ICICI Prudential and HDFC Standard flag off private insurance in India
Mumbai: Private insurance business has finally arrived in India. ICICI-Prudential Life Insurance Company and HDFC Standard Life Insurance Company have launched the first set of life insurance policies to be issued by the private sector in India.

HDFC Standard has launched two basic insurance policies—an endowment assurance and a money-back policy, ICICI-Prudential unveiled its first endowment policy after receiving the Insurance Regulatory Development Authority’s nod for four products. The HDFC Standard policies have four riders each - critical illness, accidental death benefit, double sum assured and the waiver of premium. The customers can pick any of these, and the company is offering 14 pre-packaged products. HDFC Standard Life Insurance plans to sell 25,000 policies in its first year of operations.

ICICI-Prudential had got an approval for four policies - two endowment plans and two deferred pension policies - single premium bond and regular premium bond. Apart from these sub-products are four health riders - disability, hospitalisation, critical illness and surgical benefits.

ICICI Prudential’s endowment policy is co-sponsored by IndiaInfoline.
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Wockhardt and Bayer enter into co-marketing deal
Mumbai: Wockhardt and Bayer are reported to have entered into a marketing agreement for a Bayer drug. The agreement, yet to be formally announced, will allow Wockhardt to market formulations of anti-diabetes bulk drug acarbose under the name Ascrose. Presently, Bayer sells the drug, under the name Glucobay, through its fully owned Indian subsidiary Bayer Pharmaceuticals.

The co-marketing deal between the two companies is expected to help in expanding the market for acarbose, and build market awareness of the drug for Bayer in India. Glucobay is a major product for Bayer in India, recording sa1es of Rs 13.3 crore ($2.84 million) in the year to October, a quarter of Bayer's drug sales in the country.

Kinetic Group's two-wheeler firms set to merge
Mumbai: Kinetic group is planning to merge its two-wheeler companies, Kinetic Motors and Kinetic Engineering. Kinetic Motors — earlier known as Kinetic Honda with the Japanese giant as equity partner — manufactures scooters, while the other group company Kinetic Engineering manufactures motorcycles and mopeds.

The merger will create one of India’s largest integrated two-wheeler companies, manufacturing the entire range of two wheelers — mopeds, scooterettes, scooters, step-thrus and motorcycles.

For the financial year 1999-2000, Kinetic Motors reported a sales turnover of Rs 385.9 crore, while that of Kinetic Engineering stood at Rs 297.8 crore. The group is targeting a combined sales turnover of Rs 2,000 crore over the next two years for the merged entity.
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M&M to set up two more tractor assembling units
Mumbai: Mahindra & Mahindra (M&M) have decided to set up two more tractor assembling plants in Rajasthan and Karnataka. The plants, which will be commissioned next year, will increase the company's overall tractor producing capacity by 25 per cent.

The move is part of the company's strategy to set up a number of small satellite assembly plants in various parts of the country to improve its distribution reach and reduce the time to market. M&M had earlier this year, set up a similar assembly plant at Rudrapur in Uttar Pradesh.

Each of the proposed new plants will have a capacity of 10,000-15,000 tractors a year, which will add up to current installed capacity of around 80,000 tractors. The company is targeting a 50-60 per cent growth in tractor exports over the next few years. Last year, it exported 1,200 tractors.

M&M a leader in the tractors commands a 27 per cent market share. During the first half of this fiscal, its tractor sales grew by 6-7 per cent amid an overall decline in the industry by 9 per cent.
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Melstar buys Global Systems for $1.8 million
New Delhi: The acquisition spree by Indian IT companies in the US continues unabated with yet another of significant newsbreak. The New Delhi-based Melstar Information Ltd has acquired US-based IT company Global Systems for $1.8 million in a cash-and-stock deal.

Melstar already had 45 per cent stake in Global Systems and acquired the remaining 55 per cent stake for a consideration of $1.8 million. As per the deal, 25 per cent would be cash payment and 75 per cent in warrants convertible to equity at a later date.

A decision would be taken to integrate Global Systems with the 100 per cent US subsidiary of Melstar Information -- Melstar Inc, after necessary approvals of FIPB and RBI, Mr. Satish Menon, financial controller, Melstar Information Ltd. has said. The US entity will develop software solutions for top-end corporates and focus on banking and insurance.

Global Systems was a joint venture between the American subsidiary of Melstar and Summit group of the US and ITC Consulting and was engaged in developing software for Citibank.

Melstar Inc has an impressive client list and undertakes product development for large-end customers. The company’s clientele includes Hewlett Packard, Citibank, American Honda, Deloitte and Touch.
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