India Business Insight articles from March 2010

India Business Insight archives from March 2010

POTATO: WHAT 2010 HOLDS' (while the demand is expected to be around 250.15 LT, the availability after allowing for dehydration losses and wastage is estimated at 260.35 LT).
March 31, 2010... The total area under potato cultivation, both kharif and Rabi, is estimated at about 18.84 lakh hectares in 2010. The National Horticultural Research & Development Foundation reports that the area under rabi potato has increased in Uttar...

MANGO OUTPUT MAY FALL 40 PERCENT ON BAD WEATHER (Tamil Nadu is expected to reap a normal crop).
March 31, 2010... The output of mango is expected to decline by 35 to 40 percent in south India in 2010 owing to bad weather. High night temperatures have delayed flowering in Andhra Pradesh while Karnataka may experience a smaller harvest owing to the biennial...

INDIA TOPS IN OUTPUT OF ONE IN EIGHT AGRICULTURAL COMMODITIES (tops in 25 products out of 194 agricultural commodities studied).
March 31, 2010... The Food and Agriculture Organisation's data for 2007 reveals that India ranks first in the production of one in every eight agricultural commodities produced in the world. Out of 194 agricultural commodities studied, India tops in 25...

GOOD RABI OUTPUT TO COVER KHARIF LOSS (wheat has retained last year's position).
March 31, 2010... Bad weather has adversely affected agricultural production in the kharif season in the country. Output of rice, coarse cereals, maize and groundnut has fallen by over 10 percent impacting total food grain production by 7.51 percent. However,...

MERGERS AND ACQUISITIONS ACTIVITY IN INDIA MORE THAN DOUBLED TO $3 BILLION IN JAN 2010 (number of deals also increased to 53 compared to 32 in Jan 2009).
March 31, 2010... VCEdge reports that the value of mergers and acquisitions increased year-on-year by 126 percent to $2.8 billion in Jan 2010. The number of deals also increased to 53 compared to 32 in Jan 2009. While outbound deals rose to 13 as against six,...

RELIANCE IN $2 BILLION BID TO ACQUIRE CANADIAN OIL SANDS FIRM VCI (submits its expression of interest to the company).
March 31, 2010... Reliance Industries Ltd (RIL) has bid $2 billion for Value Creations Inc (VCI), an oil sands firm of Canada. RIL has submitted its expression of interest to the company. VCI has developed technology to reduce production, transportation and...

TELENOR RAISES STAKE IN UNITECH JOINT VENTURE TO 67.5 PERCENT (for a consideration of Rs2,022 crore).
March 31, 2010... Telenor of Norway has acquired an additional 7.15 percent stake in Uninor, the joint venture between Telenor and Unitech Wireless, for a consideration of Rs2,022 crore ($434 million). With this, Telenor has increased its stake to 67.5 percent...

INDIA'S IT-BPO MARKET TO TOUCH $285 BILLION BY 2020 (expected to retain its position in 2020).
March 31, 2010... KPMG and Asian-Oceanian Computing Industry Organisation (ASOCIO) have released a report called Asia-Oceania Vision 2020: Enabling IT leadership through collaboration. The report estimates that the Indian information technology-business process...

EXIM BANK EXTENDS $100 MILLION LoC TO RUSSIAN BANK (all goods and services approved for export by the Government of India can be financed by EXIM Bank).
March 31, 2010... Export-Import Bank of India (EXIM Bank) has sanctioned a line of credit (LoC) to the tune of $100 million to Bank for Development & Foreign Economic Affairs (Vnesheconombank) of Russia. Under the agreement, all goods and services approved...

L&T FINANCE TO RAISE Rs500 CRORE THROUGH NCDs (debentures will earn an interest of 8.5 percent per annum and have a maturity period of three years).
March 31, 2010... Larsen & Toubro (L&T) proposes to issue non-convertible debentures with a maturity period of three years (NCDs) to raise Rs500 crore. The debentures will earn an interest of 8.5 percent per annum. L&T will offer 15 percent of the...

