New Delhi: The finance ministry on Wednesday provided relief to the Rs 18,000-crore software industry by replacing a multi-level structure of tax deducted at source (TDS) on distributors with a single TDS. This would be deducted by the first distributor — one who directly purchases packaged software from a developer.
The move, announced by Finance Minister Pranab Mukherjee, would help small-level distributors, cash flow for whom are choked by TDS at each stage of distributorship. Though distributors get refunds on TDS, industry sources said this happen after a long time, leading to a fund squeeze. They added small distributors worked on a margin of just two per cent. “On the advice of Nasscom (National Association of Software and Service Companies), I have approved the issuance of a circular to avoid multi-level TDS on software under section 194 J (of the Income Tax Act),” Mukherjee said.
Currently, various distributors are involved in selling a particular software. A software developer sells his product to a distributor (master distributor), who sells it to another, and so on. Currently, TDS of 10 per cent is levied at each stage. Every distributor has to deduct this. Once the new system is in place, TDS would only be levied on the software developer by the master distributor.
Success in my Habit
Saturday, June 2, 2012
Wednesday, May 30, 2012
Four IIMs among eight in Business Standard's top B-school bracket
New Delhi: India’s management education fraternity has delivered its judgment on the country's top business schools. Among the top B-schools in India (mentioned alphabetically here) are the Indian Institutes of Management in Ahmedabad, Bangalore, Kolkata and Indore; Management Development Institute at Gurgaon; National Institute of Industrial Engineering in Mumbai; Xavier Institute of Management, Bhubaneswar; and XLRI, Jamshedpur.
The BS Best B-School Survey 2012 has been conducted by Business Standard in association with IMRB International, a leading market research agency in India, and the results of the thirteenth survey of B-schools are available in the May 2012 issue of the Indian Management, which is now on stands.
The survey does not aim to rank the institutes, but puts them in 14 hierarchical categories: Super League 1, Super League 2, A1 through A8, and B1 through B4. The scores have been allotted on two broad parameters—audit scores and perception scores. The final score is a weighted aggregate, which has been used to put the institutes in one of the 14 categories that have been worked out.
The audit module is comprehensive—it takes into account a range of elements such as intellectual capital, infrastructure, admissions and placements, industry interface, governance and the scale of operations, each of which can be measured objectively. The perception scores take into account the viewpoint of the industry and the alumni.
This makes the survey of B-schools totally objective, unbiased and transparent, and helps benchmark the management institutes in addition to providing authentic information to all the stakeholders.
The survey is open to business schools all over India. The eligibility criterion is that they should be approved by the All India Council for Technical Education or the government or a university. Also, at least two batches of students should have passed out of the institute. This is to assess the placements that happen at the campus. The questionnaires are sent to all approved B-schools, and they are requested to revert with the completed questionnaires to IMRB. Each completed questionnaire is thoroughly scrutinised for missing and misrepresented data, if any. The data are checked against the previous years’ figures to discover and subsequently validate any major changes. Following this, a query sheet is generated for and cross-checked with each institute, through e-mail, phone or personal visits.
For the latest survey, questionnaires were sent to 2,400 business schools. About 200 schools sent their entries within the time limit. We had to drop a few institutions from the final 197 that appear this year because the data supplied by them were incomplete or there were some unexplained deviation from the data presented last year. We are glad to note there were 63 new entrants in the list this year compared to last year.
The BS Best B-School Survey 2012 has been conducted by Business Standard in association with IMRB International, a leading market research agency in India, and the results of the thirteenth survey of B-schools are available in the May 2012 issue of the Indian Management, which is now on stands.
The survey does not aim to rank the institutes, but puts them in 14 hierarchical categories: Super League 1, Super League 2, A1 through A8, and B1 through B4. The scores have been allotted on two broad parameters—audit scores and perception scores. The final score is a weighted aggregate, which has been used to put the institutes in one of the 14 categories that have been worked out.
The audit module is comprehensive—it takes into account a range of elements such as intellectual capital, infrastructure, admissions and placements, industry interface, governance and the scale of operations, each of which can be measured objectively. The perception scores take into account the viewpoint of the industry and the alumni.
This makes the survey of B-schools totally objective, unbiased and transparent, and helps benchmark the management institutes in addition to providing authentic information to all the stakeholders.
