document.writeln("

Venture funds show interest in Paramount stake
Mumbai: A number of venture capital funds, including UTI Venture Fund, the Kotak group's India Growth Fund (IGF) and the New York-based Venrion, have shown interest in picking up a stake in low cost carrier Paramount Airways.

Among companies, Bennett, Coleman & Company (BCCL), publishers of the The Times of India and the The Economic Times, is also looking for a small stake in the airline.

Paramount, whose estimated value is around US$100mn, might dilute a 10 per stake to private equity funds as it needs capital to finance its US$525mn expansion plan. The company has recently announced an expansion plan which will include the acquisition of 15 aircraft, including the Embraer 170, the Embraer 175 and the Embraer 195.

Paramount Airways promoted by a Madurai-based industrial house is based at Coimbatore. The airline is operating daily flights to destinations including Coimbatore, Chennai, Delhi and Kochi, using its new-generation Embraer 170/190 aircraft.
Back to News Review index page  

Gold prices set to zoom
Mumbai: Gold prices look set to climb further as falling international oil prices are spurring hedge funds to lessen their exposure to energy stocks. Spot gold has hit a new high of Rs7,265 per 10 grams of standard gold. Analysts are predicting that the bull run for the yellow metal will continue and gold may touch Rs10,000 over the next few months.

According to market analysts, the commodity market is discovering a new correlation between crude and gold, with gold prices moving up even as crude prices go down.

One of the reasons for gold prices going up is the increasing weighting being given to gold by big funds in their investment portfolios. From 5 per cent, the weighting is being doubled to 10 per cent and funds are heavily investing in gold, copper and coffee.

Another factor pushing up gold prices is the growing physical demand from India and West Asia.

Analysts say the bullishness on gold prices will continue at least till 2007 as capacity expansion for the yellow metal takes longer than other commodities.
Back to News Review index page