Indian Oil in fray for IPCL stake
Mumbai: The Rs 59,000-crore public sector oil major Indian Oil Corporation will bid for the 25 per cent stake that the government is planning to disinvest in the Indian Petrochemicals Corporation Ltd. Reliance Industries, Shell and Dowchem are already in the field.

At a meeting on 30 July, the IOC board approved the company's plans -- its foray into the petrochemicals sector and acquisition of a stake in IPCL. The 25 per cent stake in IPCL will come with management control of the company.
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BPCL sets terms for Essar Oil stake acquisition
Mumbai: Bharat Petroleum Corporation has decided to demand a waiver of the interest burden on loans as a pre-condition for it to acquire a strategic stake in Essar Oil's 10.5 million tonne refinery project at Jamnagar. BPCL is expected to hold discussions with ICICI, the lead institution to the project.

BPCL is also likely to stipulate that any variance in the project cost should be borne by the lenders and that Essar Oil should get all the environmental clearances.
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ICICI shareholders authorise board on equity plans
Mumbai: The shareholders of ICICI have authorised the company's board to decide on the choice of instrument to raise equity funds from the capital market. The shareholders also passed a resolution increasing the salaries of top management personnel and an employees stock option plan.

The exercise price of 43.80 for the ESOP has been withdrawn - the offer price will be related to the prevailing market price.
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Gesco to alter asset mix
Mumbai: The Great Eastern Shipping Company will alter the mix of its assets within two years to contain the erosion in profitability due to some volatile sectors of the shipping industry.

The company has already sold two bulk carriers and two tankers for Rs 100 crore, and has bought a second-hand bulk carrier of 42,000 deadweight tonnage for Rs 32 crore. The company has also ordered three harbour tugs.

K.M. Sheth, executive chairman of the company, told the company's annual general meeting that two of the company's businesses -- dry bulk and offshore -- are expected to grow flat and that the tanker business is showing signs of weakness owing to the entry of new vessels.
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Zee Telefilms to hive off education arm
Mumbai: Zee Telefilms is hiving off its Zee Education division into a separate company. The company also plans to sign an agreement with the Indian Space Research Organisation for setting up an interactive television network for promoting various education programmes.

The new company will have an authorised capital of Rs 100 crore.
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MRPL to commission additional capacity
Mumbai: Mangalore Refineries and Petrochemicals' additional 6 million tonnes of capacity will be commissioned in August 1999, three months ahead of schedule, taking its total capacity to 9 million tonnes per annum.

This, along with Reliance Petroleum's 27 million tonne capacity, will slash India's import of petroleum products considerably -- from 25 million tonnes last year to about 10 million tonnes this year.

Other refining projects to go on stream are Indian Oil Corporation's 9 million tonne Panipat refinery, the 3 million tonne Numaligarh refinery of the Bharat Petroleum Corporation and IBP, and the 3 million tonne capacity expansion project of Hindustan Petroleum Corporation.

Mangalore Refineries and Petrochemicals will be signing an agreement with Texaco Chevron next week for sourcing its crude requirements.
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Ciba-IDI JV faces rough weather
Mumbai: The 51:49 joint venture between Ciba Speciality Chemicals India and Indian Dyestuff Industries -- Pigment Specialities India -- appears to be on the rocks. IDI's inability to meet its commitment of supplying the entire pigment requirement of the joint venture is said to be creating problems, and Ciba has gone on record as having said it will have to look for alternative arrangements.

Ciba Speciality Chemicals said it is looking at various options for the company.
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ITC Q1 profits up 19.5%
Calcutta: ITC has clocked a net profit of Rs 194 crore for the first quarter ended June 1999 for the financial year 1999-2000, reflecting an increase of 19.5 per cent over the figures of the corresponding quarter in 1998-99.

The company, however, reported a marginal decline in net income for the quarter which stood at 1,935.4 crore compared to 1,960.2 crore in the corresponding quarter of the previous year. It claimed that it could get a higher net profit through considerable cost reductions.
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Essar Steel losses higher
Mumbai: Essar Steel has reported a higher loss of Rs 138 crore for the first quarter ended 30 June 1999 compared to Rs 36 crore recorded in the corresponding period last year.

