SAN FRANCISCO: Microsoft has outsourced its internal tech support to Indian technology services firm Infosys, the companies have announced
The move was first revealed in an Infosys press release Tuesday announcing a three-year deal to "manage internal IT services for Microsoft worldwide" and later confirmed by the US software giant.
"As part of this managed services agreement, Infosys will streamline implementation processes, simplify support and service, while at the same time lowering the enterprise costs through the use of the latest Microsoft solutions such as Windows 7," Infosys said in a statement.
No financial or other terms of the deal were released. But Microsoft said that it would still retain strategic functions in its internal IT management and was engaging Infosys to consolidate service previously provided by a variety of outside vendors.
The move will see Infosys providing help desk support for 450 Microsoft locations worldwide as Microsoft looks to cut costs by outsourcing jobs to the Indian tech services firm.
"The fully integrated solution developed by Infosys will help us enhance how we deliver end-user computing services to our internal employees and partners while leveraging the innovation and investments we make in developing new technologies," said Jim DuBois, Microsoft's general manager of service management.
Success in my Habit
Wednesday, April 14, 2010
China's Q1 GDP up about 11.9 pc y/y: Report
China's Q1 GDP up about 11.9 pc y/y: Report
BEIJING: China's economy grew about 11.9 percent in the first quarter from a year earlier, topping expectations and expanding at the fastest annual
pace in nearly three years, according to two market sources.
Consumer price inflation in March was roughly 2.4 percent, one of the sources said. That would be a deceleration from the 2.7 percent rate in February and below forecasts of 2.6 percent.
China is scheduled to publish its first-quarter GDP growth rate and a suite of economic data for March on Thursday.
The numbers heard by Reuters matched those reported earlier on Wednesday by China Business News, a Chinese-language newspaper which cited an unidentified source.
BEIJING: China's economy grew about 11.9 percent in the first quarter from a year earlier, topping expectations and expanding at the fastest annual
pace in nearly three years, according to two market sources.
Consumer price inflation in March was roughly 2.4 percent, one of the sources said. That would be a deceleration from the 2.7 percent rate in February and below forecasts of 2.6 percent.
China is scheduled to publish its first-quarter GDP growth rate and a suite of economic data for March on Thursday.
The numbers heard by Reuters matched those reported earlier on Wednesday by China Business News, a Chinese-language newspaper which cited an unidentified source.
Monday, April 12, 2010
Mukherjee: SEBI, IRDA to maintain ULIP status quo ante
Mukherjee: SEBI, IRDA to maintain ULIP status quo ante:
The capital markets and insurance regulators have agreed to maintain current status on unit-linked insurance products, Finance Minister Pranab Mukherjee said on Monday.
"The regulators have agreed to jointly seek a binding legal mandate from an appropriate board. Meanwhile, status quo ante is being restored," Mukherjee told reporters after meeting the heads of the regulatory bodies.
Late last Friday, the Securities and Exchange Board of India (SEBI) said it barred 14 life insurance companies from selling unit-linked insurance products without its approval, saying they needed to register with the capital markets regulator.
Unit-linked insurance products, or Ulips, are similar to mutual funds with an added life cover.
A day later, the Insurance regulatory Development Authority (IRDA), which oversees insurance companies, assured policyholders that their investments were safe and issues arising out of SEBI orders would be addressed in the "appropriate forum".
"SEBI does not have a jurisdiction on Ulip products. SEBI believes otherwise. The SEBI decision will have a negative impact on the financials of policy holders and insurance companies," IRDA Chairman J. Hari Narayan told reporters in New Delhi earlier on Monday.
Regards
Sukumar Balakrishnan
The capital markets and insurance regulators have agreed to maintain current status on unit-linked insurance products, Finance Minister Pranab Mukherjee said on Monday.
"The regulators have agreed to jointly seek a binding legal mandate from an appropriate board. Meanwhile, status quo ante is being restored," Mukherjee told reporters after meeting the heads of the regulatory bodies.
Late last Friday, the Securities and Exchange Board of India (SEBI) said it barred 14 life insurance companies from selling unit-linked insurance products without its approval, saying they needed to register with the capital markets regulator.
Unit-linked insurance products, or Ulips, are similar to mutual funds with an added life cover.
A day later, the Insurance regulatory Development Authority (IRDA), which oversees insurance companies, assured policyholders that their investments were safe and issues arising out of SEBI orders would be addressed in the "appropriate forum".
