GE exits Godrej-GE Appliances
Mumbai: GE Appliances of the US is exiting Godrej-GE Appliances, the joint venture with Godrej & Boyce Mfg Co. The US multinational is likely to divest it holding in favour of the Godrej group. It clarified that the step is part of its global strategy of focussing on markets where the GE brand has a strong presence.

A joint statement issued by the two companies did not specify who will purchase the GE stake in the venture. GE India's president and chief executive officer, Scott Bayman, said the divestment will not affect GE's other joint ventures in India. The joint statement also said the operating management structure of Godrej-GE Appliances will not change.

Some observers say that GE might have sought a majority stake in the joint venture. However, analysts have interpreted the surprise move by GE as pulling out of a market where it did not have significant brand share in any of its product lines. This is more in line with GE's corporate policy
Back to News Review index page

Godrej relaunches GoodKnight
Mumbai: Godrej Sara Lee has relaunched its GoodKnight brand of mosquito repellants in a changed packing and with a longer "period of protection". The company said the new product will offer protection from mosquitoes for 12 hours against the earlier eight hours. Two electronic anti-mosquito machines, GoodKnight Classic and GoodKnight Supreme, are also being introduced.

Besides GoodKnight, Godrej Sara Lee has products like Jet, Banish and Hit, and vaporisers, aerosols, sprays, coils and creams.
Back to News Review index page

Accent launch postponed
Mumbai: Hyundai Motor India may postpone the launch of its four-door sedan Accent to 15 October instead of 11 October.

The 1.5 litre, 94 bhp engine Accent was introduced internationally on 14 September at the Frankfurt auto show. The postponement is intended to accommodate dealer demands for despatches before the festival season.
Back to News Review index page

Wockhardt Healthcare board okays merger
Mumbai: The board of directors of Wockhardt Healthcare has approved its amalgamation with Wockhardt Lifesciences. Wockhardt Healthcare shareholders will receive one share of Wockhardt Lifesceinces for every five shares of Wockhardt Healthcare.
Back to News Review index page

IBM-Majestic tie-up
New Delhi: IBM has said it is in a strategic tie-up with Majestic Software for providing training in e-business solutions in Mumbai and Delhi.

Majestic will be an authorised IBM training provider. The company plans to target executives wanting to upgrade their skills in Internet technologies.
Back to News Review index page

Indus-IBM tie-up
Mumbai: Indus Software Pvt Ltd has become IBM's first independent software vendor in India. The company has launched its 'lending solutions from Indus', a workflow-based, web-enabled, integrated solution designed to help the processing of loans. The software has been developed with IBM technology.
Back to News Review index page

GNFC in IT foray
Mumbai: Gujarat Narmada Fertilisers Company, a joint sector company promoted by the Gujarat State Fertiliser Co and the Gujarat government, will expand into the information technology sector. The company is planning to invest Rs 30 crore in the infotech sector in 1999-2000 to promote an Info Tower coming up at Ahmedbabad.

At present, GNFC makes printed circuit boards and has invested in telecommunications with its digital switching system plant to make rural automatic exchanges. The company is also investing Rs 230 crore in setting up a plant to produce acetic acid.
Back to News Review index page

Blue Star plans to cut equity
Mumbai: Blue Star will reduce its equity capital by 25 per cent, after the spin-off of its software division. The company will also focus on more efficient use of working capital and develop a world class service network to cater to the special air-conditioning needs of clients like continuous process industries and software exporters.

These plans to increase business and improve the profitability of the company were outlined by the company's chairman and chief executive officer Ashok Advani at the annual general meeting of the company.

