PwC advises government to sell over 40 per cent stake in SCI
Mumbai: Pricewaterhouse Coopers, has advised the government to offload more than 40 per cent stake in Shipping Corporation of India (SCI), against its earlier plan to sell up to 40 per cent. The government holds over 80 per cent in the company. The size of the stake to be put on the block is to be decided after assessing the market sentiments.

The consultant has advised the government to make the best of current market boom in shipping. With the turnaround of the shipping industry, especially the tanker segment, SCI had registered a record 12-times growth in net profit at Rs 120 crore during the third quarter ended December 31, 2000, against Rs 9.87 crore in the corresponding period last year.

PwC has also advised the ministry not to break the company into separate units. It had earlier proposed restructuring the company into three separate profit centres (container division, bulk and tanker division and offshore division). The government sources now believe since most foreign shipping companies like Maersk-SeaLand, Mitsui, OSK Lines or NYK have a similar portfolio to SCI (i.e. bulk, tankers and containers) and it may not be difficult for SCI to find a right partner.
Back to News Review index page 

Wockhardt to plans to double its turnover
Mumbai: Wockhardt is planning to double turnover its turnover in 2001 with a major thrust on its biotech products says Mr. Habil Khorakiwala, company's chairman and managing director. The company has projected revenues of about Rs 35 crore from its two biotech products - a hepatitis B vaccine and an anti-cancer drug - in this calendar year.

By the end of 2001, it is expected that Biovac B sales will touch Rs 30 crore, while the second biotech product - cancer drug erythropoetin to be launched soon will make about Rs 5 crore in 2001. Wockhardt is the most recent entrant into the already overheated market for hepatitis B vaccines. The first indigenously developed hepatitis B vaccine came from Hyderabad-based Shantha Biotechnics some years ago.

Mr. Khorakiwala says domestic business would grow 15 to 20 per cent in the calendar year 2001 with about 15 to 20 new products to be launched in the areas of anti-diabetics, cardiovascular, pain management, psychiatry and nutrition.
Back to News Review index page 

Supertax Sarex in alliance with Bayer
Ahemedabad: Supertex Sarex, a division of the Mumbai-based Saraf Chemicals has finalised a strategic alliance with Bayer. The tie-up will help the company emerge as one of the largest distributors of Bayer products and pave the way for the return of Bayer to the Indian textile chemicals sector. The projected turnover for Bayer products in India, resulting from the tie-up, will be around Rs 8 crore in 2001 and Rs 16 crore in the second and Rs 25 crore in 2003.

The tie-up will introduce Bayer’s third generation eco-friendly, bio-degradable products for use in textile pre-treatment, dyeing and finishing of fabrics. The total market size of textile chemicals in India is about Rs 750 crore per annum. The tie-up has come about when India is fast emerging as a focal point for the production of quality and quantity textiles.

The company will also formulate Bayer products in India at its own plant in Tarapur by importing concentrates and then formulating them with know-how from Bayer. Further Sarex will also be making certain products on toll manufacturing basis for Bayer Germany.
Back to News Review index page 

Color Chips to market Pran’s cartoon characters
Hyderabad: Color Chips (India) Ltd. has entered into an agreement with Pran Features, one of country’s oldest syndicate of comics, for exclusive marketing and distribution rights of cartoon characters such as Chacha Chaudary, Billoo, Pinki, Srimati Ji, Channi Chachi and Raman.

The tie-up with Pran Features, follows two other such agreements, Color Chips has signed within last three months. The company recently acquired ownership right of 6,000 pages of Anant Pai’s personal collection and acquired rights from Corbett Features to market and distribute comic strips in the South East Asian markets.

Color Chips provides 2D, 3D animation and features syndication services, which can be featured across various publications in India and abroad.
Back to News Review index page 

Benetton to launch Sisley’s wear in India
New Delhi: Benetton is set to launch Sisley, a global brand in trendy fashion wear. under its umbrella. Targeted at the young upmarket men and women, the Sisley collection would be launched in winter. The collection includes sporty and casual wears as well as formal and elegant apparel.

