Securities and Exchange Board of India is likely to finalise regulations for credit rating agencies at its board meeting here today. Guidelines on rating firms is on top of the agenda of the market regulator board meeting, Sebi sources said. Sebi is expected to make some modifications on the draft regulations issued earlier this year following representation from the credit rating agencies. The draft guidelines had suggested bar on credit rating agencies to assess bonds, debentures and other financial instruments floated by their promoters holding more than 10% equity.

Skindia GDR index rises 4.59 per cent

The Skindia GDR Index representing GDRs of 17 actively traded companies rose by 4.59 per cent to 821.00 points from 785.00 points on june 21. The Skindia GDR Index p/e ratio also moved up by 8.68 per cent from 30.54 to 33.19 and the Skindia GDR Index premium shot up by 33.99 per cent to 18.21 per cent from 13.60 per cent.

25 more firms movedto 'Z' category

The Bombay Stock Exchange has decided to place the equity shares of 25 more companies in the new group called 'Z' group from July, 1999, as these companies have not complied with and are in breach of several provisions of the listing agreement.

The companies are: Sanvan Software Ltd (formerly Paro Steel Ind Ltd, Parth Housing and Estate Dev Ltd, Patel Food Prod Ltd, Pawan Proteins Ltd, Pebble Investment and Finance Ltd, Preyanshu Exports Ltd, Pro Fin Capital Services Ltd, Prudential Capital Markets Ltd, Prudential Cements Ltd, Prudential Polywebs Ltd, Prudential Sri Kagannath Agro-Tech Ltd, Punjab Iron and Steel Co Ltd, Purva Engineers Ltd, Purvi Electronics Ltd, RG Ispat Ltd, RK Suitings Ltd, RN Paper and Boards Ltd, Raghoji Cement Manufacturing Co Ltd, Rajasthan Ambuja Ind Ltd, Rajasthan Polyvin Tubes Ltd, Rajratan Syn Ltd, Ranakpurji Exports and Ind Ltd, Rane Computers Consultancy Ltd, Rank Aqua Estates Ltd and Ratnajyot Metcast Ltd.

Sundaram Newton defensivefund

Sundaram Newton mutual fund is planning to position its growth scheme as a defensive fund with a well-diversified portfolio targeted especially at those investors who are testing growth schemes for the first time. The fund is planning a publicity exercise shortly aiming to double the corpus of its growth scheme in about a year's time.

Icra downgrades KFSL

Icra has downgraded Karnataka Financial Services Ltd's (KFSL) fixed deposit rating to MB, indicating inadequate safety, from MA- (under rating watch). An Icra release said KFSL had shown negative growth in its asset base in '98-99 due to paucity of lendable proposals coupled with funds crunch, while competition in hire purchase and leasing had taken its toll on the yields. The agency has, meanwhile, assigned an A1+ rating to the Rs 5 crore commercial paper float from Mysore Sales International Ltd indicating `highest safety'. A 100 per cent subsidiary of the Karnataka State Industrial Investment and Development Corporation, the companyis engaged in trading of commodities mainly liquor.