Diversified Indian conglomerate Tata group has emerged as the world's sixth most reputed company, but the country's most valued firm Reliance Industries failed to make the grade.
Tata group leapfrogged over 100 positions from last year's 124th rank in the annual "Global 200: The World's Best Corporate Reputations" list, compiled by US-based Reputation Institute.
The global list, which includes 10 other Indian companies, has been topped by Japanese auto maker Toyota, followed by US-based internet search giant Google, Sweden's Ikea, Italy's Ferrero and another American firm Johnson & Johnson.
The Ratan Tata-led group is joined by India's second largest software exporter Infosys Technologies in the Top-50 league at 14th position.
However, at least nine other Indian firms, which were among 600 companies considered in a survey to prepare the list, could not make it to the final 200. These firms include Mukesh Ambani-led RIL, the country's biggest by revenue among private sector firms and overall largest in terms of market value.
Other Indian companies that were considered for the list, but failed to make the cut include the biggest private sector lender ICICI Bank, top private and public sector telecom firms Bharti Airtel and BSNL, IT giant Wipro, Birla group's Grasim Industries, tobacco-to-consumer goods conglomerate ITC as well as two state-run firms -- oil refining and marketing major BPCL and national carrier Air India Ltd.
While releasing its latest Global Pulse report, Reputation Institute said that Tata group and Air India have the strongest and weakest corporate reputations respectively among the companies from India.
Showing posts with label BIN. Show all posts
Showing posts with label BIN. Show all posts
Thursday, June 5, 2008
India, fourth most attractive business location
India is the fourth most attractive business location for European business houses, the fifth annual European attractiveness survey carried out by global consultancy firm Ernst & Young has said. Of the 834 decision-makers who responded to the survey, 30 per cent found India gaining investor confidence and growing as a better business destination than US and Russia.
China was rated as the most attractive business destination with 47 per cent votes followed by Central Europe (42 per cent) and Western Europe (33 per cent). The US and Russia was preferred by 21 per cent. Termed as "an open world", the European attractiveness survey sought to identify the prospects of alternative business locations and the criteria that drive the perceptions of the respondents.
According to E&Y, the survey findings underscored that the most important driving force for foreign direct investors is to access new markets and as Europe's economy slows, investors are increasingly looking to thriving economies and competitiveness elsewhere. "The survey findings further highlighted that business leaders today see the investment world as multi-polar, with destinations such as China, India, Russia and the West Asia. These relatively recent global players now present really viable competition to the developed world in the eyes of potential investors in search of investment locations", it stated.
"The world is becoming a level playing field when it comes to businesses' perceptions of their cross-border investment options," said Marc Lhermitte, Partner, Ernst & Young, France, who led the European attractiveness survey.
China was rated as the most attractive business destination with 47 per cent votes followed by Central Europe (42 per cent) and Western Europe (33 per cent). The US and Russia was preferred by 21 per cent. Termed as "an open world", the European attractiveness survey sought to identify the prospects of alternative business locations and the criteria that drive the perceptions of the respondents.
According to E&Y, the survey findings underscored that the most important driving force for foreign direct investors is to access new markets and as Europe's economy slows, investors are increasingly looking to thriving economies and competitiveness elsewhere. "The survey findings further highlighted that business leaders today see the investment world as multi-polar, with destinations such as China, India, Russia and the West Asia. These relatively recent global players now present really viable competition to the developed world in the eyes of potential investors in search of investment locations", it stated.
"The world is becoming a level playing field when it comes to businesses' perceptions of their cross-border investment options," said Marc Lhermitte, Partner, Ernst & Young, France, who led the European attractiveness survey.
Tuesday, May 13, 2008
Woman to head missile project for first time
After rising to the ranks of Lt Generals in the army and Air Marshals in the IAF, a woman is now set to head the country's key missile project.
45-year-old Dr Tessy Thomas, one of the around 200 women scientists and technicians working for the DRDO, has been cleared to be appointed to the post of project director of the upgraded version of the 2000 km-long nuclear capable Agni-II missile.
Thomas is presently the associate project director of the 3,000 km range Agni-III missile project.
Asked about the new version of Agni-II being planned, Thomas, who was honoured along with the entire team of Agni-III by the Prime Minister, said that "It is still a confidential project. It will be called Agni-II A (2)".
"I like my job. I feel I am contributing to my nation's security," Thomas, who has named her son after the country's light combat fighter Tejas, said. A BTech from Thrissur Engineering College, Calicut, and M.Tech from Pune, she is an expert on all solid system propellant.