"SEBI does not have a jurisdiction on Ulip products. SEBI believes otherwise. The SEBI decision will have a negative impact on the financials of policy holders and insurance companies," IRDA Chairman J. Hari Narayan told reporters in New Delhi earlier on Monday.
Regards
Sukumar Balakrishnan
Thursday, April 8, 2010
Monday, April 5, 2010
'Budget steps to put eco back on 9% growth track'
New Delhi: Finance minister Pranab Mukherjee on Friday said measures initiated in Budget 2011 would help revive private investments and put the economy back on 9% growth. He said for 2009-10, GDP growth has been "impressive" at 7.2%.
Mukherjee said the measures that would help revive private investments include enhancing allocation to the MSME sector to Rs 2,400 crore, increasing the limit for presumptive taxation, raising the threshold for compulsory auditing of accounts of small businesses, extension of interest subvention for exports in certain sectors and exemption from capital gains tax to facilitate conversion of small businesses to limited liability partnership (LLP) format.
"I am optimistic that the measures I have outlined in this year's Budget will revive private investment and put the economy back on the growth path of 9% per annum," the FM said on the sidelines of Small Industries Development Bank of India's foundation day celebration.
Elaborating on the role of micro finance, FM said it has emerged as a new channel of economic empowerment and attainment of Millennium Development Goals. "The government aims to double credit flow to MSME sector within five years," he said and promised to implement recommendations of a report of the PM's Task Force on MSMEs set up to address various issues and concerns of the sector.
"We expect the economy to grow by 7.2% in 2009-10 which is impressive by global standards," the FM said and added that the growth rate will climb back to 8.25%-8.75% in 2010-11.
"The good news is that the world economy today seems to be recovering from the meltdown crisis of 2008-09," the FM said. The fast-paced recovery of the Indian economy underscores the effectiveness of the policy response of the government in the wake of this financial crisis, he added.
Mukherjee said the measures that would help revive private investments include enhancing allocation to the MSME sector to Rs 2,400 crore, increasing the limit for presumptive taxation, raising the threshold for compulsory auditing of accounts of small businesses, extension of interest subvention for exports in certain sectors and exemption from capital gains tax to facilitate conversion of small businesses to limited liability partnership (LLP) format.
"I am optimistic that the measures I have outlined in this year's Budget will revive private investment and put the economy back on the growth path of 9% per annum," the FM said on the sidelines of Small Industries Development Bank of India's foundation day celebration.
Elaborating on the role of micro finance, FM said it has emerged as a new channel of economic empowerment and attainment of Millennium Development Goals. "The government aims to double credit flow to MSME sector within five years," he said and promised to implement recommendations of a report of the PM's Task Force on MSMEs set up to address various issues and concerns of the sector.
"We expect the economy to grow by 7.2% in 2009-10 which is impressive by global standards," the FM said and added that the growth rate will climb back to 8.25%-8.75% in 2010-11.
"The good news is that the world economy today seems to be recovering from the meltdown crisis of 2008-09," the FM said. The fast-paced recovery of the Indian economy underscores the effectiveness of the policy response of the government in the wake of this financial crisis, he added.
Monday, March 29, 2010
HUL takes innovation route to tackle competition
HUL takes innovation route to tackle competition
MUMBAI: Unilever CEO Paul Polman wanted to be a priest, but ended up studying economics. Instead of donning vestments and presiding over his flock,
he put on a suit and took to selling nappies and bath soaps for one of the world's biggest consumer products firms. Later on in his career, he did something even more unexpected, at least by Indian standards. Instead of getting bogged down in boring power points and dour dinner boardroom conversations , he put on his climbing boots and took aim at a massive target, Mt Kilimanjaro, Africa's biggest peak, which he conquered some years ago for a charity. Employees and shareholders are already feeling the effects of an evangelising and adventurous spirit coursing through the company. There is a buzz around Unilever these days that is hard to miss. Volumes have grown worldwide if not yet in India, a new management team is in place and a turnaround strategy being put in place seems to be working. Starting last Saturday Mr Polman and top honchos of its Indian subsidiary Hindustan Unilever spent over two days meeting consumers and dealers as India's largest seller of consumers goods soaps and toothpaste seeks to fulfil its parent's mandate to ratchet up growth rates. The maker of well-known consumer brands such as Dove shampoos, Lipton tea and Surf detergent says it has initiated innovation across categories to drive growth to tackle the intensifying competition in the country and to double turnover. The importance of Paul Polman’s visit is clear considering that this is third trip since he took over as CEO. Paul Polman, who hit the road with Harish Manwani, non-executive chairman , HUL and president Asia, Africa, central & Eastern Europe in tow, is believed to have directed the top team to commit higher investments to step up market development activities through product and pricing innovations, primarily at the mass end of the market where HUL has been under pressure. He jokingly said he did not want to focus on beating up Nitin Paranjpe—Hindustan Unilever CEO—or Harish Manwani for a couple of tough quarters faced by HUL. The majority-owned subsidiary of Unilever has disappointed investors with lacklustre results for four quarters. For the quarter ended December 31, its net profit was at the same level as the year-ago period and its topline rose just 4.4%. HUL missed the great bull run of 2003-08 and the stock has given a measly 0.16% return since 2000. The HUL scrip closed at Rs 239.50 up 0.8% in a flat Mumbai market. Mr Polman rattled HUL executives when he described India as an “underperformer” while unveiling Unilever fourth quarter results. But, on Monday with Mr Manwani and Mr Paranjpe at his side he spoke in emollient terms about Unilver’s long history in India and the glorious future that lay ahead.