The survey is open to business schools all over India. The eligibility criterion is that they should be approved by the All India Council for Technical Education or the government or a university. Also, at least two batches of students should have passed out of the institute. This is to assess the placements that happen at the campus. The questionnaires are sent to all approved B-schools, and they are requested to revert with the completed questionnaires to IMRB. Each completed questionnaire is thoroughly scrutinised for missing and misrepresented data, if any. The data are checked against the previous years’ figures to discover and subsequently validate any major changes. Following this, a query sheet is generated for and cross-checked with each institute, through e-mail, phone or personal visits.
For the latest survey, questionnaires were sent to 2,400 business schools. About 200 schools sent their entries within the time limit. We had to drop a few institutions from the final 197 that appear this year because the data supplied by them were incomplete or there were some unexplained deviation from the data presented last year. We are glad to note there were 63 new entrants in the list this year compared to last year.
Yamaha to scale up R&D ops; cheapest bike on the cards
New Delhi: Japanese two-wheeler maker Yamaha Motor Co Ltd is looking at scaling up research and development (R&D) operations in India, with an aim to designing the country’s cheapest motorcycle indigenously and shoring up volumes in the fast-growing domestic market.
“Until this year, basic development of products was being done by Yamaha at our headquarters in Japan. We have an R&D centre to make minor changes on models in India. In future, our R&D team should be independent and capable of developing a new motorcycle in the commuter segment,” said Hiroyuki Suzuki, chief executive officer and managing director of India Yamaha Motor.
The company is working out the investment required for stepping up R&D activities in the country.
Yamaha’s new low-cost bike is expected to be priced at around $500 (Rs 27,500), cheaper than the entry-level motorcycle ‘Crux’, tagged at Rs 38,365.
Market leader Hero MotoCorp Ltd’s ‘CD Dawn’ is the cheapest product in the category, starting at Rs 36,300 (ex-showroom, Delhi).
Yamaha, at present, has marginal share in the low-cost commuter segment with the ‘YBR110’ and ‘Crux’, which together sells 5000-odd units every month.
The move to develop a low-cost motorcycle comes close on the heels of compatriot Honda Motor Co Ltd (HMC) launching its cheapest motorcycle, the 110 cc ‘Dream Yuga’, in India.
Priced at Rs 44,642 (ex-showroom, Delhi), the bike is expected to shore up Honda’s market share in the seven-million strong commuter segment in the country.
“We will have production volume of two million units in 2016. Scooters will contribute 30 per cent to our overall sales, the 150 cc models will account for 40 per cent and the remaining numbers will come in from entry-level motorcycles,” Suzuki said. Overall, the company is eyeing a 10 per cent share in the Indian two-wheeler market by 2016.
Yamaha recently announced plans to invest around Rs 1,500 crore to set up a new plant in Tamil Nadu and enhance capacity across its existing units. The new low-cost bike will be manufactured at Chennai and exported to markets in Africa.
“Until this year, basic development of products was being done by Yamaha at our headquarters in Japan. We have an R&D centre to make minor changes on models in India. In future, our R&D team should be independent and capable of developing a new motorcycle in the commuter segment,” said Hiroyuki Suzuki, chief executive officer and managing director of India Yamaha Motor.
The company is working out the investment required for stepping up R&D activities in the country.
Yamaha’s new low-cost bike is expected to be priced at around $500 (Rs 27,500), cheaper than the entry-level motorcycle ‘Crux’, tagged at Rs 38,365.
Market leader Hero MotoCorp Ltd’s ‘CD Dawn’ is the cheapest product in the category, starting at Rs 36,300 (ex-showroom, Delhi).
Yamaha, at present, has marginal share in the low-cost commuter segment with the ‘YBR110’ and ‘Crux’, which together sells 5000-odd units every month.
The move to develop a low-cost motorcycle comes close on the heels of compatriot Honda Motor Co Ltd (HMC) launching its cheapest motorcycle, the 110 cc ‘Dream Yuga’, in India.
Priced at Rs 44,642 (ex-showroom, Delhi), the bike is expected to shore up Honda’s market share in the seven-million strong commuter segment in the country.