Thomas, who did the post analysis of the failure of the first Agni-III missile, said there were some shortcomings in the test of the missile which were overcome for a smooth flawless test flight on May seven.
45-year-old Dr Tessy Thomas, one of the around 200 women scientists and technicians working for the DRDO, has been cleared to be appointed to the post of project director of the upgraded version of the 2000 km-long nuclear capable Agni-II missile.
Thomas is presently the associate project director of the 3,000 km range Agni-III missile project.
Asked about the new version of Agni-II being planned, Thomas, who was honoured along with the entire team of Agni-III by the Prime Minister, said that "It is still a confidential project. It will be called Agni-II A (2)".
"I like my job. I feel I am contributing to my nation's security," Thomas, who has named her son after the country's light combat fighter Tejas, said. A BTech from Thrissur Engineering College, Calicut, and M.Tech from Pune, she is an expert on all solid system propellant.
Thomas, who did the post analysis of the failure of the first Agni-III missile, said there were some shortcomings in the test of the missile which were overcome for a smooth flawless test flight on May seven.
Monday, May 5, 2008
ELCOT allots land for TNEB at proposed IT park
The Electronics Corporation of Tamil Nadu (ELCOT) has allotted land to the Tamil Nadu Electricity Board (TNEB) for installing power infrastructure at the proposed information technology park at Ilandhaikulam near here.
“Two 10 MVA (Mega Volt Amperes) capacity transformers will be erected at the 1.17 acres allotted along with one 110 kilo volt substation initially. Depending on the power requirement of entrepreneurs, either one or both will be enhanced to 16 MVA,” K. Balasubramanian, Chief Engineer (Distribution) of Madurai region, told The Hindu here on Monday.
The TNEB was awaiting detailed information regarding the number of units and their individual power requirements from ELCOT.
The power requirement of Ilandhaikulam IT Park would be lesser compared to the one at Vadapalanji, which was expected to occupy over 230 acres.
The Ilandhaikulam IT Park would occupy around 30 acres.
“We estimate that Vadapalanji IT Park would require a 230 kV substation along with one or two 50 MVA transformers,” he said.
The TNEB had asked for 15 acres at Vadapalanji which would include around 6 acres for the substation and rest for residential quarters for staff and other purposes. “While Ilandhaikulam does not require staff quarters in its vicinity, the Vadapalanji substation requires one,” he said.
“Two 10 MVA (Mega Volt Amperes) capacity transformers will be erected at the 1.17 acres allotted along with one 110 kilo volt substation initially. Depending on the power requirement of entrepreneurs, either one or both will be enhanced to 16 MVA,” K. Balasubramanian, Chief Engineer (Distribution) of Madurai region, told The Hindu here on Monday.
The TNEB was awaiting detailed information regarding the number of units and their individual power requirements from ELCOT.
The power requirement of Ilandhaikulam IT Park would be lesser compared to the one at Vadapalanji, which was expected to occupy over 230 acres.
The Ilandhaikulam IT Park would occupy around 30 acres.
“We estimate that Vadapalanji IT Park would require a 230 kV substation along with one or two 50 MVA transformers,” he said.
The TNEB had asked for 15 acres at Vadapalanji which would include around 6 acres for the substation and rest for residential quarters for staff and other purposes. “While Ilandhaikulam does not require staff quarters in its vicinity, the Vadapalanji substation requires one,” he said.
Tuesday, April 29, 2008
Saab Gripen to tie up with Tata, HAL
To ink contracts with Indian companies for the $10 billion IAF jet deal.
Saab Gripen, one of the six contenders in the $10-billion medium multi-role combat aircraft (MMRCA) deal, is looking to sign up Indian companies for components.
On the back of a flurry of deals signed by Boeing IDS and Lockheed Martin during the DefExpo 2008, Saab Gripen now wants to grab a slice of the pie. It plans to sign up Hindustan Aeronautics (HAL) and the Tata Group for offsets for its Gripen fighter aircraft.
Saab Gripen, one of the six contenders in the $10-billion medium multi-role combat aircraft (MMRCA) deal, is looking to sign up Indian companies for components.
On the back of a flurry of deals signed by Boeing IDS and Lockheed Martin during the DefExpo 2008, Saab Gripen now wants to grab a slice of the pie. It plans to sign up Hindustan Aeronautics (HAL) and the Tata Group for offsets for its Gripen fighter aircraft.