MUMBAI: Unilever CEO Paul Polman wanted to be a priest, but ended up studying economics. Instead of donning vestments and presiding over his flock,
he put on a suit and took to selling nappies and bath soaps for one of the world's biggest consumer products firms. Later on in his career, he did something even more unexpected, at least by Indian standards. Instead of getting bogged down in boring power points and dour dinner boardroom conversations , he put on his climbing boots and took aim at a massive target, Mt Kilimanjaro, Africa's biggest peak, which he conquered some years ago for a charity. Employees and shareholders are already feeling the effects of an evangelising and adventurous spirit coursing through the company. There is a buzz around Unilever these days that is hard to miss. Volumes have grown worldwide if not yet in India, a new management team is in place and a turnaround strategy being put in place seems to be working. Starting last Saturday Mr Polman and top honchos of its Indian subsidiary Hindustan Unilever spent over two days meeting consumers and dealers as India's largest seller of consumers goods soaps and toothpaste seeks to fulfil its parent's mandate to ratchet up growth rates. The maker of well-known consumer brands such as Dove shampoos, Lipton tea and Surf detergent says it has initiated innovation across categories to drive growth to tackle the intensifying competition in the country and to double turnover. The importance of Paul Polman’s visit is clear considering that this is third trip since he took over as CEO. Paul Polman, who hit the road with Harish Manwani, non-executive chairman , HUL and president Asia, Africa, central & Eastern Europe in tow, is believed to have directed the top team to commit higher investments to step up market development activities through product and pricing innovations, primarily at the mass end of the market where HUL has been under pressure. He jokingly said he did not want to focus on beating up Nitin Paranjpe—Hindustan Unilever CEO—or Harish Manwani for a couple of tough quarters faced by HUL. The majority-owned subsidiary of Unilever has disappointed investors with lacklustre results for four quarters. For the quarter ended December 31, its net profit was at the same level as the year-ago period and its topline rose just 4.4%. HUL missed the great bull run of 2003-08 and the stock has given a measly 0.16% return since 2000. The HUL scrip closed at Rs 239.50 up 0.8% in a flat Mumbai market. Mr Polman rattled HUL executives when he described India as an “underperformer” while unveiling Unilever fourth quarter results. But, on Monday with Mr Manwani and Mr Paranjpe at his side he spoke in emollient terms about Unilver’s long history in India and the glorious future that lay ahead.
