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May form SPV for unlocking value: HDFCHDFC is looking at a substantial value unlocking move in which its investments in several noncore businesses will be moved out of the company. Deepak Parekh, Chairman, HDFC said HDFC\'s investments in its noncore business will be moved into a special purpose vehicle (SPV).Source: Moneycontrol Top Headlines | 27 Mar 2010 | 7:30 am EU summit moves stoke fears of twospeed EuropeConcerns that a gulf is opening between European Union countries that use the euro and those that do not, resurfaced at an EU summit that saw euro zone states agree a plan to help debtladen Greece.Source: Moneycontrol Top Headlines | 27 Mar 2010 | 6:57 am Punj Lloyd to sell stake in PipavavEngineering and construction firm Punj Lloyd will sell its stake of just over 19% in Pipavav Shipyard to cofounder SKIL Infrastructure to raise cash by selling assets, the Economic Times said on Saturday.Source: Moneycontrol Top Headlines | 27 Mar 2010 | 6:16 am Nokia buys US mobile browser firm in NovarraTop mobile phone maker Nokia has agreed to buy privatelyheld US mobile browser firm Novarra to improve Web surfing on a wide range of its lowend and midrange phones.Source: Moneycontrol Top Headlines | 27 Mar 2010 | 6:02 am RenaultNissan, Daimler eye mutual stakesA tieup between RenaultNissan group and Daimler AG to cut costs and share development spend is moving closer, sources said, although analysts remain unconvinced of the benefits.Source: Moneycontrol Top Headlines | 27 Mar 2010 | 5:02 am Small bottlers pose new Pepsi challengePepsiCo Inc assured investors this week that its recent bottler acquisitions would give it the muscle to retool its North American distribution system, but it still faces small hurdles.Source: Moneycontrol Top Headlines | 27 Mar 2010 | 4:58 am Zain, Bharti deal could take months to close-TV - Reuters
Source: Business - Google News | 27 Mar 2010 | 3:08 am Zain, Bharti deal could take months to close - TVKUWAIT (Reuters) - The closing of the deal between Kuwaiti telecom firm Zain and Bharti Airtel could take weeks or months, Zain's chairman was quoted as saying.Source: Reuters: Money News | 27 Mar 2010 | 3:07 am HDFC to transfer investments in unlisted companies to SPV - domain-B
Source: Business - Google News | 27 Mar 2010 | 2:49 am Markets on a roll; Sensex completes 7-week rallyMarkets extended their rally for the seventh week in a row on the Dalal Street, gaining another 67 points, or 0.38 per cent, on sharp rise in healthcare and banking sectors on the back of sustained capital inflow from foreign funds.Source: HindustanTimes.com - Top Business News Headlines | 27 Mar 2010 | 2:46 am EU summit moves stoke fears of two-speed Europe - Moneycontrol.com
Source: Business - Google News | 27 Mar 2010 | 2:10 am Lakshmi Mittal richest Asian in Britain in 2010NRI steel baron Lakshmi Mittal, owner of the world's largest steel company ArcelorMittal, is the richest Asian in Britain for the year 2010 with an estimated wealth of 17 billion pound.Source: HindustanTimes.com - Top Business News Headlines | 27 Mar 2010 | 1:21 am Stocks end higher; Nifty seen rallying to 5400 levels - Economic Times
Source: Business - Google News | 27 Mar 2010 | 12:40 am M&M may slam brakes on investments in Renault JVMahindra & Mahindra is likely to freeze investments in its troubled joint venture with Renault, ceding a majority stake and management control to the French company.Source: India Business News | Business News - Times of India | 27 Mar 2010 | 12:34 am US aviation firms asked to set up bases in IndiaIndia has asked US aviation companies to think of establishing manufacturing bases and investing in aviation infrastructure like airports in India for a long-term commitment.Source: HindustanTimes.com - Top Business News Headlines | 27 Mar 2010 | 12:01 am Cap on number of highway bidders may be backA clause limiting the number of bidders that qualify to submit financial bids for National Highway projects may be broughtSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Corus gets offer for Teesside plantA possible buyer for Corus Steel's recently mothballed plant in Northern England may be emerging, but its plans for the plant may not be agreeable as many may have hopedSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Working at cross purposesThe income-tax law falls in the domain of the CBDT (Central Board of Direct Taxes) and service tax that of the CBEC (Central Board of Excise and Customs). As the two wings come under the Finance Ministry, one expects no contradictions in theSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Software application testing comes into its ownOnce considered a not-so-exciting career option compared to the more “glamorous” software development, software application testing, which essentially is all about ensuring that the software code created by developers is fool-proofSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Union Bank joins Belgian firm for mutual fundUnion Bank of India and Belgium-based KBC Asset Management will jointly invest € 50 million (approx Rs 300 crore) in a new asset management company, Union KBC Asset Management. Union Bank holds 51 per cent stake and KBC 49 per cent in theSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Marked-to-market forex derivative loss not tax deductibleThe Central Board of Direct Taxes (CBDT) has asked income-tax authorities to disallow the forex derivative loss claimed by companies on the basis of ‘marked to market'Source: Business Line - Home Page | 27 Mar 2010 | 12:00 am Insurance wage talks remain deadlocked yet againFaced with another year of mounting underwriting losses, wage negotiations with officers and employees of the public sector insurance companies have hit aSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am TDSAT stays DoT order on spectrum fee hikeThe Telecom Dispute Settlement Appellate Tribunal (TDSAT) on Friday gave a stay order on a decision of the Department of Telecom to increase spectrum charges for mobileSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Rupee at 18-month high against dollarThe rupee on Friday touched an 18-month high against the dollar, as the US currency came under selling pressure in both local and internationalSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Private firms cannot issue bonds for infrastructure projectsThe Union Finance Secretary, Mr Ashok Chawla, on Friday, said that only banks and financial institutions will be eligible to raise funds through issue of tax-free bonds for financing infrastructureSource: Business Line - Home Page | 27 Mar 2010 | 12:00 am Punj Lloyd to sell stake in Pipavav - reportMUMBAI (Reuters) - Engineering and construction firm Punj Lloyd will sell its stake of just over 19 percent in Pipavav Shipyard to co-founder SKIL Infrastructure to raise cash by selling assets, the Economic Times said on Saturday.Source: Reuters: Money News | 26 Mar 2010 | 11:35 pm Rupee ends at 18-month high against dollar - Moneycontrol.com
Source: Business - Google News | 26 Mar 2010 | 11:25 pm US aviation firms asked to set up bases in India - Economic Times
Source: Business - Google News | 26 Mar 2010 | 11:04 pm Mahindra may freeze Renault JV - paperMUMBAI (Reuters) - Mahindra & Mahindra, India's largest utility vehicles and tractor maker, is likely to freeze investments in its joint venture with French carmaker Renault, the Economic Times reported on Saturday.Source: Reuters: Money News | 26 Mar 2010 | 10:39 pm Four U.S. banks fail; FDIC pulls back on loss sharesWASHINGTON (Reuters) - Four small banks across the United States were seized by regulators on Friday evening, ticking up the year bank failure tally to 41.Source: Reuters: Money News | 26 Mar 2010 | 6:58 pm Court rejects CBI report for case closure - Times of India
Source: Business - Google News | 26 Mar 2010 | 6:11 pm Fed officials leery of unconventional policiesWASHINGTON (Reuters) - The Federal Reserve's unprecedented dose of stimulus to the economy during the recent financial crisis complicates the task of pulling back when the time is right, top central bank officials said on Friday.Source: Reuters: Money News | 26 Mar 2010 | 5:32 pm Kirit Parikh hopes fuel pricing report will be implementedMore than a month after the Kirit Parikh committee report on pricing of petroleum products was submitted, the government is yet to accept any of the suggestions made by the committee. That has left the man who headed the committee disappointed.Source: Moneycontrol Top Headlines | 26 Mar 2010 | 4:55 pm Smallcap World Fund buys 1.88cr shares of Pipavav ShipyardToday, there was a big block deal on the Pipavav Shipyard with 8.2% stake changing hands on the BSE NSE. Out of this, 2.8% equity is bought by Smallcap World Fund.Source: Moneycontrol Top Headlines | 26 Mar 2010 | 4:37 pm IMF seeks to figure out its role in GreeceWASHINGTON (Reuters) - The International Monetary Fund was grappling on Friday with questions as to precisely what role it will play in a European-led rescue of Greece.Source: Reuters: Money News | 26 Mar 2010 | 4:36 pm Reviving NetherlandsIndia business tiesIt was in the early 20th century, during British colonial rule, when Dutch companies such as electronics giant Philips and banks such as ABN Amro set up bases in India.Source: Moneycontrol Top Headlines | 26 Mar 2010 | 4:31 pm U.S. mulling financial services complaint vs ChinaBRUSSELS/WASHINGTON (Reuters) - The United States has talked with U.S. credit cards companies about barriers they face in China and is mulling the best step for cracking open that market, the top U.S. trade official said on Friday.Source: Reuters: Money News | 26 Mar 2010 | 3:40 pm Special audit on Vodafone Essar submitted to DoT: SourcesThe Vodafone Essar special audit report has been submitted to the Department of Telecom (DoT) today, sources told CNBCTV18.Source: Moneycontrol Top Headlines | 26 Mar 2010 | 3:34 pm A $1.2 trillion timebomb ticks in ChinaLocal governments' investment vehicles pose risks to China's economic and financial stability.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:23 pm Positive development for Jet AirwaysThe carrier's strategy to target the budget segment through Jet Konnect has worked. For the half-year ended September, Jet Konnect helped the company improve its market share.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:14 pm Why buying insurance online makes senseCompanies are using the power of the internet to reduce costs and offer great deals.