VSNL to hike stake in Inmarsat: VSNL is set to increase its equity stake in the new International Maritime Satellite Organisation substantially. The move follows Cabinet approval for transfer of VSNL shares to Inmarsat Holding, the new arm of the restructured Inmarsat, which will be listed on the London Stock Exchange.

Modern may sell terry-towels unit: The Modern group plans to put its export-oriented terry-towels unit -- Modern Terry Towels -- up for sale. The group has informed FIs about the move, following its failure to sell Modern Denim to raise funds for the working-capitalrequirement of other group companies by the December 1998 deadline.

Hyundai, Maruti drop out of auto show: Maruti Udyog and Hyundai Motor India have abruptly dropped out of the Mumbai Auto Show "for inexplicable reasons". Industry sources said Hyundai had assured its participation in the show earlier but suddenly decided against it. Maruti was not too enthusiastic about the event given its relatively small canvas.

FIs aid to Flex: Flex Industries and Flex Chemicals, both of which are not sick companies, have secured concessions from three FIs--IDBI, ICICI and IFCI. The concessions go beyond RBI norms for providing relief to sick companies.

Reliance polypropylene plant: Reliance Industries has commissioned the first line of its 600,000 mt per annum polypropylene plant at Jamnagar in Gujarat. The commissioning of the first line is ahead of schedule.

JCT repayment: FIs may ask JCT to make part repayment of the money proposed to be raised by the company from sale of assets.This will be a precondition for approving its debt-restructuring proposal. The recast plan, proposed by JCT earlier, was rejected by institutions as they failed to reach a consensus over the terms and conditions.

Pentafour eyes Rs 300cr sales: Chennai-based Pentafour Communications plans to achieve a Rs 300-crore turnover in five years. Director K Srinivasan said this would be achieved by expanding operations in chosen areas of high-end training and opening new training centres in the country and abroad.

Ceat posts Rs 1,175cr turnover: RP Goenka group company Ceat has posted a turnover of Rs 1,175 crore for the year ended March 31, 1999. This is marginally higher than the 1997-98 turnover of Rs 1,149 crore. The tyre major is expected to post a net profit of Rs 20 crore.

Century Enka's plastics business: DSM Engineering Plastics BV has acquired the engineering plastics business of Century Enka and established its subsidiary DSM Engineering Plastics (India). Through the venture, thecompany will be able to improve its service to its global and local customers, company sources said.

Jaiprakash Industries, J&K sign pact: Jaiprakash Industries signed a pact with the Jammu & Kashmir government on Sunday for a 450mw hydro-electric power plant. "This is a leap forward towards the harnessing the vast potential of 1,000 mw of hydel resources in the state," the Chief Minister Farooq Abdullah said.

SPL gets highest rating for CP: Duff & Phelps Credit Rating India has rated the Rs 4-crore commercial paper of ceramic tiles-maker SPL Ltd as Ind D1+, its highest for short-term debt. The rating has taken into consideration "the established position of the company in the ceramic industry, its strong presence in the northern and eastern Indian markets and its comfortable financials".

Inflation rate inches up: Reversing the declining trend witnessed in the last three weeks, the annual rate of inflation crossed the 5 per cent mark by 0.08 percentage points to 5.04 per cent forthe week ended March 27. The rate of inflation, based on wholesale price index, went up 5.04 per cent from 4.96 per cent a week ago.

Divestment to net Rs 6,500 crore: The disinvestment is expected to fetch the exchequer only Rs 6,500 crore during 1998-99 as opposed to about Rs 8,000 crore stated by finance minister Yashwant Sinha in his budget speech. However, the amount would be about Rs 1,500 crore more than what the finance minister's original budget estimate of Rs 5,000 crore for the the fiscal.

Pathak cheating case: The $1-lakh Lakhubhai Pathak cheating case involving former premier Narasimha Rao has taken a new turn with two other accused -- Chandraswami and his aide "Mamaji" -- seeking closure of prosecution evidence for its non-completion within the period of two years as fixed by the Supreme Court.

Japan to take over failed regional bank: Japanese financial regulators said on Sunday they will take over a failed regional bank, Kokumin Bank, while the Bank of Japan said itwill supply funds to protect its depositors.

Hyundai bows to pressure on merger: A protracted merger deal between South Korea's two major semiconductor-makers is likely to be wrapped up this month after the Hyundai group apparently succumbed to government pressure.