Employee-shareholders of the company contested the decision of the company to give an annual commission of Rs 25 lakh to some newly inducted non-executive directors like Uday S. Kotak under the head of "other services" and pressed for a division. It was decided to take a vote on the issue on 30 October.
Back to News Review index page

ICI India gets Rs 87 cr from explosives business sale
Mumbai: ICI India's transfer of its assets in Indian Explosives to a joint venture with Orica of Australia has yielded Rs 87.3 crore. Orica has invested another Rs 72.3 crore as its contribution by picking up 49 per cent of the paid-up capital and share premium in Indian Explosives.

ICI India will hold the remaining 51 per cent in Indian Explosives, with a majority representation on the board. ICI of the UK had exited the explosives business globally and sold its explosives interests to Orica in 1998.
Back to News Review index page

Solidaire, Onida plan tie-up
Mumbai: Solidaire India, a sick company, is in negotiations with Mirc Electronics, manufacturer of the Onida brand of consumer electronic products, for a strategic alliance. The company has represented to the Board for Industrial and Financial Reconstruction that Mirc is willing to infuse funds into Solidaire for its revival. However, the proposal comes with a rider that the Tamil Nadu government should give a waiver on sales tax.

The proposal covers a strategic alliance between Solidaire India and Mirc Electronics to make colour as well as black and white television sets to be marketed under the Onida brand name.
Back to News Review index page

Maruti says no loss due to Mehta
New Delhi: Maruti Udyog has clarified that it did not suffer any losses on account of the diversion of funds of the company by Harshad Mehta and others. The company has received back the money, aggregating Rs 38.97 crore, within the stipulated time along with the agreed rate of return, the company said in a statement.

A special court in Mumbai recently convicted Mehta and three others to jail terms for their involvement in the fund diversion.
Back to News Review index page

Reliance open offer for Raymond Synthetics
Mumbai: The Reliance group has made an open offer through its business associate Silvassa Yarn and Investments to acquire 20 per cent of the issued fully paid-up capital of Raymond Synthetics at Rs 5.15 per share. The offer price is higher than the average of the weekly high and low of the closing prices of the Raymond Synthetics' equity shares on the National Stock Exchange.

Reliance had announced plans to purchase Raymonds Ltd's entire stake in Raymond Synthetics amounting to 36.15 per cent of the company's equity.
Back to News Review index page

Reliance to hike petrochem prices
Mumbai: Reliance Industries is planning to increase the prices of its major petrochemical products with effect from 1 October. The company is expected to increase the price of polyethylene by Rs 6 per Rs 48.6 per kg, polypropylene by Rs 8 to Rs 46.2 per kg, polyvinyl chloride by Rs 8 to Rs 43.5 per kg, purified terephthalic acid by Rs 2.70 to Rs 29.70 per kg, monoehtylene glycol by Rs 5.10 to Rs 36.9 per kg, partially oriented yarn and polyester staple fibre by Rs 4 and Rs 3 per kg to Rs 61 and Rs 54 per kg.
Back to News Review index page

BPCL trading through net
Mumbai: Bharat Petroleum Corporation is enabling its customers to order their requirements of decontrolled petroleum products on the net. Clients can also access information on the status of despatches, prices and likely time of delivery through the net.

The company said bulk orders can be placed through the net using  passwords. It has also introduced Petrocard, an IC-chip embedded in a plastic card, which will act as an e-purse.
Back to News Review index page

Dr Reddy's receives milestone payment
Mumbai: Dr Reddy's Laboratories has received a milestone payment for its anti-diabetes product, DRF-2593. The payment has been made by Danish pharmaceutical company Novo Nordisk as the molecule entered its phase 2 development.

The company said it is in negotiations over the size of the milestone payment for its two other anti-diabetic molecules. The second has just concluded pre-clinical trials.
Back to News Review index page

Zandu to hike capital
Mumbai: Ayurvedic products maker Zandu Pharmaceutical Works has sought shareholders' permission to increase its share capital by Rs 15 crore. The company's present paid-up capital is Rs 9.03 crore -- including Rs 4.03 crore of equity, and Rs 5 crore of preference shares.
Back to News Review index page

Zee plans 3 English channels
Mumbai: Zee Telefilms is all set to launch three English language channels, including a news channel. The Business Standard quoted Subhash Chandra, chairman of the Zee group, as saying the group will be launching some more channels in addition to the announced regional language channels, and one of them will be a news channel in English, to be called the Asian News Network.

