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Non-Tech : ICICI Ltd - (Nyse: IC) -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (221)	2/23/2000 3:57:00 PM
From: Mohan Marette	Read Replies (1) \| Respond to of 494

IDBI in talks with US cos (Schwab & Fidelity) for Net deals idbi.com Anand Adhikari (Mumbai, February 23) HT Correspondent INDUSTRIAL DEVELOPMENT Bank of India (IDBI) is holding discussions with two leading US based Internet broking firms - Charles Schwab and Fidelity - for a possible tieup in the area of Internet trading. The bank has already sounded these two leading firms for understanding the mechanics of Internet trading and the future revenue generation potential in a globalized world. "The transaction costs to an investor in the United States is currently in the range of $15 to $25, which is very high. If the domestic investors have to bear similar costs, there will be very few takers for such an instrument," a senior official of IDBI told The Hindustan Times. He further added, "We have just started discussions with these two firms. In fact, they (Schwab and Fidelity) have a lot of questions on the Indian stock markets. They are also interested in knowing the Indian Net population, investor profile, regulatory issues, etc. " The tieup is likely to be routed through IDBI's wholly owned subsidiary - IDBI Capital Market Services Ltd, while the technology part will be handled by the new IT subsidiary - IDBI Net Ltd. ICMS currently offers integrated capital market services including trading and distribution. It is also a member on both the exchanges - National Stock Exchange (NSE) and Bombay Stock Exchange (BSE). The company is also depository participant and offers its institutional and individual clients the facility to maintain their investments in securities in electronic form. "The aggregate value of securities dematerialised during the year 1998-99 crossed Rs 300 crore and the same has touched Rs 930 crore on December, 1999," said the official. The authorized capital of the company is Rs 100 crore with a paidup capital of Rs 50 crore. IDBI is most likely to follow the ICICI model - where Internet trading will be facilitated with the help of an associate bank and the depository participant. IDBI presently has the necessary network (i.e., bank, broking membership on the NSE and BSE and depository participant account with National Securities Depository Ltd) needed to commence Internet trading. "We are also looking at a similar structure. It would be easy to network our bank, depository account and the broking ticket," the official said.