Tuesday, April 22, 2008
Chennai SW Companies
| Company Name | AdventNet Development Centre (India) Pvt Ltd |
| Specialization | Network management solutions for OEMs and enterprises |
| WebSite | www.adventnet.com |
| @ | |
| City |
Saturday, April 5, 2008
VW to invest Rs 1k cr more in Chakan plant
Volkswagen AG, Europe’s largest car-maker, plans to increase investment in its plant at Chakan, near Pune, by 41 per cent to produce the Skoda Fabia for the market.
Volkswagen will spend a total ¤580 million (about Rs 3,500 crore or $910 million) building the factory, said Christina Merzbach, a spokeswoman at the Wolfsburg, Germany-based carmaker.
The previously announced figure was ¤410 million (about Rs 2,500 crore or $640 million).
The added investment will pay for an assembly line for the Skoda brand’s Fabia model starting next year, Merzbach said. The plant, which will have the capacity to build 110,000 cars annually, originally was planned just to produce Volkswagen-brand models.
The Fabia is currently assembled at the Skoda Auto facility in Aurangabad.
On Thursday, Volkswagen India president Joerg Mueller said in Pune that the company was planning a bigger presence for its small cars in the Indian market in the next couple of years.
“We will manufacture the Polo at Chakan from 2010. The concept car Up!, unveiled at the Delhi Auto Expo in January, is in the process of development and will be the smallest car offered by the company,” Mueller said.
He pointed out that Volkswagen had no plans to compete with the Maruti 800 or the Nano. “We are developing Up! with a completely different technology. It is just a concept car and we won’t launch it before 2012,” he said.
The Polo would be priced at about Rs 4.30 lakh and the smallest model in this range, the concept car Up! would be available at about Rs 1.80 lakh.
The plant coming up at Chakan will have a flexible assembly line to make a range of cars. Volkswagen also plans to import its premier car models, Phaeton and Touareg, from May, Mueller said.
About other brands, Mueller pointed out that Volkswagen’s celebrated car Jetta would be on the Indian roads by the end of May. or some time in June. “We have priced Jetta between Rs 13 lakh and Rs 15 lakh. It will be assembled at the Aurangabad plant.”
The company is also planning a vendors park on a part of the 575-acre site at Chakan. “We are in the process of finalising a developer to set up the park. We have asked our vendors, suppliers and component makers to occupy space inside this park only,” Mueller said.
Volkswagen will spend a total ¤580 million (about Rs 3,500 crore or $910 million) building the factory, said Christina Merzbach, a spokeswoman at the Wolfsburg, Germany-based carmaker.
The previously announced figure was ¤410 million (about Rs 2,500 crore or $640 million).
The added investment will pay for an assembly line for the Skoda brand’s Fabia model starting next year, Merzbach said. The plant, which will have the capacity to build 110,000 cars annually, originally was planned just to produce Volkswagen-brand models.
The Fabia is currently assembled at the Skoda Auto facility in Aurangabad.
On Thursday, Volkswagen India president Joerg Mueller said in Pune that the company was planning a bigger presence for its small cars in the Indian market in the next couple of years.
“We will manufacture the Polo at Chakan from 2010. The concept car Up!, unveiled at the Delhi Auto Expo in January, is in the process of development and will be the smallest car offered by the company,” Mueller said.
He pointed out that Volkswagen had no plans to compete with the Maruti 800 or the Nano. “We are developing Up! with a completely different technology. It is just a concept car and we won’t launch it before 2012,” he said.
The Polo would be priced at about Rs 4.30 lakh and the smallest model in this range, the concept car Up! would be available at about Rs 1.80 lakh.
The plant coming up at Chakan will have a flexible assembly line to make a range of cars. Volkswagen also plans to import its premier car models, Phaeton and Touareg, from May, Mueller said.
About other brands, Mueller pointed out that Volkswagen’s celebrated car Jetta would be on the Indian roads by the end of May. or some time in June. “We have priced Jetta between Rs 13 lakh and Rs 15 lakh. It will be assembled at the Aurangabad plant.”
The company is also planning a vendors park on a part of the 575-acre site at Chakan. “We are in the process of finalising a developer to set up the park. We have asked our vendors, suppliers and component makers to occupy space inside this park only,” Mueller said.