Sales revenue for the period was lower, at Rs 460 crore, compared to Rs 506 crore in the first quarter of last year.
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VSNL net profits go up
Mumbai: Videsh Sanchar Nigam Ltd has reported a 14 per cent increase in net profit -- from Rs 311 crore in the first quarter of 1998-99 to Rs 355.1 crore in the first quarter of 1999-2000. The company recorded a revenue of Rs 1,780.9 crore in the current Q1, against 1690.8 crore in the corresponding period last year.
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MRPL reports loss
Mumbai: Mangalore Refinery and Petrochemicals has posted a loss of Rs 122 crore for the quarter ended on 30 June 1999 against a profit of Rs 5.32 crore for the same period last year.

The Aditya Birla group-Hindustan Petroleum Corporation joint venture reported a turnover of Rs 601 crore in the quarter, which is down marginally from Rs 612 crore in the first quarter of the previous year.
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Nicholas Piramal Q1 net rises
Mumbai: Nicholas Piramal has recorded a net profit of Rs 11.45 crore for the first quarter of 1999-2000 compared to Rs 9.61 crore in the corresponding period of the previous year. Sales and services were Rs 112.88 crore in the quarter compared to Rs 100.89 crore in the same quarter last year.
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IDBI profit dips
Mumbai: The Industrial Development Bank of India has reported a 19.4 per cent dip in net profit for the first quarter of 1999-2000. Net profit was Rs 291 crore, compared to Rs 361 crore in the first quarter of 1998-99. Total income rose 6.6 per cent to Rs 1,962 from Rs 1,841 crore in the corresponding period of last year.
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ICICI profit up marginally
Mumbai: ICICI's net profit for the first quarter of 1999-2000 was Rs 262 crore, just about 1.6 per cent higher than the previous year's first quarter figure. The company's write-offs and provisions for bad assets rose from Rs 78 crore to Rs 113 crore, and this has been given as a reason for the restrained growth in the net profit.

ICICI's fund-based income was up 18.3 per cent from Rs 1,583 crore to Rs 1,873 crore.
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IOC Q1 net profit goes up
Mumbai: Indian Oil Corporation has recorded a net profit of Rs 646.77 crore in the first quarter of 1999-2000, compared to Rs 589.97 crore in the corresponding previous quarter, signifying a rise of 9.6 per cent. Gross turnover, at Rs 19,478 crore, was up 13.7 per cent from Rs 17,134.89 crore in the previous year period.
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KLM, Alitalia in alliance, foresee merger
Amsterdam: KLM Dutch Royal Airlines and Alitalia are planning to have a global alliance that could become a full merger. The alliance will create what is claimed to be Europe's biggest passenger network.

The two airlines will retain their identities, but from 1 November, there will be a single management for passenger and cargo traffic, the airlines announced.

"We will continue studying further financial, organisational and legal integration," said chairman of KLM Leo van Wijk and managing director of Alitalia Domenico Cempella, "with the aim of strengthening our ties by 1 April 2002."
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Daewoo seeks roll-over for foreign debt
Seoul: Daewoo group said it is seeking roll-overs of $9.9 billion in foreign debt. It has written to 60 foreign creditors seeking roll-overs and restraint in calling in loans.

"We will seek an independent financial advisor to guide us in drafting a restructuring plan," Daewoo said in its letter to the creditors. It will quickly provide its creditors with an overview of the financial condition.

Daewoo owes its foreign creditors some $47.5 billion, and debts worth $5.5 billion are maturing by year end.
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Mirror, Trinity in merger deal
London: Mirror Group and Trinity have agreed to merge in a $2 billion deal to create the biggest newspaper publisher by weekly circulation in the UK. The deal would unite the owner of one of Britain's best-known tabloids The Mirror, and a string of local titles, with the country's largest regional newspaper publisher.

Trinity will have to sell its flagship titles in Northern Ireland, including the Belfast Telegraph, to receive government clearance for the merger.
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