Reliance, Oil PSUs reach sales pact
New Delhi: The final agreement between Reliance and three public sector oil companies for the sale of products from the former's Jamnagar refinery will be signed in the first week of April. The three oil companies are Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL).

The boards of directors of the three PSUs are expected to meet next week to give their approval to the agreement. Under the agreement, IOC, BPCL and HPCL will market around 13 million tonnes of petroleum products from the Jamnagar refinery for two years after the dismantling of the administered pricing mechanism (APM) in the oil sector.
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Bata India mulls rejig
Mumbai: Bata India Ltd's board will consider restructuring of its business operations in its meeting on 29 March.

The board would also consider recommendation of dividend, the Kolkata-based company informed the Bombay Stock Exchange.
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Taurus to take over 2 BoI MF plans
Mumbai: Taurus Mutual Fund will take over two schemes of BOI Mutual Fund. The schemes, Boinanza Equity Linked Tax Saving Scheme 1993 and Boinanza Exclusive Growth Scheme, will be renamed Bonanza Equity Linked Tax Saving Scheme and Bonanza Exclusive Growth Scheme respectively.

This acquisition marks the second sell-off by an Indian public sector bank of its mutual fund arm. Tata Mutual Fund acquired the assets of Indian Bank Mutual Fund in April last year.
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Air India records modest operating profit
New Delhi: Despite registering a modest operating profit of Rs 3.1 crore, Air India recorded a net loss of Rs 44.4 crore in the last fiscal.

The company's annual report for 2000-01, which was tabled in Parliament last week, said the operating and net results would have been substantially better had it not been for the increased fuel prices which had reached a ten-year peak last fiscal.

The additional fuel outlay of Rs 235.8 crore was 40 per cent more than the previous fiscal, the report said, adding that net loss at Rs 44.4 crore was higher than that recorded in 1999-2000 at Rs 37.6 crore.

In the absence of the fuel price hike, Air India would have made an operating profit of over Rs 239 crore and a net profit of Rs 191.4 crore in the last fiscal, it said.
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AMP Sanmar starts operations
Bangalore: AMP Sanmar Assurance launched operations in Karnataka on 23 March.

The life venture, which had targeted annualised premiums of Rs 19 to 20 crore for the year, would be launched in Andhra Pradesh next to be followed by Maharashtra and Gujarat later in the year. In Karnataka, AMP Sanmar will operate out of Bangalore, Mysore, Mangalore and Hubli.

The joint venture between the Chennai-based Sanmar group and AMP, the Australian financial services company, which is operating in 27 cities is targeting its presence in 60 cities by the year-end and would depend mainly on the agent model for its business.
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Alcatel plans thrust in optic networks
Paris: Alcatel is positioning itself to offer technology in the areas of optic fibre networks and space communication in India.

The French telecom infrastructure manufacturer is in talks with Indian telecom service providers including, the Tatas, Bharti and Reliance to provide optic fibre equipment for their long-distance and basic service projects.

Alcatel is also setting up ATM-based systems for Bharti and Videsh Sanchar Nigam Ltd that are expected to be commissioned soon.

The company is also in talks with Powergrid to put up overhead optic fibre network along the power company's transmission lines which will enable it to offer bandwidth without laying underground cables.
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OM Kotak cuts return on single-premium plan
Mumbai: OM Kotak Mahindra Life Insurance Company has scaled down the returns on its single premium policy - Kotak Insurance Bond. It has also modified the policy to cover a higher age span and higher limit on the maximum sum assured.

The revised plan, wherein a policyholder pays the premium once, which then acts as a fixed deposit, offers a return of 8.06 per cent for a 10-year policy against the earlier 8.3 per cent.

The plan offers 7-year and 10-year maturity periods. In the 7-year plan, the maturity benefit is 160 per cent of the premium paid up to Rs 50,000 and 164 per cent for premium in excess of Rs 50,000. Under the 10-year policy cover, the maturity benefit is 210 per cent of the single premium paid up to Rs 50,000 and 217 per cent for premium over Rs 50,000.

