NYSE Euronext to pick 5 pc in MCX
NYSE Euronext, the owner of four European bourses and the New York Stock Exchange, said on Friday it would buy 5 per cent stake in the Financial Techologies-owned Multi Commodity Exchange (MCX) for Rs 220 crore, which values the commodity index at Rs 4,400 crore.
"The proceeds will be deployed for improving the domestic spot market integration and warehousing capacities," said Jignesh Shah, managing director and CEO of MCX.
Once the deal is sealed, which is expected to take place in the first half of 2008 subject to regulatory approvals, foreign direct investors would hold a combined 22 per cent in the domestic commodity exchange, while the holding of its parent Financial Technologies would drop to around 32 per cent.
"We are a leading exchange in equity markets and the MCX is a leader in commodities. So, we have a good synergy in between," said Serge Harry, group head of strategy and member of the management committee, NYSE Euronext.
In July last year, NYSE Euronext granted MCX a licence to use futures prices from the group's London-based Liffe derivatives market. The 5 per cent equity investment is the maximum equity interest permitted to any single foreign investor in a domestic exchange under the Indian law.
Shareholders in the MCX include the State Bank of India, National Bank for Agriculture and Rural Development, National Stock Exchange, SBI Life Insurance, Bank of India, Bank of Baroda, Union Bank of India, Corporation Bank, Canara Bank, HDFC Bank, Fidelity Fund (Mauritius) -- an affiliate of Fidelity International, ICICI Ventures, IL&FS, Kotak group, Citibank, Merrill Lynch and Financial Technologies.
Enter your email to get our daily newsletter in your inbox
- Sensex falls 440 pts to end at 50,405; Nifty ends session in red at 14,938 points
- Companies like Amazon's Prime Video and Netflix are inspecting planned shows and scripts, with some even deleting scenes that could be controversial, five Bollywood directors and producers, and two industry sources said.
- Income tax officials have also seized ₹3 crore cash during raids on two groups of civil contractors in Tamil Nadu
- At a time when petrol and diesel prices are at an all-time high, and taxes have a bigger component in the retail price than the base price of the fuels, it is worth revisiting the debate
- The ECIR is reportedly based on an FIR filed by the Chennai police under Section 420 of the IPC on the basis of a complaint by the Chennai Financial Markets and Accountability (CFMA), an organisation that fights for investors’ rights.
- Shipments in the December quarter grew at a higher rate of 198% annually with 15.2 million units.
- The companies are also opting for large boxes for storage, with around 400,000-plus sq. ft being the average demand.
- The latest acquisition is Delaporte’s boldest move to spur growth after the company ceded its position as India’s third-largest software services provider to HCL Technologies Ltd.
- The Bengaluru-based online retailer has been weighing a US initial public offering and it’s now also looking at other options, the people said.
- While the base price of petrol is ₹33.26 per litre, it attracts ₹32.90 a litre central excise and ₹21.04 per litre local levies in Delhi.