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:12 pm India Inc rues Sino trade imbalanceTrade between India and China leapt to around $ 50 billion, making China India's largest trading partner in 2008-09.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:10 pm Markets nearing intermediate highsThe BSE Sensex closed at 17644.76, within striking distance of its recent highs while the Nifty closed at 5282.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:07 pm Expert says don't buy Qatar-Iran gasThe price of gas from Iran or even Qatar, will be too expensive to compete with new sources of domestic gas available within the country.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 3:02 pm Dassault Systemes makes a cloud betIndian integration partners would now provide value added services on the top of its applications.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 2:57 pm Videocon eyes 1 million handset sales a monthThe company has launched 21 models in the range of Rs 1,400 to Rs 18,500. It plans to bring the touchscreen phone within Rs 5,500.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 2:56 pm Educomp to enter IIT, engineering preparatory coachingEducomp recently restructured its business to create a new entity for its supplemental education segment, which includes off-school services such as tutoring, counselling and assessment.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 2:44 pm White House expands housing aid programWASHINGTON (Reuters) - The Obama administration on Friday announced a $14 billion effort to try to stem a rising tide of home foreclosures by giving lenders incentives to erase some mortgage debt and slash mortgage payments for the unemployed.Source: Reuters: Money News | 26 Mar 2010 | 2:43 pm Jindal Power public issue in April endThe company, which had filed its draft red herring prospectus with the Securities and Exchange Board of India on December 29, aims to raise Rs 7,200 crore.Source: Daily News & Analysis: Money News | 26 Mar 2010 | 2:42 pm Singh asks PC to prepare roadmap on coal industry's problemsPrime Minister Manmohan Singh has asked Planning Commission to prepare a detailed roadmap on problems faced by the coal industry ranging from land acquisition to getting green clearances, Environment Minister Jairam Ramesh said today.Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 2:18 pm NHAI to raise Rs 7455cr; WB, ADB to pay lessFollowing Centre's ambitious target of building 20 km of highway per day, the highways ministry has planned to improve 7,305 kms of national highways (NH) during the next financial year with investment of Rs 25,050 crore.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 2:10 pm 'B'lore-Delhi is a global address'Romi Malhotra, CEO of Linkage India, a global leadership development organisation, agrees: Global enterprises are conscious about positioning their leadership in high-growth markets and closer to customers.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 2:08 pm Pathan, Lumb power Rajasthan’s hat-trick of winsAhmedabad: Yusuf Pathan and Michael Lumb made light work of the opposition bowlers with their power hitting as Rajasthan Royals thrashed Deccan Chargers by eight wickets to register their third consecutive win in the Indian Premier League on Friday. Chasing a modest 149, Pathan smashed the Chargers’ bowlers ball to all parts of the ground during his 34-ball 73-run unbeaten innings, while Lumb produced the early damage with a brisk 45 off 32 balls to power Rajasthan to 151 in 15.overs. Pathan’s big hitting skills were in full display Friday evening as he hit as many as eight sixes and two fours while Lumb decorated his innings with seven boundaries.  Rajasthan Royals’ Yusuf Pathan celebrates with his teammate Fazal after victory over Deccan Chargers during the Indian Premier League-3 match at the Sardar Patel Stadium in Ahmedabad on Friday. Shirish Shete / PTI Photo Pathan was particularly severe on Pragyan Ojha as he hit the left-arm spinner for two fours and three sixes. Naman Ojha gave Lumb the perfect support upfront, scoring 14 runs off 17 balls. With this win, the Royals have moved up to the third spot in the points table with three consecutive wins after a hat-trick of defeats, while Deccan Chargers have dropped to the fourth position. Also See IPL TRPs Keep Soaring (Graphic) Earlier, Rohit Sharma top-scored with a 35-ball 49 while Herschelle Gibbs (25 off 14) and Andrew Symonds (22 of 14) gave him good company with the bat to guide the Chargers to a modest 148 for nine.  Shaun Tait (3/22) and Sumit Narwal (2/35) drew the limelight for Rajasthan in the pace bowling department, while captain Shane Warne rediscovered his old magic, giving away just 15 runs off his fours overs during which he picked up the crucial wicket of Gibbs. Chasing a modest target, Rajasthan openers -- Lumb and Naman -- came out all guns blazing as the left-right combination bright up the team’s 50 in just five overs. Johannesburg-born Englishman Lumb was the aggressive of the two as he hit off-colour R.P. Singh for four consecutive boundaries to notch up 20 runs off the fourth over. Seeing his partner going full burst at the other end, Naman soon joined the party and struck Rohit for a four and six before Pragyan broke the dangerous-looking 39-ball 55-run partnership. Pragyan outwitted his namesake with a flighted delivery and Gilchrist did the rest behind the stumps. ut then came in Pathan, who used his long handle to great affect from the word go and bulldozed the Chargers’ bowlers to celebrate his selection in the Indian squad for the Twenty20 World Cup in style. Lumb, however, was unlucky not to have scored his first IPL half century as he feel to an unnecessary mix-up with Pathan just five runs short of fifty. But that was all Chargers could manage as their bowlers were at the mercy of a murderous Pathan, who drew curtains to the run chase with a six. Earlier, Rohit guided the Chargers innings with two fours and three sixes and gave the bowlers something to defend after the Chargers lost half of its side with less than 100 on the board. Opting to bat, the Chargers had a disastrous start to their innings as they lost their skipper Gilchrist early. Narwal, who replaced Munaf Patel, got the vital wicket in the fourth ball of the innings as Gilchrist went for a big hit over mid-off only to miscue it to Yusuf Pathan at cover. Unperturbed by the loss, Gibbs went about his business from the word go as he dispatched off-spinner Abhishek Jhunjhunwala for two sixes to pile up 16 runs off the second over. Veteran VVS Laxman (10), who came into the match in place of Mohnish Mishra, could not justify his selection as he miscued a pull to Pathan off Tait. In-form Symonds was in ominous mood as he marked his arrival at the crease with three boundaries of Narwal. But Gibbs’ dangerous looking innings, which was studded with two fours and as many sixes, was cut short by a genius Warne. The Rajasthan captain fooled Gibbs with a lovely flighted delivery and Naman Ojha did the rest behind the stumps. As if Gibbs wicket was not enough, Symonds was caught short of the crease by a Jhunjhunwala direct throw as he went for an unnecessary double. In search of big runs, Rohit fell one run short of his fifty in the penultimate over, caught by Michael Lumb off Tait. Scorecard Deccan Chargers Adam Gilchrist C Yusuf Pathan b Sumit Narwal 1 VVS Laxman C Yusuf Pathan b Shaun Tait 10 Herschelle Gibbs ST Naman Ojha b Shane Warne 25 Andrew Symonds run out Abhishek Jhunjhunwala 22 Rohit Sharma C Michael Lumb b Shaun Tait 49 Tirumalsetti Suman b Shaun Tait 9 Venugopal Rao run out Abhishek Jhunjhunwala 2 Chaminda Vaas run out Paras Dogra 8 Rahul Sharma C Abhishek Jhunjhunwala b Sumit Narwal 10 RP Singh notout 1 Pragyan Ojha notout 0 Rajasthan Royals Michael Lumb run out RP Singh 45 Naman Ojha ST Gilchrist b Pragyan Ojha 14 Yusuf Pathan notout 73 Faiz Fazal notout 8 Bowling (Deccan Chargers)
Bowling (Rajasthan Royals)
Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 1:54 pm The penny wise Ever wondered how your maid survives on her earnings? Like a billion others across the world, your maid too manages with less than $2 (around Rs90) a day. How would you eat two meals, educate your children, afford a home, fight emergencies and plan for old age? For her, these are everyday questions to grapple with.  Portfolios of the Poor: Princeton University Press, 282 pages, $29.95 (around Rs1,360). Developing a balance sheet of households’ assets and liabilities, the authors provide evidence of the sophistication with which poor people manage their finances. Portfolios of the Poor is an insightful work on the psychology of the poor. From joining savings clubs to acting as “money guards” for neighbours, the poor employ complex approaches to access capital. The diaries of the poor show that not having enough money is not bad, and that not being able to manage whatever money you have is worse. That makes the poor great finance managers, given that they juggle so much with so little money. They make more on some days, less on others and quite often go penniless on many others. Using real life stories, the authors pay scrupulous attention to last-digit details on how small sums of money are managed creatively. In doing so, they provide quantified evidence of tightly defined economic behaviour over time. Existing data from small anthropological studies and large economic surveys is woefully inadequate in comparison with what Portfolios of the Poor reveals. The authors found interesting similarities in the manner in which the poor apply solutions across countries. The likes of female deposit collector Jyothi, who looks after the small savings of people in the slums of Vijayawada, are found in Dhaka and Cape Town too. Jyothi collects daily savings, at times a few coins per household, from within the community at an effective interest rate of 30%. High rate of interest notwithstanding, the poor obtain the desired amounts at the desired times. Understanding how the poor manage their financial lives can be the foundation on which policies for combating poverty can be developed. There are important lessons for planners who often base their anti-poverty strategies on large surveys that give snapshots of the living conditions of the poor. Rarely, if ever, do such strategies take into account how the poor actually live their lives week by week. No wonder, far from removing