India’s leading telecommunication firm, Tata Communications, has revealed plans to delist from the New York Stock Exchange (NYSE) due to low trade volumes.
One of India’s largest integrated power companies, Tata Power, has signed an agreement to develop hydro power projects in Georgia.
The slowdown in the steel industry may be gradually easing up as the world’s largest steelmaker reported better than expected results this week. ArcelorMittal, headed by one of the world’s richest Indians Lakshmi N. Mittal, rebounded from a very weak end to 2012 as rising steel shipments produced a higher than expected core profit.
The company, which makes 6-7 per cent of global steel, said its first-quarter core profit was $1.565 billion, down 26 per cent year-on-year but well above the average $1.36 billion expected in a Reuters poll.
ArcelorMittal said the corresponding figure would be higher still in the second quarter and repeated its outlook that core profit this year would be greater than the $7.1 billion of 2012. It expects steel shipments to increase by 2-3 per cent in 2013, driven by a 3 per cent rise of global steel consumption.
The company believes all regions, except Europe, will demand more steel than in 2012. The SmartEstimate of Thomson Reuters Starmine, which weights analyst estimates according to previous track record, is for a core profit this year of $6.89 billion.
India’s third-largest IT services firm, Wipro, has signed an agreement to acquire a minority stake in New Jersey based global big data and analytics company Opera Solutions.
Vikram Singh Mehta has been the face of the Shell Group in India for nearly two decades until he resigned as chairman in October 2012.
India's largest mobile phone operator, Bharti Airtel, has announced plans to sell a 5 per cent stake to the Qatar Foundation Endowment (QFE).
The Qatari investment vehicle will acquire new shares in the telecom giant for an estimated $1.26 billion, a major boost to the firm’s finances.
QFE is the investment arm of the Qatar Foundation, a non-profit organisation wholly-owned by the Qatari royal family. Rashid Al-Naimi, chief executive of the QFE, said the investment in Bharti was a long-term one.
Sunil Bharti Mittal, chairman of Bharti, added: “This strategic partnership with QFE demonstrates the confidence they have in us and our strategy for growth.” Telecommunications firms in India have been battling rising costs and increasing competition in recent years.
Bharti had around $11.7-billion of net debt at the end of March 2013 and the latest deal will go a long way towards easing that burden.
Baby product retailer Little feet Inc has entered into a joint venture with Taiwanese firm Tung Ling Industries to manufacture and distribute the American kids brand ‘Piyo Piyo’ in India.
The JV will be investing a total of $111 million over the coming years as part of the deal which includes setting up a manufacturing plant in India.
Piyo Piyo offers a complete range of baby care products, which include other allied services in the areas of mothercare, nursing, feeding, daily commodities, cleaning, apparel and toys. It has a presence across 20 countries.
Set up in 2005, Little Feet is in the business of imports and distributions of many world-famous brands besides its own brand ‘Deliababy’.
In India, the firm has an office in Chennai and overseas its has offices in Hong Kong and Guangzhou for sourcing and quality control.
Little Feet plans to open 150 stores in the next two years, looking to tap other major brands as well.
A latest survey has pegged Indonesia a notch higher than India in terms of the most optimistic consumer market globally.
Days after Jet Airways announced a stake sale to Etihad Airways, the Indian private carrier is set to cash in on the collaboration by raising nearly $150 million in overseas funds.
The loan is to be facilitated through the Gulf carrier’s bankers at a lower rate than the average annual rate of 12 per cent Jet pays on its current loans.
Abu Dhabi based Etihad has already agreed to pay an estimated $380 million for a 24 per cent stake in the Indian airline as part of the first major deal since India eased foreign direct investment (FDI) norms for the aviation sector.
Under rules that came into force last year, foreign carriers are allowed to own up to 49 per cent in domestic carriers with an eye on easing the cost pressures in Indian airlines.
Like most Indian carriers, Mumbai-based Jet has outstanding loans of about $800 million and the Etihad deal is seen as a much-needed boost to its cash reserves.
For the Gulf airline, the deal signifies a foothold in a fast-growing market. It will also have the right to appoint three directors on the board of Jet Airways.
“The company and the investor intend to realise various efficiencies and synergies, including lower administrative costs, sharing of joint resources, better customer service and efficient administration of their respective businesses,” Jet said in reference to the deal.
Indian telecom major Bharti Airtel has announced the acquisition of the remaining 30 per cent stake in Warid Group’s telecom operations in Bangladesh.
This will take the firm’s ownership to 100 per cent of Airtel Bangladesh Limited after it had acquired 70 per cent in Warid Telecom Bangladesh back in January 2010.
“Bharti Airtel Holdings (Singapore) Pte Ltd, a wholly-owned subsidiary of Bharti Airtel Ltd and Warid Group have reached an agreement, wherein, Bharti will acquire 30 per cent equity stake of Warid in Airtel Bangladesh Ltd,” the company said in a filing with the Bombay Stock Exchange this week.
The deal size remains undisclosed.
This is the second major acquisition by India’s largest mobile phone operator in the last month following its purchase of Warid’s operations in Uganda. Warid Telecom is a wholly-owned subsidiary of the Abu Dhabi Group.