SKINDIA INDIAN GDR MONITOR
Volume VI No 08	Feb 19-Feb 25, 1999	26-Feb-99

Budget Blues The market saw a downward trend as the local funds were sellers on account of profit booking prior to the upcoming federal budget. This urged other investors to close out their long positions. The impact was also witnessed in the GDR markets as the change of sentiments saw the Skindia GDR index dropping by 4.02% with the drop of sensex by 2.08%. Skindia GDR index and BSE sensex oscillated in a band of 4.13% and 2.24% respectively. The average premiums of the 61 GDRs declined to 3.08% on Feb. 25 from 4.26% on 18 Feb., while the average spreads of the 37 most actively traded GDRs widened to 9.32% on 25 Feb from 9.05% on 18 Feb. Skindia GDR index closed the week with a loss of 24.25 points and the BSE sensex lost 69.76 points. In the industry wise break up the GDRs of aluminium sector were the major losers depreciating 8.22% followed by hotels with 7.60% and telecom with 4.65%. The top gainers were cement appreciating 2.55% followed by cables and textiles with just 0.54% and 0.09%. In the equity shares the top losers were cables,pharma and autos with 11.79%, 7.79% 4.76% respectively and the top gainer was textile with 17.47%. First Indian ADR issue coming ..... Infosys Technologies Limited. a Banglore based Indian company incorporated in 1981 is out with its road shows for the upcoming issue of its ADRs. The issue is of 1.8 million American Depository Shares (ADSs) represented by 900,000 equity shares. The issue is scheduled for sometime in mid-March 1999. The ADRs are likely to be listed on NASDAQ with market symbol "INFY". The upcoming issue of ADRs is in the ratio of 1 share is to 2 ADSs. The proposed maximum offer price per ADS is US$ 27.88. To arrive at this figure the company has taken the last reported price on February 08, 1999 as adjusted to reflect a 2 for 1 stock split declared by the company on December 20, 1998, with a record date of March 05, 1999 and a conversion rate of Rs. 42.50 per UD$( noon buying rate on Feb. 08, 1999 in New York for cable transfers). Infosys Technologies Ltd. came with its first domestic public offering in 1993 . From fiscal 1994 to 1998 the company has experienced compound annual revenue and net income growth rates of 63.6% and 46.8% respectively and has grown from 480 IT professionals to approximately 2,200. The company has been certified at level 4 in the "Capability Maturity Model" of Carnegie Mellon University, a level achieved by only 2% of the more than 1,000 software companies tested. These ADRs can be cancelled to release underlying shares. Once withdrawn from the depository facility, shares cannot be redeposited, unless the current applicable laws change.

DISCLAIMER : Factual material is obtained from sources believed to be reliable and SkindiaFinance is not responsible for any errors and omissions contained herein. Any recommendation contained in this report may not be suitable for all issuers.