Maharashtra Scooters for sale: Bajaj for arbitration
Pune: Maharashtra Scooters Ltd (MSL) chairman Rahul Bajaj has wants an independent arbitrator to be appointed to resolve the "contentious issue" of the valuation of Western Maharashtra Development Corporations's (WMDC) 27-per cent stake in MSL. Bajaj says he will be writing to the Maharashtra state government in the next couple of days suggesting that if there is no clear agreement on the issue they should both resort to arbitration. The arbitration route was discussed at the MSL board meeting held here on Friday.

Earlier, Bajaj had shown willingness to pick up the 27-per cent stake and had made a Rs 50-per share offer. However, the situation changed after the Kankaria offer at Rs 200 for WMDC's stake in MSL. On 6 July 2003, Bajaj had written to the state government making a counter offer of Rs 75 per share for WMDC's stake but there was no res-ponse from the government.
Back to News Review index page  

Quark to invest Rs 500 crore in Punjab
New Delhi: Global desktop publishing software-maker Quark Inc is set to double its investment in Punjab by investing another Rs 500 crore. The Denver, US-based Quark has one of its three global development centres in Mohali. Punjab Chief Minister Capt Amarinder Singh says his government is developing Mohali as the IT hub in Punjab and several companies have expressed interest in setting up shop there.

The state is also launching an e-governance plan in phases, he says. "The government has also put on fast track the disinvestment of four public sector undertakings - Punjab Alkalies, Punjab Tourism, Punjab Communications and Punjab Conware. The government will make a complete exit from all these companies."
Back to News Review index page  

Widia India posts Rs 277-crore sales
New Delhi: Widia India has reported sales of Rs 277.1 crore for an 18-month period ended 30 June 2003 with a loss before tax of Rs 61.85 crore caused largely by a one-time charge of Rs 65.41 crore. The board has also approved the change of name of the company to Kennametal Widia India Ltd.

For the 12-month period ended December 2001, Widia had net sales of Rs 185.95 crore and a profit after tax (PAT) of Rs 5.23 crore. The company has since received permission from the Registrar of Companies to change the financial year from 1 January-31 December to 1 July-30 June and close the books of account for an 18-month period from 1 January 2002 to 30 June 2003.
Back to News Review index page  

CDC Capital Partners bags bid for Punjab Tractors
New Delhi: CDC Capital Partners, the UK-based private equity investor, has won the bid for the Punjab state government's 23.5-per cent stake in India's second-largest tractor maker, Punjab Tractors Ltd. Officials close to the disinvestment process were quoted as saying that CDC was the lone bidder and offered to bid at Rs 153 per share for the shareholding in Punjab Tractors. The sale approved at a discount, as compared with Friday's closing price of Rs 158.40 on the Bombay Stock Exchange, will raise approximately Rs 218 crore for the Punjab government.

The sale was cleared by the Punjab Government Committee on Disinvestment yesterday, which was also the final day to receive financial bids. CDC will now have to get a clearance from the Foreign Investment Promotion Board (FIPB) for the acquisition. Meanwhile, informed officials told Business Line that CDC has also furnished a letter saying that they are exempt from making an open offer.
Back to News Review index page  

Touchtel slashes ISD rates by 33%
New Delhi: Touchtel, the basic services brand of the Bharti group, has slashed its ISD call charges by over 33 per cent, to Rs 15.99 per minute from Rs 24 per minute during peak hours on weekdays. On weekends, its subscribers can call up the US and Canada at Rs 9.99 per minute, UK/Europe/Singapore at Rs 11.99 per minute and UAE and Saudi Arabia for Rs 13.99 per minute. This offers subscriber's savings up to 58 per cent or in other words up to 58 per cent more talk time for same budgeted amount.

In addition, for every 10 minutes of international calls received Touchtel subscribers will be able to make two minutes of free ISD calls worth Rs 31.98. The reduced tariffs have been introduced as a limited time offer - till August 31 on select Touchtel tariff plans. This offer is not applicable with standard TRAI and Talk 250/180 plans. With this Bharti has become the first basic operator to bring its landline ISD rates on par with those being paid by cellular subscribers. Bharat Sanchar Nigam Ltd (BSNL) and Mahanagar Telephone Nigam Ltd (MTNL), who have a combined subscriber base of 40 million across the country continue to charge their subscribers at the rate of Rs 24 per minute for peak time and Rs 21 per minute at off-peak time.
Back to News Review index page  

Radisson on a reconstruction mode
New Delhi: Radisson Hotel has decided to make its mark in the hospitality sector in Delhi in the coming years. In the offing for the Delhi Radisson is a Rs 15-crore two-phase renovation plan which is to completed within the next few months. Besides, to attract local clientele, the hotel is also looking at cutting back on its mark-up prices so as to make the various restaurants more affordable. Radisson Delhi managing director Dr R. Kapur says a Singapore-based interior designer has been short-listed to undertake a complete redesigning of the hotel.

"The first phase of work, which is expected to begin in August and be completed by November, will include complete landscaping and a new-look lobby. In the second phase, we intend to look at doing up the swimming pool," says Dr Kapur. Besides, with margins under pressure, the hotel has been looking at innovative ways to ensure that customers keep coming back for more. In this effort, the Radisson has recently launched a series of food and beverages promotional packages, including offering liquor as part of the banquet package.
Back to News Review index page  

Antares Systems takes CommerceOne arm to court
Bangalore: Antares Systems Ltd, the Bangalore-based IT firm, has filed a case against an e-governance project in the Delhi High Court for alleged infringement of intellectual property rights (IPRs) and unfair competition. The case has been filed against C1 India Pvt Ltd, a subsidiary of Nasdaq-listed CommerceOne. The Government of Andhra Pradesh and Principal Secretary, Department of IT and Communications, AP have been arraigned as parties.

