India Business Insight articles from June 2010

India Business Insight archives from June 2010

TIRUPATI INKS FLOATS FPO TO BOOST ITS ACTIVITIES (by embarking on Rs51.50 crore expansion plan).
June 30, 2010... Tirupati Inks of Kanpur has announced its follow-on-public offering (FPO) to fund Rs51.50 crore expansion plan. It plans to enter capital markets with an FPO of its equity shares of face value of Rs10 each aggregating to Rs515 million through...

PARLE AGRO TO INCREASE PLASTIC PACKAGING PRODUCTION (by increasing capacity by 21%).
June 30, 2010... Parle Agro, the food and beverage player is planning to expand its plastic packaging business. It is expanding its polyethylene terephthalate business by increasing its production capacity by 21 percent.

PARIKH PACKAGING JOINS HANDS WITH BHARTI-WALMART (for packaging products for its stores).
June 30, 2010... Parikh Packaging of Ahmedabad has tied up with Bharti-Walmart for packaging products for its stores. It would be packing 28 products for Bharti-Walmart, which will be launching 1,200 stores in 2009-2010.

UFLEX TO INVEST Rs1,150 CRORE (to increase production at its manufacturing plants).
June 30, 2010... Uflex Ltd plans to invest about Rs1,150 crore in the next two years to increase production at its manufacturing plants. The company, which manufactures flexible packaging, has plants in Mexico, India and Dubai.

HINDUSTAN MEDIA'S IPO TO OPEN ON JULY 5 (plan to raise Rs270 crore).
June 30, 2010... Hindustan Media Ventures will launch its Rs270-crore initial public offering (IPO) on 5 Jul 2010. The issue will close on 7 Jul 2010.

TUI INFOTEC IN DEAL WITH SAP (will provide subscription-based SAP Business All-in-One solution to small and medium enterprises).
June 30, 2010... TUI InfoTec GmbH, a joint venture between Sonata Software Ltd and TUI Travel PLC, has signed an agreement with SAP in the area of subscription-based hosting. As part of the agreement, TUI InfoTec will provide subscription-based SAP Business...

ADITYA BIRLA MINACS EYES BUYS IN US, CANADA (is part of the company's plant to register a turnover of $1 billion in the next three years).
June 30, 2010... Aditya Birla Minacs is targeting acquisitions in banking, financial services and insurance (BFSI), public and healthcare sectors in the US and Canada. The move is part of the company's plant to register a turnover of $1 billion in the next three...

BALAJI: A KEY PLAYER IN COKE (is setting up Captive Power Plants).
June 30, 2010... Balaji Coke Industry, Kolkata, is a major producer of metallurgical coke in India. The company is increasing its capacities and is setting up Captive Power Plants to co-generate electricity facilities at Visakhapatnam and Gandhidham. The...

CONCAST GROUP: A KEY STEEL PLAYER (is expanding its sponge iron and steel billet production capacity).
June 30, 2010... Concast Group of Companies is a major manufacturer of construction steel. Concast Ispat Ltd, a group company, has a capacity of 11,000 mt/m. The company manufactures Fe 600 TMT bars. Concast Bengal Industries Ltd (CBIL), another group...

ARSS COMPLETES 60 PROJECTS (undertakes construction of railway infrastructure, roads, highways, bridges and irrigation projects).
June 30, 2010... ARSS Infrastructure Projects Private Ltd has completed over 60 projects involving 300 km of road and highways, 200 km of rail track and a number of bridges. The company undertakes construction of railway infrastructure, roads, highways,...

IDFC: BUILDING MUSCLE POWER AND REACH (has raised about Rs2,654 crore from qualified institutional investors).
June 30, 2010... Infrastructure Development Finance Corporation (IDFC) has raised about Rs2,654 crore from qualified institutional investors. This will entail into an equity dilution of about 12 percent, which will allow the company to borrow more and...