INDIAN FIRMS LOOKING FOR BUSINESS IN LATIN AMERICA (received investments of $9 billion from Indian companies).
March 31, 2010... Several Indian companies are considering establishing their presence in the emerging market of Latin America. The region has received investments of $9 billion from Indian companies. Tata Consultancy Services Ltd and Tech Mahindra Ltd are...

STANCHART FILES FOR IDR ISSUE TO RAISE OVER $500 MILLION (the bank intends to build its presence and brand in India).
March 31, 2010... Standard Chartered PLC (StanChart) has filed a draft red herring prospectus to raise $500 million through an issue of Indian Depository Receipts (IDR). The bank intends to build its presence and brand in India through the IDR. StanChart derives...

MURUGAPPA GROUP BUYS OUT DBS IN NBFC VENTURE (the company has acquired the stake of 37.48 percent for Rs376 crore).
March 31, 2010... The Murugappa Group has acquired the entire stake of 37.48 percent of DBS Bank in Chola DBS Finance for Rs376 crore. The holding of the group in the non-banking finance company will go up to 74.96 percent. Tube Investments will bring in Rs150...

GOOGLE'S NEW TOOL MAKES PRODUCT, PRICE SEARCH EASY (the portal has also introduced an application to search from a photo).
March 31, 2010... Google has launched a new tool to search for products and articles automatically. The tool searches information from millions of web pages to provide the name, prices and images of the product. Users are required to enter the name of into the...

TATA MOTORS BONDHOLDERS OPT FOR CONVERSION (the company has reduced its debt by $345 million).
March 31, 2010... Most of the shareholders of Tata Motors Ltd have converted their bonds into ordinary shares. Holders of nearly 93 percent Yen bonds and 76 percent dollar bonds have opted for conversion. The company has reduced its debt by $345 million. Tata...

CROMPTON BUYS UK COMPANY FOR Rs204 CRORE (the company expects to become a significant player in the UK).
March 31, 2010... Crompton Greaves Ltd has acquired Power Technology Solutions Ltd (PTS) of the UK for Rs204 crore. PTS provides consultancy, technical and engineering support to regional electricity companies. Crompton Greaves expects to become a significant...

BRIDGESTONE PLANT AT CHAKAN (the plant will start car tyre production in Jan 2013).
March 31, 2010... Bridgestone India Ltd intends to set up a radial tyre plant at Chakan near Pune with an investment of Rs2,600 crore. The plant will start production of car tyres in Jan 2013 and of truck and bus tyres in Aug 2013. The plant will have a capacity...

TATA MOTORS SELLS 20% IN TELCON (to Hitachi Construction Machinery Company).
March 31, 2010... Tata Motors Ltd has sold a stake of 20 percent in Telcon to Hitachi Construction Machinery Company for Rs1,159 crore. The holding of Tata Motors in Telcon has declined to 40 percent and that of Hitachi has gone up to 60 percent. Tata Motors...

AUTO SECTOR SEEKS MORE SUPPLY OF BS-IV FUEL (the Government of India intends to introduce BS-III regime across the country in Oct 2010).
March 31, 2010... The automobile sector in India has called for more supply of Bharat Stage (BS)-IV fuel across the country. The Government of India intends to introduce BS-IV fuel in 13 cities from 1 Apr 2010. The auto sector expect the oil marketing companies...

STEEL PRICES TO GO UP BY Rs3,000 A TONNE (HR coil prices are likely to go up to Rs46,000 a tonne).
March 31, 2010... Steel manufacturers in India are likely to increase the prices of steel by Rs3,000 a tonne from Apr 2010. Prices of hot rolled (HR) coils are likely to go up to Rs46,000 a tonne. Prices of HR sheets are likely to go up to Rs45,000 a tonne. A...

