Wipro Q1 net zooms 45 pc
Bangalore: Wipro Ltd has posted a better-than-expected growth of 45 per cent in net profits and 39 per cent rise in revenues for the June quarter this year. The company has reported a net profit of Rs620 crore on total revenue of Rs3,142.5 crore for quarter-ended June compared to a net of Rs428 crore on revenue of Rs2,261.9 crore in corresponding quarter last year. Sequentially, the net profits and revenues grew by 0.33 per cent and one per cent respectively. Wipro added 62 new clients during the quarter.

Wipro said its Global IT revenues would grow in the second quarter but cautioned that margins could come under further pressure due to a planned salary hike and charges relating to restricted stock options. Global IT revenues grew 42 per cent year-on-year accounting for 78 per cent of Wipro's total revenues and stood at $539.3 million (Rs2,451 crore), exceeding the company's guidance of $533 million. Global IT revenues are projected to touch $577 million in the September quarter, a sequential growth of 6.9 per cent.

Reacting to the forecast, the Wipro stock fell by 5.5 per cent on the BSE to close at Rs458.30 after touching an intra-day high of Rs498.
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Infotech Q1 net rises 106 pc
Hyderabad: Infotech Enterprises has recorded a net profit of Rs16.4 crore on revenues of Rs117.03 crore and for the first quarter ended June 30, 2006 as against revenues of Rs78.22 crore and a net profit of Rs6.54 crore during the corresponding quarter last year. This reflects a growth of 50 per cent in revenues and 106 per cent in net profit. Last fiscal, the company recorded revenues of Rs362.5 crore and a net profit of Rs40.25 crore.

The chairman and managing director, B.V.R. Mohan Reddy, in a statement on Wednesday said, "During the quarter, the company witnessed growth from marquee customers - Pratt & Whitney, Bombardier Transportation, Alstom Transport and Hamilton Sundstrand."

The increase in revenue was due to volume growth as well as increased rates from customers. The depreciation of rupee against dollar and other currencies contributed to four per cent of growth. Salary and related costs were higher during the quarter on account of revision across the company.
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S.K Birla Group to sell majority stake in Mysore Cement to Heidelberg
Kolkata: The S.K. Birla Group has decided to sell a majority 51 per cent stakeholding in its loss making Mysore Cement to Germany-based HeidelbergCement for $94 million (Rs436.82 crore).

In a unique structuring Mysore Cement will get Rs54 per share from Heidelberg for offer of 6.6 crore shares on a preferential basis, the promoters, the S.K. Birla Group will get Rs58 per share for offer of 1.34 crore shares. The S.K. Birla Group will also get Rs14.5 per share as non-competing fee.

An EGM will be held on August 16 at Bangalore to get approval of the shareholders in this matter.

Later, HeidelbergCement will make an open offer to the shareholders at Rs58 per share.

The issue price of Rs54 translates into a premium of over 13 per cent over the BSE closing price of July 18 and about 23 per cent over the minimum issue price under relevant SEBI norms.

The issue price of Rs58 translates into a premium of over 21 per cent over the BSE closing price of July 18.
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Maruti revamps Wagon R; will hike prices by month-end
New Delhi: Maruti Udyog says it plans to hike vehicle prices by the end of the month, citing rising cost of key raw materials like steel and aluminium which are putting pressure on margins.

However the company has not revealed the exact quantum of the planned price increase. Jagdish Khattar, managing director of Maruti Udyog, said the prices of almost all raw materials like metal, rubber and plastic have increased this year. Maruti's vendors have sought an average 1.1 per cent increase in the price of raw materials he added. Maruti is negotiating for a lower increase with its suppliers. Khattar said the price rise was also necessitated because of higher fuel prices, after gasoline and diesel prices were increased in June.

Mr Khattar said the eight per cent excise duty cut on small cars, announced in this year's Budget, had more or less been neutralised due to high road tax in some states as well as hardening interest rates.