“We will have production volume of two million units in 2016. Scooters will contribute 30 per cent to our overall sales, the 150 cc models will account for 40 per cent and the remaining numbers will come in from entry-level motorcycles,” Suzuki said. Overall, the company is eyeing a 10 per cent share in the Indian two-wheeler market by 2016.
Yamaha recently announced plans to invest around Rs 1,500 crore to set up a new plant in Tamil Nadu and enhance capacity across its existing units. The new low-cost bike will be manufactured at Chennai and exported to markets in Africa.
GVK Power & Infrastructure gets green nod for $10-bn Australia coal, rail project
Hyderabad: Infrastructure conglomerate GVK has received environmental clearance from the Queensland government in Australia for its Alpha coal and rail project. The company has set aside $ 10 billion for the project.
The approval is crucial to the company as its Alpha Project is now the only Galilee Basin proponent with an approved Environmental Impact Statement (EIS). The project, expected to generate 4,000 jobs at peak, is being run by Hancock Coal, in which 79% is owned by GVK and 21% by Gina Rinehart, the world's richest woman, according to Forbes.
Last year, GVK paid $1.26 billion to buy the coal assets and related logistics infrastructure in Australia from Hancock through group company GVK Coal Developers (Singapore). The three mines - Alpha, Alpha West and Kevin's Corner are known to have total resources of 8 billion tonnes of thermal coal in addition to the rail and port facilities.
The Alpha Coal Project consists of a 30 million tonnes per annum (mtpa) mine, a 495km standard gauge railway with 60mtpa approvals and a terminal and two berths at Abbot Point catering to at least 60mtpa of thermal coal destined for Asian markets.
GVK Reddy, CMD, GVK group, said the latest milestone "paves the way for us to complete financing and secure final mining approvals for the Alpha Project in the second half of 2012. The coordinator-general's report is a major step in finalising the regulatory requirements and enables us to fast track the completion of key construction and operations contracts." In 2011 GVK Hancock delivered the first (and only Galilee Basin) bulk samples from its Alpha site to power stations in South Korea and China.
Commenting on the development, GV Sanjay Reddy, vice- chairman, GVK group, who is spearheading the project, said: "The EIS is yet another milestone towards this goal and the October 2010 declaration of the rail corridor and signing the port framework agreement for T3 at Abbot Point all adds to the advanced nature of the project."
The infrastructure developed by this project - such as the rail, port and power will benefit other local developments. GVK has interests in energy, resources, airports, transportation, hospitality and life sciences. It has projects in the pipeline worth over 30,000 crore ($ 6.6 billion) in India.
The approval is crucial to the company as its Alpha Project is now the only Galilee Basin proponent with an approved Environmental Impact Statement (EIS). The project, expected to generate 4,000 jobs at peak, is being run by Hancock Coal, in which 79% is owned by GVK and 21% by Gina Rinehart, the world's richest woman, according to Forbes.
Last year, GVK paid $1.26 billion to buy the coal assets and related logistics infrastructure in Australia from Hancock through group company GVK Coal Developers (Singapore). The three mines - Alpha, Alpha West and Kevin's Corner are known to have total resources of 8 billion tonnes of thermal coal in addition to the rail and port facilities.
The Alpha Coal Project consists of a 30 million tonnes per annum (mtpa) mine, a 495km standard gauge railway with 60mtpa approvals and a terminal and two berths at Abbot Point catering to at least 60mtpa of thermal coal destined for Asian markets.
GVK Reddy, CMD, GVK group, said the latest milestone "paves the way for us to complete financing and secure final mining approvals for the Alpha Project in the second half of 2012. The coordinator-general's report is a major step in finalising the regulatory requirements and enables us to fast track the completion of key construction and operations contracts." In 2011 GVK Hancock delivered the first (and only Galilee Basin) bulk samples from its Alpha site to power stations in South Korea and China.
Commenting on the development, GV Sanjay Reddy, vice- chairman, GVK group, who is spearheading the project, said: "The EIS is yet another milestone towards this goal and the October 2010 declaration of the rail corridor and signing the port framework agreement for T3 at Abbot Point all adds to the advanced nature of the project."
The infrastructure developed by this project - such as the rail, port and power will benefit other local developments. GVK has interests in energy, resources, airports, transportation, hospitality and life sciences. It has projects in the pipeline worth over 30,000 crore ($ 6.6 billion) in India.