EREDENE EYES NEW FUND (is likely to raise another fund or issue fresh equity to increase its capital base).
June 30, 2010... Eredene Capital of the UK, which has a $100 million (Rs460 crore) infrastructure fund in India, plans to increase its fund size. The company is likely to raise another fund or issue fresh equity to increase its capital base. The new investments...

DHANLAXMI BANK: A NEW AGE BANK (has transformed itself into a New Age private sector bank with a national presence).
June 30, 2010... Dhanlaxmi Bank has transformed itself from a small regional Bank to a New Age private sector bank with a national presence. The Bank expanded its branch network in Northern, Eastern and Western India in 2009-2010 by launching 63 new branches...

EREDENE GROUP WINS BID TO BUILD ENNORE CONTAINER TERMINAL (which will be operational by 2013).
June 30, 2010... Ennore Port Ltd has awarded the container terminal project to a consortium comprising Eredene Capital Plc, Grup Maritim TCB SL of Barcelona, Obrascon Huarte Lain SA and Lanco Infratech Ltd. The terminal will entail an investment of 207...

CHENNAI AIRPORT REGISTERS 24% IN CARGO HANDLING GROWTH (in Jan-May 2010).
June 30, 2010... Chennai Airport has recorded an increase of 24 percent in cargo traffic in Jan-May 2010. While the airport handled 91,251 tonnes of cargo in Jan-May 2009, the figure rose by 24 percent to 1,13,515 tonnes in Jan-May 2010. Exports grew by 29...

RUPEE LOWER TRACKING EQUITIES (and a weakening Euro).
June 30, 2010... The rupee depreciated against the US currency by Re0.20 on 29 Jun 2010 owing to declining equities in the domestic market and a weakening Euro. The rupee opened at 46.30, appreciated to 46.28/29 and fell to 46.58/59, before closing at...

BOND PRICES GAIN (on 29 Jun 2010).
June 30, 2010... The Reserve Bank of India reduced the size of the auction of Government securities from Rs13,000 crore to Rs10,000 crore on 29 Jun 2010. Consequently, bond prices rose marginally on 29 Jun 2010. Volumes trading on the order matching system...

CALL RATES EDGE UP (and close at 5.25-5.35% on 29 Jun 2010 compared to the earlier close of 5.2-5.3%).
June 30, 2010... Call rates increased and closed at 5.25-5.35 percent on 29 Jun 2010 compared to the earlier close of 5.2-5.3 percent. The first liquidity adjustment facility (LAF) saw 25 bids for Rs32,455 crore in the one-day repo auction and one bid for Rs115...

EXPORT CREDIT AT/ABOVE BASE RATE (with effect from 1 Jul 2010).
June 30, 2010... The Reserve Bank of India has announced that interest rates for export credit will be at or over the base rate with effect from 1 Jul 2010. This will be applicable to both fresh and renewed advances.

MORE BANKS ANNOUNCE BASE RATES (with effect from 1 Jul 2010).
June 30, 2010... Following the Reserve Bank of India's decision to replace the prime lending rate system with a base rate system, more banks have announced base rates. Andhra Bank has set its base rate at 8.25 percent with effect from 1 Jul 2010. Allahabad Bank...

PEGASYSTEMS INC IN PACT WITH TCS (to provide BPM solutions to its clients across the world).
June 30, 2010... Tata Consultancy Services (TCS) has tied up with Pegasystem Inc, a business process management (BPM) company, to strengthen its BPM operation and provide BPM solutions to its clients across the world. Pegasystems will utilise its Build for...

MODEL N TO INVEST $25 MILLION (in India over the next three years).
June 30, 2010... Model N of US, a revenue management services company, has announced that it would invest $25 million in India over the next three years. It will also increase its headcount at its facility at Hyderabad from 105 to 250. The company plans to take...

SPICE MOBILES TO MERGE WITH PARENT COMPANY (by Sep 2010).
June 30, 2010... Spice Mobiles Ltd of the Spice Global Group will merge with its parent company Spice Televentures Private Ltd to from Spice Mobility by Sep 2010. The new entity will operate in three main areas, handsets, retail chains and value-added services...

