India Cements finally takes over Sri Vishnu
Hyderabad: India Cements has finally acquired a controlling stake in Sri Vishnu Cements, thus putting an end to one of India's most controversial corporate takeover battles. In an out-of-court settlement between N. Srinivasan, vice-chairman and managing director, Indian Cements, and B.V. Raju, chairman, Sri Vishnu Cements, India Cements acquired 88.5 per cent equity stake in Sri Vishnu Cements. Mr Srinivasan later told the press: "We have acquired Sri Vishnu Cements at a cost of Rs 115 crore. The acquisition will be eventually funded through an issue of preference shares and a fresh issue of equity shares." With this, India Cements' capacity will go over nine million tonnes a year.

India Cements is also coming out with an open offer to acquire the balance of Sri Vishnu Cement's equity.

Mr Raju said later that in view of his age and keeping in mind the stakeholders' interest, he had decided to divest the stake in the company. He also said the younger generation in the family is more interested in high technology areas like software.
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Glaxo may set up arms for research, export
Mumbai: Glaxo Wellcome is mulling the idea of 100 per cent subsidiaries in India for research and export purposes. The multinational is thinking in terms of increasing its research and development activities in India in view of greater intellectual property protection available in the country.

Glaxo Wellcome's chairman Richard Sykes says intellectual property protection is stronger in India and Glaxo will seriously think of "putting more research into the country".

Glaxo India managing director Homi Khusrokhan discounted chances of the company setting up a wholly-owned subsidiary immediately. He said no company will be set up to take business away from the existing Glaxo entities in India, but the parent could look at wholly-owned subsidiaries in areas such as research and exports.
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Telco's large car to be ready in January
Mumbai: Tata Engineering and Locomotive Company will introduce its first large passenger car in January 2000. Telco chairman Ratan Tata said the car will be on show at the annual automobile industry fair in New Delhi.

Mr Tata said the large passenger car will be produced both in petrol and diesel versions. The petrol version will have a 137 bhp engine.
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Sun setting up research campus
Mumbai: Sun Pharmaceuticals is establishing a research campus in Chennai at an investment of Rs 40 crore. The new facility will focus on new drug research. The Chennai centre will be Sun's third after such centres in Baroda and Mumbai. At present it has 150 scientists on its rolls and with the Chennai campus becoming functional, the number will double, a company spokesman said.

The Baroda-based centre has developed over 30 bulk actives and 70 dosage forms, while the Mumbai centre has developed and transferred 21 products to the company's US associate Caraco Pharm Labs of Detroit. The company will also associate reputed educational institutions like Indian Institutes of Technology and the Indian Institute of Science in its research projects and it is setting up a scientific advisory board for the purpose.
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Neuland to export to US
Mumbai: Neuland Laboratories, a bulk drug manufacturer, has entered the US market for cardiovasculars and fluroquinolones. The company has appointed a distributor in the US to sell ciprofloxacin, ofloxacin, ipratropium bromide and intraconazole, while another distributor will sell cardiovascular drugs Sotalol Hcl, Labetalol Hcl and enalapril maleate in the US and Canadian markets. The company has been given approval by the US Food and Drug Administration to export bulk drug ranitidine hydrochloride to the US.
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Govt to divest more Hindustan Zinc stake
New Delhi: The government of India plans to mobilise Rs 150 crore through a new round of disinvestment in Hindustan Zinc, the country's second largest zinc producer. The government proposes to offer 25 per cent of its stake in the company to retail investors. The disinvestment is expected to be carried out through a public offer of around 10 crore shares at a price of around Rs 14 to Rs 15 per share. With this disinvestment, the government's stake in the company will come down to 51 per cent.
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Daewoo India to issue shares to parent
Mumbai: Daewoo Motors India is planning to issue shares of around Rs 433 crore on a preferential basis to Korean parent Daewoo Motor Company. The Indian company has notified the Bombay Stock Exchange about this.

Daewoo Motors India has drawn up plans to increase its capacity to 150,000 cars which is to be implemented in 2001. The Korean parent has set a target of at least six per cent of its global car production of 2.5 million, expected to be achieved by 2002, to be from its Indian operations. Daewoo Motors India has a capacity to make 72,000 cars at present.
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TekEdge to set up intelligence centre
Bangalore: TekEdge Corporation is setting up a corporate intelligence centre in India. The $80 million company, which supplies global professional and managed application services, expects the centre to support its e-business service offering and provide comprehensive information technology support to customers worldwide.
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Sterling buys landmark property in Chennai
Chennai: The Sterling group has acquired a landmark building in Chennai's Anna Salai, Arihant Towers, at a price of Rs 27.16 crore. The group's promoter, NRI businessman C. Sivasankaran, is understood to have made an advance payment to Arihant Foundations and Housing, the promoters of the property. A clearance from the income tax department is awaited for finalising the deal. This is said to be one of the largest property deals in the country in the last four years.

