Ranbaxy sells Ciprofloxacin delivery system to Bayer
New Delhi: Ranbaxy Laboratories has sold the exclusive development and global marketing rights for its novel drug delivery system for the antibiotic Ciprofloxacin to Bayer AG of Germany.

The deal gives the Indian pharmaceutical company $10 million as signing amount and subsequent milestone payments over a two-year period. Further payments are estimated to be in excess of $50 million, depending on the speed and scope of the development.

Ranbaxy will also receive royalty payments from Bayer of up to 10 per cent of sales of the new product in various countries. The agreement is valid for 20 years.

Ranbaxy has retained the rights for marketing in India and the Commonwealth of Independent States countries.
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Air-India finalises loan deal
Mumbai: Air-India will receive a 'vanilla loan' of $100 million from the Bank of Baroda and Bank of India to meet its working capital requirements. The interest rate on the loan will be 120 basis points above the three-month Libor from the date of signing the agreement.

The loan will put an end to Air-India's effort to tie up a securitisation deal with international lenders. The airlines will have to mortgage its receivables from the US region in favour of the lending agency.
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HM to assemble Proton
Calcutta: Hindustan Motors will sign a pact  with Malaysia's car maker, Perusahaan Otomobil Nasional Bhd, or Proton, to assemble Proton cars in India.

The Indian car company is expected to import Proton parts for assembling the cars locally. A memorandum of understanding between the two companies is expected to be signed on 10 September.

The company is also planning to enter into a strategic alliance with Mitsubishi Motors for marketing its sports utility vehicle, Pajero, in India.
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Hyundai to launch LC in October
Bangalore: Hyundai Motor India will launch its luxury sedan LC in October 1999. The car, developed by Hyundai Motor Company, Korea, for international markets will be on show at the Frankfurt Motor Show starting 14 September.

Hyundai Motor India has started pilot production of the vehicle as well as manufacture of Alpha engine, transmission and other crucial components for the car at its Chennai plant, company sources said.
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Hindustan Lever sets up new subsidiary
New Delhi: Hindustan Lever has set up a wholly-owned subsidiary to market up-market skin care and cosmetic products.

The subsidiary, Aviance, will follow the direct marketing route to propagate Hindustan Lever's products like moisturisers, cleansers and ultralight foundations in various shades. The company will target some 2.5 million households.

Aviance will have a nationwide presence by January 2000, says Anil Chopra, its business head. These products will be priced slightly higher than the regular brands.
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Royal Holding to take stake in ModiLuft
Mumbai: Royal Holding Services will acquire a 54 per cent stake in ModiLuft as part of  the grounded airline's revival plan. Royal Holding will bring in Rs 75 crore to acquire the stake.

The Business Standard, in a report quoting ModiLuft chief executive officer Rex Lezard, said that with the participation of Royal Holding, ModiLuft is set to become operational by February 2000. It will start with a fleet of six aircraft, and three more will be inducted every year for the next two years.
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Indian Airlines extends Goa package
Mumbai: Indian Airlines is extending its Goa package for one more month. The travel-cum-holiday package will now be available till 31 October 1999.

The airline said it has already sold some 700 packages since the scheme was announced on 1 July. It may extend such packages to the high season, when airlines increase their fares.

Indian Airlines' Goa package offers four days and three nights in a deluxe hotel for Rs 14,599 for the Delhi-Goa sector. This includes meals, pick-up and drop-off, and a return ticket. The normal return fare on the Delhi-Goa sector is Rs 14,020. The package for Ahmedabad-Goa is Rs 10,499.
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Viacom to bring Nickelodeon channel to India
Mumbai: The US entertainment company, Viacom, will bring its children's entertainment channel Nickelodeon to India. Viacom has signed an agreement with Zee group to launch Nickelodeon as Zee's first foreign channel under the direct-to-operator plan, reports The Economic Times.

Nickelodeon has the largest audience share among children's channels in the US and one of the largest in the world. The project is awaiting clearance from the Reserve Bank of India.
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IDBI loan for Jindal power plant
New Delhi: The Industrial Development Bank of India has sanctioned a loan of Rs 100 crore to Jindal Steel and Power to set up a captive power plant at Raigarh in Madhya Pradesh.

The 55-MW capacity plant is estimated to cost Rs 207 crore. The company is tying up term loans for the balance funds.
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RiteChoice to offer integrated brokerage solutions
Chennai: A Chennai-based company, RiteChoice Technologies, will integrate IBM's Integrated Trade Management System with its own Spectrum 2000 to provide middle and back office solutions to capital markets and brokerage firms,

The IBM system is a front office online equity order routing system tailored for the Indian stock markets.