M&M TO MERGE TRACTOR VENTURES IN CHINA (the company is planning to go through the legal process to merge the companies).
March 31, 2010... Mahindra & Mahindra Ltd (M&M) is planning to merge Mahindra China Tractor Company (MCTCL) and Mahindra Yueda Yancheng Tractor Company (MYYTCL) in China. M&M has a stake of 84 percent in MCTCL and Jiangling Motor Company holds the...

GAIL STARTS GAS SUPPLY TO MARUTI'S MANESAR PLANT (the fuel is expected to bring down the cost per car by 0.4 percent).
March 31, 2010... GAIL (India) Ltd has started supplying 0.33 million standard cubic metres a day of gas to the Manesar plant of Maruti Suzuki India Ltd. GAIL and Maruti had signed a gas sale agreement in Mar 2009 to supply gas to the Manesar plant for a period...

MARUTI TO PRODUCE MORE CNG CARS (the company expects to produce 10.2 lakh cars in 2009-2010).
March 31, 2010... Maruti Suzuki India Ltd is planning to produce more compressed natural gas (CNG) powered cars in 2010-2011. The company intends to focus on producing factory-fitted CNG cars. The Government of India intends to introduce Bharat Stage-IV emission...

NO APEX COURT RELIEF TO PARAMOUNT (the court has asked the airline to pay Rs25 crore in cash to its lessors).
March 31, 2010... The Supreme Court has refused to grant interim relief to Paramount Airways on de-registration of three aircraft. The airline had filed a Special Leave Petition in the Supreme Court against the orders of the Delhi High Court. The Supreme Court...

BHARTI SIGNS PACT WITH ZAIN FOR AFRICAN OPERATIONS (the company will acquire assets in 15 countries with a base of 42 million).
March 31, 2010... Bharti Airtel has signed an agreement with Zain to acquire the assets in Africa for $10.7 billion. The company will acquire the assets of Zain in 15 countries with a customer base of 42 million. Bharti Airtel will have a subscriber base of 179...

SISTEMA SHYAM GETS Rs500-CRORE LOAN (from Central Bank of India).
March 31, 2010... Sistema Shyam Teleservices Ltd (SSTL) has received a loan of Rs500 crore from Central Bank of India for a term of two years. JFSC Sistema of Russia is the corporate guarantor for the loan. SSTL operates telecom services under the brand, MTS, in...

WIPRO TECH OPENS CENTRE IN MELBOURNE (to provide consulting, software development, testing and BPO services).
March 31, 2010... Wipro Technologies Ltd has opened a new development centre in Melbourne. The centre will provide consulting, software development, testing and business process outsourcing (BPO) services to companies in Australia. Wipro had started its...

GARMIN-ASUS UNWRAPS NEW SMARTPHONE (at Rs19,990).
March 31, 2010... Garmin-Asus has launched a smartphone, Garmin-Asus-M10, in India at Rs19,990. The new handset enables professionals to remain connected to business and personal contacts. M10 also has preloaded maps and voice guidance in Hindi and English...

ALL BIDDERS QUALIFY FOR 3G, BROADBAND SPECTRUM AUCTION (the Government of India intends to start the auction from 9 Apr 2010).
March 31, 2010... The Department of Telecom has declared all bidders for the third generation (3G) spectrum as qualified for the auction. The department has received 11 bids for broadband wireless access and nine bids for 3G mobile services. The Government of...

SATYAM GOT UNDUE BENEFIT IN LAND ALLOTMENT: CAG (the CAG has estimated the undue benefit at Rs165.75 crore).
March 31, 2010... The Comptroller and Auditor General (CAG) of India has reprimanded the Government of Andhra Pradesh for granting undue benefit to Satyam Computer Services in allotment of land. The CAG has estimated the undue benefit at Rs165.75 crore. The...