The 14-storeyed Arihant Towers has a built-up space of about 90,000 sq.ft. Sterling group is planning to shift its corporate headquarters to the towers and rename the property as Sterling Towers. The 13^th floor of the building has a helipad and a swimming pool. The building was developed by the promoters with the help of Housing and Urban Development Corporation.
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Intercept plans survey on Internet users
Chennai: Intercept Consulting of Chennai has commissioned a comprehensive online Internet users' survey in India. The survey, undertaken in association with TN Sofres Mode, part of Taylor Nelson Sofres Worldwide, will cover metros and will use both online and regular research methods. It will focus on the internet medium and user profile and browsing habits. The results of the survey will be used as inputs in evolving online marketing solutions.
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BancAmerica buys stake in Wockhardt
Mumbai: BancAmerica Equity Partners, a private equity fund, has bought a six per cent stake in Wockhardt for Rs 131 crore. The stake has been bought from the secondary market.

This will be BancAmerica's first investment in a listed company in India. It has already bought a stake in an Internet company, India World and is conducting due diligence on another listed software company.
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Gestetner plans India global sourcing point
New Delhi: Gestetner India is to be the global sourcing point for the international company's duplicator business worldwide. This follows the closure of the company's duplicator facility in the UK.

The Salt Lake factory of the company in Calcutta will handle the entire global requirement of duplicators, a company official said.

Gestetner India is launching low-priced models of its all-in-one digital machines, such as Radius and Colour. These digital machines can be connected to computers to make the duplicating, scanning and copying functions faster.
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IFC to invest in AP power project
Hyderabad: The International Finance Corporation is investing up to $9 million in the 28 MW Astha Power Corporation in Pashamylaram near Hyderabad in Andhra Pradesh. The mini-power project is estimated to cost $25.8 million.

The IFC financing consists of an equity investment of up to $1.9 million and a loan of $7.1 million for its own account. The other lenders for the project are the State Bank of India and Dena Bank.
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Restraint on Cadila Healthcare
Ahmedabad: Cadila Healthcare has been restrained from printing, publishing, advertising and packaging its formulation Enalapril Maleate in an identical manner as competitor Cadila Pharmaceutical's Envas.

The Cadila group was split into two entities four years ago, and Cadila Pharmaceuticals is controlled by the Modi family while Cadila Healthcare is part of the Zydus group controlled by the Patel family.

The court upheld Cadila Pharmaceuticals' plea with regard to the infringement of copyright and asked Cadila Healthcare to hand over all the goods, strips, box and printed material block, dyes, stencils, packed goods containing the suit artwork and all materials to Cadila Pharmaceuticals.
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FDA tells Hindustan Lever to stop Savlon ads
Mumbai: The Maharashtra Food & Drug Administration has asked Hindustan Lever to stop advertising its Savlon soap as an anti-bacterial soap or having any anti-bacterial qualities. The FDA feels the soap does not meet the prescribed standards set by the Drugs & Cosmetics Act.

The company has been asked to withdraw any advertising either on television or in the print media that portrays Savlon as having anti-bacterial qualities because the soap does not have enough fat content.

Savlon is Hindustan Lever's answer to Dettol, a product of Reckitt & Colman of India.
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10 in fray for Modern Foods' stake
New Delhi: Hindustan Lever, Britannia Industries, Commonwealth Development Corporation and Gujarat Ambuja Exports are among the 10 companies in the fray to pick up the 74 per cent stake the government is divesting in Modern Foods. The other companies are General Mills, Earth Greens and Diageo (all US companies), Nestle, CA Processing Industries and Om Bakeries. Diageo has made the bid through Godrej Pillsbury, while Commonwealth Development Corporation is forming a joint venture.

The government intends to complete the process of privatisation of Modern Foods by 15 December.
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Sample study shows jump in profits in Q2
Mumbai: Net profits of 500 companies covered under a sample survey by The Economic Times have shown a growth of 19.3 per cent in the quarter ended September 1999, compared to 8.7 per cent for the quarter ended June 1999, indicating that the impact of recession is slowly receding.

Cement, auto ancillary, information technology, banks, pharma and auto sectors have recorded growth in sales as well as in net profit, while the telecom sector has shown a fall in both sales and net profit growth.

The study has found that the increasing industry profitability, measured through operating margins has driven the profit surge. While sales have grown 10.9 per cent, operating profits are up 20.1 per cent. This will mean that operating margin is up by 129 basis points to 16.23 per cent.
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Microsoft, Intel now in Dow index
New York: Microsoft and Intel became the first companies not listed on the New York Stock Exchange to join the Dow Jones industrial average. Dow Jones, publisher of The Wall Street Journal and the creator of the Dow Jones industrial average, said in addition to Nasdaq heavyweights Microsoft and Intel, it will add SBC Communications and Home Dept, both NYSE issues, to the 103 year old Dow index. Dow 30 components are picked by editors of The Wall Street Journal and are often viewed as bellwether stocks for the sectors they represent.

The new entrants will replace Sears, Roebuck and Co, the No 2 US retailer, Goodyear Tire & Rubber Co, the world's largest tyre company, Chevron Corporation, the US oil company and Union Carbide Corporation, a top chemical company. These four companies were part of the Dow index from way back in the 1920s.
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Windows 2000 in February
Seattle: Microsoft now plans to release its Windows 2000 for sale on 17 February 2000. However, executives of the company admitted that the release of the software could be further delayed depending on the results of the final testing. They hoped that barring discovery of any major bugs in the next two months, the software will be released to manufacture by the year-end allowing computer makers, resellers and retailers to distribute it on the official launch date.
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