Kalanithi's Rs 700-cr offer not too hot for SpiceJet owners
Kalanithi's Rs 700-cr offer not too hot for SpiceJet owners
MUMBAI: Kalanithi Maran, media baron and promoter of Sun TV, and the promoters of SpiceJet are sparring over the price being offered for a majority
stake in the budget carrier, with Mr Maran’s proposal of Rs 700 crore for a 51% stake finding few takers among the airline’s shareholders. Mr Maran, whose interests have now spread from media to aviation, has completed due diligence and is believed to have made an offer of Rs 700 crore, or Rs 55 per share. This is not acceptable to the SpiceJet shareholders, as the offer is at a discount to the ruling market price of the stock. The SpiceJet stock fell marginally to Rs 57.55 on Monday. At current market price, SpiceJet is valued at about Rs 1,388 crore. “There are differences on the valuation. If that is over, a deal may be announced in a fortnight,” said an investment banker requesting anonymity. Kenya-based Kansagra family is the promoter of SpiceJet with a 13% stake. SpiceJet director Ajay Singh holds 5%. The deal, if it goes through, will be a combination of share sale by existing shareholders and issue of new shares to Mr Maran, who has been looking for an opportunity to enter the aviation industry. He held discussions to buy Star Aviation, an yet-to-be-launched regional airline in South India. Attempts to reach Mr Maran and Sanjay Aggarwal, SpiceJet’s chief executive officer, failed. SpiceJet’s chief operating officer Samyukta Sridharan, in response to an ET query, said, “As a policy, we do not comment on market rumours and speculation.” Financial services group Religare is also in the race, but yet to do the due diligence, said a person having direct knowledge of the development. The Anil Ambani Group had showed some initial interest. Advisory firm Ernst & Young (E&Y) is doing the financial due diligence for SpiceJet and law firm Amarchand & Mangaldas & Suresh A Shroff & Co is advising Mr Maran on legal issues. Financial services firm Edelweiss is advising SpiceJet on the deal. Key executives within the airline said the Maran group had done initial reference check on the SpiceJet management some time ago. Aviation analysts and experts, who have been tracking SpiceJet, said valuations for the airline can be the deal breaker. “SpiceJet is one of the most expensive airlines in the country,” said a source from one of the major advisory firms in the country, not wanting to be identified. “If one compares on the basis of number of aircraft, Kingfisher Airlines with 65 aircraft has a market cap of Rs 1,286 crore whereas SpiceJet with only 20 aircraft has a market cap of Rs 1,390 crore,” he said. The stock has seen as much as 60% rise over the past six months, compared to peers like Jet Airways, which saw an increase of 42% over the same period. US-based billionaire private equity investor Wilbur Ross has also invested in the airline and is believed to looking to sell his stake. Mr Ross invested $80 million in SpiceJet in July 2008 through foreign currency convertible bonds. In December this year, Mr Ross will either have to convert or redeem the bonds. Mr Ross’ stake will go up to 31% if he converts the bonds, forcing him to launch the mandatory 20% open offer, which, he does not want to, sources said. “This is why Wilbur Ross is looking to sell his stake in the company,” said the person having direct knowledge of the matter. Wilbur Ross could not be contacted for comment.
MUMBAI: Kalanithi Maran, media baron and promoter of Sun TV, and the promoters of SpiceJet are sparring over the price being offered for a majority
stake in the budget carrier, with Mr Maran’s proposal of Rs 700 crore for a 51% stake finding few takers among the airline’s shareholders. Mr Maran, whose interests have now spread from media to aviation, has completed due diligence and is believed to have made an offer of Rs 700 crore, or Rs 55 per share. This is not acceptable to the SpiceJet shareholders, as the offer is at a discount to the ruling market price of the stock. The SpiceJet stock fell marginally to Rs 57.55 on Monday. At current market price, SpiceJet is valued at about Rs 1,388 crore. “There are differences on the valuation. If that is over, a deal may be announced in a fortnight,” said an investment banker requesting anonymity. Kenya-based Kansagra family is the promoter of SpiceJet with a 13% stake. SpiceJet director Ajay Singh holds 5%. The deal, if it goes through, will be a combination of share sale by existing shareholders and issue of new shares to Mr Maran, who has been looking for an opportunity to enter the aviation industry. He held discussions to buy Star Aviation, an yet-to-be-launched regional airline in South India. Attempts to reach Mr Maran and Sanjay Aggarwal, SpiceJet’s chief executive officer, failed. SpiceJet’s chief operating officer Samyukta Sridharan, in response to an ET query, said, “As a policy, we do not comment on market rumours and speculation.” Financial services group Religare is also in the race, but yet to do the due diligence, said a person having direct knowledge of the development. The Anil Ambani Group had showed some initial interest. Advisory firm Ernst & Young (E&Y) is doing the financial due diligence for SpiceJet and law firm Amarchand & Mangaldas & Suresh A Shroff & Co is advising Mr Maran on legal issues. Financial services firm Edelweiss is advising SpiceJet on the deal. Key executives within the airline said the Maran group had done initial reference check on the SpiceJet management some time ago. Aviation analysts and experts, who have been tracking SpiceJet, said valuations for the airline can be the deal breaker. “SpiceJet is one of the most expensive airlines in the country,” said a source from one of the major advisory firms in the country, not wanting to be identified. “If one compares on the basis of number of aircraft, Kingfisher Airlines with 65 aircraft has a market cap of Rs 1,286 crore whereas SpiceJet with only 20 aircraft has a market cap of Rs 1,390 crore,” he said. The stock has seen as much as 60% rise over the past six months, compared to peers like Jet Airways, which saw an increase of 42% over the same period. US-based billionaire private equity investor Wilbur Ross has also invested in the airline and is believed to looking to sell his stake. Mr Ross invested $80 million in SpiceJet in July 2008 through foreign currency convertible bonds. In December this year, Mr Ross will either have to convert or redeem the bonds. Mr Ross’ stake will go up to 31% if he converts the bonds, forcing him to launch the mandatory 20% open offer, which, he does not want to, sources said. “This is why Wilbur Ross is looking to sell his stake in the company,” said the person having direct knowledge of the matter. Wilbur Ross could not be contacted for comment.