The company introduced a revamped WagonR, fitted with new head and tail lamps, grille, and interiors but has not hiked the model's price. The car costs between Rs3.2 lakh and Rs3.7 lakh (Ex-showroom Delhi). The carmaker has also started selling a WagonR that runs on gasoline and liquefied petroleum gas (LPG). The LPG-petrol variant `Duo', launched in two models, will be available for Rs3.4 lakh and Rs3.6 lakh. Maruti is presently importing the LPG kits from the US and Poland, and is in talks to set up a unit for the same with other firms.
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Madhucon signs pact with NHAI for TN road project
Hyderabad: Madhucon Projects has signed a concession agreement with the National Highways Authority of India (NHAI) for a Rs820 crore highway road project between Madurai and Tuticorin in Tamil Nadu. The project envisages laying the stretch between 138.8 km to 264.5 km of NH 45B under the build, operate and transfer (BOT) toll road. The project is estimated to be completed in 36 months with a concession period of 20 years and a positive grant of Rs145 crore.

According to a press release, with this project Madhucon has signed four BOT national highway projects of 330 km worth around Rs1,800 crore. The financial closure of the first project in Rajasthan between Bharatpur and Mahua costing Rs300 crore with a 25-year concession period has already been achieved. The concession agreement for the second project between Karur and Dindigul in Tamil Nadu on NH-7, costing Rs360 crore has been signed. The company has an order book of over Rs5,000 crore projects to be completed in the next three-four years.
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Ashok Leyland to acquire truck unit of Czech co
Kolkata: Ashok Leyland has signed a "framework agreement" to acquire the truck business unit of a Czech company AVIA a.s. The company has not revealed the amount it paid for the buy. This is the company's first overseas acquisition. Following corporate and statutory approvals, the acquisition process is expected to be concluded by August 2006.

According to the company the Prague-headquartered AVIA manufactures the D Line trucks in the 6T-9T GVW range that are marketed in Europe. Ashok Leyland has acquired the company's manufacturing facility is located in the heart of the Czech capital which is equipped to manufacture 20,000 vehicle units annually.

Ashok Leyland said the acquisition is part of its inorganic growth plan and is a significant step in securing a beach-head in the European Union and Eastern European markets.

The AVIA acquisition would also enable the company to "enlarge and upgrade" its offerings in export markets in Europe.
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Britannia to expand manufacturing capacity
Bangalore: Britannia Industries is planning to invest Rs100-150 crore to expand its manufacturing capacity as well as look at greenfield projects. The company is scouting for land at places such as Hyderabad, Asansol and Kolkata. Last year, Britannia pumped in around Rs60 crore as capital expenditure for expanding its sales network, into marketing and upgrading existing facilities.

The company said the expansion is necessary to sustain its growth rate of around 22-23 per cent. According to market analysts, the biscuit industry is growing at 10 per cent - 12 per cent per year. The company will expand capacity initially at its plant in Uttaranchal which produces around 370,000 tonnes of biscuits per year. The company also plans to come out with different types of packaging for its products. It has launched its largest brand Tiger in a new pack, costing a mere Re1. Britannia has six pillar brands, the sales of which contribute 75 per cent of the total turnover.
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Biocon gets approval for cancer drug
Bangalore: Biotech major Biocon's first proprietary molecule Biomab EGFR has been approved by the Drug Controller General of India and will be launched in the second quarter of fiscal 2007-08.

The product based on monoclonal anti-bodies (M A bs), is said to be a new therapy that will help in extending lifespan of cancer patients, and will be first used for treating head and neck cancers and later colo-rectal, brain, breast, pancreatic and lung cancers.

Biomab would be the first of the six cancer drugs it is pursuing jointly with the Cuban R&D partner, CIMAB.
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OVL signs MoU with PetroEcuador
New Delhi: ONGC Videsh (OVL), the overseas arm of Oil and Natural Gas Corporation, and PetroEcuador, Ecuador's state oil company have signed a memorandum of understanding for co-operation in the energy sector with the objective of developing and promoting petroleum, gas, electricity, petrochemical, external hydrocarbon commercialisation, geological and petroleum research. PetroEcuador and OVL would collaborate in exploration and exploitation of hydrocarbons in Ecuador on mutually agreed terms, as per the agreement.

According to the MoU, OVL shall assist PetroEcuador in areas of contract negotiations related to the exploration and hydrocarbon production and constitution of joint venture companies. Besides, participation in blocks, OVL shall train Ecuadorian nationals in research and development institutes of ONGC/OVL in areas of exploration, production, safety, environmental management, and external petroleum commercialisation.
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Bayer to market Biocon's insulin in China
Bangalore: Biocon has announced a licensing tie-up with Bayer HealthCare for the exclusive marketing and trademark rights for its branded insulin, Insugen, in China.

