Emami group to make retail splash
Kolkata: FMCG company Emami is planning to enter the specialty retail industry and is making drawing out plans to open seven stores over the next 18 months across Kolkata and the whole of eastern region. The company has also cut ties from Chennai-based retail firm Landmark.

Emami's total investment in its retail operations is being estimated at Rs30-40 crore. The company is also looking for a new strategic partner and has initiated discussions with overseas players for this.

While the group is yet to zero in on a strategic partner for its retail business, it has decided to change the name of retail store name from 'Landmark' to 'Starmark.'

Plans are on to set up several more specialty stores covering 5,000-10,000 sq.ft. The merchandise mix of these stores will primarily be books, stationery, music and gifts items depending on the catchment area.
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Zee lines up Rs300 crore investment in cable TV division
Mumbai: Mumbai-based media house, the Zee group, plans to invest Rs300 crore in its cable television services arm, Wire & Wireless India, earlier known as Siticable Network.

Zee is connecting directly with subscribers in its cable TV business by taking control of the last-mile connections and the investments are going into setting up and acquiring infrastructure.

It is looking to acquire cable operators as well as multi-system operators.
The company says that it gets paid for only about a third of its over 7 million cable subscribers.
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Reliance Communications may raise funds from overseas markets
Mumbai: The board of directors of Reliance Communications is considering raising funds through issue of foreign currency convertible bonds or external commercial borrowings the company said in a statement to the stock exchanges on Wednesday.

Though it is not clear as to the amount that is proposed to be raised or the purpose for which the funds would be raised, officials said it could pertain to the recent announcements made by the company.

The two announcements recently made by the company are its interest in bidding for pan-India GSM wireless operator Hutchison Essar; and upgradation of its FLAG international cable network through laying 50,000 km of an Internet Protocol New Generation Network.
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Hyundai cars to be cheaper in Tamil Nadu
Chennai: Hyundai Motor India has said it would pass on the benefit of savings from VAT to its customers. Implementation of the VAT regime, which came into effect in the State on Monday, results in a flat levy of 12.5 per cent on all automobiles, replacing the multiple tax regime involving 12.6 per cent local sales tax and 1 per cent turnover tax in addition to the 1 per cent central sales tax.

However, while VAT replaces the local ST and turnover tax, the central sales tax will continue to be applicable as before.

In Tamil Nadu Hyundai's Santro XL will now cost Rs 1,816 less, at Rs3,45,790 instead of the earlier Rs3,47,606; the Getz GLS will cost Rs2,828 less at Rs4,61,544 against the earlier Rs4,64,372; Accent GLE Rs4,040 less at Rs5,29,530; Verna CRDi Rs8,068 less at Rs9,80,719 and Sonata MT Rs9,233 cheaper at Rs12,79,947. (All prices are ex-showroom prices in Chennai city and can vary according to the different regions within TN).
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L&T gets order worth Rs 418 crore from Abu Dhabi
Mumbai: Larsen & Toubro (L&T) has bagged an order valued at Rs418 crore from the Abu Dhabi Water & Electricity Authority to construct six major electrical substations in the Al Ain sector of Abu Dhabi.

As per the terms of the contract, L&T will supply and install 33/11kV primary substations to the specifications of the international consultant Mott MacDonald. The project, which includes design and construction of civil building and over 120 km of 33 kV cabling, is scheduled for completion within 18 months.

The substations will come up at Al Mutaredh, Al Mezyad South, Al Dhaher South, New Al Qua'a, Al Qattara and Civic Centre to reinforce the region's power distribution network and help meet the increased demand for power in the region, a company press release said.
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SAIL registers 3.3 mt Q3 output
New Delhi: Steel Authority of India has achieved a record production of 3.318 million tonnes of saleable steel and the highest ever sale of 3.014 million tonnes during October-December in the current financial year.

The company said it registered a 6 per cent growth in saleable steel production and an 8 per cent increase in sales during October-December this year as compared to the previous year.

During the first nine months of 2006-07, SAIL plants operated at an average capacity utilisation of 112 per cent producing 9.328 million tonnes of saleable steel, an increase of 6 per cent over the corresponding period during the previous year.

Production of value-added items such as rounds and bars, medium structurals, HR coils and plates recorded a growth of 23 per cent, 15 per cent, 14 per cent and 5 per cent respectively during the period.

The record sales during the third quarter took the company's total sales to 8.412 million tonnes — an increase of 13 per cent over the corresponding period during the previous year.
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Leela Ventures ties up with Kempinski for global markets
Bangalore: Hospitality major Hotel Leela Ventures which was earlier planning to go it alone globally has decided on co-branding with its long standing partner Kempinski for the overseas operations.

Leela and Kempenski are now working on a royalty deal and Leela Ventures international foray would use the Kempinski brand. Leela is working on overseas ventures in Dubai, Abu Dhabi and in Mauritius through contract management route.

Leela would pay a royalty for the use of the partner's brand globally which would be around 2 per cent. Currently, Leela has a strategic marketing and sales tie-up with Kempinski, for its domestic properties and pays the latter an annual transaction fee, estimated at around 0.9 per cent.

The Kempenski name will be extended to all the upcoming projects in Delhi, Udaipur, Chennai, Hyderabad and Pune. Currently except for The Leela-Goa, which is associated with General Hotel Management (GHM) Kempenski name is associated with all the three Leela properties in Mumbai, Bangalore and Kerala.

Hotel Leela Ventures will also become a member of Global Hotel Alliance (GHA), which will further help in generating more business with wider market reach globally. Kempinski is also a GHA member.
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McLeod to invest Rs400 crore in Eveready, McNally Bharat
Kolkata: McLeod Russel (India), plans to invest Rs400 crore over the next two-three years in Eveready Industries and McNally Bharat.

Batteries and tea company Eveready Industries' Uttaranchal plant will go onstream by April. The company plans to add more capacity and is in the process of acquiring more land in Uttaranchal for a second plant, which will have a capacity of 800 million batteries.

The plant would be operational in 18 months.

With the second Uttaranchal plant, Eveready's capacity would touch 2.5 billion batteries. Including Powercell, the figure would go up to 2.8 billion. The first Uttaranchal plant with a capacity of 400 million cost almost Rs70 crore and the second is likely to cost around Rs60 crore.

Khaitan said Eveready would focus on its packet tea business which could see an investment of Rs150-200 crore over a few years. Acquisitions are not being ruled out either. At present, Eveready has three packet tea brands - Jaago, Tez and Premium Gold. The plan is to grow organically to 10 million kg from seven million kg.

Khaitan said the group plans to make McNally Bharat a mid-sized company. At present, it has a turnover of Rs550 crore. The consolidated turnover of Khaitan group companies Eveready, McLeod, MacNally and Kilburn Engineering stands at Rs2,000 crore and could increase to Rs3,000 crore in two to three years.

McLeod is currently the world's largest bulk tea producer with an output of 75 million kg and is business is expected to grow significantly. The company has also snapped up three companies over the past one year.
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