Government may offer 20% of Indianoil to public
New Delhi: The government is considering a large-scale public offering of its holding in the Indian Oil Corporation, the country’s giant petroleum company. This is an alternative to getting a strategic partner in Indianoil, and may result in a divestment of 20 per cent of Indianoil shares owned by the government.
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Aventis Indian unit as export base
Mumbai: The Ankleshwar unit of Aventis CropScience India, earlier known as AgrEvo India, is expected to be designated as a global sourcing centre for certain agro-chemicals. One of the products being considered for this purpose is bromaconazole fungicide, which will require an investment of Rs 5-10 crore and make Rs 20 crore of exports in three years.

Aventis has been formed globally through the merger of the crop science businesses of Hoechst AG and Rhone-Poulenc SA. Its other companies in India include Rhone-Poulenc Agro India, ProAgro Seeds, and Bilag Industries.
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General Motors to invest more in India
Calcutta: General Motors India plans to invest a further Rs. 180 crore in its Indian operations in the next 18 months. It has received Foreign Investment Promotion Board permission for this.

The company, a subsidiary of General Motors of the US, may launch smaller versions of the Corsa and a station wagon in addition to imported Vectra luxury cars.

According to Rick Swando, managing director of General Motors Inia, the company has already invested Rs. 602 crore in India so far. The company makes its Opel Astra and Opel Corsa cars in its plant at Halol, near Baroda, in Gujarat. It has a capacity to make 25,000 cars annually.
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Hyundai will launch Sonata luxury car
New Delhi: Hyundai Motor India is planning to launch the EF Sonataas a luxury car for a price of Rs 10-12 lakh, it is reported. It will start a third shift at its plant in Tamil Nadu in order to cope with the increased production load.

Hyundai is considering introducing two other models, Sportage and Starex, in 2000. Sportage is a sports utility vehicle made by Kia, a company that Hyundai acquired in 1999. The Starex is a hybrid between a multi-utility vehicle and a light commercial vehicle.
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Lockout at Bata factory
Mumbai: Bata India Ltd has informed the Bombay Stock Exchange it has declared a lockout at its Peenya factory in Bangalore from 8 March. The cost of the lockout in terms of maintaining an idle plant will be up to Rs. 30 lakh per month.
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Kanan Foods to buy 7% of Agro Dutch
Mumbai: Kanan Foods Inc of the US has received approval from the Foreign Investment Promotion Board to buy a 7 per cent stake in Chandigarh-based Agro Dutch Foods Ltd on a preferential basis. The 1-million share deal has been struck at a price of Rs 150 a share.

Agro Dutch, which exports mushrooms, has already received Rs 15 crore from Kanan Foods. The company is planning to expand capacity to 50,000 tonnes per annum. Kanan Foods is starting a canning line for the US market, where it will sell mushrooms in cans of four ounces under the ‘Golden Mushroom’ brand.
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Hyatt, Marriott bid for Appu Hotels JV
Chennai: While the Hilton group has pulled out of the Rs 160-crore hotel project promoted by Appu Hotels Ltd, part of the Palani G Periaswamy, or Dharani, group, some other global chains are reported to have expressed interest in tying up. They include Hyatt, Marriott, Westin, InterContinental, Sheraton, and Meridien.
Appu Hotels officials say Hilton’s midstream withdrawal will not delay the project, which is slated to be inaugurated in May 2000.
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Vikas WSP setting up guar gum polymer project
Mumbai: Vikas WSP Ltd is reported to be building a Rs. 195-crore project in Vadodara to process guar gum polymers used in oil and gas drilling, latex paints, and explosives. The 12,600-tonnes per annum plant is expected to be operational by September 2001.

The plant will use polypropylene oxide and ethylene oxide, which will be procured locally.
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NIIT software export unit in Chennai
Chennai: The New Delhi-based NIIT Ltd has decided to build a software development centre in Chennai. The company already has software development centres in Delhi, Mumbai, and Calcutta.
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DLF Cement erodes net worth
Calcutta: The board of directors of DLF Cement Ltd has reported an erosion of 50 per cent of its peak net worth to its shareholders, as required by the Sick Industrial Companies (Special Provisions) Act. The company’s audited accounts for the year ended 30 September 1999 show accumulated losses of Rs. 155.88 crore. In the immediately preceding four financial years the company had a peak net worth of Rs. 128.48 crore.
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Dunlop Sahagunj unit re-opening
Calcutta: Dunlop India’s Sahagunj unit is ready to reopen on 11 Macrh after over two years of closure. The company has asked all its workers to report for duty. The plant makes tyres for the automotive vehicles and aircraft, and industrial rubber products.
Dunlop India has already resumed work at its Ambattur factory in Tamil Nadu.
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BIFR says no to IFCI in Torrent Gujarat case
New Delhi: The Board for Industrial and Financial Reconstruction has decided not to give the Industrial Finance Corporation of India any further time to submit its report on the revival of Torrent Gujarat Biotech Ltd. A BIFR bench has remarked that IFCI has regrettably been mixing up its role as an ‘operating agency’ with its position as a secured creditor of Torrent Gujarat.

Torrent Gujarat has now been asked to show cause by 17 March why the BIFR should not initiate the process of change in management. The IFCI will prepare a scheme based on Reserve Bank of India guidelines and submit it to the board.
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Max unit may get IFC to invest
New Delhi: The Max group is negotiating with the International Finance Corporation and the Commonwealth Development Corporation to get them to invest in its proposed healthcare project. The group has yet to finalise the financial details of the project, including the mode of financing. However, it is estimated to require an investment of about Rs 300 crore.
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