RIL announces Rs25,000-cr retail foray
Mumbai: Mukesh Ambani's Reliance Industries has
unveiled an ambitious Rs25,000 crore retail initiative
that would have operations in 1,500 towns and cities across
India and offer a variety of products and services, ranging
from food and grocery to health and education.
Reliance
Industries chairman Mukesh Ambani told shareholders at
the company's 32nd AGM said, "Organised retail was
the next big idea," and said the company envisioned
kicking off a "retail revolution" across the
country involving farmers, small shopkeepers, consumers
and the youth.
He
also said that Reliance will develop opportunities in
agriculture and food processing to support the retail
business which is likely to employ one million people.
He
said Reliance Retail Ltd in which RIL has a 100 per cent
stake would spearhead this revolution. According to him
Reliance Retail would entail an equity investment of Rs10,000
crore which would gradually be scaled up to Rs25,000 crore.
Sharing
the company's progress during the past year, Ambani said
the demerger of Reliance unlocked tremendous value for
the shareholders to the tune of Rs46,000 crore. This was
unmatched in the history of corporate India, he said.
Ambani
also mentioned Reliance's partnership with Chevron and
said it would not only help the company optimise crude
supply but also result in collaboration in other areas
of energy sector.
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Heidelberg
likely to acquire 30 per cent stake in Mysore Cement
Mumbai: The $8.3-bn German company Heidelberg Cement
of Germany is likely to acquire a majority stake in Mysore
Cement, an SK Birla group company.
The
move would also imply a likely exit from cement business
for the Rs3,000-crore Kolkata-based SK Birla group, which
also has interests in textiles, telecommunications and
defence electronics.
The
sharply growing Indian cement industry second only
to China has attracted many foreign cement majors,
which see great demand for the commodity as the country
gears up to build more houses and develop roads and ports.
The
SK Birla family holds 24.1 per cent stake in Mysore Cement,
while private corporate bodies own 19.8 per cent stake.
HeidelbergCement
is one of the world's leading cement makers and had entered
the Indian cement industry early this year through a joint
venture with the Indorama group, which has a 2m tonne
clinker plant in Maharashtra.
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Birla
Corp Q4 net up 76 pc
Mumbai: Birla Corporation's net profit for the
January-March quarter rose by 76.03 per cent at Rs67.14
crore, as compared to Rs38.14 crore in the year-ago period.
The total income (net of excise) of the company grew 12.68
per cent to Rs396.91 crore for the fourth quarter ended
March 31, 2006 from Rs352.23 crore in the corresponding
quarter 2004-05, the company informed the Bombay Stock
Exchange.
The
board of directors recommended a dividend of (22.50 per
cent) Rs2.25 on shares of Rs10 each, it added.
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Natco
Pharma starts commercial production at Dehradun unit
Mumbai: Natco Pharma has commenced commercial production
at its Dehradun plant. The company informed the BSE that
the finished dosage pharmaceutical formulations unit would
achieve a capacity level of 300 million tablets per annum
and the project is being implemented in stages.
Plans
are also underway for establishing a parenteral division
at Dehradun, it added.
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RIL
discovers oil in K-G basin
Mumbai: Reliance Industries has announced a new
crude oil discovery in the Krishna Godavari basin off
the Andhra Pradesh coast. RIL Chairman, Mr Mukesh Ambani
told shareholders in the company's annual general meeting,
"We recently had a discovery in MA1 well in the deep
water D6 Block in the K-G basin. More than the size, this
discovery signifies a large geological play that could
result in future discoveries," he said.
The
well could open a significant new play and have a material
impact on the future exploration potential of the block.
RIL also made discoveries in two wells in the KG-III-6
shallow water block. The pipeline project will be implemented
through Reliance Gas Transportation Infrastructure Ltd
(RGTIL). Ambani said RIL will have control over the pipeline
but without any obligation to invest in the equity of
RGTIL.
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HDFC,
HIREF to acquire 25 pc stake in L&T-UIL
Mumbai: India's leading housing finance company
Housing Development Finance Corporation and HDFC India
Real Estate Fund (HIREF) are acquiring a 25 per cent stake
in L&T Urban Infrastructure (L&T-UIL).
L&T's
subsidiary, L&T Infrastructure Development Projects
and L&T Urban Infrastructure have signed agreements
with HDFC and HIREF, an HDFC Property Fund scheme, to
raise Rs 95 crore by way of equity and quasi-equity placement.
HDFC
would hold a 14.9 per cent stake and HIREF 10.1 per cent
equity in L&T-UIL, a subsidiary of L&T Infrastructure
Development Projects.
HDFC
Property Fund is a venture capital fund, which is managed
by HDFC Venture Capital Ltd, a subsidiary of HDFC.
The
post-issue equity valuation of L&T-UIL would stand
at Rs380 crore on a fully diluted basis.
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Reliance
Comm to invest $60m in S. Arabia
Dubai: Anil Ambani's Reliance Communications will
invest $60 million in Saudi Arabia to connect the Kingdom
and other Gulf states with 53 countries around the globe
on its fibre optic network and provide value-added services
to its users.
FlAG
Telecom, part of the Anil Dhirubhai Ambani Group, under
its Falcon project has made the investment to set up submarine
fibre optic cable landing stations in Alkhobar and Jeddah
for facilitating access to international bandwidth.