Thursday, April 3, 2008
VW's Polo to be priced around Rs 4 lakh
Volkaswagen is expected to price its small car Polo above Rs 4 lakh, and is planning to import premium models Phaeton and Touareg from May.
Volkswagen will start production from its Chakan plant near Pune from January 2009. Joerg Mueller, president, Volkswagen India, said: "We will manufacture the small car Polo at the Chakan plant from 2010, and the car would be priced around Rs 4.35 lakh. The concept car Up, presented at the Delhi Auto Expo in January, is in the process of development. It would be the smallest possible car by Volkswagen, and could be priced around Rs 1.80 lakh."
He added that Volkswagen has no plans to compete with existing small car brands like Maruti 800 or Nano. "We are developing Up in a completely different way, and the technology is totally different from the one being used by Indian brands. Up is just a concept car, and we won't launch it before 2012," he said.
Mueller pointed out that Jetta would be on the Indian roads from May-end or June. "We have priced Jetta between Rs 13 lakh and Rs 15 lakh, and it would be assembled at the Aurangabad plant. Two other cars, Phaeton and Touareg, would soon be fully imported," he added.
Volkswagen will start production from its Chakan plant near Pune from January 2009. Joerg Mueller, president, Volkswagen India, said: "We will manufacture the small car Polo at the Chakan plant from 2010, and the car would be priced around Rs 4.35 lakh. The concept car Up, presented at the Delhi Auto Expo in January, is in the process of development. It would be the smallest possible car by Volkswagen, and could be priced around Rs 1.80 lakh."
He added that Volkswagen has no plans to compete with existing small car brands like Maruti 800 or Nano. "We are developing Up in a completely different way, and the technology is totally different from the one being used by Indian brands. Up is just a concept car, and we won't launch it before 2012," he said.
Mueller pointed out that Jetta would be on the Indian roads from May-end or June. "We have priced Jetta between Rs 13 lakh and Rs 15 lakh, and it would be assembled at the Aurangabad plant. Two other cars, Phaeton and Touareg, would soon be fully imported," he added.
Wednesday, March 26, 2008
India is 3rd most brand conscious country
An improving economy and the rapid opening up of the Indian market has given rise to a group of affluent consumers who are more than eager to adopt the latest fashion trends. According to the latest Nielsen Global Luxury Brands Study, 35% Indians who participated in the survey agreed to buying designer brands. This is the third highest percentage globally with Greece leading the countries with 46%, followed by Hong Kong with 38%. Despite the prevalence of imitation designer-branded goods in some markets, surprisingly more than three-fourth of Indians surveyed do not think that imitation products match up to the real deal.
The top brands that Indian consumers spend on are Calvin Klein (34%), Gucci (25%), Diesel (24%), Christian Dior (16%), and DKNY (10%). India has also made it to the top ten markets globally for some of the brands. India ranks third highest globally for people who buy Gucci products. It ranks sixth for Calvin Klein, ninth for Diesel, and tenth for Fendi for buying these brands globally.
“People are travelling overseas more frequently now and quite likely their interactions with foreign brands have increased considerably. Moreover, foreign brands are synonymous to status and our survey finds that 57% of Indians surveyed buys designer brands as a status symbol. The number of outlets that these brands have opened up in the country in recent times is a testimony in itself of the increasing fashion consciousness amongst Indians,” said Vatsala Pant, associate director, client solutions, The Nielsen Company.
Though 73% Indians feel that designer brands are usually overpriced for what they are, 35% also believe that designer brands are of a significantly higher quality than standard brands. India stands eighth globally which thinks designer brands are quality products and invest in it despite of the price. About 45% Indians think that only fashion conscious people consider buying designer brands.
“There seems to be a huge market potential for luxury brand line extensions into every corner of the home and office and cross-over between brands and products is certainly an opportunity to drive the demand for these products,” added Pant.
The top brands that Indian consumers spend on are Calvin Klein (34%), Gucci (25%), Diesel (24%), Christian Dior (16%), and DKNY (10%). India has also made it to the top ten markets globally for some of the brands. India ranks third highest globally for people who buy Gucci products. It ranks sixth for Calvin Klein, ninth for Diesel, and tenth for Fendi for buying these brands globally.
“People are travelling overseas more frequently now and quite likely their interactions with foreign brands have increased considerably. Moreover, foreign brands are synonymous to status and our survey finds that 57% of Indians surveyed buys designer brands as a status symbol. The number of outlets that these brands have opened up in the country in recent times is a testimony in itself of the increasing fashion consciousness amongst Indians,” said Vatsala Pant, associate director, client solutions, The Nielsen Company.