SEBI EASES LENDING DISCLOSURE NORMS FOR FIIs (and revised norms will come into effect from 2 Jul 2010).
June 30, 2010... The Securities & Exchange Board of India (SEBI) has relaxed lending disclosure norms applicable to foreign institutional investors (FIIs). Now, FIIs will have to submit information about Indian securities lent by them to overseas companies...

RELIANCE MF LAUNCHES TWO FUNDS IN MALAYSIA (which are Shariah compliant products to target Islamic investors).
June 30, 2010... Reliance Asset Management Malaysia plans to launch two funds, the quantitative Global Equity fund and the India Country Fund, in Malaysia. These funds are Shariah compliant products to target Islamic investors. This initiative is part of...

TAURUS MUTUAL LAUNCHES OPEN-ENDED SCHEME (Taurus MIP Advantage Fund, which will be exposed to equity, debt and gold).
June 30, 2010... Taurus Mutual Fund has launched an open-ended income scheme, Taurus MIP Advantage Fund, which will be exposed to equity, debt and gold. The fund will remain open till 23 Jul 2010. It is available in two investment options, growth option...

STC TO IMPORT 75,000 TONNES YELLOW PEAS (in Jul-Sep 2010).
June 30, 2010... The State Trading Corporation (STC) plans to import 75,000 tonnes of Canadian yellow peas in Jul-Sep 2010. STC has invited bids for the tender. While the bids will close on 6 Jul 2010, the tender will be awarded on 13 Jul 2010.

125 LAKH TONNES OILSEEDS YET TO BE CRUSHED (says SEA).
June 30, 2010... The Solvent Extractors Association (SEA) of India has revealed that there were stocks of 125 lakh tonnes of oilseeds as on 1 Jun 2010, which have not been crushed yet. This is expected to affect the prices of the kharif crop of Oct-Nov 2010 and...

TASMAC TIES UP WITH IGNOU (and TASMAC students will receive a post-graduate diploma in global business leadership from IGNOU).
June 30, 2010... TASMAC has entered into an agreement with the Indira Gandhi National Open University (IGNOU). Under the agreement, TASMAC students will receive a post-graduate diploma in global business leadership from IGNOU.

SOUTHERN REFINERIES GETS ISO CERTIFICATION (ISO 9001:2008).
June 30, 2010... The Bureau of Indian Standards has awarded the ISO 9001:2008 certification to Southern Refineries Ltd (SRL). SRL is engaged in re-refining used oil and manufacturing usable oil products through advanced technology. SRL has the capacity to...

TENDERS FLOATED FOR 2,000 MW OF POWER (State is facing 18-20 percent power deficit).
June 30, 2010... The Government of Karnataka, which aims to add 2,520 megawatt (mw) of power to the Karnataka grid in 2010-2011, has floated tenders to buy 2,000 mw of power on a long-term basis. The tenders will be on a competitive bidding basis. The...

GITANJALI TO INVEST Rs300 CRORE IN RETAIL OPERATIONS (to add 3 lakh square feet of retail space in 2010-2011).
June 30, 2010... Gitanjali Gems plans to invest a total of Rs300 crore to add 3 lakh square feet (sq ft) of retail space in 2010-2011. The company intends to boost its retail presence. It will open stores on a revenue sharing model and the stores will range...

AMWAY SETS UP TARGET TO BE Rs2,500-CRORE COMPANY (focusing on eastern India and has set a 22% growth target for 2010).
June 30, 2010... Amway India Enterprises, a direct selling fast moving consumer goods (FMCG) company, is targeting to become a Rs2,500 crore company in India by 2012. The company is now focusing on eastern India and has set a 22 percent growth target for 2010.