HTC LAUNCHES SMART IN INDIA (to bring smart phones to the masses).
March 31, 2010... HTC Corporation and Bharti Airtel have launched the HTC Smart hand set in India at Rs9,990. The companies intend to bring smart phones to the masses in the country. The phone offers easy-to-use widgets, browsing and connectivity at an affordable...

HCL TECH, BOEING OPEN CENTRE OF EXCELLENCE (to provide support to test-and-evaluation operations).
March 31, 2010... HCL Technologies and Boeing have opened a centre of excellence in Chennai on 30 Mar 2010. The centre will provide support to test- and-evaluation operations of Boeing. HCL intends to partner Boeing on projects involving system modernisation,...

GENPACT PLANS EXPANSION IN CHINA (the company intends to add 6,500 people in five years).
March 31, 2010... Genpact is planning to expand its operations in China. The company employs 3,500 people in China and intends to add 6,500 people in the next five years. Genpact derives 10 percent of its revenues from China and Japan. The company has signed a...

GOVERNMENT PUTS OFF MOBILE NUMBER PORTABILITY TO JUNE 30 (BSNL, MTNL and Uninor have not installed the MNP gateways).
March 31, 2010... The Government of India has deferred the launch of mobile number portability (MNP) to 30 Jun 2010. The Government had earlier decided to launch MNP by 31 Mar 2010. The Government has asked the operators to start the tests immediately. Bharat...

MAX INDIA TO SELL 4% IN INSURANCE ARM TO AXIS (Bank).
March 31, 2010... Max India will sell four percent stake in Max New York Life Insurance Company (MNYL) to Axis Bank. The terms of the deal are under finalisation. MNYL is a 74:26 joint venture between Max India and New York Life International.

BoB RAISES $350 MILLION TO FUND OVERSEAS ASSET GROWTH (through bonds maturing on 7 Oct 2015).
March 31, 2010... Bank of Baroda has raised $350 million or Rs1,600 crore through bonds to fund its global expansion programmes. Its London branch has raised the amount by issuing bonds maturing on 7 Oct 2015.

SBI TO EXPAND WEST ASIA OPERATIONS (by opening branches in Doha and Jeddah).
March 31, 2010... State Bank of India (SBI) is planning to expand its operations in the West Asian region. It intends to open its branches in Doha and Jaddah and launch operations.

HDFC LIFE'S ONLINE CHANNEL (will offer three insurance products initially).
March 31, 2010... HDFC Standard Life has announced the launch of its online channel for buying its insurance products. Initially the online channel will offer three insurance products, YoungStar Super Suvidha, Pension Super and Endowment Super Suvidha.

IFC FUNDS FOR START-UP (micro finance firm).
March 31, 2010... The International Finance Corporation (IFC) will provide $3 lakh to Utkarsh Micro Finance, a start-up micro finance firm. Utkarsh will use the fund for financing small borrowers in the low-income northern states like Uttar Pradesh, Madhya...

RBI ON FARM DEBT (RBI asks banks to treat farm loans under the debt relief scheme as NPA if farmers delay payments beyond 30 Jun 2010).
March 31, 2010... The Reserve Bank of India (RBI) has asked banks to treat the outstanding amount of farmers under the debt relief scheme as non- performing assets (NPA), if the farmers delay their payments beyond 30 Jun 2010. According to RBI, where the farmers...

MERCHANT BANKS EARN 10 TIMES MORE IN PRIVATE SECTOR SHARE ISSUES (than from PSUs).
March 31, 2010... Merchant bankers have earned 10 times more from primary market issues from the private sector companies than from public sector undertakings (PSUs), says a report by SNC Capitals of Delhi. According to the data, of the total amount of Rs22,300...

RBI ISSUES GUIDELINES ON CAPITAL CLASSIFICATION (to ensure uniformity in reporting from the financial year ending 31 Mar 2010).
March 31, 2010... The Reserve Bank of India (RBI) has issued guidelines to banks on classification of capital in their balance sheets. RBI's guidelines are to ensure uniformity in reporting from the financial year ending 31 Mar 2010. Under the guidelines,...