Though 73% Indians feel that designer brands are usually overpriced for what they are, 35% also believe that designer brands are of a significantly higher quality than standard brands. India stands eighth globally which thinks designer brands are quality products and invest in it despite of the price. About 45% Indians think that only fashion conscious people consider buying designer brands.
“There seems to be a huge market potential for luxury brand line extensions into every corner of the home and office and cross-over between brands and products is certainly an opportunity to drive the demand for these products,” added Pant.
Friday, March 21, 2008
SBI's first Saudi branch in Jeddah soon
State Bank of India (SBI), which got a licence from Saudi Arabian Monetary Agency (SAMA) last year to open its full-fledged branch in the kingdom, will open its first branch in Jeddah soon.
J Parameshwarappa, general manager, SBI (Saudi Arabia), has inked the building lease, and the branch will be located at Al-Andalus Plaza on Sitteen Street in Jeddah.
The bank has, in recent years, sought to expand its overseas operations by buying foreign banks, launching new products and services for foreigners and the Indian diaspora as well as opening new branches in different countries including the Gulf states.
The bank's branch here will go a long way in meeting the requirements of businessmen and Indian expatriates. The Indian community has welcomed the SBI branch in Jeddah.
J Parameshwarappa, general manager, SBI (Saudi Arabia), has inked the building lease, and the branch will be located at Al-Andalus Plaza on Sitteen Street in Jeddah.
The bank has, in recent years, sought to expand its overseas operations by buying foreign banks, launching new products and services for foreigners and the Indian diaspora as well as opening new branches in different countries including the Gulf states.
The bank's branch here will go a long way in meeting the requirements of businessmen and Indian expatriates. The Indian community has welcomed the SBI branch in Jeddah.
Thursday, March 20, 2008
Short-selling to begin from April 21
The Securities and Exchange Board of India (Sebi) on Wednesday said short-selling and securities lending and borrowing will be operationalised from April 21.
The circular asked stock exchanges and depositories to make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the decision, bring the provisions of the circular to the notice of the member brokers/clearing members, depository participants and communicate to the Sebi the status of the implementation of the provisions of the circular in the monthly development report submitted to the market regulator.
Sebi had come out with a circular on December 20, 2007, specifying the broad framework for short selling by institutional investors and a full-fledged securities lending and borrowing scheme for all market participants.
The circular asked stock exchanges and depositories to make necessary amendments to the relevant bye-laws, rules and regulations for the implementation of the decision, bring the provisions of the circular to the notice of the member brokers/clearing members, depository participants and communicate to the Sebi the status of the implementation of the provisions of the circular in the monthly development report submitted to the market regulator.
Sebi had come out with a circular on December 20, 2007, specifying the broad framework for short selling by institutional investors and a full-fledged securities lending and borrowing scheme for all market participants.
Wednesday, March 12, 2008
2 Tata firms to raise $1 billion each
Company's motor venture may use the funds to finance Jaguar, Land Rover buy.
Tata Motors, the country’s leading bus and truck maker and third-ranked passenger vehicle maker, plans to raise Rs 4,000 crore ($1 billion) by issuing appropriate securities in the foreign and domestic markets.
Its board of directors at a meeting held today gave an in-principle approval for the fund raising plan, to be raised in one or more tranches.
The funds raised will be over and above the Rs 10,000-12,000 crore capital expenditure (capex) plan announced earlier by the company for increasing capacity and launching new products in the Indian and overseas markets.
The Rs 4,000 crore thus raised would only part-finance the company’s acquisition plans or alliances in India and abroad, said a company release. The company may use the proceeds to partly fund the acquisition of luxury brands -- Jaguar and Land Rover.
“The company has major growth plans for expanding in the domestic and global markets in both the commercial and passenger vehicle businesses. This may require expenditure on organic growth over the next 3-4 years and the acquisition opportunities will have to be financed upfront,” said a Tata Motors release.
The company is also believed to be in the final round of negotiations with Ford Motor Co (FMC) to buy Jaguar and Land Rover (JLR), an announcement in this regard is due before March-end.
Collectively, the deal is expected to set Tata Motors back by $3 billion (Rs 12,000 crore), according to international media reports.
These funds may also be used for immediate expansion of the Nano car project. This project would require quick response from the company as the demand for the car was expected to go through the roof after the bookings open in June, said an analyst.