poverty, it exacerbates the problem. The authors opine that it is time conversations about fighting poverty are moved away from assumptions and clichés. The boots-on-the-ground evidence collected over a period of six years is not only riveting, but dispels several common notions about the nature of poverty. The fundamental finding that the poor rarely consume every penny of income as soon as it is earned provides evidence that there is more to poverty than meets the eye. Without doubt, it is a must-read book for planners who rarely visit slums but write cheques for the government’s ambitious anti-poverty programmes. The multilayered portfolios of equity and debt need economic instruments that can help the poor expand their options. The fact that the poor don’t live hand-to-mouth is an interesting entry point. Write to lounge@livemint.com Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 1:45 pm The Hindu family war may become legal battleKey members of the family and directors on the board of Kasturi & Sons, who are opposed to the Editor-in-Chief and Publisher of the group publications, N Ram, are considering moving the Company Law Board (CLB) over issues about the running of the group.Source: Business Standard | Front Page Headlines | 26 Mar 2010 | 1:39 pm BP plans petrochem plant, to invest Rs 3,500 croreBritish Petroleum, one of the world's largest energy and petrochemical companies, plans to expand its India operation by setting up a 1 million tonne petrochemical plant for Rs 3,500 crore.Source: Business Standard | Front Page Headlines | 26 Mar 2010 | 1:37 pm Nissan may set up new plant for small carJapan's Nissan Motors may set up a new plant in India to manufacture an entry-level car that it plans to roll out at the Rs 2.5 lakh price point through a joint venture.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 1:27 pm Bangladesh makes fresh plea to Tatas for investmentBangladesh industries minister Dilip Barua on Friday held out the olive branch to the Tata Group saying that the Sheikh Hasina government is willing to restart talks with the Indian conglomerate about reviving its Bangla investment plans.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 1:25 pm Dubai finance chief says debt plan well receivedDUBAI (Reuters) - Dubai's proposed $9.5 billion plan to address its embattled conglomerate Dubai World's debt crisis has been well received, Dubai's finance chief was quoted as saying on Friday.Source: Reuters: Money News | 26 Mar 2010 | 1:22 pm Casuals steal march over formal wearIt seems that the athletic man with flair has stolen a march over the 'Complete Man'. The growth in casual and sportswear is said to be outpacing the formal wear segment, nudging Indian branded apparel makers to design strategies to tap this segment.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 1:21 pm Air India postpones March salary to April 7Air India's cash-flow problem is worsening day-by-day. Now it is even failing to pay salaries in time.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 1:18 pm Core sector grows 4.5% in FebruaryGrowth of the six key infrastructure sectors slowed to 4.5% in February, down from a robust 9.4% in January, forcing economists to doubt the near-term sustainability of a higher growth rate.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 1:13 pm Wills Lifestyle India Fashion Week | Fashion FrenzyNew Delhi: After the first day no-show, the 15th edition of the Wills Lifestyle India Fashion Week (WLIFW) Autumn-Winter 2010, started off with a bang in the capital. Showstoppers Tarun Tahilliani, Ritu Kumar,Rohit Gandhi & Rahul Khanna, Rocky S, Gaurav Gupta and others showcased their collections on day two and three. The Fashion Design Council of India (FDCI) announced that 29th March as the Grand Fashion Day to conclude the 15th edition of Wills Lifestyle India Fashion Week. Designers Little Shilpa, Nida Mahmood, Alpana Neeraj, Atsu Sekhose, Rahul Mishra, Rahul Reddy, Monapali, Swapan and Seema, Ranna Gill, Ritu Beri and JJ Valaya will be showcasing their collections. Day 2: Gaurav Gupta | Crystallised Elements In this collection, Gaurav Gupta explores complex, optical checks and Victorian sculpture prints. Day 3: Vineet Bahl | Feminine aura The line titled ‘Aura’ is chic with a glamorous appeal. He showcases an ornate look with subtle use of chain-mail detail. Ashish, Viral and Vikrant | Folk Hues The collection, titled Virtues, sees the use of Bandhej, seen as the new trend of the season. Rajasthani folk women, decked up in covered, colourful attires were the designers’ inspiration. Amit Aggarwal | Morphe They present a new, graphic vision inspired by the hypnotic beauty of Japanese emblems and the bold patterns of Art Deco. Rohit Gandhi + Rahul Khanna | Shadow Lines The collection attempts to capture the duality of the modern woman through lines and silhouettes, fabrics and cut, style and substance. Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 12:59 pm India-based execs increasingly climb multinational cos' ranksJust this week, two Indian executives have been elevated to the executive management committees of two of the world's biggest companies. And both will be based in India, not in their global headquarters.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 12:56 pm SKS Microfin plans to take IPO route - Economic Times
Source: Business - Google News | 26 Mar 2010 | 12:54 pm 'Our aim is to achieve something audacious'The Indian software industry seems to have hit an air pocket. The Obama administration has been consistently drumming up the spectre of curbing outsourcing to India by American companies and has also been vocal about its efforts to offer tax breaks to companies that will create jobs in the US.Source: India Business News | Business News - Times of India | 26 Mar 2010 | 12:53 pm Private firms cannot issue bonds for infrastructure projects - Hindu Business Line
Source: Business - Google News | 26 Mar 2010 | 12:48 pm Ministry to seek review of service tax on real estate - Hindu Business Line
Source: Business - Google News | 26 Mar 2010 | 12:48 pm Quick Edit | With or without WoodsTiger Woods’ 14-year career as a pro has changed the face of golf. The New York Times recently commented on how Woods has ushered in a new genre of golfers and attracted millions in sponsorships, advertisements and broadcasting. And despite the roaring scandal surrounding him, he remains the world’s highest paid sportsman and its top athlete brand. Golf, like many other sports, is driven by big names. The business of sport is also the business of brand-making, and a Woods or a Sachin Tendulkar can make the difference between an enthusiastic sport and a successful economic model. The Indian Premier League (IPL) is sufficient proof of this. Soon, however, Woods will return to the game he has helped raise to its popularity. What happens to that eminence will depend in large part on the ability of golf to rise above Woods’ personal controversy and find other ambassadors to drive its brand in the future. It is not scandals that change the contours of a game, it’s great ideas like IPL that do. Source: Home - Livemint.com | 26 Mar 2010 | 12:32 pm Universities abroad study India openingMumbai: Foreign universities are responding cautiously to India’s proposed legislation that would make it easier for them to set up full-fledged campuses here. Foreign universities want to expand their presence in India, senior administrators at these universities say, but they don’t expect to immediately build their own campuses even if the law is passed. The proposal was approved by the cabinet last week and is expected to be introduced in Parliament next month. “We are waiting and keeping in touch with companies and the ministry to see how the legislation plays out and what options might emerge,” said Mark Kamlet, provost and senior vice-president at Pittsburgh’s Carnegie Mellon University. The legislation would potentially open a huge market to international educational institutions. But university administrators say the law likely won’t give them enough flexibility in admissions and hiring to set upstand-alone degree programmes.  Big potential: A file photo of students from the Indian Institute of Technology, Delhi, studying in the library of the IIT campus in New Delhi. With at least 490 universities and 20,769 colleges, India has among the largest number of higher education institutions in the world, according to report by the HRD ministry. Sanjit Das/WSJ A similar Bill introduced earlier was blocked by the government’s former Leftist coalition partner. The chances for the Bill succeeding this time are greater because the Left is no longer part of the coalition. “I think if the legislation does pass, our discussions will get fairly serious fairly quickly, and we would be interested in deep cooperation,” Kamlet said. “But we might still find it easier to collaborate.” While India has a huge population and an unmet need for educational institutions, many challenges remain to setting up university campuses, according to Madeleine F. Green, vice-president for International Initiatives at the American Council on Education, a Washington-based group of US colleges and universities. Among those hurdles are quality control, accreditation and regulations, she said. “My research has shown that there is tremendous interest in India and a whole gamut of potential ways to interact, but setting up a campus in India is not what every institute is interested in doing,” Green said, adding that the interest in India is more in research partnerships and cooperation. Earlier this month, Carnegie Mellon signed an agreement with the Punjab government to help start an international university in a new township in the industrial city of Ludhiana. But Carnegie Mellon’s role is limited to advising the university on its computer software and information systems. New York’s Columbia University this week opened its fourth international centre for research and regional collaborations in Mumbai, but it doesn’t plan to have its own campus here.  