Antares has urged the Delhi HC that C1 India and the AP government be restrained from infringing its copyright in its e-tendering software product Tenderwizard and from relying upon, in any manner whatsoever, the features of Tenderwizard, said company's senior vice-president R Kamath. Further, Antares had also sought permanent injunction restraining the C1 India Pvt Ltd including AP Government from proceeding ahead with e-procurement initiative in question, as the matter was subjudice, Kamath added.
Back to News Review index page  

Vimta Labs opens third lab in AP
Visakhapatnam: Vimta Labs Ltd, in the business of contract research and testing, opened its third lab in the State here. Dr S.P Vasireddi, chairman and managing director, said during the past one month Vimta, a Hyderabad-based company, had opened branches in Chennai, Vijayawada and Visakhapatnam. The company will set up more labs later. He said the lab here is equipped with the fully automated testing devices and trained personnel to offer a wide range of tests in biochemistry, haematology, serology and immunoassay.

Special tests such as cancer markers, cardiac markers and fertility hormones can be conducted. ``As a social responsibility, we are going to conduct all tests related to detection of HIV infection and for monitoring anti- retroviral therapy (CD 4 and CD 8) at nominal prices,'' he said. It would cost a patient Rs 800 or so to get all the tests done as against Rs. 2,000 or more at present in the other labs. He said the incidence of HIV was increasing in spite of the intensive campaign launched by the State Government. Vimta earned a net profit of Rs 2.07 crore during 2002-03 on a business of Rs 19.78 crore and a profit of Rs 1.35 crore during the current quarter on a business of Rs 6.78 crore.
Back to News Review index page  

Bharat Hotels eyes Kerala project
Thiruvananthapuram: The Lalit Suri-managed Bharat Hotels Ltd has shown interest in setting up a hospitality project at Bekal in Kasargod district of Kerala. Last week the Kerala State Cabinet had approved the Leela group's proposed joint venture with Tourist Resorts Kerala Ltd (TRKL), a state government undertaking, for a luxury beach resort in Bekal. Kerala Minister for Tourism and Fisheries K V Thomas said Lalit Suri, chairman and managing director of Bharat Hotels, was keen on a project in Bekal, the emerging coastal tourist destination in North Kerala. "Suri has expressed interest in taking one of the sites (which is under open bidding)."

The state government through Bekal Resorts Development Corporation (BRDC) has developed six sites for development of resorts with private sector participation. Among these sites, one each has been allotted to the joint venture companies of Taj and Oberoi groups respectively. And the State Cabinet in its last sitting has approved the Leela group's plan to develop a luxury beach resort, which upon completion will resemble a native Kerala village.
Back to News Review index page  

GE Shipping to invest Rs 1,500 crore in new fleet
Mumbai: Great Eastern Shipping Co Ltd has plans to make a capital expenditure of about Rs 1,500 crore for fresh acquisitions. The company has immediately invested about Rs 600 crore for fleet expansion. Bharat Sheth, its managing director, said fresh proposals have been finalised to acquire new tankers, anchor handling tug supply vessels and platform supply vessels, totalling an investment of another Rs 880 crore.

The total investment programme envisages an addition of 4.70 lakh dwt, which include two Suezmax carriers that are likely to be received between April and June 2005, one Afframax carrier that would be received by January 2004, one product tanker and two anchor tug supply vessels. "The entire expansion is being funded through a mix of internal accruals and borrowings," Sheth said. The company's existing fleet consists of 62 vessels, comprising 32 ships aggregating 1.59 million dwt and 30 offshore units. Replying to a question on the market outlook for the ensuing months, Sheth said the dry bulk market was likely to further growth, with the Chinese steel industry moving increased quantities of steel, coal and iron and the record harvest of grain in South America.
Back to News Review index page  

ITC operating profit up by 8.3%
Kolkata: ITC's net profit growth continues to be about 15 per cent. ITC's operating profit rose by 8.3 per cent in the quarter ended June 2003. This is lower than the profit growth of nearly 14.5 per cent recorded in the quarter ended June 2002. Operating profit margins though expanded by nearly 4.6 percentage points to 46.8 per cent. ITC has suggested that transporters' strike affected shipments.
Back to News Review index page  

RIL offers VRS for employees of Naroda plant
Mumbai: Reliance Industries Ltd (RIL) has said that it has offered a voluntary retirement scheme to employees at its Naroda plant. The company said in a notice to stock exchanges that it is processing applications received from employees. The company has reportedly received 1,300 applications in all and the VRS may cost Reliance around Rs 40 crore.

This is the second VRS announced by RIL for its Naroda unit. The unit, which originally had employee strength of 8,500, had announced a VRS in May 2001 that had cost the company Rs 93 crore. After the second round of VRS, the Naroda unit will have 1750 employees.
Back to News Review index page  

Blue Star net profit up 21% to Rs 5 crore
Mumbai: Blue Star Infotech (BSI) posted a 21-per cent rise in net profit at Rs 5.3 crore in first quarter on a consolidated basis, compared to Rs 4.37 crore a year ago. The company's total income on consolidated basis rose to Rs 25.82 crore during the quarter under review, as against Rs 18.20 crore posted during the same period a year ago, Blue Star Infotech said. On a standalone basis, the software firm's net profit rose to Rs 5.12 crore in the reporting quarter, compared to Rs 4.43 crore recorded in first quarter of the fiscal year 2003, it said.
Back to News Review index page