Category: Breaking Corporate India Earnings News

3i Infotech is working with the Government of Goa to implement the state’s integrated information infrastructure (I-3) project. The Government of Goa also announced on 21 August 2007, the launch of GoaOnline portal which will enable citizens to access services through the internet. A unique initiative, the project also involves the setting up of 208 citizen service centres (CSCs) and a state data centre.

As part of the project, the company will build and operate the project under the State Government’s guidance as a public-private partnership (PPP) project for a period of five years. The project is a pioneering effort by the Government of Goa as for the first time, the citizens of the state will have access to a comprehensive integrated system allowing them to avail of G2C services through both CSCs as well as a web interface. Additionally, the project will also have the capabilities to provide various B2C and B2B services

Shares of under performing and family managed company Patni Computers are trading up because of rumor that Private Equity investors may BUY stake in the company. The promoters have been slacking and are incompetent.

As per reports, private equity (PE) funds Texas Pacific Group and Apax Partners are close to purchasing the stake of two Patni brothers Ashok and Gajendra in Patni Computer Systems Limited.

The agreement between one of the private equity partners and the Patni brothers, who jointly hold 29% stake, is expected to be signed next month. Reports suggest Narendra Patni, the eldest brother and chairman and chief executive officer of the company, would buy out a part of the stake which Ashok and Gajendra had put on the block, while the private equity funds would buy the balance.

Indusind Bank Limited, yet another family managed bank which is underperforming the BSE-Bankex just a while ago denied rumours that ABN Amro Bank, Deutsch Bank and other foreign banks are interested in picking up a stake in Indusind Bank. Indusind management said it is not aware of any such developments.

Exide Industries announced during the market hours today, 21 August 2007 that a meeting of the board of directors of the company will be held on 28 August 2007 to consider rights issue of shares.

On 20 July 2007, the board of directors of the company had given their approval for acquisition of a 26% stake in a joint venture company in Australia for marketing of traction batteries. The board had also approved the acquisition of the balance 49% shareholding in its existing 51% subsidiary company Caldyne Automatics.

Exide’s net profit jumped 84% to Rs 70.11 crore on 51.4% rise in sales to Rs 663.92 crore in Q1 June 2007 over Q1 June 2006.

BHEL has won contracts worth Rs 6500 crore ($1.6 billion) for setting up power project units. It has won contracts for setting up two units of 500 mega watts (MW) each at the Koderma thermal power station in Jharkhand and two units of 500 MW each at Durgapur Steel Thermal Power Station in West Bengal. The orders have been placed by Damodar Valley Corporation (DVC).

Recently, Bhel had won a Rs 2900-crore contract for building three 500-MW units in north India.

ITC Ltd has announced the acquisition of 100% stake in Technico Pty Ltd, a producer of high-grade potato seeds. Technico is a small company with a turnover of Rs319 mn in FY2007. The acquisition through Russell Credit (ITC’s subsidiary) gives ITC access to highgrade potato seed technology and supply chain expertise needed for procurement of potatoes for its salty-snacks products. Though the company has not disclosed the cost of acquisition, and believe that the transaction is small and is unlikely to have a material impact on the company.

Kotak Securities retain outperform rating on the stock with a target price of Rs225 per share.

Rane Brake Linings Ltd has informed us that the Board of Directors of the Company at its meeting held on August 20, 2007, has taken the following decisions:

The manufacturing undertakings of the Company would be demerged into a new manufacturing Company and the equity shares of the new manufacturing Company will be listed on the Stock Exchanges.

The residual non-manufacturing business of the Company would be merged with Rane Holdings Ltd (RHL). So, for every 100 shares held in the Company, the shareholders would be allotted shares as under:

• 100 shares in the new manufacturing Company
• 75 shares in Rane Holdings Ltd

Further, their is a similar scheme of demerger in another group company, Rane Engine Valves.

Rane Engine Valves Ltd has informed us that the Board of Directors of the Company at its meeting held on August 20, 2007, has taken the following decisions:

The manufacturing undertakings of the Company would be demerged into a new manufacturing Company and the equity shares of the new manufacturing Company will be listed on the Stock Exchanges.

The residual non-manufacturing business of the Company would be merged with Rane Holdings Ltd (RHL). So, for every 100 shares held in the Company, the shareholders would be allotted shares as under:

• 100 shares in the new manufacturing Company and
• 56 shares in Rane Holdings Ltd.

Finally the Rane Group has consolidated its business to take on the new challenges as India aspires to become a global manufacturing hub.

The board of Cinevista Ltd has approved the sub-division of Rs 10 to Rs 2 per share.
Further, the board has decided to increase the authorized capital from Rs 12 crore to Rs 20 crore.

Ranbaxy Laboratories has received approval from the U.S. Food and Drug Administration to manufacture and market hydrocodone bitartrate and acetaminophen tablets USP, 75 mg/750 mg, 10 mg/500 mg, 5 mg/500 mg, and 10 mg/325 mg strengths. The office of generic drugs, U.S. FDA, has determined the Ranbaxy formulations to be bioequivalent and have the same therapeutic effect as that of the reference listed drugs as follows: 10 mg/325 mg norco tablets of watson pharmaceuticals 5 mg/500 mg vicodin tablets, and 7.5 mg/750 mg vicodin ES tablets both of abbott laboratories, and 10 mg/500 mg lortab tablets of UCB Inc.