Category: Breaking Corporate India Earnings News

With the Government of India creating un-necessary hurdles in allotting barren lands to Corporates, companies are looking overseas for land acquisitions for their global dreams. Just a while ago, we have been informed by the management of Karuturi Global Ltd that the Company has completed its acquisition of 100,000 acres of land in Ethiopia, for cultivation of rice, vegetables, palm oil and sugarcane. The Company is in the process of acquiring a further land bank of 650,000 acres of land in Ethiopia.

At the time of declaring financial results for the year ended 31 March 2008 (FY 2008) during trading hours yesterday, 28 May 2008, Tata Motors announced plans to raise about Rs 7,200 crore through three simultaneous but unlinked rights issues to be used for financing the Jaguar-Land Rover acquisition. However the offer price, ratio and conversion prices of the rights issues will be announced later.

The first issue would consist of normal shares on a right basis amounting to Rs 2,200 crore. The second would raise up to Rs 2,000 crore through issue of “A” equity shares having one vote for every 10 shares. A further amount of Rs 3,000 crore is proposed to be raised through a third rights issue of five-year 0.5 per cent convertible preference shares (CCPs), optionally convertible into “A” equity shares after three years but before five years from the date of allotment.

The company had also proposed to raise about $500/600 million through an appropriate issue of securities in the foreign markets on terms to be decided at that time.

The management of Compucom Software Limited has informed us that the company has been awarded an ICT project by Secondary Education Department, Government of Rajasthan to
provide Computer Education on BOOT basis in 2292 Govt. Schools of Rajasthan.

The contract value is worth Rs 142 Crore (Approximate).

The substantially higher subsidy bill is a part of the strategy of the government to safeguard farmers from sharp price spiral for both raw materials and finished fertilisers in the global market.

Fertiliser shares had risen in a weak market yesterday, 27 May 2008, when the news of higher subsidy hit the market during trading hours. On that day, Nagarjuna Fertilisers and Chemicals rose 2.36% to Rs 45.55, Rashtriya Chemicals and Fertilisers gained 1.04% to Rs 67.90, and Chambal Fertilisers and Chemicals jumped 6.85% to Rs 76.40

Meanwhile, the government’s new fertiliser investment policy is likely to be finalised in the next two to three weeks. The new policy will aim at linking production cost of new fertiliser units to the international prices, in order to encourage fresh investments in the sector.

We have just been alerted by the management of Sita Shree Food Products that the company has received 400 metric ton orders from one of its valued customer Reliance Retail’s subsidiary Reliance Fresh, prevailing month to deliver Wheat flour and pulses which is increased about 250% from the last order of 160 MT.

Sita Shree is equipped with own manufacturing and marketing unit to increase and grow their sales with their well experienced personnel. The directors of the company has wide & depth knowledge of grains and pulses market to expand and grow the profitability of the company.

WNS holdings is looking to buy out ICICI Bank’s entire stake and mop up shares held by some other private equity investors in Firstsource Solutions. ICICI Bank is the single largest shareholder in Firstsource Solutions (FSL), holding 24.84% stake (as at end March 2008).

Firstsource is among India’s leading business process outsourcing (BPO) companies providing business process management services to global leaders in banking & financial services, telecom & media and healthcare domains.