WEATHER, HYBRID SEEDS TO BOOST MAIZE OUTPUT (in 2009-2010).
March 31, 2010... India's maize production in 2009-2010 is likely to be over 19.73 million tonnes that was produced in 2008-2009. The expected increase in output is due to favourable weather and adoption of single cross hybrids. Crop condition is good in all...

PENALTY ON BROKERS INDULGING IN ILLEGAL TRADE (says FMC).
March 31, 2010... The regulator Forward Market Commission (FMC) has imposed a penalty of a minimum of Rs1 lakh and a maximum of Rs5 lakh from 1 Apr 2010 on brokers indulging in illegal trading. FMC has also announced a uniform penalty structure for all the...

COFFEE EXPORTS MAY SLOW ON RUPEE GAIN, BRAZILIAN SUPPLY (and India's coffee exports are estimated at two lakh tonnes for 2009-2010).
March 31, 2010... Rupee gain against dollar could slow down coffee exports from India in the coming six months, according to Coffee Exporters Association of India (EAI). Increasing supplies from Brazil could be another factor for drop in Indian exports. EAI has...

NAFED TO DISTRIBUTE BARC-DEVELOPED SEEDS (to farmers in India).
March 31, 2010... National Agricultural and Cooperative Marketing Federation (Nafed) has partnered with Bhabha Atomic Research Centre (BARC) for distributing high yielding varieties of seeds to farmers in India. The seeds to be supplied to farmers would be...

SISTEMA SHYAM RAISES Rs500-CRORE LOAN (JFSC Sistema will be the corporate guarantor for the loan).
March 31, 2010... Sistema Shyam Teleservices has raised a term-loan of Rs500 crore from the Central Bank of India. JFSC Sistema will be the corporate guarantor for the loan. Sistema Shyam Teleservices operates MTS telecom services.

HCL, BOEING LAUNCH CENTRE OF EXCELLENCE (will support Boeing's test and evaluation operations).
March 31, 2010... HCL Technologies and Boeing have launched a new centre of excellence in Chennai. The new centre will support Boeing's test and evaluation operations. The facility will provide engineering applications design, development and support for...

EDSERV TO BUY NET-BASED PRE-SCHOOL BIZ (acquisition is estimated to cost Rs1.25 crore).
March 31, 2010... EdServ, Chennai, has signed a letter of intent (LoI) to acquire 100 percent in the pre-school business of Sparkling Minds, Chennai. The acquisition is estimated to cost Rs1.25 crore. EdServ provides technology-based e-learning solutions.

RAMKY INFRA TO RAISE Rs530 CRORE VIA IPO (has filed its DRHP with SEBI).
March 31, 2010... Ramky Infrastructure Ltd, Hyderabad, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company expects raise up to Rs530 crore through an initial public offering (IPO).

AVANTHA POWER TO RAISE Rs1,250 CRORE (has filed its DRHP with SEBI).
March 31, 2010... Avantha Power and Infrastructure Ltd (APIL) has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (SEBI). The company plan to raise up to Rs1,250 crore through an initial public offering (IPO).

CIL PLANS TO PRODUCE 461.5-MILLION TONNE COAL (has envisaged a production of 435 mt in 2009-2010).
March 31, 2010... Coal India Ltd (CIL) plans to produce 461.5 million tonnes (mt) of coal in 2010-2011. The company envisaged a production of 435 mt in 2009-2010.

JMC BAGS NHAI'S ROHTAK-BAWAL PROJECT (is a subsidiary of Kalpataru Power Transmission Ltd).
March 31, 2010... JMC Projects (India) has secured a project from the National Highway Authority of India (NHAI). The project involves construction of a four-lane highway between Rohtak and Bawal in Haryana. JMC Projects (India) is a subsidiary of Kalpataru...