The Sisley brand perceived to be far ahead of its time came under the Benetton fold in 1974, when the Italian company bought over the exclusive marketing rights to use the Sisley brand name. It eventually became a wholly owned brand of Benetton in 1985.
Back to News Review index page 

FDC-Aspen Pharmacare tie- up for ophthalmic products
Mumbai: FDC, a company known for its rehydration salt - Electral, has recently tied up with Aspen Pharmacare to sell its ophthalmic products in South Africa. The tie-up will enable FDC to market 10 to 12 of its ophthalmic products manufactured in India in the South African market.

FDC is also likely to enter into a licensing arrangement with Aspen Pharmacare for solid dosage forms and oral rehydration salts. Aspen Pharmacare is a South-African, listed pharmaceutical company.

The total market for ophthalmic products in South Africa was estimated at Rs 78.7 crore and FDC hopes to achieve about 30 per cent market share in five years
Back to News Review index page 

Indian Oil lines up with BP Amoco for hedging
New Delhi: The Indian Oil Corporation (IOC) has chosen BP Amoco as its alliance partner to help in oil trading and risk management. The modalities of the alliance would be decided in about next two weeks. The alliance is part of IOC's plans to enter the oil derivatives market to hedge exposures in crude oil and petroleum product imports.

IOC selected BP Amoco for strategic alliance in oil trading and risk management and currently detailed deliberations are underway on the exact structure and modalities of the alliance. The IOC move, follows the Reserve Bank of India (RBI) decision last year allowing select refineries to enter crude oil and petroleum products hedging.
Back to News Review index page 

VIP to market French luggage products
New Delhi: VIP Industries has tied up with Delsey a leading French brand of hard and soft luggage products, for marketing them in India and to other Saarc countries. VIP Industries plans to first import and later manufacture Delsey models in VIP's plants in the country.

Delsey's Oxiome range of hard luggage, the first model to be imported would be available through VIP's wide distribution network soon. VIP and Delsey would provide after-sales service to each other’s products in their respective territories. T

he collaboration also provides Delsey to buy back such products for sale in the European market. Delsey, located in France has seven overseas subsidiaries, including Germany, Britain, US, Italy, Spain and Scandinavia.
Back to News Review index page 

Sterlite Optical inks MoU with US firm
Mumbai: Sterlite Optical Technologies (SOTL) has signed a memorandum of understanding with General Cable Corporation (GCC), a US-based wire and cable manufacturing company to form a 50:50 joint venture (JV). The US JV will manufacture and market optical fibre cable products.

The MoU envisages that GCC will spin off all its existing operations at Dayville, Connecticut, US into the proposed joint venture and SOTL will supply bare optic fibre to the JV for cabling. The JV company will sell optical fibre cables in the US, Canada and Mexico. SOTC will also provide operational expertise to the JV, while GCC will provide sales and marketing functions support.

SOTL expects to increase sales of optical fibre to the North American market, which is around 40 per cent of the global market. For GCC, the JV is expected to result in assured long term supplies of bare optical fibre. The company had earlier announced that it is targeting the high growth US markets for exports.
Back to News Review index page 

Essar Oil to bid for second round of oil exploration blocks
Mumbai: Essar Oil has decided to bid for the second round of blocks offered for oil exploration by the union petroleum ministry, under the New Exploration Licensing Policy (NELP). In all, the ministry has offered 25 oil blocks in the second round, including eight each in shallow and deep water and nine on land. The last date for which is March 31.

The company is currently studying the seismic data and the bids would be submitted after the study is completed. The company has claimed that it is eligible for submitting the bids. Inadequate response to the first round of bidding had prompted the government to introduce some modifications to the bidding process in the second round, after consultations with companies who took part in the first round of bidding.

In the first round, the oil companies picked up 27 of the 48 blocks offered. NELP will now allow 100 per cent foreign participation and additional incentives have been offered for those bidding for deep-water blocks. Royalty on the oil produced for the onshore blocks is 12.5 per cent, while for offshore will be 10 per cent. The public sector oil companies have been allowed to compete on par with the private sector for the blocks.
Back to News Review index page