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RIL acquires majority stake in Infotel Broadband: SourcesReliance Industries ahs acquired a majority stake in Infotel Broadband, reports CNBCTV18 quoting sources.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 9:07 am Jobs booming in India: AntalA regular survey of hiring and firing trends around the world has found that not only have recruitment levels in India increased since the beginning of the year, they are now among the highest in the world.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 8:11 am Govt should challenge TDR judgment: AckrutiAround 35% of Ackruti City\'s portfolio comes from TDR through slum development. Speaking about the the judgment, Vyomesh Shah, MD of Ackruti City said now the developers will have to buy TDRs from a redeveloper.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 8:00 am Tata Metaliks eyes to increase capacity utilisationSubhra Sengupta, CFO, Tata Metaliks said he expects to increase capacity utilisation of 80%. \"We will try to sustain EBITDA margins at 10%,\" he said.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 6:34 am Cement prices fall Rs 1520/ bag in South IndiaCement prices fall Rs 1520/ bag in South IndiaSource: Moneycontrol Top Headlines | 11 Jun 2010 | 6:28 am Eicher JV to invest Rs 290 crore to raise capacityVE COMMERCIAL Vehicles, the joint venture between India\'s Eicher Motors and Sweden\'s Volvo, said it will invest Rs 290 crore to raise capacity by 85,000 engines per year from 2012.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 6:21 am RIL makes 6th oil discoveryReliance Industries announced its sixth oil discovery in exploratory block CBONN2003/1 (CB 10 AB), awarded under the NELPV round of exploration biddingSource: Moneycontrol Top Headlines | 11 Jun 2010 | 6:17 am HC dismissal too boost TDRs\' demand by 50%: DB RealtyShahid Balwa Managing Director of Mumbaibased realestate developer DB Realty said the demand of TDRs was expected to increase by 50% in real terms. He didnt see big rise in prices and said that they would remain rangebound.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 5:24 am Nestle: Redefining corporate social responsibility conceptNestles business principles incorporate compliance, sustainability and creating shared value. They look at it differently from the way companies look at corporate social responsibility.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 4:51 am HP price cut to help MphasiS get more businessMphasiS\' pricing was recently renegotiated with HP from costplus basis to ratecard basis. \"There is nothing unusual about semiannual price cut from HP,\" said its CEO and Director, Ganesh Ayyar. It would, in fact, help the company in getting larger business from HP, he added.Source: Moneycontrol Top Headlines | 11 Jun 2010 | 4:43 am Kalanithi Maran to buy 37% stake in SpiceJet - Economic Times
Source: Business - Google News | 11 Jun 2010 | 4:13 am India broadband auction throws up surprise winner - Economic Times
Source: Business - Google News | 11 Jun 2010 | 3:57 am Reliance buys majority stake in Infotel Broadband: Reports - Economic Times
Source: Business - Google News | 11 Jun 2010 | 3:57 am Vodafone: Broadband bids beyond rational levelsVodafone, which had participated in the auction, did not win spectrum in any of the telecom zones.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 3:41 am Steel Authority of India appoints new chairmanThe government has appointed Chandra Shekhar Verma as the chairman following the retirement of SK Roongta on May 31.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 3:39 am Broadband spectrum auction endsAt the latest available bid prices for broadband spectrum, combined revenue for the government has crossed Rs1 trillion, about three times its initial estimates.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 3:36 am Reliance Industries in talks to buy InfotelUnlisted Infotel Broadband Services is the only firm to win Indian broadband spectrum in all 22 zones in an auction that ended on Friday.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 3:36 am Syria bans import of 'substandard' Indian meatSyria has said it banned import of meat from India as its quality was not up to the global standards.Source: India Business News | Business News - Times of India | 11 Jun 2010 | 3:35 am Sensex gains 150 pts RIL BHEL ICICI Bk HDFC Bk lead - Moneycontrol.com
Source: Business - Google News | 11 Jun 2010 | 3:31 am FOCUS - Steel trade rely on bourses to manage price riskMUMBAI (Reuters) - Increasing volatility in steel prices has prompted smaller makers as well as consumers of the alloy to resort to hedging their price risk on the domestic commodities bourse, company and exchange officials say.Source: Reuters: Money News | 11 Jun 2010 | 3:22 am April factory output soars; inflation eyed - Moneycontrol.com
Source: Business - Google News | 11 Jun 2010 | 3:20 am Broadband spectrum auction ends, say sourcesNew Delhi/Mumbai: Privately-held Infotel Broadband Services unexpectedly emerged as the only firm to win nationwide licences to offer broadband in a booming market. On Friday, Reliance Industries has bought a majority stake in Infotel Broadband Services, CNBC-TV 18 said, citing unnamed sources. Infotel is owned by the son of Mahendra Nahata, managing director of Himachal Futuristic Communications Ltd (HFCL) and is unconnected with HFCL, Nahata told Reuters. Download a PDF of the latest provisional results US chipmaker Qualcomm and India’s biggest mobile operator Bharti Airtel also won wireless broadband spectrum in some zones. New Delhi-based Infotel won spectrum in all 22 zones and will pay Rs12,848 crore ($2.75 billion). The broadband radio airwaves auction, along with the third-generation airwaves auction is one of the biggest such spectrum auctions globally in recent years. Vodafone’s India unit, Reliance Communications and Idea Cellular, three of the country’s biggest cellular operators, did not win broadband spectrum in any of the zones in an auction that, like last month’s 3G auction, saw bids that exceeded expectations. India will earn Rs38,540 crore from selling three all-India licences to six private sector operators who participated in the auction, including Aircel, plus two government carriers. Together, revenue from the two auctions will touch Rs1.06 trillion ($22.7 billion), about three times New Dehli’s initial estimates — a welcome windfall for a deficit-strapped government, although it puts pressure on telecoms firms. To fund its fiscal deficit, projected at 5.5% of 2010-11 GDP, the government is due to borrow a record Rs4.57 trillion ($97 billion) in the year. But it had assumed revenue of Rs35,000 crore from the spectrum auctions while preparing estimates and some analysts have said the bonanza could cut the deficit to 4.5%, reducing market borrowings. Return of Mukesh? While 3G allows high-speed Internet access and data transfer on mobile phones, broadband spectrum would enable firms to provide high-speed wireless data links with better coverage than fixed-line broadband — key for Internet penetration in India’s rural hinterlands, which have poor last-mile fibre connectivity. Industrialist Mukesh Ambani was freed to enter the telecom sector after ending a pact last month with his long-estranged brother Anil Ambani that prevented them from competing on each other’s turf. When the brothers split up the family empire in 2005, Anil Ambani gained control of Reliance Communications, and his brother is widely seen to covet a return to the industry. Debt-laden Reliance Comm, which recently said it may sell up to 26% of the firm, exited the wireless broadband spectrum auction a week ago as bid prices significantly exceeded its business case estimates. Eleven firms bid for broadband spectrum. Cellular market leader Bharti Airtel, which won spectrum in four of the country’s 22 zones, said scarcity of slots and the auction format resulted in extremely high prices. Bharti will pay Rs3,314 crore for the spectrum it won. Bharti, Vodafone and Reliance Comm had paid about $7 billion in total for 3G spectrum in an auction that ended last month. There is no restriction on the technology companies can use to provide services for wireless broadband, be it WiMax or its rival LTE (long-term evolution) technology. Qualcomm had said its interest in the auction was aimed at faster deployment of LTE in India, as it bets on “inter-operability” between 3G and wireless broadband. Source: Home - Livemint.com | 11 Jun 2010 | 3:18 am Gold buying remains weak for a fourth dayMumbai: India gold buying remained weak for a fourth day in a row on Friday as traders sought lower prices, but a stronger rupee helped sentiment by making the dollar-quoted asset cheaper, dealers said. “Traders don’t want to get stuck with stocks at high prices, so they are simply enquiring,” said a dealer with a state-run bank in Mumbai. The most-active August gold contract was trading 0.25% higher at Rs18,645 per 10 grams at 2:29pm, tracking firm overseas markets. Gold rebounded on short-covering after falling about 1% in the previous session, while a rise in ETF holdings to another record showed bullion still attracted buying from investors. “Only if it comes below $1,214 (an ounce), we might see some activity,” said another dealer with a private bank. The Indian rupee pulled back from one-week highs in the afternoon session on Friday, but still traded strong mirroring moves in the local sharemarket, with traders watching the dollar’s moves versus majors for further direction. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 3:14 am India gold buying remains weak for a fourth dayMUMBAI (Reuters) - India gold buying remained weak for a fourth day in a row on Friday as traders sought lower prices, but a stronger rupee helped sentiment by making the dollar-quoted asset cheaper, dealers said.Source: Reuters: Money News | 11 Jun 2010 | 3:10 am European shares rise for third day, boosted by BPLondon: European shares edged higher on Friday, rising for the third day on optimism over global growth, while BP recovered on hopes it dividend might be deferred rather than cut as it continued battling an oil spill. By 2:15pm, the pan-European FTSEurofirst 300 index of top shares was up 0.4% at 1,017.93 points. The index is down around 8.6% from a mid-April peak on concerns about the euro zone debt crisis. British energy group BP gained 5.9% following recent sharp losses on hopes its dividend might be deferred rather than cut. The Wall Street Journal reported the British oil company was considering deferring or reducing its second quarter dividend to help quell the political uproar in the United States over the environmental disaster caused by the massive spill. British newspapers also rounded on US President Barack Obama over his criticism of the company. However, analysts suggested rises in BP shares could be limited. US government scientists doubled their estimate of the amount of oil gushing out of its ruptured Gulf of Mexico well. The stock is still down 43% since the oil spill started mid-April. “BP is just a high beta trade and if investors want to take more risk then they will invest in the stock as it will go higher than the rest,” said Philippe Gijsels, head of research at BNP Paribas Fortis Global Markets in Brussels. “European shares are modestly higher given a strong rebound in Asia. I think it is a bear market rally as the sovereign debt problems can not be solved in a couple of days.” Banks added to the previous session gains on the global growth optimism. Banco Santander, BNP Paribas and UBS rose 1.6 to 2.6%. Novartis gains Drugmakers featured among the top performers. Novartis gained 2.3% after its multiple sclerosis pill Gilenia won strong backing from a US advisory panel. On the downside, the mining sector featured among the worse performers. Australian Prime Minister Kevin Rudd denied on Friday talk of a swift deal with miners over his controversial mining tax, as global miner BHP Billiton rejected a rumoured compromise affecting the nation’s top export sector. Anglo American and Rio Tinto fell 0.6 and 1.1% respectively. Across Europe, the FTSE 100 index was up 0.1%, Germany’s DAX was down 0.2% and France’s CAC 40 was up 0.3%. Spain’s IBEX 35 gained 1.8%, Portugal’s PSI 20 rose 0.4% and Italy’s benchmark was up 0.3%. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 3:07 am SREI BNP Paribas to raise $50 mn through ECBKolkata: SREI BNP Paribas, a 50:50 joint venture between SREI Infrastructure Finance Ltd and BNP Paribas Lease Group, is planning to raise $50 million, Sunil Kanoria, joint managing director, SREI BNP Paribas, said. The funds will be raised through External Commerical Borrowing (ECB) from DBS Bank Ltd, he added. The money would be repaid over a period of 7 years and the average cost works out to be around 8%, he said. “It’s a long-term funding, so it will help us to disburse longer tenure loans particularly in the infrastructure sector,” Kanoria said. “With the demand for loans increasing, particularly in the infrastructure space, our fresh disbursal during FY11 would be in the region of Rs9,000-Rs10,000 crore,” Kanoria said. To fund this, the company would be raising Rs5,000-6,000 crore during 2010-11, he added. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 3:04 am Gold futures recover on better global trendGold prices recovered by Rs 25 or 0.13 per cent to Rs 18,702 per ten gram in futures market today on emergence of buying by traders, influenced by a firming global trend.Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 3:00 am Vodafone: Broadband bids beyond rational levelsNEW DELHI (Reuters) - Vodafone Essar, India's No.3 mobile carrier controlled by Vodafone, said it decided to step away from the broadband auction as bid prices went beyond rational levels.Source: Reuters: Money News | 11 Jun 2010 | 2:45 am StanChart IDR lists at 1% premium - NDTV.com
Source: Business - Google News | 11 Jun 2010 | 2:41 am April factory output soars; inflation eyedNEW DELHI (Reuters) - India's industrial output grew at a much stronger-than-expected pace in April, reinforcing expectations the Reserve Bank will lift rates for the third time this year at a policy review late next month.Source: Reuters: Money News | 11 Jun 2010 | 2:27 am Power department registers 24% increase in revenueSrinagar: The Power Department has posted a 24% increase in tariff collection from consumers in the Kashmir province to Rs3,152 lakh in the first two months of the current fiscal, compared to the year-ago period, a senior officer said on 10 June. The Power Development department has fixed a target of Rs768.56 crore from the consumers as power tariff during this fiscal, chief engineer Gul Ayaz said at a meeting of officers presided by the minister of state for Power Shabir Ahmad Khan. Khan said the government is providing electricity worth Rs2,000 crore to consumers during the current fiscal and it is the responsibility of the employees to ensure scheduled power supply, besides timely collection of power tariff. He said, circle level superintendent engineer would be accountable for ensuring that electricity drawn from power distribution system by various executive engineers under his control is dully accounted as per the power consumed by the people. Khan stressed the need for maintaining meter readings of all the feeders and instructed to check the losses of transmission and distribution system. He said concerned junior engineers should be made accountable in this regard. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 2:27 am World Bank approves $79 mn loan to BangladeshWashington: The World Bank on Thursday approved a credit of $79 million to Bangladesh for its Skills and Training Enhancement Project (STEP). The project will assist the country in further developing its human capital resources. While approving the grant Ellen Goldstein, World Bank country director for Bangladesh, observed that an increasingly skilled labor force would be necessary to accelerate economic growth in the country. STEP seeks to strengthen public and private training institutions that would improve the skill set and employability of the workforce. “Enhancing vocational training will increase employability, allow workers to command higher wages in international markets, and allow for greater diversification and value-added in export production,” Goldstein said. The growing work population in Bangladesh supports key export industries and generates remittances that account for approximately 30% of the national income. According to World Bank, in 2009, Bangladeshis working overseas sent nearly $9 billion in remittances at home. The country is also emerging as an exporting powerhouse especially in the garment industry. This, along with greater participation of women and young people in the labor force, has considerably increased demands on institutions delivering education and skills. The Skills and Training Enhancement Project will further Bangladesh’s objective of developing human resources as a cornerstone of poverty alleviation through a variety of proven and innovative reforms of the pre-employment TVET system. Besides enhancing quality and access to various vocational programs, the project will also foster private sector participation in institutional management as well as administrative, academic, and financial autonomy to enhance learning and employment outcomes. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 2:22 am World stocks rise for 4th day; euro steadyLONDON (Reuters) - World equities extended their relief rally into a fourth day on Friday on optimism over global economic growth, while the euro steadied as it ran into headwinds above $1.21 after three days of gains.Source: Reuters: Money News | 11 Jun 2010 | 2:15 am Goldman's Corrigan says financial reform on trackBOSTON (Reuters) - Former New York Federal Reserve president Gerald Corrigan said the U.S. Congress is on the right path to improve financial regulations, but warned that the so-called Volcker rule might have unintended consequences.Source: Reuters: Money News | 11 Jun 2010 | 2:14 am Eicher joint venture to invest Rs2.9 billion to raise capacityThe company's current capacity is 40,000 engines per year at its Pithampur plant in Madhya Pradesh, the firm said in a statement on Friday.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 2:08 am Disney, News Corp target post-World Cup soccer winsAt Disney, where ABC and ESPN have the US rights to live coverage of the 2010 and 2014 World Cups, the plan is to ramp up its involvement in soccer both in the United States and abroad.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 2:07 am HC dismissal too boost TDRs' demand by 50%: DB Realty - Moneycontrol.com
Source: Business - Google News | 11 Jun 2010 | 2:05 am Japan PM warns of eventual default if debt not fixedTOKYO (Reuters) - New Japanese Prime Minister Naoto Kan, seeking to lay the groundwork for a future sales tax rise, warned on Friday that the country risked defaulting on its borrowing if it failed to rein in its massive public debt.Source: Reuters: Money News | 11 Jun 2010 | 2:04 am Reliance finds more oil in Cambay basinThe block, in which Reliance holds 100% participating interest, covers an area of 635 sq km, the company said. It had made its fifth discovery in the region last month.