DISNEY CHANNEL BAGS RIGHTS FOR FILM ON RAY' FELUDA SERIES (has been developed as a 60-minute TV movie).
March 31, 2010... Disney Channel has acquired Feluda - The Kathmandu Caper, an animated television movie based on a detective series by Satyajit Ray, from DQ Entertainment. The Kathmandu Caper has been developed as a 60-minute TV movie. Feluda is a series of...

5 NEW CATEGORIES FOR FORMING LLP FIRMS (are over and above the earlier categories of chartered accountants, cost accountants and company secretaries).
March 31, 2010... The Ministry of Corporate Affairs, Government of India, has specified five new categories of professions that are eligible for forming companies under the new limited liability partnership Act. These professions are over and above the earlier...

DBS SEES 20-25% ANNUAL GROWTH IN INDIA (plans to focus on corporate, HNIs and emerging affluent customers).
March 31, 2010... DBS Bank expects a 20-25 percent growth in its India operations as it realigns its business strategy to focus on corporate, high net worth individuals (HNIs) and emerging affluent customers. The bank at present has a loan book of Rs10,000 crore...

IDFC MF MOPS UP Rs200 CRORE (will deploy minimum 84% of its corpus in debt and money market securities).
March 31, 2010... IDFC Mutual Fund (MF) has raised about Rs200 crore through the new fund offer of IDFC Capital Protection Oriented Fund - Series 1. The three-year close-ended growth fund seeks to provide capital appreciation linked to the equity market, and...

SBI MF MOPS UP OVER Rs400 CRORE (will invest its entire assets in government securities, corporate bonds and money market securities).
March 31, 2010... SBI Mutual Fund had raised over Rs400 crore from the initial offer period of SBI Mutual Fund's Debt Fund Series - 370. The close-ended debt scheme will invest its entire assets in government securities, public sector units, corporate bonds...

ICAR FAVOURS GM CROPS TO MEET RISING DEMAND (is at present working on various GM crops such as tomato, potato and watermelon).
March 31, 2010... The Indian Council of Agricultural Research (ICAR) has decided to continue with its research on genetically modified (GM) crops in spite of a moratorium on commercialisation of Bt brinjal. According to ICAR, GM crops will help meet the...

CEMENT FIRM PLANS TO INVEST Rs800 CRORE (to increase its cement manufacturing capacity by 125%).
March 31, 2010... Madras Cements Ltd plans to invest about Rs800 crore to increase its cement manufacturing capacity by 125 percent to 4.5 million tonnes per annum (mtpa) at its Ariyalur facility in Tamil Nadu. The expansion is part of the company's plant to...

LARSEN AND TOUBRO: OPPORTUNITIES GALORE (has secured orders worth Rs2,526 crore).
March 31, 2010... Larsen and Toubro (L&T) has secured orders worth Rs2,526 crore in the last week of Mar 2010. The order includes a Rs1,400-crore order from Indian Oil Corporation (IOC) for supply of a 4.17- million-tonne a year fluidised catalytic cracker...

BHARTI, ZAIN FINALLY CONNECTED (Bharti Airtel acquires most of the African assets of Zain Telecom of Kuwait).
March 31, 2010... Bharti Airtel has acquired most of the African assets of Zain Telecom of Kuwait. The $10.7-billion deal was signed in Amsterdam, the base of Zain's African unit. Zain Africa has 42 million customers. With this, Bharti will now have 179...

HERO HONDA DOLES OUT HIGHEST PAYOUT OF 4K% (Rs80 on each share of a face value of Rs2).
March 31, 2010... Hero Honda has declared its highest dividend yet. It will pay an interim dividend of 4,000 percent - Rs80 on each share of a face value of Rs2. This is the highest payout by an Indian company to date. The interim dividend will result in an...