INDUS-LEAGUE PLANS HEADQUARTERS (Headquarters will be positioned as a retail offering that spans the interview shirt to boardroom wear).
June 30, 2010... Indus-League Clothing, owned by the Future Group, is diversifying from a western branded apparel company to a speciality retailer. It will bundle together a cross section of its in-house brands. It will make bigger strides in the formal menswear...

NEW LAUNCHES TO PUSH UP REVENUES BY 25%: MIRC (to introduce eight new television models in 2010-2011).
June 30, 2010... Mirc Electronics, which sells electronic products under the Onida brand, is targeting revenue growth of 25 percent in 2010-2011. It plans to launch new products across categories in 2010-2011. It will introduce eight new television models.

LUX INDUSTRIES SETS Rs100-CRORE EXPORT TARGET (exploring markets in South Africa and Europe).
June 30, 2010... Lux Industries, which manufactures innerwear, is targeting an export turnover of Rs100 crore during 2010-2011 against Rs30 crore in 2009-2010. The company now exports its innerwear to the Middle-East and is exploring markets in South Africa and...

FIAT INDIA SMALL CAR TO TAKE ON ALTO (the new car, which will be an entry-level model, will not bear any resemblance to the company's Uno model).
June 30, 2010... Fiat India is to launch an India-specific small car in 2012. The new car, which will be an entry-level model, will not bear any resemblance to the company's 'Uno' model. It will be priced much below the premium hatchback 'Punto' and will...

DESI IT COMPANIES STRUGGLE TO KEEP PROJECT MANAGERS (increased demand for project management skills, which are still scarce in India, is driving the attrition).
June 30, 2010... Information technology (IT) companies like Tata Consultancy Services (TCS), Infosys and Wipro, which are trying to cope with renewed demand for offshore outsourcing, are facing increasing attrition among project managers with experience of...

WE WILL FULFIL 80% OF RINFRATEL NEEDS: GTL CHIEF (GTL Infrastructure is considering a merger with Reliance Infratel).
June 30, 2010... GTL Infrastructure is considering a merger with Reliance Infratel. The combined entity will generate Rs6,000 crore from 85,000 towers with operating margin of up to 75 percent in its first year of operations. A company like Reliance...

PHILIPS TO INCREASE BORROWING CAPACITY TO Rs1K CRORE (to keep its funding options open for possible acquisitions and organic growth).
June 30, 2010... Philips Electronics India is to increase its borrowing capacity from Rs400 crore to Rs1,000 crore. The move is to keep its funding options open for possible acquisitions and organic growth. The company will seek approval for this from its...

MAYTAS INFRA HOPES FOR REVIVAL VIA JEDDAH JV (by undertaking construction projects in Saudi Arabia and other West Asian countries).
June 30, 2010... The beleaguered Maytas Infra is running operating loss of around Rs250 crore in 2009-2010. It is set to form a joint venture (JV) in Jeddah with Saudi Bin Ladin Group (SBG). Through this JV, it will work out a revival plan by undertaking...

REALTY MAJORS TAKE THE LEARNING CURVE (infrastructure and real estate companies like GMR and HCC are setting up universities and higher education institutes).
June 30, 2010... Infrastructure and real estate companies like GMR and Hindustan Construction Company (HCC) are looking at riding the growth in the over $80 billion education industry. They are setting up campuses for universities and higher education...

APOLLO HOSPITALS PLANS TO INVEST Rs1,500 CRORE (for adding 3,000 beds over the next four years).
June 30, 2010... Apollo Hospitals Enterprise Ltd (AHEL) of Chennai is planning to invest Rs1,500 crore for adding 3,000 beds over the next four years. AHEL intends to raise the proposed funds through a mix of internal accruals, equity and markets. AHEL earns...

ASTRAZENECA, SULZER TO DELIST (from the bourses by buying back all their local shareholding).
June 30, 2010... AstraZeneca Pharma and Sulzer have announced their plans de-list from the bourses by buying back all their local shareholding. The companies have decided to de-list following new norms by the Securities and Exchange Board of India, which state...