OM Kotak has enhanced the maximum age limit from 45 years to 60 years, while maintaining the minimum age at 18. The maximum vesting age has thus increased from 55 to 70 years. The minimum one-time premium has however, been increased to Rs 25,000 from the earlier Rs 5,000 and the maximum premium from Rs 5 lakh to Rs 25 lakh.
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UTI Bank mulls second public issue
Bangalore: UTI Bank may go in for its second public issue this year to mop up more than 15 per cent of its paid-up capital, which is Rs 200 crore currently.

UTI Bank had made a Rs 71-crore public issue in 1998.
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SWC to launch Royal Challenge in EU
New Delhi: Shaw Wallace will launch its flagship brand Royal Challenge with two other premium brands in Europe through its UK-based ally next fiscal.

The company is planning to launch Royal Challenge in European market in April and will also introduce two more premium brands in Europe in next six months.

The company plans to launch the flagship brand through its UK-based marketing partner Kyndal.
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Nabard sanctions Rs 26 cr for Chhattisgarh roads
Raipur: The Nabard has sanctioned a loan of Rs 26.03 crore to Chhattisgarh for construction of roads and bridges in the state.

With this latest sanction of loan, the National Agriculture and Rural Development Bank has sanctioned a total of Rs 46.79 crore to the new state from its rural infrastructure development fund.
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Lanco to invest Rs 400-cr in power sector
Sri Kalahasthi: Lanco Green Energy Corporation Ltd proposea to set up projects with a total capacity of 100 MW at a capital investment of around Rs 400 crore.

Five of these projects are expected to take off in the next three to nine months.

Rithwik Energy, one of the subsidiaries of Lanco Green, has already set up a six-MW plant at a cost of Rs 5 crore at the Lanco Industrial Complex.

Lanco Green is also setting up a 12 MW biomass-based power project at Ongole in Andhra Pradesh. The other projects include a 16-MW plant in Karnataka, a three-MW wind mill at Chitradurga in Karnataka and a hydro power project in Himachal Pradesh.
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Nalco eyes smelters in China
New Delhi: National Aluminium Company is considering a foray into the Chinese market as part of plans to establish a base in the overseas market. It is looking at setting up a smelter in China.

The company has begun preliminary inquiries about the market and a team of officials had visited the country recently.

Nalco would have to rope in a joint venture partner for the foray to lend experience.

Nalco is currently undertaking a Rs 4000 crore expansion programme involving doubling of its mining capacity from 240,000 tonnes to 480,000 tonnes.
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SAIL, NTPC sign shareholder pact for Bhilai Electric
New Delhi: Steel Authority of India Ltd (SAIL) has signed a shareholder's agreement with the National Thermal Power Corporation (NTPC) for transfer of shares and management of Bhilai Electric Supply Company Ltd (BESCL).

BESCL was incorporated as a subsidiary company of SAIL earlier this year with a share capital of Rs 33.2 crore. Both NTPC and SAIL will have 50 per cent stake each in the joint venture company in which post-transfer the debt-equity ratio will be 70:30, according to a company release.

NTPC will acquire 50 per cent stake in the company for an estimated Rs 110.5 crore for the unit. Cash flow to SAIL as a result of the sale will be to the tune of Rs 94 crore.
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RITES sets up office in Malaysia
New Delhi: Indian Railway subsidiary RITES has set up a branch in Malaysia to bag a chunk of $200 million worth consultancy business in that country.

There are several projects of construction of new track, doubling of track and overhead electrification of railway system in hand and many others are expected over the next five years.

The setting up of this office will enable RITES to tie up with local firms - Bhumiputras companies - for getting direct contracts. Till now the contracts RITES got were sub contracts as per the Malaysian laws.

The RITES Malaysia office has a staff strength of ten at present but is soon expected to go up to 30.
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