GOVERNMENT EXPECTS Rs150 CRORE IN DIRECT TAX FROM IPL3 (collects Rs110 crore in the first 15 days as tax deducted at source).
March 31, 2010... The Government of India expects to collect tax of Rs150 crore from the third season of Indian Premier League (IPL). It has already collected Rs110 crore in the first 15 days as tax deducted at source (TDS). The tax department expects Rs90-100...

STRIKING GOLD WITH SILVERWARE (Rupa hosiery and innerwear brand has cornered nearly 20% of the Rs2,500-crore branded hosiery market).
March 31, 2010... 'Rupa' is the largest manufacturer of hosiery and innerwear in India. PR Agarwala is the chairman of Rupa & Co. Rupa in Bengali means silver. Rupa hosiery and innerwear brand has cornered nearly 20 percent of the Rs2,500-crore branded...

DISNEY ACQUIRES FELUDA FROM DQ ENTERTAINMENT (Feluda will now have a 60-minute animated tele-movie based on his adventures).
March 31, 2010... Feluda is a popular detective series, which is familiar through comics, novels and movies. Disney Channel has acquired Feluda, The Kathmandu Caper from DQ entertainment, an animation, gaming, live-action entertainment production and distribution...

ITC BITES INTO CIGAR BUSINESS, TIES UP WITH LA AURORA (to unveil a mint-fresh line of premium handrolled cigars under the Armenteros brand).
March 31, 2010... The $6-billion ITC, which is the largest cigarette maker in India, will soon offer premium handrolled cigars in India. It has tied up with La Aurora, one of the oldest cigar makers in the world in the Dominican Republic. The plan is to unveil a...

M&C SAATCHI LAUNCHES BRAND DESIGN FIRM (which will handle the entire spectrum of services).
March 31, 2010... M&C Saatchi India has launched its branded design specialist company, id. The company will handle the entire spectrum of services from brand design strategy, design architecture and expression to design implementation.

BHARTI WAL-MART TO OPEN MORE STORES (as it is expanding its retail presence in India).
March 31, 2010... Bharti Wal-Mart, the joint venture between Bharti Enterprises and Wal-Mart Stores of the United States, is expanding its retail presence in India. It has launched a direct farm produce sourcing system to streamline the supply chain between...

PEs TAKE 40% STAKE IN STAR HEALTH FOR $100 MILLION (the deal values Star Health at about Rs1,125 crore).
March 31, 2010... Four private equity (PE) investors, including ICICI Venture, the growth fund of Carlyle and Sequoia Capital, have invested about $100 million for a 40 percent stake in Star Health and Allied Insurance Company, based in Chennai. The deal values...

ED REGISTERS CASE AGAINST SWAN TELECOM UNDER PMLA (the investigations of Swan pertain to the grant of telecom licences by the DoT in Jan 2008 to new entrants).
March 31, 2010... The Enforcement Directorate (ED) in the Government of India has registered a case under the Prevention of Money Laundering Act (PMLA) against Swan Telecom, which is now known as Etisalat DB. The investigations of Swan pertain to the grant of...

GMR INFRASTRUCTURE CLOSE TO TYING UP FUNDS FOR HIGHWAY PROJECT (will sign the financial closure documents in shortly).
March 31, 2010... GMR Infrastructure, which is into power and infrastructure, will soon tie up funds for its Rs2,190-crore Hyderabad-Vijayawada highway project. The project was bagged by the GMR-Punj Lloyd consortium in May 2009 and had a debt component of...

ISRO ARM BAGS FOREIGN DEALS WORTH Rs3K CRORE (Antrix wins contracts worth Rs3,000 crore from foreign customers).
March 31, 2010... Antrix, the commercial and marketing arm of Indian Space Research Organisation (ISRO), has won contracts worth Rs3,000 crore from foreign customers. It has bagged a contract from the Algerian space agency for the launch of its 200-kilogram (kg)...