ALEMBIC DEMERGES CORE PHARMA BIZ (into a new entity called Alembic Pharma).
June 30, 2010... Alembic Ltd of Ahmedabad has decided to hive off its core pharmaceutical division into a new entity called Alembic Pharma in order to separate the bleeding penicillin-G business from other businesses. The listed Alembic Ltd will manage the...

JOYALUKKAS HOPES TO RAISE Rs600 CRORE THROUGH IPO OR PE (to set up new stores across India).
June 30, 2010... Jewellery retail chain Joyalukkas is planning to raise Rs600 crore through an initial public offering (IPO) or private equity (PE) placement of equity. The company has a strong presence in Kerala, Tamil Nadu and Andhra Pradesh. Joyalukkas...

SPICE MOBILITY TO RAISE Rs300 CRORE (by selling 30 million treasury shares).
June 30, 2010... The BK Modi group has announced its plans of raising Rs300 crore for its new entity, Spice Mobility, by selling 30 million treasury shares out of the 42 million shares that will be created by reverse merging Spice Mobiles with Spice...

M&M TO FOCUS ON PRESENT EXPORT MKTS (and sees no need to look at other markets).
June 30, 2010... Mahindra & Mahindra Ltd (M&M) has decided to stay focused on its existing export markets such as South America, South Asia and Africa, which have not been impacted by the euro crisis. M&M sees no need to look at other markets. It is...

SUBROS TAKES MINORITY STAKE IN NEW DENSO JV (which will design auto air conditioning systems and engineering components).
June 30, 2010... Subros has acquired a minority stake of 26 percent in a new joint venture (JV) with Denso Corporation (Denso) of Japan called Denso Subros Thermal Engineering Centre India to be based at Noida in Uttar Pradesh. Denso will hold the remaining 74...

NO MORE OWNERSHIP CHANGE AT SPICEJET, SAYS MARAN (who will acquire another 20 percent stake in the company from the public through an open offer).
June 30, 2010... Mr. Kalanithi Maran, the new owner of SpiceJet has stated that there will not be any more change in ownership in the company. Mr. Maran is the chairman of Sun TV Network and reached an agreement with the promoters of SpiceJet a few weeks...

FINE ON 1-CRORE TICKETLESS TRAVELLERS HELPS RLYS RAKE IN Rs399 CRORE (despite losing around Rs1,000 crore annually to ticket less travel).
June 30, 2010... The Indian Railways fined one crore passengers in 2009-2010 and collected total fines worth Rs399 crore for ticket-less travels and un-booked luggage. The railways is estimated to lose around Rs1,000 crore annually to ticket less travel on its...

BDI TOUCHES YEAR'S LOW ON DECLINE IN IRON ORE & STEEL TRADE WITH CHINA (after having reached the year's high of 4,209 points on 26 May 2010).
June 30, 2010... The Baltic Dry Index (BDI) touched its lowest level in 2010 of 2,482 points on 29 Jun 2010. The index has been slipping since the past 21 days and had earlier reached the year's high of 4,209 points on 26 May 2010. The decline in BDI is...

AQUA LOGISTICS TO RAISE $70 MILLION (through issue of ADRs, GDRs, FCCBs or QIPs).
June 30, 2010... Aqua Logistics Ltd (ALL) has announced that its board of directors has approved a proposal to raise funds up to $70 million or its equivalent sum of Indian currency. ALL is a global logistics and supply chain services provider. ALL's board has...

ITC FORTUNE HOTELS: WE ARE TARGETING 70 PROPERTIES BY NEXT YEAR (including having properties at Rajkot and Gandhinagar in Gujarat).
June 30, 2010... ITC Fortune Hotels Ltd (IFHL) has announced that it targeting at having a total of 70 properties over the next one year, including having properties at Rajkot and Gandhinagar in Gujarat. IFHL currently has 34 operating hotels with 2,700 rooms...