Tuesday, March 16, 2010
Lehman plans to end bankruptcy, create new company
Lehman plans to end bankruptcy, create new company
Journey of Lehman Brothersoperations -- and end the largest U.S. bankruptcy case in history. Under the proposed Chapter 11 plan, a newly created business called LAMCO would manage what is left of Lehman's commercial real estate, mortgages, principal investments, private equity, corporate debt and derivatives assets. Lehman filed for bankruptcy on Sept. 15, 2008, listing more than $600 billion of assets. It quickly sold its biggest units like its core U.S. brokerage and Neuberger Berman wealth management subsidiary, but hundreds of Lehman employees hired by the bankruptcy estate have been managing the company's long-term investments in real estate and private equity since the bankruptcy. Lehman's ability to quickly sell its core assets and then propose an end to its bankruptcy about a year and a half after filing the most complicated case ever was seen as a triumph for the U.S. bankruptcy system. "Lehman went in and there was real concern whether bankruptcy could handle something like that," Jack Williams, a bankruptcy law professor at Georgia State University, said on Monday. "(The detractors) were wrong then and they're wrong now ... It works for small, medium and gargantuan businesses."
Journey of Lehman Brothersoperations -- and end the largest U.S. bankruptcy case in history. Under the proposed Chapter 11 plan, a newly created business called LAMCO would manage what is left of Lehman's commercial real estate, mortgages, principal investments, private equity, corporate debt and derivatives assets. Lehman filed for bankruptcy on Sept. 15, 2008, listing more than $600 billion of assets. It quickly sold its biggest units like its core U.S. brokerage and Neuberger Berman wealth management subsidiary, but hundreds of Lehman employees hired by the bankruptcy estate have been managing the company's long-term investments in real estate and private equity since the bankruptcy. Lehman's ability to quickly sell its core assets and then propose an end to its bankruptcy about a year and a half after filing the most complicated case ever was seen as a triumph for the U.S. bankruptcy system. "Lehman went in and there was real concern whether bankruptcy could handle something like that," Jack Williams, a bankruptcy law professor at Georgia State University, said on Monday. "(The detractors) were wrong then and they're wrong now ... It works for small, medium and gargantuan businesses."
Renault-Nissan hints tie-up with Ashok Leyland for new car project
16 Mar 2010, 2112 hrs IST, ET Bureau
CHENNAI: Renault-Nissan strongly hinted on Tuesday that it might partner with commercial vehicle major Ashok Leyland (ALL) to produce a new
passenger car which will be positioned between its ultra-low-cost car project (ULC) with Bajaj and the v-platform ‘Micra’ car. ( Watch ) The alliance has been engaged in discussion with the ALL team, among other partners, earlier in the day. Renault-Nissan chairman Carlos Ghosn said his company is working with ALL on the evolution of some common projects. He is in Chennai to inaugurate Renault-Nissan’s maiden greenfield car plant in India at Oragadam on Wednesday. On the new car, Mr Ghosn said it has not reached any conclusion yet with its active "alliance partner" ALL. However, he ruled out any tie-up with Bajaj for this project as the latter had its "hands full" with the ULC car project. When contacted by ET, Bajaj Auto MD Rajiv Bajaj said "I don’t know what’s on their mind as we haven’t discussed the project." On the ULC tie-up with Bajaj, Mr Ghosn said "it will not be assembled in Chennai plant," he said, noting at every emerging market (India, Russia, China and Brazil) had an entry point as far as pricing is concerned. It is yet to reach negotiation stage at the contract level but the two were working together to develop this car. The car derivative would not only be for India market but also for other emerging markets, Mr Ghosn said in response to a query. Seeking to point out that Micra is coming at a "very important" segment, the B+ market, which constitutes over 50% of the Indian market, he said below Micra, there is room for many other products (in the B, A and A- categories). On Logan and its pact with Mahindra & Mahindra, the Renault-Nissan CEO said it is not satisfied with the evolution of Logan. This input has been shared with Mahindra and both are now working towards "repositioning" Logan and making it a success in India. "We have to be a bit more nimble and faster in the market," Mr Ghosn said, adding it had not yet reached any conclusion with its partnership with M&M. "Logan will be competitive and stay in the Indian market and consumers will be served," he said, adding the product would sustain its "normal life-cycle." Asked about an equity-swap deal with Germany’s Daimler, Mr Ghosn dismissed it as speculation.
