Month: December 2007

Tata Communications, [Formerly VSNL] has launched WiMax technology based broadband in Bangalore. This step is definitely in the right direction for Tata’s to expand broadband presence.

In a separate development, group company Tata Teleservices Maharashtra has approved the issue and allotment of an aggregate of 1,10,61,697 equity shares of Rs 10 each to the investors who have exercised their right to convert FCCBs of US$ 6,100,000 held by them into equity shares. The equity shares have been issued and allotted at a premium of Rs 14.49 per equity share in accordance with the terms of the FCCB issue.

Previously the conversion price was Rs 24.96 per share according the terms of the issue, it got adjusted to Rs 24.49 per share after the rights issue of shares of the company in January 2007. The deemed date of allotment of the equity shares is 14 December 2007.

Out of the total FCCBs of US$ 125 million issued by the company in June 2004, FCCBs aggregating US$ 108.37 million have so far been converted into 19,43,50,346 equity shares of the company. Tata Group holding stands marginally reduced to 65.85% as a consequence of the above allotment.

Nicholas Piramal India and Kyoto, Japan based ARKRAY Inc., have entered into a 49:51 joint venture to market diagnostic products, mainly self-monitoring blood glucose system in the Indian market. ARKRAY, Inc. is a market leader in the elf- monitoring blood glucose market in Japan with a dominant market share. Its products are also distributed in over 80 countries around the world.

Under the agreement, the company will transfer all its existing blood glucose monitoring business into the joint venture for a consideration of Rs 40 million. The joint venture will market these products and will also launch other blood glucose-monitoring Systems of ARKRAY, Inc. including new product in India. The blood glucose system market in India is estimated to be more than Rs 1 billion in size and is estimated to be growing around 20% per annum.

The board meeting of Global Broadcast News will be held on 19 December 2007 to consider and approve the scheme of arrangement with BK Fincap and Jagran TV for consolidation of IBN-7 Channel with the company and to split the face value of the equity shares of the company.

Television Eighteen India has informed us that Network18, India’s leading media conglomerate and Jagran Prakashan (JPL), one of India’s most acclaimed print majors & publisher of India’s largest read daily Dainik Jagran have announced a 50:50 joint venture initiative in the business print space. The primary mandate of this joint venture will be to launch a hindi business daily for the Indian market in 2008.
Subsequently, this will be followed by other Indian language dailies focused on financial and economic news.

This joint venture will in effect create a new category of local language business dailies within the India print space, as this will be the first Hindi business paper to hit the market nationally. This venture also marks an expansion of print offerings from Network 18 into the dailies space, post the recent announcement of its magazine publishing arrangement with Forbes media and ownership control of Infomedia, India’s leading publishers in the B2B media space. This venture is also a reiteration of JPL’s intent and commitment to provide its readers news and information in all genres.

Merrill Lynch International has picked up 12.74% stake in Resurgere Mines & Minerals India (RMMI), which is engaged in the business of extraction, processing and sale of mineral products and exploration and development of mining assets. RMMI has diverse product range consisting of various forms of iron ore such as Lump ore, Size ore, Calibrated Lump ore (CLO) and Iron ore fine etc. and bauxite. It sells all these products domestically except iron ore fines which it exports to China.

The Company currently operates in Nuagaon, Kendujhargarh district and Maharajpur, Mayurbhanj district of Orissa and it purports to commence operations in Singhbhum district of Jharkhand in the near future. It has entered in to long term contracts for these mines, Nuagoan and Maharajpur, with the leaseholders for raising and purchasing of iron ore. It has also entered into similar arrangement with a leaseholder in a mining area in the West Singhbhum district of Jharkhand for the raising of iron ore and then supply of entire production of the mine to it. All the three mines carry high quality iron ore of about 62% – 64% Fe content.