Reliance Communications to raise funds for Hutch-Essar bid
Mumbai: Reliance Communications' board of directors has approved the raising of funds for pursuing the company's interest in acquiring Hutchison-Essar Ltd. The board also noted that there is no certainty either on the completion or the timing of the said proposal, said the statement. According to sources, the meeting mainly focussed on the Hutch-Essar issue.

Anil Ambani, chairman of Reliance Communications, said his company also had the backing of a majority of the top 10 international financial institutions and private equity entities for a stake acquisition in Hutch.

Also approved at the RCom board meeting was issuance of foreign currency convertible bonds (FCCBs) in the international markets, in one or more tranches, up to $1 billion or its equivalent, at a premium to the market price of the equity shares of the company.

The board also gave its approval on the Implementation of the Employee Stock Option Scheme (ESOS) and constituted an ESOS Compensation Committee of independent directors of the company for administering the ESOS.
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ONGC gives up four blocks in NELP I/II
Kolkata: ONGC has given up four blocks offshore blocks in the Kerala-Konkan basin (KK-OSN-2000/1 and KK-OSN-97/3)--two offshore and two onshore--awarded in NELP-I and NELP II for various reasons. Both were fully held by the exploration company.

Niko Resources and OIL have also given up one block each, and one block has been relinquished by the Reliance-operated consortium.

Sources in the office of Directorate-General of Hydrocarbons (DGH), said ONGC has not been able to fulfil the minimum work programme within the agreed time schedule in more than one block that was relinquished.

Accordingly, the company is subjected to payment for the unfulfilled portion of the work programme.

Niko has reportedly completed the prospecting as per the agreed schedule during the time of relinquishment.
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Audi to launch four new variants this year
Mumbai: German luxury car manufacturer, Audi, is set to expand its product portfolio in 2007 by introducing four new variants alongside the existing eleven in the country.

These models will be introduced in a phased manner during the year. Audi has decided to introduce the 2.7-litre (petrol and diesel) variants priced on par with the Mercedes Benz E-280 (petrol and diesel variants). Audi's existing fleet in the E-segment — the A6 3-litre (petrol and diesel variant) — cost Rs5 lakh more than the existing E-class range of Mercedes Benz (Rs48 - 50 lakh).

In addition to the existing A4 range (3-litre petrol and diesel variants), the company will introduce the 3.2-litre V6 engine variant priced in the Rs 40-lakh plus bracket. The most popular among all Audi models and the latest to be introduced in the country, the Q7 would have an additional petrol model, the 3.6-litre variant.

To snap up orders from the corporate sector, the company intends homologating (certifying the road worthiness of the car by a testing agency) the existing 3-litre diesel variant.

Earlier it was imported sans homologation under an individual name.

The new models are in addition to the sporty models (RS4, S8 and the Audi TT Quattro) to be introduced by mid-2007.
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Ispat plans 600MW plant in Chhattisgarh
Raipur: Ispat Industries has entered into a memorandum of understanding (MoU) with the Chhattisgarh government for setting up a 600MW power project worth Rs2,500 crore in the state and likely to be operational by 2011.

The plant would be funded in a 70:30 debt-equity ratio and around 300MW would be used for our steel plant at Dolvi in Maharashtra and remaining portion to be sold to consumers.

The company is likely to float a special purpose vehicle (SPV) to implement the power project.
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Industry criticizes proposed new pharma policy
New Delhi: Industry chambers have criticized the proposed new pharmaceutical policy that will control drug prices, terming it as anti-industry as well as anti-consumer.

CII said the proposed policy would slowdown the pace of pharmaceutical sector's growth while FICCI has asked Prime Minister Manmohan Singh to intervene price control issue.

The country's leading chambers feel the proposed policy would deter pharmaceutical companies from making essential drugs, hence defeating the very objective of price control.
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Burger King may tie up with Pantaloon
Mumbai: Retail major Pantaloon may sign a JV with Miami-based Burger King for the latter's India entry.

The sources said the proposed arrangement might follow a strong franchisee model in the country as Burger King has been doing franchisee-based ventures across many countries.

According to the NYSE webiste, as on June 30, 2006, Burger King owned or franchised a total of 11,129 restaurants in 65 countries and US territories, of which 1,240 restaurants were company-owned and 9,889 were owned by franchisees.

90 per cent of its franchises are owned by independent franchisees — many of them family-owned operations. It operates in three regions: United States and Canada; Europe, West Asia and Africa and Asia-Pacific and Latin America.

In December 2006, Burger King had announced that it would start its Japanese operations in mid-2007.
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Car sales zoom 23 per cent in December
New Delhi: The domestic passenger car market grew 23 per cent in December at 81,026 units as against 65,853 units in the same month a year ago.

According to figures released by the Society of Indian Automobile Manufacturers (Siam), Maruti's sales grew 26 pc, Hyundai Motor's 42 pc and Tata Motors 41 pc over the comparable month a year ago.

Maruti sold 54, 640 units in December. Alto remained top grosser for Maruti with sales of 17,857 units, followed by WagonR at 9,663 units and M800 with sales of 7,289 units and WagonR scaled the sales of 9,807 units.

Hyundai sold 11,067 units in December. Its compact car Santro clocked sales of 9,663 units followed by Verna with sales of 907 units and Getz came third with sales of 363 units.

Tata Motors remained strong with sales of 12,665 units in the passenger car segment in December. The Indica sales stood at 10,588 units while 2,077 units of Indigo and Marina models were sold in December.

In addition, the company also sold 32,029 units in the commercial vehicle segment.

Scorpio sold 3,142 units in December while sales of Mahindra and Mahindra grew at 40 per cent and the company sold 14,559 units.
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