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 2:02 am Reliance Industries in talks to buy Infotel - sourceMUMBAI (Reuters) - Reliance Industries, India's largest-listed conglomerate, is in talks to buy Infotel Broadband Services as it looks to enter the telecoms sector, a source with knowledge of the matter said on Friday.Source: Reuters: Money News | 11 Jun 2010 | 2:02 am April industrial output up 17.6%New Delhi: Country’s industrial output grew at a much stronger-than-expected pace in April, reinforcing expectations the central bank will lift rates for the third time this year at a policy review late next month. Industrial output rose 17.6% in April from a year earlier, the strongest since December 2009, helped by buoyant domestic consumer demand, a revival in exports, and higher infrastructure spending, data showed on Friday. But Rupa Rege Nitsure, chief economist at Bank of Baroda in Mumbai, said the industrial output numbers have been boosted by a low base effect which will start fading from June. “If investment growth picks up then for the year as a whole, IIP can be expected somewhere between 8.5-9% in FY11. This surely gives more elbow room to the Reserve Bank of India to pursue monetary tightening,” she said. A top government adviser, Planning Commission deputy chairman Montek Singh Ahluwalia, said after the data release that the pace of monetary policy normalisation need not be quickened. Worries over Europe’s debt crisis and the health of the global economic recovery, concerns also expressed by most other central banks in Asia, are expected to prevent the RBI from tightening more aggressively. The Reserve Bank of India is widely expected to raise rates by 25 basis points on July 27. The next key data will be wholesale price (WPI) inflation data for May, due on Monday. A Reuters poll shows headline inflation probably held steady around 9.6% last month. The 10-year benchmark bond yield edged up 2 basis points to 7.57% while the 30-share BSE index was largely steady, continuing to trade up 1.1%, following the industrial output data. The median forecast in a Reuters poll was for an annual rise of 13.5% in April, the same pace marked in March. Robust consumer demand Manufacturing production in Asia’s third-largest economy rose 19.4% in April from a year earlier, while mining output was up 11.4% and power generation rose 6%. Friday’s data comes on the heels of an annual 8.6% expansion in the economy in the quarter through March, providing another evidence of a strong rebound in an economy that is benefiting from a robust consumer demand. Car sales in India rose an annual 30% in May as rising incomes and a rapidly expanding economy offset the impact of price increases. Manufacturing PMI accelerated at its fastest rate in more than two years in May, while the services PMI continued to remain high, suggesting the economic upswing will remain robust in coming months. The economy is expected to grow at least 8% in the current fiscal year that started on 1 April, after growing 7.4% last year. But robust economic growth has also raised the prospects of capacity constraints, which are seen aggravating price pressures. The wholesale price index, the central bank’s most closely watched gauge of inflation, probably rose an annual 9.56% in May, staying close to 9.59% in April, according to a Reuters poll. It hit 10% in February, the highest since October 2008. The RBI described the prevailing inflationary situation as “worrisome” and has raised rates twice since mid-March and is expected to deliver another hike of 25 basis points on 27 July. Source: Home - Livemint.com | 11 Jun 2010 | 1:56 am RIL discovers more oil in Cambay Basin - NDTV.com
Source: Business - Google News | 11 Jun 2010 | 1:49 am Mandela relative’s death clouds Cup startJohannesburg: Nelson Mandela’s great grand-daughter was killed in a car crash on Friday hours before the World Cup kicks off in South Africa, a tragic note amid revelry for the biggest sports event the continent has held. Former President Mandela, 91, is credited with helping South Africa win the World Cup bid in 2004 as well as ending apartheid, and South Africans hoped he would be at the opening match between the hosts and Mexico despite his frail health. Zenani Mandela, killed two days after her 13th birthday, was one of Mandela’s nine great-grandchildren. The car crashed after a concert by a bevy of international and local stars at a stadium in the Soweto township outside Johannesburg. “The family has asked for privacy as they mourn this tragedy,” the Nelson Mandela Foundation said. The death cast a cloud on the unprecedented rush of excitement in South Africa, which was tormented for years by negative and even domestic pessimism that the world’s most watched sporting event was too big for Africa to handle. That pessimism has been transformed in recent weeks and South Africans of all races can scarcely contain their pride at being in the world spotlight. Successfully hosting this tournament for the first time in Africa will mean much more for the hosts than just sport. Racial reconciliation, the affirmation of an often troubled post-apartheid nation, future investment and millions of tourist dollars could be at stake. It is also a symbol of Africa’s emergence from decades stereotyped as a continent of disaster, conflict and failure into a dynamic region winning ever-increasing foreign investment. The once-improbable dream kicks off later on Friday when Mexico face the host nation in Johannesburg’s 90,000-seat Soccer City stadium. The Mexicans have to contend not only with a frenzy of patriotic fervour but also the ear-splitting din of the vuvuzela trumpets, so loud they can make communication between players and coaches almost impossible. Unbeaten run Once mocked even by their compatriots as hopeless under-achievers, and still one of the lowest-rated World Cup hosts, at 83rd in the rankings, South Africa come off a run of 12 unbeaten matches and are new national idols. A string of comparatively minor crimes against journalists and three Greek players in recent days have been reminders that security in one of the globe’s most violent countries outside a war zone remains a concern. Six people were injured in a crowd crush at Cape Town’s main World Cup fan zone on Thursday when thousands of people tried to get in. The death of Mandela’s great grand-daughter, a day after three British tourists died in a bus crash, highlighted the fact visitors face as much danger on the roads as from crime. But the biggest distractions for the South African team are the weight of expectation and joyful street parades. Their Brazilian manager, Carlo Alberto Parreira, said on Thursday they had expected calmness and focus but he could understand the party on the streets. “I don’t want my players to be affected by all of that,” he said. “Now we have a World Cup game...we want to make this country proud.” Mexico fully intend to spoil the party. “My team has come here to play football, not make friends and go sightseeing,” said coach Javier Aguirre. Mexico’s confidence has been boosted by victory over defending champions Italy last week and good performances against England and the Netherlands in other recent friendlies. In Friday’s other Group A game, France will be under pressure against Uruguay in Cape Town after a series of unimpressive warm-up games, culminating in a worrying 1-0 defeat by China. Les Bleus look a far cry from the dominant team that won the World Cup in 1998 and Euro 2000. Uruguay, though unfancied, have had an impressive warm-up with wins against Switzerland and Israel and could be a threat to the French. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 1:41 am No need to quicken monetary tightening: MontekIndia need not quicken the pace of its return to a normal monetary policy, Montek Singh Ahluwalia, the deputy chairman of the Planning Commission, said on Friday, after the country reported faster-than-expected industrial output growth.Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 1:37 am Asia stocks rise for 4th day, euro steadySingapore: Asian stocks rose for a fourth day on Friday on optimism that the world economic recovery was on track despite Europe’s debt woes, while the euro was steady after a rally the previous day. European equities were set to inch higher, with financial spreadbetters expecting Britain’s FTSE 100 to open 6-8 points higher, Germany’s DAX to open 1-6 points higher, and France’s CAC-40 to open 6-17 points higher. The MSCI index of Asia Pacific ex-Japan stocks rose nearly 1.6%, led by energy and technology plays. Asian stocks have gained 3.7% in the past four days, but are still down nearly 8.7% so far this year. There was little impact from a spate of fresh Chinese data. The data showed China’s inflation accelerated to a 19-month high in May while industrial output and fixed-asset investment growth moderated, sending mixed signals about the temperature of the world’s third-largest economy. Japan’s Nikkei average climbed nearly 2%, helped by a halt in the yen’s advance against the euro and signs of health in the euro debt market. Spain sold 3.9 billion euros of a 3-year benchmark bond seeing strong demand, a positive sign for investors worried about appetite for debt from struggling European nations. The euro rose 1.2% against the US dollar, trading above $1.21. Investors also breathed a sigh of relief after European Central Bank President Jean-Claude Trichet said three-month emergency loans to banks would continue until September and when Germany’s high court rejected efforts to block German guarantees for euro zone financial aid. “Funds have started to lean towards risk-taking after all-out risk-reduction behaviour seen in mid- to late May, and domestic investors are following suit,” said Tsuyoshi Segawa, an equity strategist at Mizuho Securities. US stocks rallied nearly 3% on Thursday, a day after a late-day sell-off that had reversed strong gains in what has been a volatile month on Wall Street. That has prompted questions over whether expectations of an economic recovery have been overly optimistic. Fears over the global economy eased after China on Thursday confirmed exports jumped nearly 50% in May from a year ago, fanning investors’ optimism that the global economy is on the recovery path despite the European debt crisis. Investors have dumped riskier assets, including global stocks and high-yielding currencies, in recent weeks. Investors slashed their equity holdings and poured money into U.S. and emerging market bonds and commodities last week on lingering fears that global growth will be hit by Europe’s debt problems, EPFR Global said on Friday. Equity funds saw outflows of $2.61 billion in the week to 9 June, while bond funds took in $3.8 billion in fresh money, the research firm said in a report. The euro, meanwhile, hovered near $1.21 a day after rallying about 1.3% due to the positive news from Spain and China. The euro faced stiff resistance in the $1.2135-55 area. The European single currency has shed 1.5% this month and nearly 16% this year, driven ever lower by fiscal concerns in the euro zone. Against the yen, the euro retreated below 111.00 yen after pushing back above that level for the first time in a week. Meanwhile, investors took a lack of surprises in the Chinese data to book gains in the Australian dollar which eased to $0.8444 but was still well above a low of $0.8082 seen at the start of the week. Spot gold rebounded slightly to $1,220 an ounce on short covering after falling around 1% in the previous session as the Wall Street rally curbed safe-haven demand. US crude futures stood steady after closing at a four-week high above $75 a barrel a day earlier on the back of a Wall Street rally and a rosier oil demand forecast by the International Energy Agency. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 1:23 am India, China to grow wealthier faster than other nationsBoston: Emerging markets like India and China will see faster wealth creation in the future, says a report according to which global wealth grew a “remarkable” 11.5% in 2009 to $111.5 trillion. Global management consulting firm Boston Consulting Group (BCG) in its 10th annual Global Wealth report estimated that China and India will generate triple the growth of other countries from 2009 end to 2014. The recovery in wealth, which offset the 10% dip in global assets under management in 2008, was driven by resurgent financial markets and increased savings, it said. BCG projected that global wealth would grow at an average annual rate of nearly 6% from 2009 year-end through 2014, much slower than the sharp recovery last year but still higher than the 4.8% annual growth rate from 2004 year-end through 2009. “There’s no doubt that wealth will continue to grow faster in emerging markets, fueled by strong economic growth,” BCG Partner and Co-Author of the report Tjun Tang said. Asia-Pacific, excluding Japan, is expected to grow at nearly twice the global rate, raising its share of global wealth from 15% in 2009 to almost 20% in 2014. However, the rebound in wealth does not mean “a return to business as usual,” BCG said, adding that client trust and wealth manager performance are still lower than they were before the global economic crisis. North America posted the largest absolute gain in wealth at $4.6 trillion (15%), but the largest percentage gain, and the second largest in absolute terms, occurred in Asia-Pacific (excluding Japan), where wealth increased by 22%, or $3.1 trillion. Europe remained the wealthiest region. Its $37.1 trillion in AUM represented one-third of the world’s wealth. The number of millionaire households across the world rose by about 14% in 2009 to 11.2 million. The US had by far the most millionaire households (4.7 million) followed by Japan, China, the United Kingdom, and Germany. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 1:09 am India, China to grow wealthier faster than other nationsEmerging markets like India andChina will see faster wealth creation in the future, says a report according to which global wealth grew a "remarkable" 11.5 per cent in 2009 to USD 111.5 trillion.Source: India Business News | Business News - Times of India | 11 Jun 2010 | 1:05 am Industry grows by 17.6% in AprilManufacturing, which constitutes around 80% of the index of industrial production (IIP), grew 19.4% in April against 0.4% a year ago, according to official data released today.Source: Daily News & Analysis: Money News | 11 Jun 2010 | 12:58 am Eicher JV to invest 2.9 bln rupees to raise capacityVE Commercial Vehicles, the joint venture between India's Eicher Motors and Sweden's Volvo, said it will invest 2.9 billion rupees to raise capacity by 85,000 engines per year from 2012.Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:57 am Zain makes changes in management after sale to BhartiKuwait-based mobile operator Zain Group has announced comprehensive restructuring of its executive management and new appointments to meet new challenges.Source: India Business News | Business News - Times of India | 11 Jun 2010 | 12:53 am Broadband spectrum auction ends - govtNEW DELHI (Reuters) - The wireless broadband spectrum auction ended on Friday after 16 days of bidding, the government said.Source: Reuters: Money News | 11 Jun 2010 | 12:53 am Oil spill 'twice as bad as first thought' - BBC News
Source: Business - Google News | 11 Jun 2010 | 12:52 am India broadband spectrum auction ends: SourcesIndia's wireless broadband spectrum auction ended today after 16 days of bidding, two sources with direct knowledge said.Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:52 am Investors ditch global equities for US, emerging bonds: EPFRHong Kong: Investors slashed their equity holdings and poured money into US and emerging market bonds and commodities last week on lingering fears that global growth will be hit by Europe’s debt problems, EPFR Global said on Friday. Equity funds saw outflows of $2.61 billion in the week to 9 June, while bond funds took in $3.8 billion in fresh money, the research firm said in a report. Money market funds, an equivalent of cash, absorbed a net $9.63 billion. US payrolls added fewer jobs than expected last month, when government census hiring accounted for much of the hiring, spreading doubts about the growth outlook. However, EPFR also said the pace of fund redemptions slowed significantly from late May, suggesting a rush to dump riskier assets since April may have run its course. Emerging market equity funds Global emerging market equity funds posted inflows for a second consecutive week, though Asia ex-Japan funds had record outflows for the fifth time in the past six weeks. Korea-focused funds had their biggest outflow in 66 weeks. Europe, Middle East and Africa-focused funds snapped a five-week outflow streak, with investors mainly attracted by low valuations in Russian stocks. Developed market equity funds US, European and Japanese equity fund groups all posted outflows for the week. A net $1.81 billion left U.S. stock funds, with outflows driven by small cap funds. Japan funds saw $227 million out the door in the same week that Prime Minister Naoto Kan took office. Sector funds Commodity sector funds took in more than $1 billion in the latest week, thanks to an insatiable hunger for gold as investors looked for havens from the broader market turmoil. Investors also committed $299 million to technology funds, a hopeful sign for equity bulls because of the fund group’s sensitivity to business cycles. Consumer goods sector funds were rocked by outflows of $800 million. Bond funds High-yield bond funds continued to be hit with redemptions, with a $6.27 billion leaving the fund group in the last five weeks. US bond funds, though, extended an inflow streak to 65 weeks. Emerging market bond funds and global bond funds also saw inflows. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 12:48 am Broadband spectrum auction ends, Govt gets Rs 38,300 croreThe total revenue of the government from sale of spectrum for both 3G and BWA stands at over Rs 1.06 lakh crore, more than thrice the earlier projection of Rs 35,000 crore by the finance minister.Source: India Business News | Business News - Times of India | 11 Jun 2010 | 12:38 am Industry grows by 17.6 pc in AprilIndustrial output rose 17.6 per cent in April, growing in double digits for the seventh straight month, on good showing by manufacturing, particularly capital and consumer goods.Source: India Business News | Business News - Times of India | 11 Jun 2010 | 12:35 am Industrial output in April up 17.6 pc: GovtThe industrial output rose much faster than expected at 17.6 per cent in April from a year earlier on strong consumer demand and government spending, data showed on Friday. Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:19 am StanChart, BBVA eye Indonesia bank stake: sourcesHong Kong: Standard Chartered and Spain’s BBVA are among the banks showing interest in the sale of the Gunawan family’s $1.4 billion stake in Indonesia’s Panin Bank, sources with direct knowledge of the deal told Reuters. The 46% stake is on the block with UBS running the auction, sources have previously told Reuters. Reuters reported last month that Australia and New Zealand Banking Group Ltd (ANZ), Australia’s No. 4 lender, is viewed by sources involved with the process as the frontrunner to buy the stake, as it already owns a 38.5 percent holding. The auction for the Indonesian banking asset is set to heat up with global names StanChart and BBVA joining the race. The main draw for the foreign banks is the fast growing Indonesian economy, which is expected to stoke credit growth. “In the next 5 years, under a low interest rate environment and falling government bond yields, we see banks becoming more willing to lend - expanding loan portfolios to 40 percent of GDP,” Deutsche Bank said in a recent report. Deutsche, which estimates the current loan to GDP ratio to be 26 percent, is forecasting the Indonesian economy will double in the next five years. StanChart, BBVA and ANZ declined to comment. Panin could not immediately be reached for comment. ANZ is being advised by Credit Suisse and Morgan Stanley. It was not clear which investment banks were advising the other lenders. TOP DOLLAR The strong macroenomic factors could force the buyers to pay top dollar to clinch the deal, analysts say. “We expect the selling price of Panin to be above 3.5-4 times price to book value, given the significant size of the bank and the fact that it is one of better banking assets up for grabs in one of Asia’s fastest growing markets,” Ferry Wong, a research analyst with Macquarie Equities wrote in a recent report. Macquarie estimates the fair book value of Panin to be about 580 rupiah ($0.629) per share, and has a target price of 1,600 rupiah on Pani shares. The most expensive bank deal in Indonesia was Bank Ekonomoi’s acquisition by HSBC Holdings plc in 2008, which was done at a price to book value of 4.6, according to Macquarie Research. Shares in Panin, Indonesia’s No. 7 lender, were up 0.9% at 1,100 rupiah by 0430 GMT, underperforming a 1.4% rise the benchmark index. Some analysts remain unsure the deal will be done, especially since the owners of the stake have little need for the proceeds. “Whether the Gunawan family will sell the bank is still questionable, given that they are not in need of cash,” BNP Paribas analyst Tjandra Lienandjaja said. “Unless the offer is too good to refuse (more than 4 times x latest price to book value), we believe it will be difficult for any prospective buyer to buy the bank,” Lienandjaja said. Source: LatestNews-Home - Livemint.com | 11 Jun 2010 | 12:19 am BP shares in focus after US doubles spill estimateShares in British energy giant BP will be in the spotlight again on Friday after US government scientists doubled their estimate of the amount of oil gushing out of its ruptured Gulf of Mexico well. Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:10 am Broadband spectrum auction ends: SourcesWireless broadband spectrum auction in India ended on Friday after 16 days of bidding, two sources with direct knowledge said. Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:07 am Govt to infuse additional Rs 1,200 crore equity in Air IndiaGovernment would infuse additional equity of Rs 1,200 crore into Air India over the next few months and review its performance to decide on the future course, Civil Aviation Minister Praful Patel has said.Source: HindustanTimes.com - Top Business News Headlines | 11 Jun 2010 | 12:04 am Food inflation climbs to 16.74%The annual food inflation, based on the Wholesale Price Index, rose 16.74 per cent in the week ended May 29, up from the previous week's annual rise of 16.55 perSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am FDC (Rs 99.6): BuyInvestors with a short-term trading perspective can buy stock of FDC. The stock has charted a unique course, different from that of the broader market, over the last seven months. An unrelenting uptrend is in motion since the low of Rs 41Source: Business Line - Home Page | 11 Jun 2010 | 12:00 am Orchid Chem will now have front-end presence in the USOrchid Chemicals' acquisition of the US-based Karalex Pharma holds strategic importance as the deal would provide it with a much-needed front-end presence in the US, the world's largest pharmaceutical market. The move nonetheless doesn't come asSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Rubber prices stabilise as tyre firms defer purchasesThe price of natural rubber has stabilised in the domestic market on steady arrivals and subduedSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Day Trading GuideFresh long position is recommended only if the stock advances above Rs 2,660 levels with rigidSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Bristol-Myers to price drugs lower for Indian marketIn a bid to take on generic drug makers , US-based pharmaceutical major Bristol-Myers Squibb (BMS) will launch products in India at lower price points than what it offers in WesternSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Govt raises support price for pulses to perk up productionThe Centre on Thursday took a bold initiative to promote pulses production by raising their minimum support price by between 14 and 30 per cent even as it effectively pegged the support price for paddy at the same level as lastSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am State Bank of India gears up to train employeesOver two lakh employees of State Bank of India will undergo intensive training at various levels in banking technology, e-learning and otherSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Tata Comm shelves venture with Chinese co on regulatory delaysTata Communications has shelved its plan to form a joint venture with Beijing-based China Entercom Communications due to lack of clarity on the Chinese Government's consent for theSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Banks see Rs 1,000 cr/day inflows thru CDsAlthough liquidity remains tight in the financial markets, inflows through certificates of deposit (CD) into public sector banks is currently in the region of about Rs 1,000 crore aSource: Business Line - Home Page | 11 Jun 2010 | 12:00 am Rupee at 1-week high as risk appetite returnsMumbai: The Indian rupee rose to its highest level in a week on Friday as risk appetite returned to markets globally after lower-than-expected US jobless claims and comments from the European Central Bank president. At 10:00am, the partially convertible rupee was at Rs46.75/76 per dollar, after hitting Rs46.68, its highest since 4 June and above its Thursday’s close of Rs46.96/97. The European Central Bank (ECB) promised extra cash on Thursday to keep euro zone liquidity flush until the end of the year but kept a resolute silence on details of its controversial government bond buying programme. “There is bullishness all around the globe post comments from ECB and the US data, so rupee is also rallying,” said Ashtosh Raina, head of foreign exchange trading at HDFC Bank. The number of US workers filing claims for jobless aid fell modestly last week as the labor market recovery struggled for momentum, while a slip in exports in April supported views of moderate economic growth. The euro rose to a session high against the dollar above $1.21 after ECB President Jean-Claude Trichet said the bond programme should not be viewed as a change to the monetary stance, which economists see remaining unchanged until the second quarter of 2011. The euro was trading around $1.21 on Friday as its short-covering rally paused, with the single currency squaring up to test significant bands of resistance. “Trichet’s comments have helped bring risk appetite back into markets,” a senior dealer with a foreign bank said, adding India’s April industrial output was likely to beat estimates and expand 14.3%. The data, due around 11:00am, was forecast to have grown 13.5%, the same pace as in March, the median in a Reuters poll of 21 economists had showed. The main share index rose 1% in early trade, with Reliance Industries and ICICI Bank leading the rise, taking cues from strong world markets. Foreign fund flows into and out of the share market are closely monitored as they have a large impact on the rupee’s fortunes. Foreigners have bought a net $83.6 million so far in June, after pulling out $2 billion in May. “The rupee should trade in a range of Rs46.60-46.85 today,” a senior dealer with a large state-run bank said. One-month offshore non-deliverable forward contracts were quoted at Rs46.90, weaker than the onshore spot rate. In the currency futures market, the most traded near-month dollar-rupee contracts on the National Stock Exchange and MCX-SX were both at Rs46.8525, with the total traded volume on the two exchanges at about $900 million. Source: Home - Livemint.com | 10 Jun 2010 | 11:52 pm Sensex up 185 points in opening trade on global cuesThe 30-share index, which had gained nearly 305 points in the previous two trading sessions, edged higher by 184.67 points, or 1.09 per cent, to trade over 17,000-points level at 17,106.75 points.Source: Daily News & Analysis: Money News | 10 Jun 2010 | 11:45 pm Selling a good night's sleep, Sudhakar PaiSudhakar Pai, head honcho of a leading mattress manufacturer, talks about the brand recall of his company's products and reveals why he feels he is in the right businessSource: Daily News & Analysis: Money News | 10 Jun 2010 | 11:40 pm StanChart IDRs trade below London priceMUMBAI (Reuters) - UK bank Standard Chartered's Indian depositary receipts traded near their offer price in their debut but below their equivalent London close, in the first such issue in Asia's third-largest economy.Source: Reuters: Money News | 10 Jun 2010 | 11:30 pm Rupee at 1-week high as risk appetite returnsThe rupee rose to its highest level in a week on Friday as risk appetite returned to markets globally after lower-than-expected US jobless claims and comments from the European Central Bank president. Source: HindustanTimes.com - Top Business News Headlines | 10 Jun 2010 | 11:25 pm Govt to infuse additional Rs 1,200 crore equity in Air IndiaGovernment would infuse additional equity of Rs 1,200 crore into Air India over the next few months and review its performance to decide on the future course, Civil Aviation Minister Praful Patel has said.Source: India Business News | Business News - Times of India | 10 Jun 2010 | 11:09 pm Sensex rises 0.9%; Reliance leadsMumbai: Sensex firmed 0.9% on Friday, taking cues from gains in world markets and expectations for robust factory data, but there were still doubts about whether the market can sustain the rise. Reliance Industries was among the main gainers after sources told Reuters the energy major was in talks to buy a stake in the shale gas assets of US-based Pioneer Natural Resources. Financials climbed on hopes robust data will boost demand for loans. April industrial output, due around 11 am (0530 GMT), is expected to show an annual 13.5% growth, according to the median forecast in a Reuters poll of economists. British bank Standard Chartered’s Indian depositary receipts traded near the offer price on their market debut but below their equivalent London close, in what was the first such share issue in India. They were trading at Rs105.05, compared with the issue price of Rs104. They clocked the highest volume on BSE and NSE. By 9:57 am (0427 GMT), the 30-share BSE index was trading up 0.92% at 17,078.37 points, with 25 of its components gaining. “The rise is not very convincing. We have not been able to hold on the gains in recent times,” said Ambareesh Baliga, vice-president of Karvy Stock Broking. Foreign funds have been net buyers of around $84 million of equities this month, after they dumped nearly $2 billion of stocks in May in the wake of the euro zone’s fiscal troubles. Baliga said any fresh problems in Europe could trigger outflows. Reliance Industries, which has the highest weight on the Sensex, climbed 2%, while top lender State Bank of India was up 0.7%. ICICI Bank and HDFC Bank rose 1.1% and 1.6% respectively. Leading outsourcer Tata Consultancy Services rose 0.9% after its chief executive told Reuters it has not seen any delay in decision making by clients despite the debt crisis in Europe and a recovery in outsourcing demand is happening across markets. Rivals Infosys Technologies and Wipro rose 1% and 1.2% respectively. Top mobile operator Bharti Airtel was down 1.8%, after rising more than 10% in two previous sessions. In the broader market, gainers were nearly thrice the number of losers on volume of 63 million shares. The 50-share NSE index was up 0.9% at 5,125. Stocks on the move State-run energy firms fell after India’s cabinet did not discuss any proposal on Thursday to raise fuel prices or reform the sector, continuing the uncertainty over a move that faces strong political