Indian Oil dividend payout at Rs1,460-cr
New Delhi: Indian Oil Corporation has paid out a total
dividend of 125 per cent amounting to Rs1,460 crore for
the financial year 2005-06 on the total share capital
of Rs1,168 crore. The company presented a cheque for Rs1,197.60
crore, representing the dividend payable to the Government
of India as 82 per cent equity holder in the company,
to Murli Deora, minister of Petroleum & Natural Gas.
Indian
Oil has so far paid a cumulative dividend of Rs11,602
crore to its shareholders, the company said in a statement.
IOC's net profit during the year 2005-06 was Rs4,915 crore.
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REL,
Tata Power to pay higher tariffs
Mumbai: The Maharashtra Electricity Regulatory Commission
has increased the power tariff for Reliance Energy and
Tata Power by five to seven per cent with effect from
October 1. The new tariff structure will remain in force
till March 31, 2007. While consumers of Reliance power
will have to shell out 7.5 per cent more, those of Tata
Power will have to pay 5.6 per cent more.
Consumers
of Reliance Power will also have to bear an average increase
of 24 per cent. This is due to the commission's decision
to recover the revenue gap of Rs350 crore through an additional
energy charge of Rs0.97 per kWh, which will be payable
by all consumer categories, except below poverty line
(BPL) category, for the six month period. The commission
has also decided that in case of any inter-utility power
exchange within the State other than the `contracted'
power procurement, the rate applicable would be marginal
cost of the supplying utility.
The
tariffs have been so determined so that the cross-subsidy
is reduced without subjecting consumers to a `tariff shock'
and also to consolidate the movement towards uniform tariffs
throughout Mumbai.
The
commission has also introduced a new category for BPL
consumers, who consume less than 30 units per month -
the tariff for these consumers has been specified as 40
paise per unit.
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United
Spirits to restructure operations
Bangalore: United Spirits which is part of the UB
Group has began restructuring its entire operations based
on recommendations from management consultants, Accenture.
As
part of the medium-term growth plan, Accenture has drawn
up several growth initiatives for United Spirits. There
would be increased focus on topline and profits.
The
company has introduced a balanced score card to assess
performance of the employees. The company was also in
the process of revising incentive system to include a
long-term component in addition to short-term incentive
scheme. In addition to annual performance, accountability
for three-year strategic plan has also been included.
Accenture
had also said that total savings from synergies in operations
would be around Rs100 crore on a sustainable basis at
50 paise per bottle. The company, in its presentation
to analysts last month, had said the performance metrics
would be aligned with that of the strategic plan. For
example, value growth would lead to volume growth while
EBITDA (earnings before interest, tax, depreciation and
amortisation) percentage should be increased by a minimum
of 100 basis points on a year on year basis.
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NPIL
acquires Boots' stake in JV co
Mumbai: Indian drug-maker Nicholas Piramal India has
acquired the balance 51 per cent equity held by The Boots
Company Plc in the joint venture company Boots Piramal
Healthcare a 49:51 joint venture between NPIL and Alliance
Boots and The Boots Company a subsidiary of Alliance Boots.
Nicholas
has been paid a one-time amount of Rs17.8 crore for this
transaction.
Boots
Piramal markets the over-the-counter (OTC) brands of Alliance
Boots and Nicholas Piramal in the Indian market.
Following
the global acquisition of the OTC healthcare business
of Alliance Boots by UK's Reckitt Benckiser Plc, the former
decided to exit the venture in India, an NPIL release
said. The company will now become a wholly owned subsidiary
of Nicholas Piramal and the name of the company will be
changed to remove the words "Boots" from its
name, the release added.
NPIL
shares were marginally down at Rs236.40 on the BSE.
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Wockhardt
acquires Irish drug co
Mumbai: Wockhardt has acquired Pinewood Laboratories,
an Irish generic-drugs company in an all-cash deal worth
$150 million (about Rs 686 crore). The Irish company reported
sales of over $70 million for the year ended June 2006.
The latest deal gives Wockhardt a larger footprint in
Europe spread over the UK, Ireland and Germany, Wockhardt's
chairman, Habil Khorakiwala, said in a statement to the
Bombay Stock Exchange.
The
company's European business will now exceed $200 million,
accounting for almost half of Wockhardt's total sales,
he added.
Wockhardt has acquired a total of four European companies
till now the others being Wallis, CP Pharmaceuticals (both
in UK) and Esparma in Germany. UK and Germany are Europe's
leading generic markets.
Pinewood's
sales mostly come from the UK and the acquisition will
reinforce Wockhardt's position in the UK where it is already
the largest generic company from India and the second
largest player in hospital sales, the company said.
The
acquisition has a strategic fit with Wockhardt, as Pinewood's
liquids and creams business complements Wockhardt UK's
strengths in injectable and solid dosages. Wockhardt UK
can also leverage Pinewood's marketing and distribution
system and its customer base in Ireland for its vast range
of hospital products, the announcement said.
Wockhardt
shares closed marginally up at Rs405.95 on the BSE.
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Tata
retail arm ties up with Woolworths
Mumbai: The Tata Group plans to set up a chain of
retail stores Croma that will mainly operate in the electronics
and consumer durables segment.
Tata
Sons has set up a wholly owned subsidiary, Infiniti Retail,
to run Croma - its national, multi-brand retail chain.
Infiniti on its part has entered into a sourcing agreement
with Australian retail company, Woolworths Ltd which will
be a technical association with no equity or financial
investment. Woolworths will provide strategic sourcing
from its global network, giving Croma the benefit of the
economies of scale.