Currently, acquisition financing has become tough as companies face higher prices for raising high-yield bonds for takeovers, according to the analyst. Tata Motors is involved in advanced talks with leading banks around the world to raise funds to finance the JLR deal.
The loan, expected to be mostly short-term bridge financing, is larger than the expected purchase price, estimated to be around $2 billion. Citigroup and JP Morgan are the advisors to the deal.
The company’s stock has taken a beating at the Bombay Stock Exchange ever since it was named as the preferred bidder on January 3 by Ford. The stock has fallen by almost 14 per cent from Rs 763 per share.
The stock closed 2.28 per cent down or Rs 15.35 on the volatile BSE at Rs 658.55 per share as against its previous close of Rs 673.90 per share.
Tata Motors, the country’s leading bus and truck maker and third-ranked passenger vehicle maker, plans to raise Rs 4,000 crore ($1 billion) by issuing appropriate securities in the foreign and domestic markets.
Its board of directors at a meeting held today gave an in-principle approval for the fund raising plan, to be raised in one or more tranches.
The funds raised will be over and above the Rs 10,000-12,000 crore capital expenditure (capex) plan announced earlier by the company for increasing capacity and launching new products in the Indian and overseas markets.
The Rs 4,000 crore thus raised would only part-finance the company’s acquisition plans or alliances in India and abroad, said a company release. The company may use the proceeds to partly fund the acquisition of luxury brands -- Jaguar and Land Rover.
“The company has major growth plans for expanding in the domestic and global markets in both the commercial and passenger vehicle businesses. This may require expenditure on organic growth over the next 3-4 years and the acquisition opportunities will have to be financed upfront,” said a Tata Motors release.
The company is also believed to be in the final round of negotiations with Ford Motor Co (FMC) to buy Jaguar and Land Rover (JLR), an announcement in this regard is due before March-end.
Collectively, the deal is expected to set Tata Motors back by $3 billion (Rs 12,000 crore), according to international media reports.
These funds may also be used for immediate expansion of the Nano car project. This project would require quick response from the company as the demand for the car was expected to go through the roof after the bookings open in June, said an analyst.
Currently, acquisition financing has become tough as companies face higher prices for raising high-yield bonds for takeovers, according to the analyst. Tata Motors is involved in advanced talks with leading banks around the world to raise funds to finance the JLR deal.
The loan, expected to be mostly short-term bridge financing, is larger than the expected purchase price, estimated to be around $2 billion. Citigroup and JP Morgan are the advisors to the deal.
The company’s stock has taken a beating at the Bombay Stock Exchange ever since it was named as the preferred bidder on January 3 by Ford. The stock has fallen by almost 14 per cent from Rs 763 per share.
The stock closed 2.28 per cent down or Rs 15.35 on the volatile BSE at Rs 658.55 per share as against its previous close of Rs 673.90 per share.
Tuesday, March 11, 2008
Tata Motors to raise Rs 4,000cr
Tata Motors is planning to raise Rs 4,000 crore of long-term resources by issuing securities in the domestic and overseas markets.
According to a release issued by the company to the BSE today, the funds are being raised to part-finance overall funding requirements to meet strategic plans.
The company has major growth plans for expanding its position in the domestic and global markets in both the commercial vehicle and passenger vehicle business. This will be achieved by upgrading and enhancing the company's product portfolio, expanding manufacturing facilities in India and strategic acquisitions or alliances in India and abroad.
"While this may require incurrence of expenditure for organic growth over the next 3-4 years, the acquisition opportunities will have to be financed upfront. The said funds are being raised to part-finance overall funding requirements to meet some of the strategic plans," the statement added.
According to a release issued by the company to the BSE today, the funds are being raised to part-finance overall funding requirements to meet strategic plans.
The company has major growth plans for expanding its position in the domestic and global markets in both the commercial vehicle and passenger vehicle business. This will be achieved by upgrading and enhancing the company's product portfolio, expanding manufacturing facilities in India and strategic acquisitions or alliances in India and abroad.
"While this may require incurrence of expenditure for organic growth over the next 3-4 years, the acquisition opportunities will have to be financed upfront. The said funds are being raised to part-finance overall funding requirements to meet some of the strategic plans," the statement added.
Monday, March 10, 2008
Free ATM cash withdrawal from April 1, 2009
The Reserve Bank of India (RBI) on Monday directed banks to permit customers of one bank the free use of ATMs of other banks for all transactions from April 1, 2009. Meanwhile, customers can now walk into any bank ATM and check their account balance free of cost, according to an RBI notification.