Brown University, in Providence, Rhode Island, will send a delegation to India soon to explore other opportunities and expand its existing partnerships. University officials say the timing of their visit is coincidental to the Bill’s being passed by the cabinet. “We are interested in talking with the government, we are eager to talk to people in India about the various roles they see for us,” said Matthew Gutmann, vice-president for international affairs at Brown University. During its visit to India, the Brown University delegation is expected to renew its existing student and faculty exchange programmes with St Stephen’s College in Delhi, Gutmann said. American university officials say hurdles remain to recruiting world-class faulty and providing research grants. Officials at top foreign universities say they could establish stand-alone campuses here only if they have the flexibility to pay the competitive salaries needed to attract top faculty and allocate research grants on merit. Indian government regulations restrict almost every aspect of university administration, from tuition fees to salaries to research grants. Yale University is currently in discussions with the ministry of human resource development (HRD), which oversees education, to advice the government on its plans to set up 14 new national universities in the next few years. “We are in discussions to formulate a curriculum on institutional governance, faculty development and other topics,” said George Joseph, assistant secretary for international affairs at Yale University. He added that Yale isn’t considering a stand-alone campus at present. Other countries, including Australia, are also interested in expanding their higher education links with India. Kelly H. Raj, education counsellor for the Australian High Commission, said her country is waiting to see the details of the legislation to assess opportunities. India, with at least 490 universities and 20,769 colleges, has among the largest number of higher education institutions in the world, according to report by the HRD ministry. But the quality is low at many of these academic institutions, critics say, and many graduates’ skills are so poor they are unemployable. Around 160,000 students leave India every year to study abroad, according to the National Knowledge Commission, an advisory group to the prime minister. Thus far, foreign educational institutions have made a foray into India, but their involvement is limited. There are at least 100 foreign educational institutions offering programmes in the country, but most are vocational or technical and run for only a few weeks or months. The Wall Street Journal wsj@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 12:20 pm Lounge Podcast | Of Blaftness and a not so Well Done AbbaNew Delhi: Welcome to the Lounge podcast. Today we have with us the very fun folks from the Chennai-based Blaft Publications. Kaveri Lalchand, Rakesh Khanna and Rashmi Ruth Devadasan tell us about what they’re upto at Blaftness. Next we have our film critic Sanjukta Sharma joining us with her review of Shyam Benegal’s Well Done Abba. Psychologist Gouri Dange, a columnist on our Parenting pages, chats with Lounger Seema Chowdhry on the merits and the demerits of tweens at work. And finally, Chandrahas Choudhury reviews the latest anthology from Penguin— Indian Essentials. The book of essays comes with a spiffy dictionary of (other) things Indian compiled by Jerry Pinto. Our favourite entries are ‘Amul’, ‘Holdalls’, and ‘Bengali Tourist’. That’s all from us this week. Do write to us as feedback@livemint.com. Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 12:17 pm WL Ross may invest in Vijai ElectricalsMumbai: American private equity fund (PE) WL Ross and Co. Llc is in talks with a Hyderabad-based unlisted firm Vijai Electricals Ltd, which makes power and distribution transformers, to invest around Rs400 crore, two people familiar with the development said. WL Ross typically invests in financially distressed firms and makes money by selling its stake after restructuring them. Vijai Electricals has appointed Mumbai-based investment banker IDFC-SSKI Securities Ltd to help it raise funds, one of the two persons familiar with the development said. If the talks lead to a deal, this will be the second such investment in Vijai Electricals after British PE fund 3i Group Plc invested $25.8 million (Rs117 crore today) in the transformer maker in August 2008. Ranjeet Nabha, managing director and chief executive officer of WL Ross India, said in an email reply: “As a policy, we do not comment on market rumours and speculations.”  Graphic: Ahmed Raza Khan / Mint WL Ross has so far invested in two Indian firms—apparel maker OCM India Ltd in October 2006 and low-cost airline SpiceJet Ltd in July 2008. Vijai Electricals will be its third investment in case the deal goes through. In November 2009, rating agency Crisil Ltd had downgraded the 37-year-old company’s loan raising programme and non-convertible debentures to moderate safety (BBB-) from adequate safety (A-). The downgrade reflected a steady build-up of liquidity pressure for Vijai Electricals due to higher working capital requirements, delayed payments from key customers and increase in inventories, the rating agency said. Vijai Electricals, which supplies transformers to power distribution companies, benefited from the government’s attempt during the 10th Plan (2002-07) to bring down the aggregate transmission and distribution, or AT&D, losses of state power distribution companies, said Arun Kumar, research head at Brics Securities Ltd, a Mumbai-based brokerage firm. Under this scheme, known as the accelerated power development and reforms programme, the government gives grants to state power distribution companies that intend to reduce AT&D losses. Transformers are one of the significant components used to distribute power to individual homes. Since these companies sell transformers to state-owned firms, there is always a problem of cash flow due to payment delays, added Kumar, who had earlier headed a team at credit rating agency Standard and Poor’s that worked on a project in 2006 for the Union power ministry and Power Finance Corp. Ltd to devise ways to bring down transmission and commercial losses in urban pockets. Increased working capital requirements have resulted in high utilization of bank credit. This, in turn, has increased the company’s dependence on short-term loans to fund its cash flow mismatches, the rating agency said. A combination of these factors has led to a steep deterioration in the company’s gearing and debt protection parameters. The downgrade also reflects Crisil’s belief that Vijai Electricals’ liquidity and gearing will remain under pressure until the company improves its ability to reduce its debtor days and inventory levels. Vijai Electricals’ net profit dropped to Rs2.6 crore for the fiscal ended 31 March, from Rs64.75 crore in the previous fiscal, despite growth in sales. According to Kumar of Bric Securities, the company can benefit from the government’s new grant of nearly Rs70,000 crore under two new projects to reduce T&D losses of both urban and rural power distribution companies. The power sector has become one of the most attractive spaces for PE and venture capital investors. PE investments in the power sector (in terms of deal value) in the first quarter of calendar year 2010 have already surpassed the total investments made in 2009. Since January this year, PE funds have invested $575 million in six deals in the power sector, compared with 21 power deals worth $532 million in 2009, according to data from Venture Intelligence, a research service focused on PE, and mergers and acquisitions. shraddha.n@livemint.com C.R. Sukumar in Hyderabad contributed to this story. Source: Home - Livemint.com | 26 Mar 2010 | 12:08 pm SKS Microfinance ready to hit the capital marketMumbai / Bangalore: In a sign that the fast growing business of lending to the poor is coming of age, the largest microfinancier in India on Friday sought regulatory approval to raise money from the public and existing investors through an equity issue. SKS Microfinance Ltd plans to raise an undisclosed amount of money through a public issue that will subject it to public scrutiny once the shares are listed. Microfinance institutions, or MFIs, offer tiny loans to those who have been left untouched by commercial banks. Capital has poured into many MFIs in recent years, and SKS’ own roster of investors include venture capital firm Sequoia Capital and Infosys Technologies Ltd founder N.R. Narayana Murthy through Catamaran Management Services Pvt. Ltd, a fund he has promoted. The growing role of profit-seeking investors in the microfinance business has led to heated debates on the role of profits in this business. Microfinance pioneer Muhammad Yunus of Grameen Bank has often spoken out against the commercialization of microfinance. SKS was founded by former McKinsey and Co. consultant Vikram Akula in 1997 as a non-government organization and converted into a non-banking finance company in 2005. The money raised through the share sale will be used to meet future capital requirements as it grow its business, a company release said. Akula, who had diluted its stake 6% by selling shares to a series private equity investors, needs fresh capital to grow its business. At the same time, some of the private equity investors plan to cash out their stakes in the company. Vineet Rai, founder of Intellectual Capital Advisory Services, or Intellecap, an investment bank that serves MFIs, said the SKS public offer is the first such offer by an MFI but not the last, with a pipeline of such public offers. “Any entity, which is first in its breed, industry or section, to go for an IPO (initial public offering) gives signal of coming of age of that industry,” said Viren H. Mehta, director, Ernst and Young India Pvt. Ltd. Mehta said a lot of responsibility is involved in being a public company and the activity is not just about raising capital. In fiscal 2009, MFIs in India added 8.5 million consumers, taking their consumer base to 22.6 million—an increase of 60%. The growth in their loan book was even more spectacular—around 97%—from Rs5,950 crore to Rs11,734 crore. In terms of consumer acquisition, Spandana Sphoorty Financial Ltd recorded the highest growth rate, 104%. Bandhan Financial Services Pvt. Ltd and SKS expanded their consumer base by 91% and 87%, respectively. SKS and Spandana grew their loan books by 214% each and Asmitha Microfin Ltd by 111%. “It is impossible for MFI promoters to keep on diluting their stakes to raise capital. They need to raise fresh equity from the market as it is a cheaper source of long term funds,” Rai said. MFIs borrow from banks and non-banking finance companies at relatively higher rates and lend them to rural borrowers at even higher rates. Rai, who