lender Dena
Bank. (MINT)

Economic/Regulatory development

– Advance estimates of national income growth released by the Central
Statistical Organisation (CSO) project it at 7.2% in 2009-10, pegging it a
notch below earlier forecasts of the Reserve Bank of India (7.5%) and
finance ministry (7.75%). With economic growth back on track the government
may initiate a phased withdrawal of the fiscal stimulus package. (BS)

– Despite the global financial crisis, exports from Special Economic Zones
(SEZ) during April-December 2009 were Rs 1517.8bn, a 127% growth from the
same period last year. SEZ exports during April-December 2008 were Rs
666.3bn. (BL)

Commodity/Money Market News

– Steel consumption rose 7.9% to 45.93 mt during April-January in the
current financial year over the same period a year ago on the back of
steady rise in demand from sectors including automobile, white goods and
construction. Steel consumption during the corresponding period a year
earlier stood at 42.59mt. However, domestic steel production rose only 3.3%
during the 10 months ended January 2010 and crossed the consumption pattern
at 48.81mt over 47.27 mt in the comparable period last year.(ET)

BHEL - Latest Price Update
Current Price	2396.7	Day's High	2444
Change	23.9	Day's Low	2391
% Change	0.99	Prev. Close	2420.6
CIPLA - Latest Price Update
Current Price	305.8	Day's High	307.75
Change	0.4	Day's Low	303.6
% Change	0.13	Prev. Close	305.4
BANKINDIA - Latest Price Update
Current Price	456.8	Day's High	459.5
Change	5.2	Day's Low	450.75
% Change	1.15	Prev. Close	451.6
MARUTI - Latest Price Update
Current Price	1275.9	Day's High	1291.95
Change	3.15	Day's Low	1273.5
% Change	0.25	Prev. Close	1272.75
RANBAXY - Latest Price Update
Current Price	504.5	Day's High	511
Change	6	Day's Low	500.5
% Change	1.2	Prev. Close	498.5
PNB - Latest Price Update
Current Price	1202.5	Day's High	1222
Change	0.75	Day's Low	1200
% Change	0.06	Prev. Close	1203.25
SOBHA - Latest Price Update
Current Price	345	Day's High	352.15
Change	1	Day's Low	344.9
% Change	0.29	Prev. Close	346
MADHUCON - Latest Price Update
Current Price	147.3	Day's High	152.2
Change	4.15	Day's Low	147.2
% Change	2.74	Prev. Close	151.45
SUBEX - Latest Price Update
Current Price	52.35	Day's High	52.95
Change	1.05	Day's Low	51.75
% Change	2.05	Prev. Close	51.3
RAYMOND - Latest Price Update
Current Price	357.55	Day's High	372.5
Change	-8.5	Day's Low	356
% Change	-2.32	Prev. Close	366.05
LUPIN - Latest Price Update
Current Price	361.45	Day's High	372.8
Change	4.65	Day's Low	350.1
% Change	1.3	Prev. Close	356.8
GLAXO - Latest Price Update
Current Price	1912	Day's High	1935.95
Change	31.75	Day's Low	1875
% Change	1.69	Prev. Close	1880.25