Foreign investor norms eased to accelerate capital inflows
New Delhi: The government today allowed qualified foreign investors (QFIs) from six member-countries of the Gulf Cooperation Council (GCC) and 27 countries of the European Commission (EC) to invest in the Indian capital market to enhance foreign capital inflows.
Saudi Arabia, Bahrain, the United Arab Emirates (UAE), Oman, Qatar and Kuwait are the six countries.
With this, a $1-billion window over and above the current $20-billion limit has been created for QFI investment in corporate bonds and mutual fund debt schemes. The window is meant to test the waters for the time being and could be widened if required. Norms for opening accounts in India and keeping funds in them have also been relaxed substantially.
A QFI is an individual, group or association resident in a foreign country that is compliant with Financial Action Task Force (FATF) standards and is a signatory to the International Organisation of Securities Commission’s (IOSCO’s) Multilateral Memorandum of Understanding (MMoU). QFIs do not include FIIs (foreign institutional investors) or sub-accounts.
The steps are part of the finance ministry’s measures to facilitate a seamless and quick flow of foreign funds into the country by removing bottlenecks identified during recent consultations with the Reserve Bank of India (RBI), the Securities and Exchange Board of India (Sebi) and various market participants to make the existing QFI mechanism more attractive to potential investors.
Announcing the new steps, Thomas Mathew, joint secretary, capital markets, said, “The list of countries from where QFIs could invest in the Indian capital market has been expanded. Originally, it was limited to the 34 countries that are members of the FATF.”
Mathew said as only the residents of these 34 countries were eligible to qualify as QFIs, several enquiries were received from GCC countries and also 27 member-countries of the EC requesting inclusion of their residents as QFIs.
“In view of the possibility of attracting high net-worth entities from these jurisdictions, the definition of QFIs has now been enlarged to cover the residents of FATF member-countries and those from countries of the GCC and the EC,” he said.
On the possibility of round-tripping and manipulations through this mode, Mathew said very strong KYC norms would be there to avoid that.
The steps to ease norms for opening of accounts and keeping funds in them include the decision to allow QFIs to open individual non-interest bearing rupee bank accounts with authorised dealer banks in India for receiving funds and making payments for transactions in securities they are eligible to invest.
QFIs are not allowed to open individual bank accounts currently and they can invest only through a common pooled bank account of their depository participant (DP). The restriction on the number of days funds could be kept in the individual accounts of QFIs has also been dispensed with.
At present, funds remitted by QFIs for investments are required to be transferred to their foreign bank accounts if such funds are not invested, as permitted, within five working days of the receipt of funds in their accounts.
“This restriction was proving to be a dampener for genuine investors in view of the high cost of transfer of funds,” said Mathew.
He added Sebi would issue a circular to provide QFIs with a certain amount of operational flexibility for appointing their custodians and brokers to route their investments.
The RBI and the Sebi are expected to issue relevant circulars, incorporating the changes announced, to operationalise the Budget announcement related to QFI investment in corporate bonds and mutual fund debt schemes within seven days.
The Central Board of Direct Taxes would issue clarifications on tax-related issues pertaining to QFIs shortly, said Mathew, adding the finance ministry was looking at 6-14 months to see the optimisation of QFI inflows through these facilitation measures.
The ministry will conduct roadshows in five Gulf nations, the UAE, Saudi Arabia, Bahrain, Oman and Kuwait, during June 10-15 for this purpose.
Saudi Arabia, Bahrain, the United Arab Emirates (UAE), Oman, Qatar and Kuwait are the six countries.
With this, a $1-billion window over and above the current $20-billion limit has been created for QFI investment in corporate bonds and mutual fund debt schemes. The window is meant to test the waters for the time being and could be widened if required. Norms for opening accounts in India and keeping funds in them have also been relaxed substantially.
A QFI is an individual, group or association resident in a foreign country that is compliant with Financial Action Task Force (FATF) standards and is a signatory to the International Organisation of Securities Commission’s (IOSCO’s) Multilateral Memorandum of Understanding (MMoU). QFIs do not include FIIs (foreign institutional investors) or sub-accounts.
The steps are part of the finance ministry’s measures to facilitate a seamless and quick flow of foreign funds into the country by removing bottlenecks identified during recent consultations with the Reserve Bank of India (RBI), the Securities and Exchange Board of India (Sebi) and various market participants to make the existing QFI mechanism more attractive to potential investors.