The central bank, in a draft circular on ATMs in February, had proposed that customers should be able to access any ATM installed in the country free of charge through an equitable cooperative initiative by banks.
The central bank had rejected banks’ plea to cap the number of free cash withdrawals every month by saying that such a cap was not desirable and not practical. However, banks will have the freedom to fix the service charge on cash withdrawal through credit cards and for ATMs located abroad.
Banks with a large ATM network had cried foul over the free ATM use after RBI had said the use of ATMs of own banks for any purpose and of other banks for balance enquiries should be free of cost with immediate effect.
For withdrawal of cash from ATMs of other banks, RBI has asked them to cap charges at the rates prevailing as on December 23, 2007, and to reduce all charges to a maximum of Rs 20 per transaction from up to Rs 55 charged now from March 31, 2008. It has further directed banks to ensure cash withdrawal from any bank ATMs should be free of cost from April 2009.
As of December-end 2007, the number of ATMs deployed in India was 32,342. RBI Deputy Governor V Leeladhar had earlier indicated that commercial banks, which were raking in huge profits, needed to temper the urge to levy a fee on ATM transactions.
Banks were making profits in the region of Rs 2,000-3,000 crore. Many of them were prompt to announce how they had posted profits higher than those of competing banks every quarter, he had said.
The RBI deputy governor had said banks should do something for clients. The cost of setting up an ATM has come down from Rs 30 lakh a unit a few years ago to Rs 6 lakh now.
The central bank, in a draft circular on ATMs in February, had proposed that customers should be able to access any ATM installed in the country free of charge through an equitable cooperative initiative by banks.
The central bank had rejected banks’ plea to cap the number of free cash withdrawals every month by saying that such a cap was not desirable and not practical. However, banks will have the freedom to fix the service charge on cash withdrawal through credit cards and for ATMs located abroad.
Banks with a large ATM network had cried foul over the free ATM use after RBI had said the use of ATMs of own banks for any purpose and of other banks for balance enquiries should be free of cost with immediate effect.
For withdrawal of cash from ATMs of other banks, RBI has asked them to cap charges at the rates prevailing as on December 23, 2007, and to reduce all charges to a maximum of Rs 20 per transaction from up to Rs 55 charged now from March 31, 2008. It has further directed banks to ensure cash withdrawal from any bank ATMs should be free of cost from April 2009.
As of December-end 2007, the number of ATMs deployed in India was 32,342. RBI Deputy Governor V Leeladhar had earlier indicated that commercial banks, which were raking in huge profits, needed to temper the urge to levy a fee on ATM transactions.
Banks were making profits in the region of Rs 2,000-3,000 crore. Many of them were prompt to announce how they had posted profits higher than those of competing banks every quarter, he had said.
The RBI deputy governor had said banks should do something for clients. The cost of setting up an ATM has come down from Rs 30 lakh a unit a few years ago to Rs 6 lakh now.
Videocon lines up Rs 6,000 cr for GSM services, plans May launch
Consumer durables major Videocon Industries has firmed up its telecom plans and is making an initial investment of Rs 6,000 crore for rolling out GSM services, notwithstanding spectrum and legal issues besieging the sector.
AIMING HIGH
Videocon plans to commence operations in two months through subsidiary Datacom Solutions
Open to renting of spectrum from other players
Eyes 4 crore subscribers in the next 5 years
Datacom Solutions to break even in the next 2 years
The services will be launched through its subsidiary, Datacom Solutions, by May. In case of a delay in spectrum allocation, the company may opt for taking spectrum on lease.
In another important move, the company has roped in former Alcatel-Lucent president and managing director (India and South Asia) Ravi Sharma to head its telecom operations.
This is the first instance of the head of a global telecom infrastructure major moving over to a service provider. However, this could become a trend as others in a situation of talent crunch will follow suit.
Videocon Chairman and Managing Director Venugopal Dhoot confirmed the development, “We are making an initial investment of Rs 6,000 crore to kick-start the services across all the 23 circles in the country. The investment would be made immediately and we would look at increasing capital expenditure depending on growth.”
The Rs 6,000-crore investment would be made immediately to roll out the services, while the company has completed all technical formalities and is awaiting spectrum allocation.