resistance. Oil & Natural Gas Corp, Hindustan Petroleum Corp, Bharat Petroleum Corp and Indian Oil Corp dropped between 0.2% and 1.2%. Jet Airways was up 3% at Rs510.50 after the top private carrier posted a 41% annual rise in domestic air traffic and 37 percent rise in international air traffic in May. State-run copper producer Hindustan Copper extended losses and dropped 0.4% to Rs467.15, as the federal cabinet on Thursday deferred a decision to sell stake in the company. Source: Home - Livemint.com | 10 Jun 2010 | 11:07 pm StanChart India listing trades below London priceMumbai: UK bank Standard Chartered’s Indian depositary receipts traded near their offer price in their debut but below their equivalent London close, in the first such issue in Asia’s third-largest economy. The bank, which raised about $530 million after pricing its IDRs towards the lower end of an indicated range, has said the offering was aimed more at building its brand and presence in its second-largest market by profit than about raising funds. The stock was the most actively traded on both the Bombay Stock Exchange and the National Stock Exchange on Friday, with nearly 22 million shares changing hands after about 90 minutes of trade. By 10:30 a.m., the IDRs traded at Rs104.6, versus its issue price of Rs104 a share, in a Mumbai market up 0.9%. The IDRs opened at Rs105, rose as much as 2.9% to Rs108 but also slipped to as low as Rs100.60 in early deals. Standard Chartered’s Thursday closing price in London of 1,649 pence indicated a price of about Rs113 per IDR at Friday morning’s exchange rates, as 10 IDRs are equivalent to one London-listed share in StanChart. Indian regulations may keep a lid on performance in the near term. Insurance companies, for example, are not allowed to invest in foreign stocks, and the IDRs cannot be converted into London shares in their first year. “I see the IDRs trading at 6-8% discount to London price in the short-term before a trend is determined,” said Arun Kejriwal, director of KRIS. “There are several reasons for this discount -- most important is insurance companies, who have money, can not invest, second is this can not be converted to equity within one year. So people who have arbitrage angle in mind will not be interested,” he said. StanChart’s profit in India rose 19% to $1.06 billion last year, contributing 21% of group earnings and ranking India fractionally behind Hong Kong as its biggest profit contributor. The largest international bank in India, where it has had a presence for 152 years, StanChart has 94 branches and 17,500 staff in the country. It is expanding across Asia after weathering the financial crisis better than many rivals. Source: Home - Livemint.com | 10 Jun 2010 | 11:00 pm StanChart IDRs trade below London price in debutBritish bank Standard Chartered's Indian depositary receipts traded near the offer price on their market debut today but below their equivalent London close, in what was the first such share issue in Asia's third-largest economy.Source: HindustanTimes.com - Top Business News Headlines | 10 Jun 2010 | 10:56 pm Rupee gains 22 paise against dollarThe rupee appreciated by 22 paise to 46.73 a dollar in the early trade today on firm opening in stock markets and the US currency's weakness against other Asian currencies.Source: India Business News | Business News - Times of India | 10 Jun 2010 | 10:45 pm Videocon in talks with SK Telecom for 26% stakeVideocon Telecommunications has started talks with Koreas Sun Kyung (SK) Telecom to sell a 26% stake, the latest attempt by it to bring in a foreign partner for its fledgling mobile phone services.Source: India Business News | Business News - Times of India | 10 Jun 2010 | 10:33 pm Sensex up 185 points in opening tradeThe Bombay Stock Exchange benchmark Sensex surged by another 185 points in the opening trade today on sustained buying by funds, taking cues from firming global markets.Source: India Business News | Business News - Times of India | 10 Jun 2010 | 10:23 pm Gilead Sciences mulls legal action against LupinBangalore: US biotechnology firm Gilead Sciences Inc said it may take legal action against Lupin Ltd after the Indian firm submitted an abbreviated new drug application (ANDA) to manufacture and market a generic version of its angina drug, Ranexa. In the notice letter, Lupin alleges that all 10 patents associated with Ranexa are invalid and are unenforceable, Gilead said. Also, Lupin stated in the letter that the Ranexa patent will not be infringed by Lupin’s manufacture, use or sale of the product described in its ANDA submission. Gilead said in a statement late on Thursday that it is currently reviewing the notice letter and has 45 days from the date of receipt to commence a patent infringement lawsuit against Lupin. If a lawsuit is filed then it would restrict the US Food and Drug Administration (FDA) from approving Lupin’s ANDA for up to 30 months, the company said. Ranexa is currently protected by 10 patents and all those patents would need to be invalidated or expired before a generic version of Ranexa could be approved by FDA. Ranexa is a prescription medication used to treat adults with chronic angina. Angina is chest pain that is brought on by exercise or stress. Source: Home - Livemint.com | 10 Jun 2010 | 10:00 pm Oil edges down towards $75, China output data weighsSingapore: Oil slid on Friday following data showing weaker-than-expected Chinese industrial output for May, though investor confidence in the country’s growth helped prices hold above $75, headed for a weekly gain of 5%. China, the world’s no. 2 oil user, is driving crude demand growth as consumption from European economies has been slow to recover. The nation’s overall exports surged 48.5% last month, official data showed on Thursday. But statistics released on Friday showed China’s industrial output rose 16.5% in May, compared with expectations for a 17.1% increase. US crude for July declined 31 cents to $75.17 a barrel at 0320 GMT, after settling at the highest level in four weeks on Thursday. This week’s gain would be just the second one in six. ICE Brent fell 26 cents to $75.03. “I wouldn’t turn around and start selling,” said Clarence Chu, an energy trader at Hudson Capital Energy in Singapore. “It’s slightly disappointing, but I expect support around $75. It had been a resistance level and yesterday we finally broke through. The magnitude of the exports swing is so big that the margin of error for industrial production is also big.” Oil prices rose above $75 for the first time since June 4 on Thursday on strong Chinese export data and the International Energy Agency’s raised global oil demand forecast. “The Chinese trade numbers really boosted sentiment among investors and revived confidence that there will be a global economy recovery despite the euro zone debt crisis,” said Serene Lim, a Singapore-based oil analyst at ANZ. The Paris-based IEA revised up its estimate of 2010 global oil demand growth this year due to increased fuel use in the United States and on higher Chinese consumption. The IEA raised its global oil demand growth forecast for 2010 by 70,000 barrels per day to 1.68 million bpd, saying demand would hit 86.44 million bpd, up from 84.76 million bpd in 2009. Oil inventories at the Cushing, Oklahoma, crude oil hub and pricing point for benchmark US crude rose 111,186 barrels in the week to June 8 to a record 40 million barrels. Asian stocks rose for a fourth day on Friday on optimism that the world economic recovery was on track despite Europe’s debt woes, while the euro was steady after a rally the previous day. Source: Home - Livemint.com | 10 Jun 2010 | 9:40 pm The Bharti lesson - Indian Express
Source: Business - Google News | 10 Jun 2010 | 4:34 pm RIL eyes gas JV with US firmTwo months after RIL bought a 40% stake in US-based Atlas Energy's Marcellus Shale gas operations for $339 million, the Mukesh Ambani-led company has now set its eyes on a joint venture with Pioneer Natural Resources.Source: India Business News | Business News - Times of India | 10 Jun 2010 | 2:40 pm Firms with pledged shares in a spotPromoters of companies which have pledged their shares will be in a bind following the governments mandate that all listed companies must have a minimum 25 per cent public float. Although the government yesterday indicated it was open to a review of this rule, many companies will have to re-work their funding strategy if the norms are not amended.Source: Business Standard | Front Page Headlines | 10 Jun 2010 | 1:27 pm Mamata flashes red signal to divestmentA discussion on disinvestment of government stake in two state-owned entities Coal India Ltd (CIL) and Hindustan Copper was deferred today, although the issue was on the cabinet agenda. However, no timeframe has been set by the cabinet to take up these issues.Source: Business Standard | Front Page Headlines | 10 Jun 2010 | 1:25 pm Maran set to buy 40% in SpiceJetMumbai: Media baron Kalanithi Maran of Sun TV Network Ltd is close to signing an agreement to purchase a nearly 40% stake in India’s second largest low-fare carrier SpiceJet Ltd from its promoter Bhupendra (Bhulo) Kansagra and distressed-assets buyout specialist Wilbur L. Ross for around Rs800 crore, two investment bankers familiar with the development said. This values the company at Rs2,000 crore against a market value of Rs1,400 crore going by Thursday’s closing price of SpiceJet shares.  