Announcing the new steps, Thomas Mathew, joint secretary, capital markets, said, “The list of countries from where QFIs could invest in the Indian capital market has been expanded. Originally, it was limited to the 34 countries that are members of the FATF.”
Mathew said as only the residents of these 34 countries were eligible to qualify as QFIs, several enquiries were received from GCC countries and also 27 member-countries of the EC requesting inclusion of their residents as QFIs.
“In view of the possibility of attracting high net-worth entities from these jurisdictions, the definition of QFIs has now been enlarged to cover the residents of FATF member-countries and those from countries of the GCC and the EC,” he said.
On the possibility of round-tripping and manipulations through this mode, Mathew said very strong KYC norms would be there to avoid that.
The steps to ease norms for opening of accounts and keeping funds in them include the decision to allow QFIs to open individual non-interest bearing rupee bank accounts with authorised dealer banks in India for receiving funds and making payments for transactions in securities they are eligible to invest.
QFIs are not allowed to open individual bank accounts currently and they can invest only through a common pooled bank account of their depository participant (DP). The restriction on the number of days funds could be kept in the individual accounts of QFIs has also been dispensed with.
At present, funds remitted by QFIs for investments are required to be transferred to their foreign bank accounts if such funds are not invested, as permitted, within five working days of the receipt of funds in their accounts.
“This restriction was proving to be a dampener for genuine investors in view of the high cost of transfer of funds,” said Mathew.
He added Sebi would issue a circular to provide QFIs with a certain amount of operational flexibility for appointing their custodians and brokers to route their investments.
The RBI and the Sebi are expected to issue relevant circulars, incorporating the changes announced, to operationalise the Budget announcement related to QFI investment in corporate bonds and mutual fund debt schemes within seven days.
The Central Board of Direct Taxes would issue clarifications on tax-related issues pertaining to QFIs shortly, said Mathew, adding the finance ministry was looking at 6-14 months to see the optimisation of QFI inflows through these facilitation measures.
The ministry will conduct roadshows in five Gulf nations, the UAE, Saudi Arabia, Bahrain, Oman and Kuwait, during June 10-15 for this purpose.
AIF III Mauritius' FDI proposal among 25 cleared
New Delhi: The Government has approved 25 foreign direct investment (FDI) proposals worth Rs 2,973.40 crore including that of AIF III Mauritius.
AIF III Sub Pvt Ltd's proposal to bring in FDI worth Rs 1,000 crore has been approved. The Mauritius-based firm proposes to induct foreign investment in the units of a Fund constituted as a Trust.
The other key proposals included Microqual Techno Ltd's Rs 522.90-crore plan to increase foreign equity to carry out the business of wireless telecommunication.
The applications were cleared after recommendations of the Foreign Investment Promotion Board (FIPB) headed by the Economic Affairs Secretary, Mr R. Gopalan, the Finance Ministry said on Tuesday.
The proposal of Mauritius-based Mozart for infusion of foreign investment in an existing company in the pharmaceuticals sector (brownfield investments) was also been approved. The company has proposed to bring in investment worth Rs 300 crore.
Other proposals which have been approved are those of Genworth Financial Mortgage Guaranty India (Rs 124 crore), Plethico Pharmaceuticals, Mumbai (Rs 500 crore) and Kintetsu World Express (India), Karnataka (Rs 267.69 crore).
Thirteen proposals, including that of Fabindia Overseas, were deferred while eight proposals were rejected.
Among proposals which were rejected are Budenheim India, New Delhi; Hey House Publishers (I) and Growing Opportunity Finance (India), Chennai.
The next meeting of FIPB is scheduled to be held on Friday.
India allows FDI in most of the sectors through automatic route, but FIPB approval is required in certain sensitive sectors, like telecom.
AIF III Sub Pvt Ltd's proposal to bring in FDI worth Rs 1,000 crore has been approved. The Mauritius-based firm proposes to induct foreign investment in the units of a Fund constituted as a Trust.
The other key proposals included Microqual Techno Ltd's Rs 522.90-crore plan to increase foreign equity to carry out the business of wireless telecommunication.