SPICE MOBILE SET TO MERGE WITH PARENT FIRM, RAISE Rs300 CRORE (by placing 3.2 crore treasury shares in the market out of the 4.2 crore treasury shares created).
June 30, 2010... Spice Mobiles Ltd (Spice) has announced its plans of merging with the parent company, Spice Televentures Ltd, as part of a plan to consolidate the group's telecom business. The new venture will be called Spice Mobility. According to the company,...

ASHOK LEYLAND HIKE CV PRICES, OTHERS LIKELY TO FOLLOW SUIT (such as Tata Motors Ltd and Eicher Motors Ltd).
June 30, 2010... Ashok Leyland Ltd (ALL), the flagship of the Hinduja Group, has announced that it has increased prices of its medium and heavy duty commercial vehicles (CVs) by three percent or in the range of Rs20,000-50,000 with immediate effect. ALL has...

ABBOTT INDIA Q2 NET DOWN 20% (for Mar-May 2010 at Rs14.07 crore compared to a net profit of Rs17.58 crore in Mar-May 2009).
June 30, 2010... Drug manufacturer Abbott India has announced a 19.9 percent fall in net profit for Mar-May 2010 at Rs14.07 crore compared to a net profit of Rs17.58 crore in Mar-May 2009. However, the company's net sales grew by 15 percent to Rs224 crore...

PIAGGIO TO BRING VESPA BRAND BACK TO INDIA IN MID-2012 (through creation of a separate infrastructure and network for due recognition of the brand).
June 30, 2010... Scooter maker Piaggio of Italy is planning to launch its Vespa LX 125 in India during mid-2012. Piaggio Vehicles India is looking at having a separate dealer network for Vespa and creating a separate infrastructure and network for due...

ICRA UPGRADES RATING ON IOC BONDS (following the decision of the Government of India to grant autonomy to it to revise petrol prices).
June 30, 2010... ICRA has upgraded the long-term rating on Indian Oil Corporation (IOC)'s outstanding Rs4,589 crore long-term bonds programme to LAAA from LAA+ and positive outlook. ICRA has upwardly revised IOC's bonds following the decision of the Government...

EMTELLE HOLDINS IN TIE-UP WITH PARIXIT (to provide turnkey solutions to the telecom, power and infrastructure sectors).
June 30, 2010... Emtelle Holdings of Netherlands has tied up with Parixit Industries India Ltd (PIIL) to provide turnkey solutions to the telecom, power and infrastructure sectors. As per the alliance, Emtelle and PIIL will manufacture and market...

UFLEX TO INFUSE Rs1,150 CRORE ON NEW PLANT, CAPACITY EXPANSION (to 79,000 TPA over the next two years from 54,560 TPA at present).
June 30, 2010... Uflex Ltd is planning to invest Rs1,150 crore or $250 million over the next two years to set up new plants and increase output. Uflex is the largest flexible packaging company in India with annual revenue of over Rs3,000 crore. The company...

GE HEALTHCARE TO INVEST $50 MILLION IN INDIA-MADE PET-CT SCANNER (the company may export the PET-CT scan to emerging markets).
June 30, 2010... GE Healthcare is planning to invest $50 million in its research and development (R&D) centre in India for designing advanced scan systems. GE expects to launch the first indigenous positron emission tomography-computed tomography (PET-CT)...

IIM-A PLANS CAMPUS IN HYDERABAD (intends to initially offer executive education programmes).
June 30, 2010... The Indian Institute of Management, Ahmedabad (IIM-A) is in talks with the Government of Andhra Pradesh for setting up a campus in Hyderabad. IIM-A has requested the government to provide 150 acres of land and a funding of Rs100 crore for...

CALLING INDIA: INDIAN MOBILE PHONE MARKET (grew by 4.2 percent in 2009-2010 compared to 7.9 percent in 2008-2009).
June 30, 2010... Data from Voice & Data and Press Trust of India (PTI) reveals that the mobile handset market grew by 4.2 percent in 2009-2010 compared to 7.9 percent in 2008-2009. An estimated 108 million mobile phones worth Rs27,000 crore were sold across...