Graphic: Ahmed Raza Khan / Mint Maran, who runs 20 television channels and two general newspapers in south India, will also make an open offer to SpiceJet’s minority shareholders to acquire an additional 20% stake. Under Indian takeover rules, any acquisition of 15% or more triggers an open offer and the acquirer needs to make an offer for at least another 20% of the target company. Edelweiss Capital Ltd is exclusive adviser to the deal. The shares of SpiceJet fell 0.52% on the Bombay Stock Exchange on Thursday to close at Rs57.85 apiece even as the exchange’s bellwether Sensex index rose 1.59%. Maran, elder brother of Union textiles minister Dayanidhi Maran, has been keen to enter the aviation industry and had even obtained a no-objection certificate from the ministry of civil aviation to run a non-scheduled air passenger service. Sun Network’s board had given a go-ahead for its future plans to enter civil aviation and import aeroplanes. In December 2009, Maran held discussions with Star Aviation Pvt. Ltd, which owned a licence to start a regional airline in south India. “As a first step, Ross will convert his foreign currency convertible bonds (FCCBs) into equity shares and will own 27.11% stake in the low-cost airline. At the second stage, both Ross and Kansagra will sell their 40% stake to Maran,” one of the bankers said. Ross had bought convertible bonds of SpiceJet in July 2008, which will be converted into equity at Rs25 a share, a price that ensures that his exit in favour of Maran will be a profitable one. Kansagra owns 12.89% in the company through Royal Holding Services Ltd. Among the other major shareholders, the Tata group owns 6% stake. Despite repeated efforts, Mint could not reach out to Sun TV Network executives, Kansagra and India representatives of WL Ross for comments on this story. “As a policy, we do not comment on market rumours and speculations,” said a SpiceJet spokeswoman, answering Mint’s query. “Maran had held a series of discussions with SpiceJet promoters for months,” the second banker said. Foreign direct investment (FDI) limit in Indian airlines is 49%. Currently, foreign ownership in SpiceJet is 27.5% and if Ross was to convert his FCCBs to equity, then the FDI limit will be breached. “We have structured the deal in a way to take care the FDI limit is not violated,” said the first banker. The airline’s other foreign shareholders—Istithmar PJSC, the investment arm of Dubai World, and Goldman Sachs—can take part in the open offer, the banker said, adding that Maran is ready to shell out around Rs1,200 crore to own up to 60% stake. Both Istithmar and Goldman Sachs own FCCBs that can be converted into equities. In early February, Istithmar, an anchor investor in SpiceJet, sold a bulk of its 13.39% stake to a clutch of domestic funds, including DWS Invest BRIC Plus Fund, Reliance Mutual Fund and Birla Mutual Fund. “A deal is in the works and could be concluded in a few days,” said the same banker who had worked with SpiceJet to raise $80 million (Rs376 crore today) from Ross through his eponymous private equity fund in July 2008, and persuaded investment bank Goldman Sachs to invest $20 million. Industry peers believe the change in ownership will help SpiceJet expand operations. “Till now, SpiceJet’s fragmented ownership has prevented the airline from expanding its fleet as there was always a sense of uncertainty in the ownership, with various promoters looking to exit and a new set of promoters wanting to come in,” said a senior executive with a leading rival private airline, who did not want to be named. “The delay for the next round of fleet acquisition comes at a time when its arch-rival IndiGo has obtained the government approval to buy 150 more planes in addition to 100 what they had ordered,” he added. SpiceJet has plans to add four planes this fiscal year. In April, SpiceJet had a market share of 12.6% among domestic carriers. IndiGo is the largest low-fare carrier with a market share of 15.7% in April. Gurgaon-based SpiceJet had posted a Rs61.4 crore net profit in fiscal 2010. It had held roadshows to raise $75 million in April by selling new shares to domestic fund houses ahead of launching international flights. Its board has even cleared a proposal to tap the international market to raise capital. “For SpiceJet, what is good is a well entrenched group of investors or a promoter who can further the strategic interests of the company. W.L. Ross is a turnaround specialist and, therefore, cannot be construed as a promoter. They are financial investors and will seek their exit when the turnaround is complete,” said Mahantesh Sabarad, senior vice-president (equity research) at domestic brokerage Fortune Equity Brokers (India) Ltd, who has been tracking the stock. Referring to Maran’s business entity’s interest in SpiceJet, he said, “This appears to me only a financial interest and not a strategic interest in SpiceJet. This still means SpiceJet will not find a new promoter just as yet.” “Any investor would be sinking his money in Indian low-fare carriers as they need to change their business models,” said Nawal Taneja, professor and chairman at department of aviation, Ohio State University. “Copying a Western model need not be necessarily good for an Indian airline,” added Taneja, who has 40 years of experience in working and advising for international airlines, and is the author of six books on the global airlines industry. baiju.k@livemint.com Source: Home - Livemint.com | 10 Jun 2010 | 12:37 pm Sweet deal for Cadbury India's minority shareholdersThe chocolate may turn a tad bitter for Cadbury India. In a clear victory for the chocolate makers minority shareholders, Ernst & Young (E&Y) the Bombay High Court-appointed valuer has recommended a 30 per cent premium to the companys valuation than what was prescribed by two independent valuers, Bansi S Mehta and SSPA.Source: Business Standard | Front Page Headlines | 10 Jun 2010 | 12:30 pm Huawei catches up with Nokia Siemens and Ericsson in IndiaMumbai: Riding the new wave of new telecom operators in India, the sales of Chinese telecom equipment manufacturer Huawei Technologies Co. Ltd have caught up with those of Nokia Siemens Networks B.V. and Telefonaktiebolaget LM Ericsson, even as the company found itself at the centre of the controversy concerning imports of Chinese telecom equipment and the Indian government’s worries about national security.  Graphic: Yogesh Kumar / Mint For the fiscal ended 31 March, Huawei’s India sales stood at Rs11,000 crore, while Nokia Siemens clocked Rs10,824 crore and Ericsson, Rs10,820 crore, according to annual telecom survey by Voice & Data, a publication from the CyberMedia group, which also has a technology market research arm, IDC India. To be sure, a little over 4% of Huawei’s India revenue in fiscal 2010, or Rs450crore, came from mobile handsets, which it sells directly to at least three telecom operators, Reliance Communications Ltd (RCom), Tata Teleservices Ltd and Vodafone Essar Ltd. Deducting Huawei’s handset revenues, to enable an apples to apples comparison, the pecking order in India’s telecom equipment market will have Finnish firm Nokia Siemens on top of the heap, followed by Swedish firm Ericsson and Huawei, in that order. While Huawei total sales grew nearly 76% to leapfrog from Rs6,240crore in fiscal 2009, Ericsson grew at an anaemic rate of 4.9% from Rs10,310 crore and Nokia Siemens grew 9.9% from Rs9,848 crore in 2009. At third position, Huawei, which promises up to 30% savings to telecom operators, as per the firm’s website, has comfortably left behind another European firm Alcatel-Lucent, which had 2010 sales of Rs8,930 crore, up 10.9% from Rs8,050 crore in 2009. The other Chinese telecom equipment manufacturer ZTE Corp. also grew at a rapid pace of 50%, from Rs4,800 crore to Rs7,200 crore. However, nearly Rs500 crore of this came from handset sales. For Huawei, the major growth comes from new telecom operators that recently started or expanded operations in India, such as Aircel Ltd, Unitech Wireless Pvt. Ltd, or Uninor, Videocon Telecommunications Ltd, Sistema Shyam TeleServices Ltd and S Tel Pvt. Ltd. Huwaei also got a large order from RCom as well as two separate deals from state-run Bharat Sanchar Nigam Ltd (BSNL) for its WiMax and 3G roll-out. According to Voice & Data, Nokia Siemens won a $300 million deal from Aircel, besides a $700 million deal from Bharti Airtel Ltd. Earlier this year, Huawei ran into trouble when the government of India decided to restrict import of foreign telecom equipment. Though the government circular did not name any foreign equipment maker, industry observers had said it was meant for Chinese firms such as Huawei and ZTE. “Nokia Siemens and Ericsson have a good portion of their revenues coming from managed services that they provide to telecom operators,” said K. Baburajan, a Voice & Data program manager, and part of telecom survey team. “Huawei and ZTE have a lot of room for scaling up their managed services.” He added that the hurdles associated with the government’s security concerns affected only the last quarter sales, which anyway is a lean one. Kamlesh Bhatia, principal research analyst at technology researcher Gartner, who tracks telecom industry, pointed out that increasing revenue contribution from services will help equipment makers increase profitability as equipment is usually sold at lower margins. “Managed service offering is definitely the way forward.” Such a services model is also preferred by telecom operators as they do not have to deal with multiple vendors. With the 3G roll-out expected by the end of year and equipment upgrades by older telecom players operators, the Indian telecom equipment market is not expected to cool down soon, Bhatia said. lison.j@livemint.com Source: Home - Livemint.com | 10 Jun 2010 | 11:13 am Nestle’s profits may recover if costs fallNestle India Ltd’s shares have been facing rough weather since its March quarter results were declared. The price is now around 1% from the level before the results were declared, but is still underperforming the FMCG (fast-moving consumer goods) Index of the Bombay Stock Exchange, which has gained by around 5%. Nestle’s March quarter performance was hit chiefly due to rising raw material prices. It had decided to limit price hikes at the cost of profitability to ensure demand does not suffer due to inflation. In the March quarter, its sales rose by 17%, most of it on account of growing volumes, the firm said. Price hikes were limited and staggered. Input costs rose by 23%, 6 percentage points more than sales. Also, heightened competition meant it could not save on advertising costs.  