The applications were cleared after recommendations of the Foreign Investment Promotion Board (FIPB) headed by the Economic Affairs Secretary, Mr R. Gopalan, the Finance Ministry said on Tuesday.
The proposal of Mauritius-based Mozart for infusion of foreign investment in an existing company in the pharmaceuticals sector (brownfield investments) was also been approved. The company has proposed to bring in investment worth Rs 300 crore.
Other proposals which have been approved are those of Genworth Financial Mortgage Guaranty India (Rs 124 crore), Plethico Pharmaceuticals, Mumbai (Rs 500 crore) and Kintetsu World Express (India), Karnataka (Rs 267.69 crore).
Thirteen proposals, including that of Fabindia Overseas, were deferred while eight proposals were rejected.
Among proposals which were rejected are Budenheim India, New Delhi; Hey House Publishers (I) and Growing Opportunity Finance (India), Chennai.
The next meeting of FIPB is scheduled to be held on Friday.
India allows FDI in most of the sectors through automatic route, but FIPB approval is required in certain sensitive sectors, like telecom.
Tuesday, May 29, 2012
Driving to Thailand from India could be a reality by 2016
Nay Pyi Daw: As India sought to expedite its infrastructural projects in Myanmar, PM Manmohan Singh and President U Thein Sein for the first time set a deadline, 2016, for trilateral road connectivity which will make it possible to drive right up to Thailand from India via Myanmar.
After the PM's "restricted" meeting with Thein Sein, who received Singh at his resplendent palace wearing the traditional Burmese gaung baung head gear, foreign secretary Ranjan Mathai announced that "efforts would be made to establish seamless trilateral connectivity by 2016".
Singh, who had a one-on-one with Thein Sein before the delegation talks, said India would undertake the repair of 71 bridges on the Tamu-Kalewa Friendship Road. India had earlier helped Myanmar build this road and the plan now is to link it with a place called Yargyi which will effectively link Moreh in India to Mae Sot in Thailand.
"The two leaders decided that India would undertake upgradation of the Kalewa-Yargyi road segment to highway standard while Myanmar would undertake upgradation of the Yargyi-Monywa stretch to highway standard by 2016," Mathai said, adding that the two leaders welcomed the revival of the Joint Task Force on the trilateral highway.
Indian officials believe that this highway will truly become the bridge between India and Asean countries and place it at the heart of India's Look East policy. Myanmar is the only Asean country with which India shares land boundary.
The two leaders decided to constitute a Joint Working Group to determine the technical and commercial feasibility of cross-border rail links and the commercial feasibility of direct shipping links between the two countries. The two sides also discussed the possibility of Indian participation in development of key infrastructure projects like the Dawei port in Myanmar.
However, one of India's most ambitious projects in Myanmar, Kaladan Multimodal Transport Project which will also link India's northeast with the mainland through Sittwe port in Myanmar, barely found a mention in the joint statement. "They expressed satisfaction at the steady progress being made on the Kaladan Multimodal Transit Transport Project," it said. It is well known though that the road component of the project leading to south Mizoram is getting delayed.
After the PM's "restricted" meeting with Thein Sein, who received Singh at his resplendent palace wearing the traditional Burmese gaung baung head gear, foreign secretary Ranjan Mathai announced that "efforts would be made to establish seamless trilateral connectivity by 2016".
Singh, who had a one-on-one with Thein Sein before the delegation talks, said India would undertake the repair of 71 bridges on the Tamu-Kalewa Friendship Road. India had earlier helped Myanmar build this road and the plan now is to link it with a place called Yargyi which will effectively link Moreh in India to Mae Sot in Thailand.
"The two leaders decided that India would undertake upgradation of the Kalewa-Yargyi road segment to highway standard while Myanmar would undertake upgradation of the Yargyi-Monywa stretch to highway standard by 2016," Mathai said, adding that the two leaders welcomed the revival of the Joint Task Force on the trilateral highway.
Indian officials believe that this highway will truly become the bridge between India and Asean countries and place it at the heart of India's Look East policy. Myanmar is the only Asean country with which India shares land boundary.
The two leaders decided to constitute a Joint Working Group to determine the technical and commercial feasibility of cross-border rail links and the commercial feasibility of direct shipping links between the two countries. The two sides also discussed the possibility of Indian participation in development of key infrastructure projects like the Dawei port in Myanmar.
