Bajaj to launch cheaper scooters
Mumbai: With the overall market for the geared scooter segment posting a negative growth of 44 per cent in April-October 2000 and consequent slide in two-wheeler sales, efforts are on to pep up demand.

Bajaj Auto Ltd (BAL) is shortly launching economy versions of Chetak and Super, which would be priced Rs 5,000-8,000 cheaper than the current models. The company is also reported to be launching an entry level (basic variant) of the Chetak scooter, priced around Rs 23,500 (ex-showroom) as against the existing price of Rs 28,500 by end of December. With the launch of the entry-level scooter and the lower priced 4-stroke Chetak model, the company hopes to regain an additional volume of 10,000 scooters a month.

Over the last few months, as against a total sale of 55,000 scooters a month, BAL has been selling only around 35,000 units. At present, motorcycles contribute 45 per cent of its total turnover followed by scooters at 35 per cent and rest by step-thru and scooterettes.
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Hutchison plans to merge Indian operations
Mumbai: In an effort to consolidate its operations in India, the Hongkong-based telecom conglomerate Hutchinson Whampoa is planning to merge all its Indian joint venture entities into a single company.

An official statement on consolidating its businesses in India and subsequent listing has been made in Hong Kong by Hutchison group managing director Canning Fok. Mr. Fok had only recently visited India to take stock of Indian operations. The merger move, which is expected to take 12-18 months, will be bundled with initial public offering by the new merged entity.

Hutchinson has already notched up a combined turnover of Rs 1,100 crore, with its cellular services in Mumbai, Delhi, Calcutta and Gujarat. It had bought out Max India’s stake in Mumbai circle and majority stakes in Jhawars’ Calcutta licence, Ruia’s Delhi licence and the Hindujas’ Gujarat circle.
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GE to set up a mutual fund in India
Mumbai: GE Financial Assurance Holdings Inc (GEFA), a GE group company is set to enter mutual fund business in India. GEFA’s investment will be routed into the new entity - GE Asset Management Company. GEFA will hold 90 per cent equity stake in the venture, while the remaining 10 per cent will be in the form of resident shareholding.

In its proposal submitted to the government, GEFA has stated that it will be managing assets aggregating to Rs 6,800 crore and generate net income of Rs 93 crore over the next five years of its operations in the country. The company plans to launch a wide portfolio of mutual fund schemes, which will invest in debit and equity products, as per SEBI norms.

GE Financial Assurance, a wholly owned subsidiary of GE Capital Corporation, operates in North America, Europe, Japan and South-east Asia with global revenue of $15.3 billion in 1999 and a net profit of $400 million during the same period. The GE group has so far made investments in excess of $1 billion, of which direct investment is worth $350 million and $300 million in pension funds.
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Satyam Infoway ties up with Intel
Mumbai: Satyam Infoway has announced its alliance with Intel to improve the speed of e-commerce transactions for its e-business clients. Satyam would incorporate Intel's proprietary NetStructure 7110 e-commerce accelerator -- dedicated to performing the key encryption and decryption tasks, which will help in processing secure transactions up to 50 times faster.
Satyam currently provides internet-based business-to-business products and services for over 500 companies and the new technology is expected to help improve its services to customers. Satyam also has about 400,000 subscribers for its dial-up ISP service.
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Hyundai India posts $12.68 m profit in 99/00
New Delhi: Hyundai Motor posted a net profit of Rs 59.34 crore ($12.68 million) in 1999/00 (April-March), its first full year of operations in India. The sales during the year were Rs 2,314 crore, according to a company statement.

Hyundai Motor India, which began selling cars in India in October 1998, is a wholly owned subsidiary of Hyundai Motor Company of South Korea with its manufacturing plant near Chennai. Its offerings include the Santro in the small car segment and the mid-size Accent model. The firm ranks as India’s second-largest car company, with sales of 83,685 units in January-November 2000.
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Alembic relaunches Glycodin syrup
New Delhi: As a part of its plan to increase focus on over-the counter (OTC) and consumer care formulations, Alembic Ltd has relaunched its seventy-year-old flagship brand - Glycodin, for cold relief. The company has also launched Glycodin Activ, cold-and-flu tablets in the same slot as other popular brands in the cold-and-flu tablet segment like Vicks Action 500 of Procter & Gamble, D'cold of Paras Pharmaceuticals, Coldarin of Johnson & Johnson and Actifed from Glaxo.

Earlier, Glycodin syrup contained codeine as one of the ingredients, but the new syrup has replaced it with dextromethorphan and terpene hydrate, menthol and syrup-glycerine base, which is believed to be more effective. Coedine is a narcotic drug with an abuse potential.

Perceived as a mild cough syrup, Glycodin went well especially among children because of its sweet taste. A one-time leader among cough syrups, Glycodin however, eventually lost its lead to other major brands like Phensydryl, Benadryl, Corex and D'Cold.
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LG ties up with Voltas
Hyderabad: Consumer goods major- LG Electronics India and Voltas have entered into a production sharing agreement for direct-cool refrigerators. As per the understanding reached, LG Electronics will source 12,00,000 from Voltas for next three years beginning January 2001.

Voltas has set a new manufacturing line at a cost of Rs 20 crore in Hyderabad to specially meet its supply commitment. LG Electronics will outsource about 90 per cent of the refrigerators produced at the Hyderabad plant.
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Pentasoft launches ASP model for products
Chennai: Pentasoft Technologies Ltd has announced the launch of a series of products through applications service provider (ASP) model. The company will use the infrastructure of Numtv.com, part of Pentmedia Graphics, to enable its users access and use Pentasoft's products on a rental basis.

Numtv.com, which has been so far providing only entertainment, will also offer infotainment services. Numtv.com's current network capability, with 50 servers and 2.2 GB bandwidth, serves around 200,000 users, both narrow band and broadband worldwide.

Pentasoft will offer ASP-based products in niche segments like banking and financial services, insurance, logistics and supply chain management, healthcare and hospitality services and technology solutions.

Pentasoft is focussing on the small and medium businesses and the small offices and home offices (SOHO) segments, enabling them to use the software and services without any major additional capital cost. The company expects to generate revenue of $10-15 million by the end of the first year.
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MRTPC discharges case against Rhone Poulenc
New Delhi: Pharma major Rhone Poulenc (India) has been exonerated by the Monopolies and Restrictive Trade Practices Commission (MRTPC) from the charge of practising restrictive trade by launching a trade offer of concessions and discounts in the form of free Ascabiol bottles to its retailers and stockists.

A two-member MRTPC bench comprising R K Anand and M Mahajan has discharged the notice of enquiry against the company finding it not guilty. In its ruling, the bench said the respondent's market share of Ascabiol product was negligible and not in a position to affect competition to any material degree. 

Based on a complaint filed by the director general of investigation and registration, the MRTPC had earlier issued notice of enquiry against Rhone Poulenc (India).
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Shipping Corporation to acquire new vessels
Mumbai: Shipping Corporation of India (SCI) has initiated the preliminary process of the $266-million vessel acquisition programme, which envisages purchase of six vessels, including four crude vessels and two bulk carriers.

SCI can take investment decisions up to Rs 300 crore, however, the final decision on the purchase of these vessels, costing about Rs 1,200 crore, would need cabinet-level approval. According to the SCI’s acquisition plan, 80 per cent of the amount would be raised via external commercial borrowings and the balance through internal accruals. The vessels would be in place with SCI in three years time from the date of booking.

The fleet enhancement of crude oil tankers is expected to increase the share of SCI in transportation of imported crude and reduce outgo of foreign exchange on account of chartering of foreign flag vessels.
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