STATE-RUN HAL, ROLLS-ROYCE FORGE JOINT VENTURE (the new company will undertake manufacturing of compressor shroud rings for aero engines).
March 31, 2010... Hindustan Aeronautics Ltd (HAL) and Rolls-Royce have signed an agreement to create a manufacturing joint venture (JV) company in Bangalore. The new company will be a 50:50 JV between HAL and Rolls-Royce. It will undertake manufacturing of...

GET PAN OR PAY MORE TAX FROM APRIL 1 (2010).
March 31, 2010... The Government of India has made it mandatory for residents and non-residents to quote permanent account number (PAN) from 1 Apr 2010 or face a high rate of tax. The tax deducted at source on payments could be as high as 20 percent for those not...

FITCH: NHAI SHOULD MEET 20 KM-A-DAY TARGET (provided it steps up the pace of awarding and executing the projects).
March 31, 2010... Fitch Ratings (Fitch) has stated that the National Highways Authority of India (NHAI) could meet its target of laying 20 kilometres of roads per day provided it steps up the pace of awarding and executing the projects. Fitch has added that while...

SERVICE TAX ON RAILWAY FREIGHT ONLY FROM JULY (2010).
March 31, 2010... The Ministry of Finance, Government of India, has stated that the service tax on transport of goods by the Indian Railways is being differed to 1 Jul 2010. The Government of India's budget for 2010-2011 had proposed 10 percent service tax on...

SAIL, SCI TO FORM JOINT VENTURE COMPANY (to primarily take care of the shipping needs of SAIL).
March 31, 2010... Steel Authority of India Ltd (SAIL) and the Shipping Corporation of India (SVI) have signed an agreement to form a joint venture (JV) company with its registered office in Kolkata to primarily take care of the shipping needs of SAIL. The...

STATES ROPE IN PVT COS TO STORE WHEAT (on account of overflowing godowns and warehouses following bumper harvest in 2009-2010).
March 31, 2010... The Governments of Punjab and Haryana have started issuing tenders to enlist private sector companies to store wheat on account of overflowing godowns and warehouses following bumper harvest in 2009-2010. The Government of India is expecting...

PVT CONSUMPTION, RETAIL CREDIT DIP (during Oct 2008-Mar 2009 and Apr-Jun 2009 from a steady growth previously).
March 31, 2010... The Reserve Bank of India's financial stability report has revealed that that private consumption and retail credit have dipped. According to the report, consumption expenditure of households is not significantly leveraged in terms of bank...

DEPOSIT RATES SEE A DECLINE (after Sep 2008 following excess liquidity in the system).
March 31, 2010... Data from the Reserve Bank of India has shown that deposit rates have declined after Sep 2008 following excess liquidity in the system and downward revision of policy rates. The share of deposits having interest rates between 7-11 percent...

ANAKAPALLE JAGGERY OUTPUT MAY DIP (to 22 lakh lumps of 15 kilograms each by 30 Apr 2010).
March 31, 2010... Jaggery trading at Anakapalle is expected to decline to 22 lakh lumps of 15 kilograms each by 30 Apr 2010, when trading comes to a close, as compared to 23.5 lakh lumps traded by 30 Apr 2009. Traders had earlier projected jaggery trading at...

RUBBER PRICES UP 10% OVER SHORT SUPPLY (and peak to a new high of Rs156.50 per kilogram on 30 Mar 2010).
March 31, 2010... The prices of natural rubber prices have jumped by 10 percent during Mar 2010 peaking to a new high of Rs156.50 per kilogram on 30 Mar 2010. The price rise is due to a tight supply situation. The total rubber production is expected to fall by...

AQUA LOGISTICS LOADS UP FOR FUTURE (by acquiring three Hong Kong based companies).
March 31, 2010... Aqua Logistics Ltd (ALL) of Mumbai has acquired 60 percent stake each in three Hong Kong based companies, CIT Logistics, TAG Logistics and AGI Logistics for an aggregate amount of Rs32 crore or $7.09 million. These acquisitions are expected to...