The Zee group is negotiating for transponder space on Asiasat-3F, which covers South Asia, Australia, New Zealand and even parts of Europe. Mr Chandra said that after the merger of Zee Multimedia Worldwide and Zee Telefilms and the buyout of Star TV's holdings in ATL, Zee Telefilms will have a cash reserve of about Rs 2,600 crore.
Back to News Review index page

ITC takeover of Rollatainers in jeopardy
Mumbai: Differences over price appear to have stalled the acquisition of Rollatainers India by ITC. Rollatainers had cancelled its 29 September extraordinary general meeting, called to approve the preferential allotment of 70 lakh shares to ITC at Rs 35 per share. There was no official reaction.

Sources said the two companies have not been able to agree on the accounts, and therefore on the acquisition price.
Back to News Review index page

India Cements to foreclose loans
Chennai: India Cements is going in for a debt swap to foreclose the high-cost portion of Rs 380 crore of loans out of its total Rs 1,390 crore loans.

The company will come out with a debenture issue by early 2000 for this purpose, N. Srinivasan, managing director of the company, said.
Back to News Review index page

vSplash seeking venture funds
Mumbai: vSpalsh.com Ltd, an internet service provider, is in talks with major US venture capital firms for funds as well as strategic alliances. The company offers subscribers a ready-made environment to create and design their own websites. The service is offered free for the first 10 days, after which subscribers have to pay between Rs 2,000 and Rs 3,500 per annum.

The company also offers web hosting services.
Back to News Review index page

Intel's first data centre commissioned
Santa Clara: Intel Corporation said its first data centre providing internet hosting services for corporate customers has been commissioned. It also said it is planning partnerships for its new foray in the fast growing web hosting business.

The company is investing over $1 billion to set up data centres around the world to establish its internet services hosting business, called Intel Online Services. The US conglomerate will be a serious player competing with big computer services companies and telecom giants.
Back to News Review index page

GM plans unit to buy dealers
Detroit: General Motors has announced the formation of a subsidiary that will buy its dealers in an effort to build brand strength and upgrade its distribution network. The plan is still evolving, the company says, but General Motors Retail Holdings will ultimately own 5 to 10 per cent of GM dealers in the top 130 US markets in the next decade.

The company said the new unit is critical to its future competitiveness. It will increase sales, reduce distribution costs, improve the customers' buying experience and help the company understand consumers better.

The move comes two years after the Ford Motor Company launched its own dealer consolidation programme. General Motors' own Saturn unit had started a company to buy that brand's dealers.
Back to News Review index page

Alcatel to buy Genesys
New York: Alcatel of France has announced its first US software acquisition. It said it has agreed to pay $1.5 billion in stock for Genesys Telecommunications, a company with revenues of only $140 million in the 12 months ended in June 1999.

Genesys produces the software used to run call centres, a growing market.
Back to News Review index page

Bayer not to sell healthcare unit
Frankfurt: Bayer says it has no plans to sell its healthcare division. It may consider a partnership to strengthen the division, the German multinational said in response to reports in newspapers about the possible sale of the division.

"Under no circumstances do we want to sell off the healthcare activities," a Bayer spokesman said. "We want to develop our healthcare business," he added.
Back to News Review index page

Bill Gates' stake in Microsoft down
Seattle: Microsoft's chairman Bill Gates' stake in the company has fallen to $72.5 billion from $87.5 billion, after he donated $15 billion to his charitable foundation.

Gates has reduced his holding to about 787 million shares or 15.3 per cent of the world's biggest computer software company, according to the company's statement filed with authorities.
Back to News Review index page