16 Mar 2010, 2112 hrs IST, ET Bureau
CHENNAI: Renault-Nissan strongly hinted on Tuesday that it might partner with commercial vehicle major Ashok Leyland (ALL) to produce a new
passenger car which will be positioned between its ultra-low-cost car project (ULC) with Bajaj and the v-platform ‘Micra’ car. ( Watch ) The alliance has been engaged in discussion with the ALL team, among other partners, earlier in the day. Renault-Nissan chairman Carlos Ghosn said his company is working with ALL on the evolution of some common projects. He is in Chennai to inaugurate Renault-Nissan’s maiden greenfield car plant in India at Oragadam on Wednesday. On the new car, Mr Ghosn said it has not reached any conclusion yet with its active "alliance partner" ALL. However, he ruled out any tie-up with Bajaj for this project as the latter had its "hands full" with the ULC car project. When contacted by ET, Bajaj Auto MD Rajiv Bajaj said "I don’t know what’s on their mind as we haven’t discussed the project." On the ULC tie-up with Bajaj, Mr Ghosn said "it will not be assembled in Chennai plant," he said, noting at every emerging market (India, Russia, China and Brazil) had an entry point as far as pricing is concerned. It is yet to reach negotiation stage at the contract level but the two were working together to develop this car. The car derivative would not only be for India market but also for other emerging markets, Mr Ghosn said in response to a query. Seeking to point out that Micra is coming at a "very important" segment, the B+ market, which constitutes over 50% of the Indian market, he said below Micra, there is room for many other products (in the B, A and A- categories). On Logan and its pact with Mahindra & Mahindra, the Renault-Nissan CEO said it is not satisfied with the evolution of Logan. This input has been shared with Mahindra and both are now working towards "repositioning" Logan and making it a success in India. "We have to be a bit more nimble and faster in the market," Mr Ghosn said, adding it had not yet reached any conclusion with its partnership with M&M. "Logan will be competitive and stay in the Indian market and consumers will be served," he said, adding the product would sustain its "normal life-cycle." Asked about an equity-swap deal with Germany’s Daimler, Mr Ghosn dismissed it as speculation.
Monday, March 1, 2010
UK's Prudential confirms to buy AIG Asia for $35.5 bn
LONDON: Britain's Prudential said it would buy AIG's Asian life insurance arm for $35.5 bn, in a deal set to make the insurer the undisputed leader Where has US bailout money gone?More on Financial crisisWhy currency keeps fluctuatingin one of the world's fastest-growing financial services markets. The acquisition will be financed in part by a $20 billion equity capital raising, one of the biggest cash calls ever, and by a $5 billion debt issue, Prudential said on Monday, confirming an earlier Reuters report. Investors and analysts said they needed to know more about the finances of the AIG's Asian unit, AIA, before they could judge whether the deal could justify a capital-raising on that scale.
LONDON: Britain's Prudential said it would buy AIG's Asian life insurance arm for $35.5 bn, in a deal set to make the insurer the undisputed leader Where has US bailout money gone?More on Financial crisisWhy currency keeps fluctuatingin one of the world's fastest-growing financial services markets. The acquisition will be financed in part by a $20 billion equity capital raising, one of the biggest cash calls ever, and by a $5 billion debt issue, Prudential said on Monday, confirming an earlier Reuters report. Investors and analysts said they needed to know more about the finances of the AIG's Asian unit, AIA, before they could judge whether the deal could justify a capital-raising on that scale.
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