“We don’t think the spectrum allocation would be delayed as start-up spectrum is available in many circles. Moreover, spectrum is also lying unused that will be offered to new entrants,” Dhoot said.
In the worst case of spectrum allocation being delayed, Datacom Solutions would take spectrum and infrastructure on lease from the existing players.
Datacom would rope in over 4 crore subscribers in the next five years and expected to break even in the next couple of years, he added.
The department of telecommunications (DoT) is planning to allocate spectrum in four circles – Andhra Pradesh, Kerala, Orissa and Tamil Nadu (including Chennai) – to new licensees.
The move comes after the wireless planning and co-ordination (WPC) cell of DoT has identified 4.4 MHz spectrum under the 1,800 MHz band lying vacant in these 4 circles. This was expected to benefit nine new entrants, including Datacom Solutions.
Although renting out spectrum is not permitted under the existing telecom policy, DoT is looking at this option to enable new players commence operations.
Datacom Solutions has been awarded Universal Access Service Licence (UASL) that permits commencing telecom operations in all the 23 circles. The company is also leading the queue for spectrum allocation in these circles, except Mumbai and Delhi, where it is in the second position.
Dhoot also said that the company had completed all the technical formalities for the rollout. However, the company has neither engaged any handset manufacturer nor plans to manufacture handsets. Subscribers have been given the freedom to opt for handsets from the market.
Besides engaging Ravi Sharma as chief executive officer of Datacom Solutions, the company has appointed around 200 administrative staff for the rollout.
Alcatel-Lucent has recently rejigged India and South Asian operations by elevating Sharma as advisor to Frederic Rose, the president of Alcatel-Lucent’s Europe, Africa and Asia business. The company had appointed Vivek Mohan in his place.
AIMING HIGH
Videocon plans to commence operations in two months through subsidiary Datacom Solutions
Open to renting of spectrum from other players
Eyes 4 crore subscribers in the next 5 years
Datacom Solutions to break even in the next 2 years
The services will be launched through its subsidiary, Datacom Solutions, by May. In case of a delay in spectrum allocation, the company may opt for taking spectrum on lease.
In another important move, the company has roped in former Alcatel-Lucent president and managing director (India and South Asia) Ravi Sharma to head its telecom operations.
This is the first instance of the head of a global telecom infrastructure major moving over to a service provider. However, this could become a trend as others in a situation of talent crunch will follow suit.
Videocon Chairman and Managing Director Venugopal Dhoot confirmed the development, “We are making an initial investment of Rs 6,000 crore to kick-start the services across all the 23 circles in the country. The investment would be made immediately and we would look at increasing capital expenditure depending on growth.”
The Rs 6,000-crore investment would be made immediately to roll out the services, while the company has completed all technical formalities and is awaiting spectrum allocation.
“We don’t think the spectrum allocation would be delayed as start-up spectrum is available in many circles. Moreover, spectrum is also lying unused that will be offered to new entrants,” Dhoot said.
In the worst case of spectrum allocation being delayed, Datacom Solutions would take spectrum and infrastructure on lease from the existing players.
Datacom would rope in over 4 crore subscribers in the next five years and expected to break even in the next couple of years, he added.
The department of telecommunications (DoT) is planning to allocate spectrum in four circles – Andhra Pradesh, Kerala, Orissa and Tamil Nadu (including Chennai) – to new licensees.
The move comes after the wireless planning and co-ordination (WPC) cell of DoT has identified 4.4 MHz spectrum under the 1,800 MHz band lying vacant in these 4 circles. This was expected to benefit nine new entrants, including Datacom Solutions.
Although renting out spectrum is not permitted under the existing telecom policy, DoT is looking at this option to enable new players commence operations.
Datacom Solutions has been awarded Universal Access Service Licence (UASL) that permits commencing telecom operations in all the 23 circles. The company is also leading the queue for spectrum allocation in these circles, except Mumbai and Delhi, where it is in the second position.
Dhoot also said that the company had completed all the technical formalities for the rollout. However, the company has neither engaged any handset manufacturer nor plans to manufacture handsets. Subscribers have been given the freedom to opt for handsets from the market.
Besides engaging Ravi Sharma as chief executive officer of Datacom Solutions, the company has appointed around 200 administrative staff for the rollout.
Alcatel-Lucent has recently rejigged India and South Asian operations by elevating Sharma as advisor to Frederic Rose, the president of Alcatel-Lucent’s Europe, Africa and Asia business. The company had appointed Vivek Mohan in his place.
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