Biocon expects to launch the recombinant human insulin in China in the first quarter of fiscal 2008 after completing formalities for registration and local trial. Biocon is said to be firming up similar arrangements, with another company for the US market and with two others for Europe. Guidelines for these two markets are due.

The licensing move with Bayer is said to be the first of its kind in China where innovators such as diabetes majors Novo Nordisk and Eli Lilly sell their own generic or patented drugs. It signals Biocon's entry into branded formulations in the international market, the company said.

China has an estimated 40 million diabetics and adds 3,000 new cases each day.
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Essar Oil appeals to franchisees to reopen outlets
Ahmedabad: Essar Oil (EOL) has appealed to its franchisees to open their retail outlets (ROs) and has assured them that the special commission up to end of June this year would be payable on the basis prevailing up to June 30, 2006.

Franchisees said the company said that products would be made available to ROs at the prices fixed by the company from time to time based on market prices. The company also informed that the up-and-coming ROs must be completed in all respects as per the company guidelines by September 30 or it would stop payments to them.

At present, about 350 of the existing 517 ROs are closed while another 400-odd are ready to be opened, the sources said.
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Motorola, Tata Tele sign pact to market Motorazr V3c
New Delhi: Motorola India and Tata Teleservices have signed an agreement to jointly market the Motorazr V3c handsets in the Indian market. To start with, Tata Teleservices has bundled the handset with two tariff plans — the Max Plan and the Awesome Twosome Plan. The Motorazr V3c will be available in two colours — pearl grey and orchid pink — with matching Bluetooth headsets.

While the Max Plan comes with the Motorola handset at Rs14,500, the Awesome Twosome Plan offers two handsets for Rs25,000 making it suitable for couples. The Max Plan has features such as zero rentals for 999 days, 10,000 free local minutes for Tata to Tata calls, 1, 000 local and national SMSs free to any phone.

The Awesome Twosome is bundled with free lifetime local calls and SMSs between two phones bought under this scheme. The MOTORAZR V3c has a 1.3 mega pixel camera, enables Internet downloads and supports MP3 ring tones with 72 polyphonic speaker sound.
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Reliance Comm slashes ILD rates by upto 66 pc
Mumbai: Reliance Communications has reduced international long distance telephone rates, by up to 66 per cent to destinations such as Australia and New Zealand. All calls to the US, Canada and South-East Asia will cost Rs4.50 a minute; and all calls to Gulf countries Rs8 a minute, said a news release from the company.

Calls to UK landlines and mobiles will cost Rs6 a minute and Rs8 a minute, respectively. Tariffs to Australia and New Zealand have been lowered to Rs6 a minute from Rs18 a minute. All these rates are available on the Reliance Global Call Card.
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HFCL cuts long distance tariffs in Punjab by 75 pc
New Delhi: Himachal Futuristic Communications that operates telecom services in Punjab has reduced long distance tariffs by up to 75 per cent by offering all calls made within the State at local charges.

This will allow all HFCL Connect subscribers to make calls anywhere in Punjab at Rs1.20 for a three minute call.

Until now calls to mobile phones were being charged at Rs1.20 per 45 seconds and to fixed line phones beyond a radius of 50 km were being charged at Rs1.20 per 60 seconds. Most other operators offer differential tariffs for calls made to GSM, CDMA, fixed line and WLL phones. Subscribers in Punjab who wish to avail themselves of this new tariff from HFCL can call 1920 from their Connect phone for more details.

The company said it has invested over Rs1,400 crore for setting up telecom network in over 130 towns and cities in Punjab. It offers both wire line and wireless telephony services to 3.5 lakh users in the State.
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Wal-Mart may appoint DLF as its franchisee
New Delhi: The world's largest retailer Wal-Mart may appoint DLF Ltd as its franchisee in India. Wal-Mart's stores could be located in DLF's malls or be stand-alone structures. DLF plans to develop over 100 malls in 60 cities over the next four to five years.

While the retail outlets will be owned by DLF, back-end distribution and logistics will be taken care of by Wal-Mart, DLF sources said.

Existing government regulations allow foreign investment of up to 51 per cent in only single-brand retail ventures. Hence, Wal-Mart cannot set up retail outlets in the country on its own.
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