ADITYA BIRLA ARM TO TAP WEST AND NORTH INDIA (by opening 25-30 branches in Gujarat, Mumbai, Delhi and Indore).
June 30, 2010... Aditya Birla Money (ABM) is planning to increase its presence in western and northern India in a bid to tap broking opportunities in the regions. The company intends to open 25-30 branches in Gujarat, Mumbai, Delhi, Indore in Madhya Pradesh and...

PVT BANKS' LEVERAGE RATIO RISES TO 10.8%, PSBs' LINGERS AT 5.39% (attributed to the indirect fallout of low credit growth and regular capital issuances).
June 30, 2010... A study of 12 private banks and 25 public sector banks (PSBs) reveals that the leverage ratio of the private banks grew to 10.8 percent in 2009-2010 from 9.98 percent in 2008-2009, while that of PSBs declined to 5.39 percent (5.51 percent)....

HDFC BANK PEGS INDUSTRY BASE RATE BETWEEN 6.5 & 8% (anticipates some rise in the rate offered on the short-term corporate loans).
June 30, 2010... Private sector HDFC Bank has estimated the base rate for most banks at 6.5-8 percent. The bank also does not expect any impact on its profitability or growth on account of the change in the lending regime, but anticipates some rise in the rate...

NEW STRATEGY TO RAISE PADDY YIELD IN EAST (through technology enhancement, use of hybrid seeds and optimal use of ground water).
June 30, 2010... The Government of India is planning to hold a conference on agriculture in Kolkata in Jul 2010 for states in eastern India as part of efforts to bring a green revolution in these states through rice. The conference will discuss ways to improve...

HIGH PRICES MAY BOOST COTTON ACREAGE BY 15% (compared to the estimated 10.17 million hectares in 2009- 2010).
June 30, 2010... The acreage under cotton cultivation for Oct 2010-Sep 2011 is expected to be higher by 15 percent as high prices during the current season may lure farmers to shift to cotton from other crops. According to the Cotton Advisory Board, the...

SUGAR OUTPUT LIKELY TO REACH 23 MILLION TONNE (on the back of higher acreage under sugarcane cultivation).
June 30, 2010... The Government of India expects sugar output to increase to 23 million tonnes (MT) for the next crop year starting Oct 2010 on the back of higher acreage under sugarcane cultivation. The area under sugarcane so far has increased by 13 percent to...

RANE GROUP EYES 25% CAGR, BETS BIG ON DOMESTIC DEMAND, EXPORTS (expects return on capital employed to be at a CAGR of 15-25 percent).
June 30, 2010... The Rane Group of Chennai is eyeing a 25 percent compound annual growth rate (CAGR) over the next three years owing to a sharp revival in the domestic auto industry as well as European and other markets. The Rs1,750-crore Rane Group is a...

VEDANTA TO SET UP CANCER HOSPITAL IN RAIPUR (to cater to the increasing number of cancer patients).
June 30, 2010... The Anil Agarwal-led Vedanta Group is planning to set up a cancer hospital at Raipur in Chhattisgarh to cater to the increasing number of cancer patients. The 360-bed hospital-cum-research centre will be established at a cost of Rs350 crore...

RACOLD THERMO BETS BIG ON ELECTRIC WATER-HEATERS (estimated at Rs400 crore at present out of the total water- heater market of Rs600 crore).
June 30, 2010... Racold Thermo Ltd (RTL) is planning to invest Rs10 crore over the next 18 months at its plant in Chakan near Pune for launching new products. The company is betting big on the electric water-heater market in India estimated at Rs400 crore at...

ETP TO IMPLEMENT LAWSON M3 SYSTEM (to fashion manufacturing distribution companies in India as well as Sri Lanka).
June 30, 2010... ETP International is planning to sell and implement Lawson M3 Enterprise management system to fashion manufacturing distribution companies in India as well as Sri Lanka and Bangladesh. ETP intends to increase its investments in sales,...