runs a $40 million fund Aavishkaar Goodwell India Microfinance Development Co. Ltd, has invested in quite a few MFIs such Equitas Micro Finance India Pvt. Ltd, Grameen Koota Ltd, Suryoday Microfinance Pvt. Ltd and Bhartiya Samruddhi Finance Ltd. According to the finance ministry, the credit needed for the poor is Rs2.4 trillion, and the available credit is less than one-tenth of around Rs20,000 crore. Two in five Indians do not have a bank account and 81% of villages do not have a bank within a distance of 2km. Once an MFI is able to raise long-term capital from public they will be in a position to bring down their loan rates. According to Rai, the lending rates of MFIs have come down to an average of 29% in 2010 from 40% in 2001. Even though the industry is growing fast, every MFI is not profitable. In fact, one out of three MFI in India made losses in fiscal 2009, says a study of some 230 lenders conducted by ACCESS Development Services, a not-for-profit organization that offers consulting services to MFIs. The study also shows that a higher proportion, 42%, of small microfinance lenders, or those that have a loan portfolio of up to Rs5 crore, posted losses. In fiscal 2009, MFIs recovered 99% of their loans, according to the report, which is way above the recovery of commercial banks. But the scene may change as “unbridled expansion tactics”, and competition in some cases result in lenders offering more loans than borrowers could service, and this, in turn, leads to delinquency, said the ACCESS report. baiju.k@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 12:07 pm Star Plus shells out Rs15 cr for TV rights of My Name is KhanMumbai: Star Plus, the flagship Hindi entertainment channel from Star India Pvt. Ltd, will soon bring Shah Rukh Khan’s latest film My Name is Khan to the small screen. The channel is said to have paid approximately Rs15 crore for the satellite television rights of the film, co-produced by actor Shah Rukh Khan’s company Red Chillies Entertainment Pvt. Ltd and Karan Johar’s Dharma Productions Pvt. Ltd. Anupam Vasudev, executive vice-president (marketing) at Star, confirmed that the channel had acquired television broadcast rights for the film, but he refused to comment on the price paid for the rights. However, according to a senior executive at a rival channel who specializes in buying films for the small screen, Star forked out Rs15 crore for My Name is Khan. Incidentally, Star’s sister company Fox Star Studios had bought the marketing and distribution rights of My Name is Khan, reportedly for Rs100 crore. Vasudev maintained Star Plus expected the film to do well since it was a new and a big-budget release. “Paa (featuring Amitabh Bachchan and Abhishek Bachchan) has delivered 2-2.5 in ratings, which is a reasonably good performance,” he said.  Attracting viewers: A still from the movie My Name is Khan. The TV screening of a big Bollywood film could trigger a surge of 30-40 gross rating points for the channel during the week in which it is aired. Based on his discussions with Star India executives, a media buyer, who requested anonymity, said that the channel was charging Rs3 crore for 300 seconds of airtime, for the title sponsorship of the film. “Ten seconds of advertising inventory around the film is going for as much as Rs10 lakh. If I had that kind of money, why wouldn’t I put it on the Indian Premier League (IPL)?” he asked, referring to the ongoing IPL T20 series that is hawking advertising inventory at a premium. He said the steep tariff on the inventory is unjustified as the film was not a huge commercial success. Meanwhile, Mona Jain, chief operating officer of VivaKi Exchange, the centralized buying unit of French advertising and communications firm Publicis Groupe SA, said the channel could justify the high ad rates if it telecasts the films several times. “The movie will spark off an interest, but there ought to be multiple airings in a single day. Just like when Star Movies got the rights to James Cameron film Titanic and it was shown four times in a day. It makes sense for both the channel and the sponsors associated with it,” she said. To be sure, the race among Hindi entertainment channels for big films has been heating up. Star Plus recently acquired the TV rights to other new films such as Rann, London Dreams, Aladdin and De Dana Dhan. Viacom18 Media Pvt. Ltd’s Hindi channel Colors, meanwhile, won the TV rights to releases such as Kaminey and Kurbaan. The TV screening of a big Bollywood film could trigger a spike of almost 30-40 GRPs (gross rating points) for the channel during the week in which it is aired. That has often helped channels to displace competition in the viewership ranking. In the period from 14-20 March, TAM Media Research Pvt. Ltd’s TV viewership data shows Star on the top with a 24% channel share, Colors at No. 2 with a 23% share and Zee TV in the third place with a 20% share. anushree.m@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 12:07 pm DGH writes to Sebi on Cairn’s announcementThe directorate general of hydrocarbons (DGH) has written to stock markets regulator Securities and Exchange Board of India (Sebi), saying that there are only 2.1 billion barrels of oil equivalent (boe) of approved resources at Cairn India Ltd’s Rajasthan field.  Photo: Bloomberg The India unit of UK-based Cairn Energy Plc had on Tuesday raised estimates of in-place reserves at its Rajasthan field to 4 billion boe from 3.7 billion boe. The company had also lifted its estimates on potential reserves to 6.5 billion boe from 4 billion boe. In a communication dated 26 March to C.B. Bhave, chairman of Sebi, director general of hydrocarbons S.K. Srivastava has stated that resources for the Rajasthan block (RJ-ON-90/1), for which the estimates have been raised, is “2.1 billion boe only”. Mint has reviewed the letter. While Cairn is the operator in the block, state-owned Oil and Natural Gas Corp. Ltd (ONGC) is the licensee and a partner in the field with a 30% stake. The Rajasthan field is the country’s largest onshore petroleum deposit. “According to Sebi guidelines, it is our duty to inform them. Had the operator said certified reserves, we wouldn’t have said anything,” said a DGH official who did not want to be identified due to the sensitive nature of the issue. “Those fields for which the field development plan has been approved by the management committee, which constitutes of representatives from government of India, DGH, operator and the licensee, the resources are 2.1 billion boe,” the official added. Cairn shares had jumped after the forecast of higher output at its Rajasthan field. On Friday, Cairn India shares fell by Rs3.45, or 1.16%, to close at Rs295 on the Bombay Stock Exchange. The exchange’s benchmark Sensex index rose by 85.91 points to end at 17,644.76. “While it (revised reserve estimates) is a very good news from the energy security viewpoint, but as far as I am concerned I will go by DGH certification,” Jitin Prasada, minister of state in the petroleum and natural gas ministry, told Mint. A Cairn India spokesperson on Friday declined comment on the story. “The recovery potential has doubled from 700 million barrels to 1,400 million barrels, with the plateau production increasing from 240,000 bpd (barrels per day) from the earlier approved plateau production of 175,000 bpd,” Rahul Dhir, chief executive of Cairn India had said at the time of the announcement on Tuesday. Production of the waxy crude oil from the Rajasthan field is around 25,000 bpd, which the company expects to ramp up to 125,000 bpd by the second half of this year. utpal.b@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 11:49 am The 1830s railway mania: sole instance of a successful ‘boom’ Odlyzko, however, has found one instance where things were indeed different and investors did make a lot of money, despite dire warnings from the experts. The British railway mania of the 1830s, says Odlyzko, is an exception that was really different.  Illustration: Jayachandran / Mint During the 1830s too there was no dearth of people saying that the huge investment was a mania and that holders of railway stocks would be fleeced. Two prominent economists of the time, John Stuart Mill and John Ramsay McCulloch, warned that most of the lines being built would turn out to be unprofitable. Both of them turned out to be wrong. In the fall of 1845, responding to a rant in The Times newspaper of London about the mania being a mad and dangerous folly, an observer had this rejoinder: “Of the 27 odd companies some have succeeded to the extent of more than 150 per cent advance on their original value; others 100, 80, 50, 30 per cent; and all, so far as I know, are paying a fair percentage, or in the immediate prospect of doing so, on the capital invested. These, therefore, are not speculations, but triumphant successes; and the absorption of so much capital in them is no more to be regretted than the outlay in the dwelling-houses of London, which brings in its return in rent.” A more weighty opinion comes from The Economist, which wrote in early 1845: “The origin of the very favourable reception with which railways have met at this time, is no doubt to be traced to the fact that, of all the schemes which originated in the speculative period of 1835-36, they were the only ones which stood the test of the succeeding pressure, without any disastrous losses.” But the paper doesn’t really tell us why the “Great Railway Mania” of the 1830s was different. Could it be merely the exception that proves the rule? But perhaps the explanation is that, as Odlyzko says, “Infrastructure construction funded by equity is radically different from the much more frequent, far more dramatic and attention grabbing financial crises that are associated with large accumulations of debt, typically for consumption.” Source: Home - Livemint.com | 26 Mar 2010 | 11:34 am On a positive journeyEight years ago, when I had to photograph HIV-infected persons as a photojournalist, it was invariably with their faces turned away or veiled. Seen against this context, the six months that I spent travelling across the country to document those battling the virus, made me conscious of a gradual, though definite, change in attitude. All the subjects agreed to be photographed. Many were even confident and enthusiastic. Some were shy and reticent. But they all wanted to tell their story. Click here to view a slideshow of portraits that break the stereotypical image of being HIV