With
a pan-India footprint, the Tatas are claiming the retail
chain to be the first of its kind in the country offering
"seamless" branding, pricing and after-sales
services. Tata Sons will initially invest Rs400 crore
in the venture. The first Croma store will be launched
in Juhu, a Mumbai suburb, on October 9. In the first 18
months, Infiniti plans to launch 30 such stores across
the country. The stores will have 6,000 products across
eight categories.
From
home-entertainment products and white goods, to computers
and peripherals, communication products, music, imaging
products and gaming software, there would be everything
for the palate of a gadget-freak. Several brands, including
Whirlpool, Voltas, EMI, Casio and others, would be available
under one roof. Tata Sons would set up 60 outlets by 2009,
and 100 by 2010.
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Pantaloon's
joint venture approved
Mumbai: Pantaloon Retail's board of directors has
approved a proposal to form a joint venture with the UK-based
Alpha Airports Group Plc for developing travel retail
and catering business at leading airports in India. The
company has not disclosed investment details. Alpha Airports
Group runs over 150 shops in 15 countries with an annual
turnover of over $880 million and is currently operating
duty-free shops at the Cochin International Airport.
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HT
Media, TOI group to start newspaper in Capital
Mumbai: HT Media and the Times of India Group have
signed an agreement to establish a 50:50 joint venture
to start a newspaper in Delhi. The joint venture will
function as a standalone business, according to a statement
posted on the BSE.
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TVS
sales grow 42 pc in Sept
Chennai: TVS Motor Company sold 1.06 lakh motorcycles,
in the month of September 42 per cent higher than in September
2006. This is the first time the company monthly motorcycle
sales of more than one lakh units. Sales of all two wheelers
of the company grew 34 per cent to 1.62 lakh units.
Two
of TVS' models, TVS StaR City in the economy segment and
TVS Apache in the premium segment, registered sales of
75,000 and 16,000 respectively. The electric start version
of TVS StaR City has received a very good response, especially
in the North and this is the first time an electric start
is being given on an entry-level model. TVS Scooty sales
stood at 24,890 units in September 2006 compared to 22,697
units in the same period last year, recording a growth
of 10 per cent. The company will soon launch a 2-stroke
variant of the Scooty brand.
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Tata
Motors Sept sales rise by 24 pc
Mumbai: Tata Motors has reported a 23.8 per cent rise
in vehicle sales to 49,157 units (including exports) in
September 2006, over 39,707 vehicles sold in September
last year. Sales of passenger vehicles rose by 15.7 per
cent to 18,609 vehicles.
The
Tata Safari sold 1,543 units in September while the Sumo
and Safari together accounted for 4,347 units, a growth
of 42.3 per cent. Indica sold 10,694 units, a growth of
10.6 per cent. The Indigo brand registered a 6.4 per cent
rise in sales to 3,568 units. The company sold 26,627
commercial vehicles in the domestic market an increase
of 39.5 per cent. Exports were down 14 per cent to 3,921
vehicles.
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ICICI
OneSource starts ops in South America
Mumbai: ICICI OneSource has started operations at
its 422-seat facility in Buenos Aires, Argentina at its
fourth global delivery centre outside India. ICICI OneSource
will provide one of its US-based telecom clients with
a variety of back office transaction processing functions
such as order taking, provisioning, testing and installation
of telecom equipment from this centre. In the first quarter
of next year, the centre will be expanded with voice capabilities
in Spanish.
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Indian
Hotels to acquire Ritz-Carlton
Mumbai: Indian Hotels Company is acquiring Boston-based
luxury hotel the Ritz-Carlton, for around $170 million
(around Rs765 crore).
The
due diligence for the process is likely to be completed
soon...The hotel would be acquired through the company's
New York-based subsidiary.
Ritz-Carlton,
with a capacity of 400 rooms, is owned by Millennium Partners
and is the longest continuously operated Ritz-Carlton
hotel in the United States. The luxury hotel, a fixture
in Boston's elegant Back Bay section, was bought by Millennium
Partners in 1999 for $122 million. The Boston hotel's
name could undergo a change now. Millennium owns a second
Ritz-Carlton hotel in Boston, the Ritz-Carlton Boston
Common, which was built in 2001.
IHCL
had acquired The Pierre in New York, through a lease agreement
in FY06 and had also bought out a 100-room hotel in Sydney.
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Tata
Tea may exit Sri Lankan plantation
Colombo: Tata Tea may sell its stake in a plantation
venture in Sri Lanka. Tatas had invested in Sri Lanka
through a joint venture with Watawala Plantations, which
sells Ceylon tea under the brand names of Zesta and Watawala.
The
due diligence for the sale has begun.
Tea
industry players are speculating that the buyer could
be either Richard Pieris and Company or James Finlays.
The former has recently emerged as the biggest plantation
owner.
Last
year, Tata Tea sold its Indian plantations by transferring
tea estates to an employee-owned private company.
Sri
Lanka produces around 300 million kilos of tea each year
of which around 10 million kilos comes from Watawala's
estates comprising 12,442 hectares of estate land growing
tea (41%), rubber (18 pc) and palm oil (8 pc).
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Infosys
gets contract from a Saudi bank
Dubai: Infosys has won its first contract from a Saudi
Bank for its Islamic banking solution.
Merwin
Fernandes, vice president and business head for the solution,
Finacle, said, "Saudi Arabia's Arab National Bank
is our first customer for the Islamic banking solution
that is currently under development. We are seeing a favourable
response from several banks in the Gulf and Middle East
and expect more customers," Fernandes told Gulf News.
The
full-fledged Islamic Banking solution is part of the Finacle
core banking solution which will be ready in early 2008.
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