SBI SETS BASE RATE AT 7.5% (many banks have set their base rates at eight percent).
June 30, 2010... State Bank of India (SBI) has decided to set its base rate at 7.5 percent. The Reserve Bank of India has directed the banks to replace the benchmark lending rate with a base rate with effect from 1 Jul 2010. Many banks have set their base...

GLOBAL BUYERS' GREEN DEMANDS SPELL TROUBLE FOR TEXTILE UNITS IN SEZs (the units are not eligible for DEPB and MLFPS benefits).
June 30, 2010... Textile units in special economic zones (SEZs) in India are facing problems due to the demand by buyers in developed markets to reduce carbon footprint. The buyers are asking the units in the SEZs to source their raw materials from the domestic...

SAAB WILL BID FOR INDIAN CONTRACTS WITH LOCAL PARTNER (the company intends to make India its home market).
June 30, 2010... Saab of Sweden is planning to bid for contracts in India with local partner. The company is one of the bidders for the supply of 126 fighter jets for the Indian Air Force. Saab is willing to transfer technology to Indian companies in addition to...

EU CUTS DUTY ON JINDAL POLY PRODUCT (the EU has reduced the duty on polyethylene terephthalate film to 8.4 percent).
June 30, 2010... The European Union (EU) has reduced the import duty on polyethylene terephthalate film of Jindal Poly Films Ltd from 17.1 percent to 8.4 percent. The film is used in plastic food packaging, video tapes and refrigerator motors. The EU has...

ASHOK LEYLAND TRUCKS TO COST MORE (the company has increased the prices by three percent).
June 30, 2010... Ashok Leyland Ltd has increased the prices of its trucks by nearly three percent with immediate effect. The prices of various trucks are expected to go up by Rs20,000 to Rs50,000. The company has increased the prices to partially recover the...

DENSO-SUBROS VENTURE TO MAKE ACs IN INDIA (the company intends to reduce costs and save time).
June 30, 2010... DENSO Subros Thermal Engineering Centre India Ltd intends to manufacture auto air-conditioners (ACs) in India. The company is a 74:26 percent joint venture between Denso Corp of Japan and Subros Ltd. The joint venture intends to set up a...

RCF TO SET UP $1.5 BILLION FACILITY IN GHANA (the company will sign a memorandum of agreement on 4 Jul 2010).
June 30, 2010... Rashtriya Chemicals and Fertilisers Ltd (RCF) intends to set up a manufacturing facility in Ghana with an investment of $1.5 billion. The company will sign a memorandum of agreement with the Government of Ghana on 4 Jul 2010. The gas-based...

MAYTAS INFRA REPORTS Rs250-CRORE LOSS FOR 2009-10 (the company has announced stand-alone income of Rs955.44 crore).(Financial report)
June 30, 2010... Maytas Infra Ltd has announced a loss of Rs249.64 crore for 2009- 2010 (Rs489.78 crore for 2008-2009). Its stand-alone income has declined to Rs955.44 crore (Rs1,334.87 crore). The company is setting up a 51:49 joint venture with Saudi Binladen...

EMAMI SIGNS DEAL TO BUY MANUFACTURING UNIT IN EGYPT (the company intends to acquire more units in Egypt).
June 30, 2010... Emami Ltd has signed an agreement to acquire a personal care manufacturing unit in Egypt for Rs30 crore. The company intends to acquire more manufacturing units in Egypt to focus on North Africa and Arabic Asia. Emami is planning to set up a...

AUDITORS QUALIFY MAYTAS INFRA ACCOUNTS (Maytas has made a claim of Rs323.78 crore on Mahindra Satyam).
June 30, 2010... The auditors have qualified the accounts of Maytas Infra Ltd for Jul-Sep and Oct-Dec 2009 and Jan-Mar 2010 on recovery of inter- corporate deposits (ICDs). The previous promoters of Maytas had passed on ICDs worth Rs392 crore to other corporate...