Graphic: Yogesh Kumar/Mint In the current year, another worry faces the personal and home care products sector: slowing growth. High food inflation is eating into the pockets of consumers, especially the urban poor. By keeping prices under check, Nestle has escaped its effect so far, but this is a phenomenon that needs to be watched. While Nestle’s strategy works to its advantage, for investors, the drop in margins and earnings is a worry. The turning point will be when commodity prices ease. There are already some signs of that happening. In one key commodity—milk and milk powder— while there are no signs of prices easing, the pace of increase has slowed. Between January and end-May, the index of milk prices in the Wholesale Price Index has risen by only 7%, while in fiscal 2010, it rose by 22%. Wholesale sugar prices have fallen since January, dropping from around Rs40 a kg to around Rs29 a kg now. Wheat prices are down from around Rs13 a kg in January to Rs11 a kg in end-May. Raw coffee prices were down in 2009 and have not moved up in the year so far. Overall, it appears that price rises will be less of a worry for Nestle in 2010. This does not consider the possibility of what a good monsoon might do to prices. Even if prices do not fall much, sustained volume growth and a moderation in input cost hikes should see Nestle’s profit growth revive during the current fiscal. We welcome your comments at marktomarket@livemint.com Source: Home - Livemint.com | 10 Jun 2010 | 10:40 am Airbus orders boost Berlin Air Show profileBerlin/Helsinki: Airbus announced two more orders at the Berlin Air Show on Thursday, bringing its tally for the week to 67 aircraft orders including a record deal with Emirates for 32 A380 superjumbos. The biennial Berlin show does not usually see major orders, with airlines traditionally preferring to make announcements at larger air shows such as Farnborough in England and Le Bourget in France, which take place on alternate years in July. This year’s show, just over a month before Farnborough, had opened with a splash on Tuesday as EADS’ Airbus unit announced $14 billion in new orders, including the record $11 billion A380 order for the Arab world’s largest airline. “Of course I want that (the Berlin Air Show) gets a boost. I was very happy that we could sign the contract with Emirates here in Berlin, in the presence of (German chancellor Angela Merkel),” Airbus chief executive Tom Enders told reporters on the sidelines of the event at the German capital’s Schoenefeld airport on Thursday. Before this year’s show, the biggest order ever announced at the Berlin Air Show had been a €3.2 billion ($3.9 billion) order for 35 Airbus aircraft by Gulf Air in 2008. Merkel had opened the show on Tuesday, just as she was coming under fire from airline executives gathered for the global airline industry body’s annual meeting elsewhere in the city for a proposed air travel tax. Announcing its final orders agreed at the Berlin Air Show, Airbus said on Thursday Finnish airline Finnair and Berlin-based Germania had agreed to buy five aircraft each. Finnair signed a letter of intent to order five new A321ER aircraft worth more than €400 million that will replace Boeing 757s used for leisure flights. The airline is the first to order A321s with “Sharklet” wing tip devices that Airbus said would cut the planes’ fuel consumption by 4%. Fuel is one of an airline’s biggest cost factors, alongside staffing. Germania signed a memorandum of understanding to buy five Airbus A319s, with a total list price of $372 million. Germania chief commercial officer John Kohlsaat said in a news conference at the air show that the orders would become firm within a few days. At its meeting earlier this week, the International Air Transport Association gave a surprise forecast for a 2010 profit of $2.5 billion for the airline industry, fanning hopes the global industry would recover more quickly than expected, boosting demand for air travel and airplanes. Source: World Business - Livemint.com | 10 Jun 2010 | 5:16 am Games are going 3D in wake of Hollywood’s successRaleigh, North Carolina: With 3D movies boosting both audience experiences and box office coffers, videogame publishers are following Hollywood’s lead and developing 3D games to immerse players more into virtual worlds. Game makers like Sony Computer Entertainment, Nintendo, Electronic Arts, Capcom, Take-Two Interactive, and Warner Bros. Interactive Entertainment will unveil stereoscopic 3D video games at the E3 Expo in Los Angeles next week where over 45,000 game industry professionals check out the big titles of the next year. “Gamers are the early adopters and once they experience games in 3D, they’re not going to want to go back,” said Oscar-winning producer Jon Landau, who worked with Ubisoft last year to release the first 3D console video game, “James Cameron’s Avatar.” Sony Computer Entertainment will publicly unveil its first big 3D PlayStation 3 video game, developer Guerilla Games’ Killzone 3, at E3 which is running from June 15-17. The latest installment in the bestselling science fiction shooter franchise has been developed from the ground up to take advantage of stereo 3D. Developer Polyphony Digital is enhancing the upcoming “Gran Turismo 5” PS3 racing game into a 3D experience, which will also be on display at Sony’s booth. “3D is the natural progression of video game technology and it allows us to replicate the experience you have when driving a real car,” said Taku Imasaki, producer of “Gran Turismo 5,” Sony Computer Entertainment America. Anyone who owns a PS3 can download a free firmware upgrade to turn the game console into a 3D machine that will play both 3D video games and Blu-ray 3D movies. “When you play a (2D) video game today, it’s almost like you’re playing with one eye closed,” said David Coombes, platform research manager, Sony Computer Entertainment America. Sony is practicing synergy across its electronics, video game and home entertainment divisions to get 3D into homes. Consumers who purchase any of the new 3D Bravia TVs, which will be released in the United States next month, will get a copy of Sony Pictures Home Entertainment’s “Cloudy with a Chance of Meatballs” Blu-ray 3D and a voucher for four PS3 games. Gamers can log onto the PlayStation Network Store and download 3D demos of “PAIN” and “MotorStorm: Pacific Rift” and full 3D versions of “WipEout HD” and “Super StarDust HD.” “3D gaming is an immersive experience that adds a new dimension to home entertainment and will help drive adoption of new 3D HDTVs like Sony’s Bravia,” said Mike Abary, senior vice president of Sony’s televisions and home audio video business. Michael Cai, vice president of research at Interpret, authored a new report called “3D State of Union: Are Consumers Ready?” He found that 3D TV purchase interest among current PS3 and Xbox 360 owners doubles that of the general population. Overall, 13% of American households are interested in purchasing a 3D TV over the next 12 months. “Based on consumer data, we anticipate more than 4 million 3D TV sets to be sold in the United States in the next 12 months,” said Cai. When it comes to video games, Cai said big titles in the first-person shooter, racing, and action/adventure genres will drive consumer adoption of 3D gaming, as these genres will provide the most significant enhancements to the gaming experience. Nintendo will make a big splash at E3 with the unveiling of its Nintendo 3DS portable game device, which will feature autostereoscopic 3D technology that allows viewers to experience 3D games without wearing special glasses. Thanks to its broad spectrum of gamers across all demographics, Cai found that 27% of male gamers and 19% of female gamers plan on buying a Nintendo 3DS when it comes out this fall. An additional 35% of male gamers and 37% of female gamers may buy the gaming device. NVIDIA is another company that has been pushing stereo 3D experiences for PC games through its GeForce 3D Vision technology. The introduction of 3D laptops from companies like Asus and Toshiba has made it easier for gamers to get a 3D experience on the go. NVIDIA’s 3DTV Play, which allows 3D PC content to play on any 3D TV, has helped encourage more game developers to add stereo 3D to their games. “3D is becoming increasingly important in the gaming world, with 3D compatibility a function of all leading titles, and as we move forward content will align with a developing base of 3D-enabled consumer electronics devices,” said Patrik Pfandler, senior market analyst, Futuresource Consulting. Source: Tech News - Livemint.com | 10 Jun 2010 | 4:28 am MTN ends talks with Egypt’s Orascom on potential dealJohannesburg: South African cellular giant MTN Thursday said that it has terminated its discussions with Orascom Telecom on a potential deal to acquire some or all of its businesses. “MTN shareholders are advised that discussions (with Orascom Telecom) have been terminated and caution is no longer required to be exercised by MTN shareholders when dealing in their MTN securities,” the company said in a regulatory filing yesterday. MTN was referring to its announcement in April, regarding its talks with Weather Investments, the parent company of Orascom Telecom, for a possible takeover of the Egypt-based firm or certain of its businesses. Reportedly, MTN has been unable to strike a deal due to regulatory hurdles. Orascom operates GSM networks in Algeria, Pakistan, Egypt, Tunisia, Bangladesh and North Korea, among others. Analysts said that failure of the talk would hit MTN’s plans to expand its reach in the African market. It also assumes importance in the backdrop of Bharti Airtel recently completing the acquisition of Zain Telecom’s Africa operations for $10.7 billion to become the world’s fifth largest mobile operator with 180 million subscribers in 18 Asian and African nations. Since 2008, MTN has failed thrice to strike a partnership deal with Indian players, including twice with Bharti Airtel and once with Anil Ambani group firm Reliance Communications. Recently, media reports had suggested that RCom-MTN talks for a potential deal could be restarted in the wake of the two Ambani siblings calling a truce and deciding to scrap their non-compete agreements. However, MTN Group spokesperson said, “MTN emphatically denies being engaged in talks of any nature with RCom.” In July 2008, Anil Ambani-led Reliance Communications (RCom) called off the talks for a potential transaction with MTN, citing legal and regulatory issues. At that time, Anil was engaged in a bitter battle with elder sibling Mukesh. Source: World Business - Livemint.com | 10 Jun 2010 | 3:21 am
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