More
investments are expected to follow as both sides explore
the possibility of diversifying their relations through
strategic alliance.
The
Falcon project will connect the Gulf countries, including
the Kingdom to India from the east, Egypt from the west
as also with the rest of the world. The entire project
would be completed before October this year. The two landing
stations would be constructed one in Alkhobar, already
operational and the other in Jeddah, which will be completed
next month.
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TransWorks
to buy Canadian call centre company Minacs Worldwide
Toronto: Aditya Birla group company TransWorks
Information Services plans to acquire Canadian call centre
firm Minacs Worldwide Inc, a deal with a total enterprise
value of about $200 million.
Transworks
is offering $5.50 per Minacs share in cash and Minacs'
board of directors is urging shareholders to accept the
offer, which is expected to expire in August. The Toronto-based
firm, whose founder Elaine Minacs recently died of cancer,
has agreed to be acquired by a subsidiary of TransWorks.
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Wipro
to continue on the acquisitions trail
Bangalore: Indian software major Wipro is pursuing
its strategy of acquisitions more aggressively in future
along with other initiatives. Azim Premji in a letter
to shareholders published in the company's 2005-06 annual
report said, "Our experience with acquisitions so
far has been quite satisfactory. This has given us the
confidence to pursue this strategy more aggressively in
future." Similarly, he said, the company would pursue
strategic initiatives identified in its "Strategic
Plan" to deliver strong growth in future in all its
businesses.
Speaking
of the ''enviable track record'' of Wipro, Premji said
over a six-decade period, its revenues has grown by a
compounded annual growth rate of 21 per cent, net income
by 31 per cent and market capitalisation by 25 per cent.
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Qualcomm
may discuss royalty with Maran
New Delhi: Qualcomm's visiting CEO Paul Jacob is
likely to meet the Indian Telecom Minister, Dayanidhi
Maran and the two are likely to discuss the issue of high
royalty paid by the Indian CDMA service providers to the
US based technology firm Qualcomm at seven per cent among
other things.
In
China, the royalty fee is just two per cent. It is expected
that the Government may tell Jacob that parity with the
neighbouring country is a must, with India emerging as
the fastest growing wireless market in the world. It would
make sense f or any technology provider to be here, they
said.
India
is adding about 4-5 million customers a month but most
of them are on GSM technology, they said.
Sources
said since the Government wants multiple technology platform
for telecom services, it would like to act as a facilitator
in removing the perceived hindrances in rolling out alternate
technology based services so that the country does not
move towards a single technology based mobile service
such as Korea.
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TCS
stays at top in IT software and services exports
New Delhi: Tata Consultancy Services (TCS) has
retained its top ranking among the top 20 IT software
and service exporters in India, a survey by Nasscom said.
Infosys and Wipro were at second and third position in
the list respectively.
"India's
services exports grew by over 33 per cent in FY'06 to
clock revenues of $17.3 billion, led by a strong demand
and increased traction for traditional services like ADM,
new services like EAI and package implementation,"
Nasscom President, Kiran Karnik said.
The
list did not include companies, such as Cognizant, Accenture,
IBM and HP, which are US listed companies but have significant
offshore operations in India.
Companies
including Kanbay, Syntel and Intelligroup - all with an
India-centric global delivery model but unable to provide
India specific revenue details - were excluded from this
list.
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Praj
Ind gets two orders worth $20m each
Mumbai: Praj Industries has received contracts
for supply of technology and machinery for two plants
being set up for Cilion Group in California, US. Cilion
also selected the company's technology for additional
two plants for which machinery orders are yet to be released.
The
first lot of two plants with a capacity of over 600,000
litres per day each (55 million gallons per annum-mgpa),
based on corn are scheduled to go on stream by mid-2007.
Total capacity planned by Cilion is 440 mgpa in 2008.
The
company's technology was selected based on its vast and
varied experience in ethanol industry and on the strength
of its highly qualified personnel. The project will utilise
technology, which is contemporary and cost-effective.
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Dolphin
Offshore to acquire Procyon
Mumbai: Provider of integrated services to the
offshore oil and gas industry Dolphin Offshore Enterprises
is acquiring shipping company Procyon Offshore Services
for Rs13.5 crore. The board approved the proposal to acquire
the entire shareholding of Procyon from its promoters
subject to completion of further formalities. Procyon's
main business activity is ship owning and it has a fleet
of seven tugs and one utility vessel.
The
acquisition would enable Dolphin Offshore to increase
the level of its offshore activities and also reduce the
charter hire rate charges it informed the Bombay Stock
Exchange.
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Good
Technology launches mobile messaging for IBM
Hyderabad: Good Technology, Inc, an enterprise
computing software and service provider, on Tuesday has
launched 'Good mobile messaging' for IBM Lotus Domino.
According to a company release here, the combined power
of IBM and Good Technology offers Lotus notes users true
enterprise-class mobile collaboration and computing capability.
It
also has other features such as wireless access on the
new Motorola Q, the Cingular 8125 pocket PC; and the Palm
Treo family, including the new Treo 700w and Treo 700p
smart-phones, the Nokia E61 and other Windows mobile devices.
The facility will be available in July through authorised
wireless carriers, value-added resellers, and directly
through the company, the release added.
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