RiteChoice Technologies has sold several Spectrum 2000 modules to brokerage firms like DSP Merrill Lynch and SSKI. The integrated system will offer a straight-through processing capability, the company said.
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ITDC plans JV with German tour operator
New Delhi: The India Tourism Development Corporation is planning a joint venture with Germany's Gebr Heinemann, one of the top three global tour operators.

ITDC's chairman and director general Ashok Pradhan said the details of the joint venture are being worked out. ITDC has already appointed the German company as consultant and consolidator for warehousing and for its logistic centre for its duty-free trade division.
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India Precision Bearing to merge with LMW
Chennai: India Precision Bearing Manufacturers, a loss-making company, will merge with Lakshmi Machine Works. The amalgamation will help Lakshmi Machine Works to source components for its textile machinery manufacturing business.

Under the amalgamation scheme, India Precision Bearing shareholders will be given two options to part with their holdings -- either sell their shares at Rs 7.50 per share of Rs 10 face value or get Lakshmi Machine Works shares in the ratio of  one Rs 100 face value for every 500 shares of India Precision shares they hold.

India Precision Bearing has its manufacturing plant at Gummidippoondi near Chennai. Its management was taken over by Lakshmi Machine Works in 1989 under a scheme of revival approved by the BIFR.
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FIs block Tayal group companies' merger
Mumbai: Financial institutions have stalled the merger of two group companies of the Tayals -- Shree Krishna Polyester and Shree Krishna Petro Yarns -- with Krishna Texport Industries.

The institutions have asked the promoters to defer the merger to the next financial year.
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Videocon plans European foray
Berlin: The Videocon group is launching a new 14-inch colour TV in partnership with a European company. This will be the Rs 3,000-crore Indian group's initiative for its planned entry into the European market.

As Videocon has recently taken over a compressor manufacturing company in Italy, Necci, it is likely that Italy will be the hub for its activities in Europe. Videocon plans to import essential components to manufacture its TVs from India. The picture tube and the cabinet will be procured from European countries.
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Lucent plans more acquisitions
Singapore: Lucent Technologies is in an acquisitive mood. Michael Butcher, Lucent's chief executive officer for Asia Pacific and China, said the company is looking for acquisitions where it cannot develop technology fast enough.

Lucent will acquire companies in India for expanding its market capabilities, Mr Butcher said. It has three proposals for India.

Mr Butcher will visit India for negotiations. Lucent has made 28 acquisitions globally since 1996.
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Global Crossing plans JV for Asian network
New York: Global Crossing is forming a joint venture with Microsoft and Softbank Corporation, a Japanese internet firm, to set up a land and undersea telecommunications network in Asia at a cost of $1.3 billion.

The deal seeks to capitalise on the anticipated internet boom in Asia. The 17,700-km network, to be named East Asia Crossing, will link Japan, China, Singapore, Hong Kong, Taiwan, South Korea, Malaysia and the Philippines. It will link these nations to Global Crossing's fibre optic network that serves North America, Europe and South America.
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UAE may ban Walt Disney
Dubai: The United Arab Emirates will ban all Walt Disney products from being sold in the country if the entertainment company goes ahead with its proposal to depict Jerusalem as Israel's capital.

The UAE also called on all other Arab and Islamic countries to impose a similar ban on Walt Disney.
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Polo Ralph Lauren to buy Poloco
New York: Polo Ralph Lauren Corporation is buying Poloco of Paris along with its affiliates that hold Polo apparel and accessory licences in Europe. The deal is valued at $200 million plus $30 million in debt.

The businesses generated nearly $180 million revenue in calendar year 1998.
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Concentric to buy ITG
London: California's Concentric Network Corporation is buying Britain's Internet Technology Group for $235 million. Concentric Network is pricing Internet Technology Group's shares at 253 pence each.
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Daewoo unit financing plan rejected
Seoul: Creditors of Sangyong Motor Company, a unit of the Daewoo group, have rejected a proposal to give the company $115 million in trade finance.

A spokesman for Chohung Bank said the creditors have vetoed the proposal. A second meeting of the creditors is being planned.
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Daimler plans new entertainment system in its vans
Detroit: DaimlerChrysler is planning to introduce a rear-seat video entertainment system in its minivans. General Motors, Ford Motor and Nissan have already introduced such a system in their vehicles.
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Microsoft to invest in cable TV company
San Francisco: Microsoft announced it will invest $247 million in a cable television venture in Europe. The venture will also cover electronic commerce and internet content.

Microsoft will be a partner along with Liberty Media, a New York investment company, in a company headed by Amsterdam-based United Pan Europe Communications. Microsoft will own 7.9 per cent of United Pan Europe Communications, which runs Europe's biggest group of broadband communications networks.
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