However, one of India's most ambitious projects in Myanmar, Kaladan Multimodal Transport Project which will also link India's northeast with the mainland through Sittwe port in Myanmar, barely found a mention in the joint statement. "They expressed satisfaction at the steady progress being made on the Kaladan Multimodal Transit Transport Project," it said. It is well known though that the road component of the project leading to south Mizoram is getting delayed.
Ranbaxy gets US FDA nod for acne treatment drug
New Delhi: Ranbaxy Laboratories Ltd on Monday got approval from the US Food and Drug Administration to launch Absorica in the US market.
Through a business agreement with the Canadian firm, Cipher Pharmaceuticals Inc, Ranbaxy Laboratories Inc (RLI), a wholly owned subsidiary of RLL is expected to launch Absorica in the US in fourth quarter.
As per the agreement, Ranbaxy will pay royalties on net sales to Cipher. Absorica, a novel, is patented brand formulation of the acne medication isotretinoin, developed by Cipher, for treatment of severe recalcitrant nodular acne.
“Absorica is a milestone in our commitment to serve the dermatology community and will be the flagship brand for Ranbaxy’s specialised dermatology sales force,” Mr Venkat Krishnan, Senior Vice President and Regional Director, Americas, Ranbaxy said in a company statement.
Canadian delegation in Technopark
Thiruvananthapuram: A high-level delegation from the Canadian High Commission visited the Technopark here this morning.
It comprised Ms Sara Wilshaw, Minister (Commercial) and Ms Ivy Lerner-Frank, First Secretary, Education, Science and Technology, and Trade Commissioner.
Mr Girish Babu, Chief Executive Officer, and Mr M. Vasudevan, Senior Business Development Manager, Technopark, received the delegation.
It visited the Infosys campus here where company officials made presentations on company activities.
Ms Wilshaw said that she was impressed by the infrastructure facilities available in Technopark for IT and ITeS companies.
She promised to bring this to the notice of Canadian High Commission who is looking for investment opportunities in India.
"We had fruitful discussions with the delegation and hope to see some strategic developments based on them," said Mr Girish Babu.
"We are positive that the delegation will carry with them good feedback on Technopark," he added.
Mr Harsh Dhingra, Director, Services, and Head, Business Development at Bombardier Transportation, had accompanied the Canadian delegation.
JSPL buys 10% in Gujarat NRE's Oz unit
Mumbai: Jindal Steel and Power Ltd (JSPL), through its Mauritian unit, bought a 10 per cent stake in Gujarat NRE Coke Ltd’s Australian subsidiary, Gujarat NRE Coking Coal (GNM), for around $25 million (Rs 137.5 crore), the company said on Monday.
JSPL paid $0.25 per share for 100 million shares of GNM, which was a 48 per cent premium to GNM’s closing price of $0.17 per share on May 25.
Apart from the stake sale, the two companies also signed an off-take agreement for supply of five million tonnes (mt) of coking coal for Jindal Steel’s India operations for 10 years.
GNM said: “The off-take agreement over 10 years for a total of 5 mt is based on an annual offtake of 0.5 mt of run-of-mine (ROM) coal with the option for additional quantity of 0.5 mt at benchmark-linked price.”
The Australian firm owns and operates two premium quality hard coking coal mines required in steelmaking. The deal is expected to be completed by May 30.
This is not a huge investment by JSPL, but is in line with the company’s strategy to pick up stakes in firms that can offer raw material security. Sushil Maroo, director (finance) at JSPL, told Business Standard: “This investment is part of our policy to secure coking coal supplies.”
Arun Kumar Jagatramka, executive chairman of Gujarat NRE, said: “This is a win-win deal for both parties since it provides secured supply of premium hard coking coal to Jindal Steel, while it diversifies the customer base of the company.”
On May 8, JSPL had acquired a 9.25 per cent stake in another Australian company, Apollo Minerals, for $1 million.
Gujarat NRE Q4 loss at Rs 45.5 crore
Gujarat NRE Coke posted a stand-alone net loss of Rs 45.51 crore for the quarter ended March 31, due to a host of reasons, including decline in sales, increased interest outgo and forex losses. The Kolkata-based coke producer had reported a net profit of Rs 51.64 crore in the corresponding quarter of 2010-11.
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