MUMBAI: The Rs 3,000-crore, five-year government bond auction devolved to the extent of 32.9 per cent on the Reserve Bank of India and primary market dealers. The coupon was awarded at 12.69 per cent. The devolvement was in tune with market expectations. Most banks had bid between 12.55 and 12.75 per cent, fund managers said.

However, the weighted average coupon rate is at 12.61 per cent, which indicates that most players bid around 12.60 per cent levels.The rejection of Rs 986.98 crore has come as boon to the money market as these funds are expected to come into the system and dampen the call rates, fund managers said.

Amoco Corp plans $6bn investment

NEW DELHI: US multionational Amoco Corporation has drawn up an ambitious Rs 21,600 crore ($6 billion) investment plan to exploit and transport five million tonnes per annum of liquidified natural gas (LNG) from Qatar to Hazira in India. The LNG will be shipped in special charter vessels to India. The LNG will be utilised to charge power complexes in the Hazira hinterland with a cumulative capacity of a 4000 mw.

IDBI debt issue to offer 13.5 per cent

MUMBAI: Development financial institution Industrial Development Bank of India (IDBI) has set up a new benchmark rate for five-year paper by entering the debt market with a Rs 1,000-crore issue at a coupon of 13.5 per cent. This is the lowest coupon rate offered by a triple `A'-rated debt instrument. The issue is being placed privately. This is the first debt offering by IDBI after it cut its PLR to 15 per cent and announced its plan to enter short-term working capital financing.

Wartsila to take over NSD India operations

MUMBAI: WARTSILA Diesel India, the 51 per cent subsidiary of the Finnish Metra group, is set to take over the operations of NSD India, the marketing arm of the German major Sulzer. This follows the takeover of Sulzer's diesel engine business by Wartsila internationally. Wartsila Diesel will also change its name in India to Wartsila NSD India.

Cadbury's inventory costs rise to 13.5%MUMBAI: The inventory costs of confectionery major Cadbury India rose significantly to 13.5 per cent of sales at end-December 1996 against 12 per cent of the preceding year. The total inventory has risen to Rs 42.44 crore in 1996 from Rs 30.62 crore.

MSEB extends power bid deadline

MUMBAI: The Maharashtra State Electricity Board has extended the deadline for submission of tenders for seven power projects to June 30. The board will convey this decision to all those who had bought the bid documents. The technical qualification bids will be opened the same day. The decision is seen as being a fallout of queries raised by participants during the pre-bid conference on April 19.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.