positive Over the years, the perception of HIV/AIDS that dominated the public mind was engraved with images of despair and hopelessness. Magazines and public service campaigns reinforced this image. So when the Indian Network for People Living with HIV/AIDS (INP+), an organization based in Chennai, approached me for this project in early 2009, I took it up as a unique opportunity to break the stereotype. The organization has been working largely in rural districts, addressing issues such as social discrimination and providing access to medication. It has been working with technical assistance from Family Health International (FHI) and funding support from Avahan, the India AIDS initiative of the Bill and Melinda Gates Foundation. Several other domestic and international organizations—NGOs and government agencies—have been working tirelessly at the grass-roots level on similar lines. Through the last decade, HIV has cut across all categories of employment, with cases being reported by individuals in disconnected professions—from weaving factories in Maharashtra to sugar-cane farms in Tamil Nadu. What has changed with time is the acceptance of these infected people. Many have now come out in the open with their HIV status, and families, employers and colleagues have accepted them as one of their own. There is far more work to be done, however. The impression of HIV/AIDS among the general public largely lacks clarity and, worse, is coloured by several wrong concepts. This photo documentation project is part of my effort to dispel such notions. Case studies and personal stories display revealing insights into the lives of individuals, families and communities who are affected by HIV/AIDS, reflecting the issues and emotions which confront them in the daily realities of living or working with the disease. Shaju John’s photographs have appeared in Positive Journey —The Triumphant Spirit: People Living with HIV/AIDS, a book published by INP+ for its outreach efforts. John previously worked with The Hindu for 10 years and plans to exhibit these photographs across the country. Photographs by Shaju John feedback@livemint.com Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 11:30 am Reinventing Dell by revisiting strategies It’s become the norm for flaks to organize “exclusive” briefings for visiting chief executive officers with senior hacks. The good thing about the meeting with Dell was that only a few editors were invited. You realize the extent of the media boom only when you attend a lunch or dinner for editors with Ratan Tata and discover that there are around a hundred editors—including a couple from Mint—who have been invited. The bad thing was that it lasted 29 minutes—yes, timed it—which meant that some of the editors present in the room (this writer not included) and who were slow on the draw didn’t get to pose the man any questions at all.  Illustration: Jayachandran / Mint Interestingly, Dell doesn’t seem to believe in the netbook revolution although this was responsible for Acer all but catching up with Dell (the current No. 2) in terms of units sold last year. Still, Dell said that this year, notebooks were selling more than netbooks, and if that’s true for the large computer makers, it would seem to suggest that netbooks—I must confess to having acquired one, an Acer—were a passing phase. He did make the requisite noise about smartphones, but didn’t really say anything about the when and the where. That’s another revolution in India, and one that is being at once both tapped and fuelled by unlikely companies—Indian-born firms such as Micromax Informatics Ltd. That, though, is probably subject for another Acute Angle. PS: Before I set out to meet Dell, I did what I usually do—looked up Google News. While I did search for Michael Dell, all the initial results were for his brother Adam. Why am I not surprised? acuteangle@livemint.com Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 11:29 am Murali, Ravi plan to push for corporate governance normsChennai: The internal tussle in the family that publishes The Hindu shows no signs of abating, with two family members telling Mint that they plan to push for the retirement of the newspaper’s editor-in-chief N. Ram and escalate some matters to the Company Law Board. In telephone conversations, N. Murali, who has recently been re-designated as senior managing director, and N. Ravi, who was supposed to take over as editor-in-chief of the group, said they would begin to push for corporate governance norms in the firm. Murali said there are three issues that he would focus on in the immediate future. One would be retirement norms for family member directors and, therefore, the imminent retirement of Ram “as agreed by him in September 2009” and implementation of the succession framework as decided upon by board members earlier. The succession plan included N. Ravi taking over as editor-in-chief after Ram’s retirement and Malini Parthasarathy taking over as editor of The Hindu.  Fighting for rights: Senior managing director N. Murali says he would focus on retirement rules for family member directors, entry norms for the younger generation and corporate governance issues for the firm. Arjoon Manohar / Mint “I have been looking after all non-editorial areas of the company over many years and now my substantial powers and responsibilities have been purportedly removed. And I have been given the position of senior managing director, which is virtually a dummy position,” said Murali. “Therefore, I will fight for my powers, including considering the option of going to the Company Law Board.” Events came to a head following an article published in The Indian Express on Thursday that spoke about an internal tussle in the family due to Ram’s unwillingness to retire this year. Ram has threatened to initiate defamatory proceedings against the senior editors and executives of The Indian Express. It is unclear if he has initiated the proceedings, yet. An email questionnaire sent to Ram was unanswered till late Friday evening. “Discussions on corporate governance have been on for over two years now,” said Ravi. “But nothing has moved so far. But now, it has gone out of hand and it is time to put it (corporate governance norms) in place.” According to Ravi, he, along with Murali, had prepared a document that outlined broad corporate governance norms and circulated it among the board members on 18 February and the details were yet to be filled in. He said other board members “wanted time” to study the proposals. vidhya.s@livemint.com Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 11:27 am The Week in Review for 26 March 2010 New Delhi: Bharti is now close to a deal with Kuwaiti telecom company Zain. On Wednesday, Zain’s board approved the sale of its assets in Africa to Bharti for about $9 billion. But Bharti will also taking be taking on $1.7 billion worth of debt from Zain, bringing the total value of the deal to $10.7 billion. Zain’s decision on Wednesday came soon after Bharti announced it had tied up $8.3 billion in financing for the acquisition. ICICI Bank got a green light from Singapore’s regulators to begin retail operations in that country. The approval from the Monetary Authority of Singapore allows ICICI to open branches, take deposits and give out loans like a local bank. As part of a 2005 agreement, India and Singapore agreed to open up their financial sectors to each other. In 2008, SBI got approval to start operations in Singapore. And India has already allowed Singapore’s DBS to open more branches locally. The UB Group is going to sell off its holdings in Aventis Pharma. This week the company said it would offload the 10.27% stake it owns for about Rs414 crore. The stake will be picked up by a subsidiary of French company Sanofi-Aventis. Piramal Healthcare has bought the marketing rights to Cipla’s emergency contraceptive, the i-pill. The company says it has spent Rs95 crore to buy the brand. Sales of the i-pill reached Rs30 crore over the last one year. Prime Minister Manmohan Singh called for spending on infrastructure to double. He said India would have to invest about $1 trillion during the five years up to 2017. Singh added that the doubling of infrastructure spending was necessary for the country to reach its annual growth target of 10%. India plans to invest $500 billion on infrastructure in the five years to 2012. Starting sometime after June, passengers at Delhi airport are likely to pay higher user fees. That’s because the modernization programme that the user fees is helping to fund, is running higher than expected costs. On Thursday the board of the DIAL consortium that’s upgrading the airport set the new cost of the modernization at Rs12,700 crore. It’s earlier estimate was just under Rs9,000 crore. Jet Airways says it’s going to lease out three of its Boeing 777s to help reduce its expenses. It will lease the aircraft to Thai Airways for a three-year period. The airline has already leased out four other Boeing 777s to Turkish Airlines. Indian Oil Corporation says it will spend around Rs2,000 crore on wind and solar power. Its investment will buy it 200MW of wind power and 50MW of solar power. India currently generates about 15,400MW of power through renewable sources. After a 24-hour delay over a fire permit, the Wills Lifestyle Fashion Week got off to a blazing start on Thursday, with designers including Gaurav Gupta and Ritu Kumar showcasing their collections. Later, organizers also announced the show would be continue into Monday to make up for the delayed start. Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 11:11 am Rail authority to form JV for Mumbai plotBangalore: The Rail Land Development Authority (RLDA) is likely to form a joint venture (JV) for its plot of land near the Bandra-Kurla Complex (BKC), a business district in Mumbai, following a consultation with potential bidders, a top official said. The estimated reserve price for the land auction is Rs4,000 crore. RLDA, which had earlier failed to lease the 45,300 sq. m plot for an 80-year period, met 28 developers, including DLF Ltd, Unitech Ltd, Emaar MGF Land Ltd and DB Realty Ltd on Friday. Most of the developers at the meeting pitched for a JV with a revenue-sharing model between RLDA and the successful bidder, said A.K. Gupta, general manager (projects) at RLDA. The authority hopes to float the bids soon after it designs the structure of the venture, Gupta said, without specifying a deadline. The auction was originally planned for March. The attempt to get feedback from potential bidders before the auction comes in the backdrop of last year’s liquidity crunch and a failed land auction at BKC earlier this month by another entity due to steep prices, say property consultants. “The JV model will work well for developers because they don’t have to put in high capital investment initially and can put in money in phases,” said Param Desai, a research analyst with Angel Broking Ltd. The revenue-sharing system will also allow for the profits to be distributed between the two parties, he said. RLDA was constituted in 2006 to develop vacant railway land for commercial use. Gupta said the idea to informally meet the developers was not how most government organizations worked. “We have always followed a unilateral structure for bids, which was one-sided. But now we think it’s important to involve the other side and incorporate their suggestions too,” said Gupta. RLDA, which is looking to sell land in Kolkata, Chennai, Aurangabad and Jamanagar, is holding similar sessions with potential bidders for those plots as well. A Mumbai developer, who was present at the Friday meeting with RLDA, said the fact that a part of the land is embroiled in litigation is a bit of a dampener. “If the land title is clear and the joint venture model is reasonable, we will bid for it,” he said on condition of anonymity. The previous big-ticket land auction was by the Mumbai Metropolitan Region Development Authority on 3 March, when not a single bid was submitted for a BKC plot priced at Rs3 lakh per sq. m. madhurima.n@livemint.com Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 11:07 am Power Fin sells bonds worth Rs1,500 crMumbai: Power Finance Corp. Ltd, the state-owned lender to power projects, sold Rs14.7 billion of 8.95% bonds, according to two people familiar with the matter. The bonds were sold in five-, 10- and 15-year strips by a group of 18 underwriters, the people said, asking that they not be named as the details are private. — Bloomberg Axis Bank sells $350 mn of 5.5-year 5.25% bonds Mumbai: Axis Bank Ltd on Friday priced its $350 million bond issue at 275 basis point over the five-year US treasury paper. The five-and-a-half year bond issue is part of the bank’s existing €2 billion medium-term note programme. “The proceeds of the bond issue will be used to meet the funding needs of the bank’s three overseas branches and also for Indian purpose,’’ said an Axis Bank official, who did not want to be named as he is not the official spokesperson. Though the original deal size was $300 million, the transaction was hiked to $350 million to accommodate additional investor demand, the bank said. The deal received $1.4 billion in orders, with Asian investors taking 70% of the issue and Europe accounting for the rest. — Anita Bhoir and Reuters Currency futures set to return to BSE Mumbai: The Bombay Stock Exchange (BSE) is set to commence trading in currency derivatives again, a senior official at the exchange said on Friday. He declined to be named because a public announcement is yet to be made. BSE will use the United Stock Exchange, which on Friday received approval from capital markets regulator Securities and Exchange Board of India to start operations. This will be the second attempt by BSE to break into the currency derivatives segment. It had earlier stopped trading in the segment after volumes dried up following its first launch in October 2008. — N. Sundaresha Subramanian GSPC to sell 448 million shares in IPO Mumbai: Gujarat State Petroleum Corp. Ltd (GSPC) plans to sell 448 million shares in an initial public offering (IPO), according to a share sale document filed with the capital markets regulator. — Bloomberg Nacil raises Rs700 crore selling 9.13% bonds Mumbai: National Aviation Co. of India Ltd, the owner of national carrier Air India, has raised Rs700 crore by selling 10-year, 9.13% bonds. — Bloomberg Source: LatestNews-Home - Livemint.com | 26 Mar 2010 | 10:43 am Govt seeks lifting of ban on Lafarge’s limestone mining New Delhi: The Union government on Friday made a strong plea in the Supreme Court for lifting a ban on mining of limestone by Lafarge Umiam Mining Pvt. Ltd (LUMPL) in Meghalaya, citing international commitments and diplomatic relations with Bangladesh.  Graphic by Ahmed Raza Khan; photo by Ramesh Pathania / Mint The apex court bench headed by Chief Justice K.G. Balakrishnan, however, refused to provide immediate relief to the cement company and posted the matter for hearing on Monday. Meghalaya in north-east India borders Bangladesh. Justice S.H. Kapadia said gross irregularities had been committed by the company and the court could not allow mining without a detailed hearing. International commitments do not mean the law of the land can be violated, the bench said. The Supreme Court on 5 February, while hearing a petition filed by 21 local tribals and the Shella Action Committee, a non-governmental organization, had stayed the mining of limestone by Lafarge in Meghalaya. The petition claimed Lafarge had obtained an environmental clearance by falsely declaring forest areas as wasteland and non-forest areas. It also alleged that the company had illegally transferred tribal land protected under the sixth schedule of the Constitution to itself and mortgaged it in favour of foreign banks to secure a loan of $153 million (around Rs693 crore today). Attorney general G.E. Vahanvati, appearing for the government, said the apex court order stopping limestone supply to the cement plant in Bangladesh “ is causing a huge international problem” as India had in 2001 guaranteed uninterrupted supply of limestone to Bangladesh. The stoppage of limestone supply has led to a 15% fall in cement production in Bangladesh and is a severe setback to its housing projects. Lafarge is the largest listed company in Bangladesh, he added. Harish Salve, amicus curiae (adviser to the court) in the matter, argued that earnings from mining could be used to establish a trust to be used for the welfare of the tribals. If Lafarge comes with this kind of proposal, the apex court can consider lifting the stay on mining, said Salve. LUMPL is a 100% subsidiary of Lafarge Surma Cement Ltd of Bangladesh, which operates a 1.2 million tonnes per annum cement plant at Chhatak, Bangladesh. The plant is wholly dependent on limestone extracted from the East Khasi Hills in Meghalaya. manish.r@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 10:33 am Interbank transaction fee cut by 20% to 80 paise Mumbai: National Payments Corp. of India (NPCI), which operates the national financial switch (NFS), on Friday cut the interbank transaction fee by 20% to 80 paise, according to a person familiar with the development.  Reduced payment: NPCI has reduced the rate in deference to banks’ demands and plans to make deeper cuts later. Bloomberg The move, which will apply to all retail transactions between banks, is expected to bring some relief to the lenders. NPCI has reduced the rate in deference to banks’ demands and plans to make deeper cuts later when retail payments will be enabled to take effect 24x7, said the person mentioned earlier. He declined to be named because he is not authorized to speak to the media. The 24x7 facility is likely to start in a year’s time, he said. NFS was earlier operated by the Institute for Development and Research in Banking Technology (IDRBT), a subsidiary of the Reserve Bank of India (RBI). It was later transferred to NPCI, which was floated by a consortium of 10 domestic and foreign banks in December 2009. The NFS facility is currently used by 49,500 ATMs (automated teller machines) of 37 banks, which average around 1.6 million transactions a day. Initially, IDRBT charged Rs2 per interbank transaction, but this was waived by RBI in December 2007 to reduce ATM usage costs to banks and subsequently to customers. However, NPCI re-introduced a Re1 charge beginning January, after it took over NFS. Customers can currently withdraw up to Rs10,000 a month at ATMs of any bank free of cost up to five times a month. Online transactions are free. Even at Re1, though, the interbank transaction fee is lower than what other service providers, such as Mastercard, Visa and Cashnet, charge banks. Though these providers do not disclose their fees, banking industry experts estimate it to be at least Rs2.50. anup.r@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 10:26 am Brace for higher car budgetsThe implementation of a new set of vehicular emission norms from April 1 is set to increase the cost of ownership of a car in the country significantly. Automobile companies, which have already re-scheduled their production to meet the norms, will increase prices by 1-1.5 per cent for petrol and 3-3.5 per cent for diesel vehicles, reports HT Correspondent. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:42 am AI defers March salary to April 7Air India has intimated to its employees that they would get their March salary on April 7, instead of the last day of March due to year-end financial commitments. As per law, companies can pay wages till 10th of a month. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:40 am FDI approval: More powers for FinMinThe finance ministry can now approve foreign direct investment proposals up to Rs 1, 200 crore and only bigger proposals will have to go to the Cabinet Committee on Economic Affairs, reports HT Correspondent. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:39 am US Growth in Q4 Revised down to 5.6%The burst of energy the economy showed at the end of last year is not likely to be repeated anytime soon. The Commerce Department said the economy grew at a 5.6 per cent annual pace in the fourth quarter of 2009 in its third and final estimate of economic activity for the period. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:37 am Diamond sparkles as gold risesDiamond has started to profit at the cost of high gold prices. As gold prices hover between Rs 16,000 and 18,000 per 10 grams, customers of the yellow metal have started switching loyalty in search of value and status symbol, according to dealers, reports Lalatendu Mishra. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:35 am Greece gets deal, euro upA euro zone and IMF safety net extended to debt-laden Greece boosted the euro and commodities on Friday but broader market reaction was muted as longer-term worries about fiscally vulnerable European economies persisted. Source: HindustanTimes.com - Top Business News Headlines | 26 Mar 2010 | 9:31 am Opportunity in infrastructure sector; banking well positionedOmprakash S. Kuckian, fund manager, Reliance Capital Asset Management Ltd, manages Reliance Regular Savings Fund (Balanced) Growth which won the Morningstar moderate allocation award. He talks about the fund’s strategy. Edited excerpts:  Graphics: Ahmed Raza Khan / Mint What helped you emerge on top? Practical asset allocation and stock selection were key in achieving the results. This fund seeks the best of both worlds by investing in both equities and fixed income instruments. It focuses on reducing volatility of returns by increasing/decreasing equity exposure based on the market outlook and using a core debt portfolio to do the rebalancing. Also, it brings the twin benefits of growth from equity markets by investing in large- and mid-cap stocks and steady income from debt markets. The overall fund strategy and investment philosophy along with the right portfolio mix has enabled the fund to be a top performer. How did you handle the period between January and April 2009? Our strategy is to invest in well-managed, high-quality large- and mid-cap stocks with attractive valuations and the potential to grow in the long term. Appropriate portfolio mix helped us. What are the sectors that look promising in the mid-cap space? Indian infrastructure is seen as an excellent wealth creation opportunity. Banking is well-positioned, but we will take a call after the credit policy. With the interest rate cycle beginning to harden do you think equities will begin underperforming? We are bullish on the Indian economy and well-managed Indian companies from a medium- to long-term perspective. We are less concerned about periodic changes in the interest rate cycle, though we keep a close watch. feedback@livemint.com Source: Home - Livemint.com | 26 Mar 2010 | 9:17 am SPECIAL REPORT - Escape from Wall StreetNEW YORK (Reuters) - UBS adviser Chuck Huebner knew he was done with big brokerages when some supervisors questioned a stock he had purchased for one of his clients. The offending equity? Berkshire Hathaway.Source: Reuters: Money News | 26 Mar 2010 | 6:35 am Web Exclusive | Top 10 global mobile telecom firmsChina Mobile  Click here to read more Vodafone Group  Click here to read more Telefónica, S.A.  Click here to read more América Móvil  Click here to read more Telenor Group  Click here to read more Deutsche Telekom AG  Deutsche Telekom was formed in 1996 as the former state-owned monopoly Deutsche Bundespost was privatized. As of June 2008, the German government still holds a 15% stake in company stock directly, and another 17% through the government bank KfW. Click here to read more China Unicom  China Unicom (BVI) Limited effectively holds 40.92% of the company and China Netcom Group (BVI) Limited holds 29.49, while the remainder is traded on the Shanghai, Hong Kong and the New York stock exchanges. Both majority shareholders are state controlled enterprises. Click here to read more TeliaSonera AB  Click here to read more France Télécom S.A.  Click here to read more Bharti Airtel  Click here to read more Source: Tech News - Livemint.com | 26 Mar 2010 | 6:03 am Sony Ericsson launches Xperia X10 and Vivaz in IndiaNew Delhi: Handset maker Sony Ericson launched a new portfolio of high-end mobile phones on 26 March priced between Rs25,695 and Rs35,795 in India, and aims to garner a considerable market share in the smartphone segment. Besides, the handset maker has roped in actor Kareena Kapoor as the brand ambassador for the company. The handset maker has launched five devices--Xperia X10, Xperia X10 mini, Xperia X10 Mini Pro, Vivaz and Vivaz Pro, all of which are above the Rs 10,000 category. “The new portfolio will take communication entertainment to the next level. Beside the five devices that we have launched today, we will launch devices in the low-end sub-Rs 5,000 handsets as well,” Sony Ericsson Corporate Vice- President and Head of Asia Pacific region Hirokazu Ishizuka said. With the launch, Sony Ericsson plans to corner a considerable market share in the high-end mobile market segment which is currently dominated by Nokia, Blackberry and Apple, he added. Besides, on the content side, Sony Ericsson has partnered with regional and local content and application providers such as MTV India, UTV, Shemaroo, Electronics Art, Indiagames and Disney among others to deliver entertainment content. With the new brand ambassador, Sony Ericsson will roll out its marketing campaign, which will be focussed on digital and social networks. “The proliferation of social and digital media is changing the consumer experience with mobile phones. Social media will play an important role in how we engage with our consumers here in India.” “We recognise the critical need to maintain consumer touch points and will leverage all digital and social media platforms to engage with consumers,” he added. Source: Tech News - Livemint.com | 26 Mar 2010 | 5:27 am Toyota stopping output in UK, France for 9 daysTokyo: Toyota said on 26 March it is stopping production at its factories in France and Britain for a total of nine days amid weak demand that the company partly attributed to its recent recall woes. The world’s No. 1 automaker will suspend output at it plant in France for four days starting 6 April, said spokeswoman Ririko Takeuchi. Toyota will also stop production at its two factories in Britain for five working days sometime in May. “In France, we’re reviewing production because of the impact of recall problems,” Takeuchi said. The closures in Britain were part of previous plans, she said, but also due to sluggish car sales in Europe. In early June, Toyota also plans to halt one of its two assembly lines at its Burnaston plant in Britain for another five working days, Takeuchi said. The stoppages come after Toyota recalled 8.5 million vehicles globally over braking problems in its Prius hybrid, sticky gas pedals and pedals that can get stuck under floor mats. Earlier this month, Toyota launched a slew of incentives to lure buyers back after its February US sales fell 9%. Source: World Business - Livemint.com | 26 Mar 2010 | 4:32 am Renault-Nissan, Daimler to take mutual stakes: mediaTokyo: Partners Renault SA and Nissan Motor Co are reportedly in the final stages of talks with Daimler AG to obtain symbolic stakes in each other as they look to share technology amid intensifying competition. The Nikkei business daily reported on Friday that Nissan, which is Japan’s third-biggest automaker and is held 44.3% by Renault, was set to take a stake of 1 to 2% in Daimler. Negotiators are considering stock swaps or other arrangements that limit the need to raise fresh funds, it said. All three declined to confirm the reports, which came a day after the FT said Renault and Daimler were close to agreeing a strategic partnership that would include a swap of small stakes. The paper quoted one unidentified person as saying the “symbolic” stake could be around 3%. Renault-Nissan chief Carlos Ghosn has said he is open to a third partner for the 11-year-old alliance. Renault’s board will meet on 6 April to discuss the partnership with Daimler, Le Figaro newspaper reported on Friday, adding that the deal would be announced to shareholders at the carmakers’ annual meetings later in April. Carmakers are on the hunt to cut costs by building scale and spreading the load of heavy investments in new technologies such as hybrid and electric vehicles over large numbers of cars. Renault and Daimler, maker of Mercedes cars, have made no secret of being in talks about cooperating to cut costs, pool technology resources and build scale as the crisis-hit industry tries to become more efficient. Both companies have said they were talking with a wide range of makers. Analysts said a partnership among the three to seek operational synergies could be positive. “It could set the stage for the expanded supply of electric vehicles or batteries (by Nissan) to Daimler,” JPMorgan Securities analyst Kohei Takahashi wrote in a note. “However, given the failure of numerous past alliances and mergers to meet their stated targets, we caution against excessive expectations for sharp cost reductions through parts sharing until more details become available,” he added. Small Gains Nissan shares rose 0.9% to ¥775 by early afternoon, roughly in ine with Tokyo’s transport sector index. “I personally think there aren’t a lot of merits for Nissan,” said Hiroaki Osakabe, a fund manager at Chibagin Asset Management. “Just about the only merit I can see is that it might help make parts procurement less expensive and maybe open some routes into Europe. But overall the gains for Nissan look rather small, and I think the stock price is reflecting this view.” Analysts also said a deal could fall through, with many citing widespread views that Renault-Nissan’s Ghosn was pushing for the equity deal. “He’s (Ghosn) not into living together, he’s into getting married. And maybe Daimler is interested in only getting engaged,” said CLSA Asia-Pacific Markets analyst Christopher Richter. He added that operationally there could be advantages on both sides, with Nissan-Renault possibly supplying electric vehicle technology and Daimler providing big diesel engines. “One nice thing with this alliance is that nobody would be stepping on anybody’s toes,” Richter said. The auto industry is replete with capital alliances that have floundered or are yielding few or no synergies. Daimler itself has had numerous failures, with Chrysler, Mitsubishi Motors and Hyundai Motor. Mitsubishi ended months of speculation earlier in March by announcing with France’s PSA Peugeot Citroen that the two had decided to forego an equity tie-up for now. Small equity holdings within the industry are also not uncommon: Suzuki Motor and Subaru-maker Fuji Heavy Industries hold a few% in each other, while Toyota Motor owns 4% of Yamaha Motor. Meanwhile, carmakers have also aggressively sought operational tie-ups without an equity relationship. Sources have said Japan’s Mazda Motor is discussing the possibility of asking Toyota for help in hybrids, though Ford Motor is Mazda’s top shareholder with 11%. The Nikkei reported on Friday that Mazda planned to introduce a mid-size hybrid vehicle by 2013 based on core components supplied by Toyota. Source: World Business - Livemint.com | 26 Mar 2010 | 2:24 am
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