Seven must read news

Updated: Jun 26 2013, 21:20pm hrs
TowerJazz wins contract to build chip plant in India

A consortium including Israeli chipmaker TowerJazz has won a tender to build a semiconductor plant in India, the Calcalist financial news website reported on Tuesday. The group also includes IBM and Indian infrastructure company Jaypee which will fund the project. According to Calcalist, TowerJazz, which will provide know how, consulting and support services, will have revenue of $300 million over six years from the project. It will not have any expenses and therefore will have a profit of 90% of the revenue, the website said. TowerJazz will also be able to use part of the facility for its own products, enabling it to expand in India.

USAID, Northern Lights partner for clean energy

The US Agency for International Development (USAID) will partner US-based institutional investor Northern Lights Capital Group to facilitate a $100-million investment in India's clean energy sector via Nereus Capital. This investment, through the Agency's Development Credit Authority, is expected to create hundreds of additional megawatts of sustainable energy capacity. USAID will provide a 40% credit guarantee for a $100-million limited partner commitment to Nereus Capital's India Alternative Energy Fund managed by Northern Lights Capital.

Office space absorption in NCR falls 25% in FY13

Office space leasing in the NCR fell 25% in the 2012-13 fiscal to 5.8 million sq ft due to uncertainties in the global economy and slowdown in IT/ITeS sector, global property consultant Knight Frank said. "The NCR office market showed steady absorption levels in H1FY13 followed by a dip in H2FY13. The city's office market clocked absorption of approximately 5.8 million sq ft during FY13, falling short by 25% compared to FY12," Knight Frank said in a report. The consultant noted that impending uncertainties over the global economic scenario have lent a cautious outlook to the market and office space demand has been restrained in FY13 compared to FY12 in most major cities of the country, NCR being no exception.

Bajaj Auto launches second KTM bike

The country's second-largest motorcycle maker, Bajaj Auto, launched its second KTM bike in India to expand its offerings in the premium sports segment. The KTM 390 Duke was launched in Pune on Tuesday at an aggressive price tag of R1.8 lakh (introductory price, ex showroom, Delhi). Bajaj Auto has a 48% stake in the Austrian bike maker, KTM. Rajiv Bajaj, MD, Bajaj Auto, said KTM had become the number one motorcycle company in Europe and was expanding with the aim of taking pole position in other markets too.

Arvind Remedies plans to tap US, Europe markets

Arvind Remedies, a pharma company focussing on both allopathy and ayurveda, has decided to tap the regulated markets of the US and Europe. Towards this, the company has established a facility near Chennai that will file ANDAs (abbreviated new drug applications) for at least three products to start with before the US FDA, EU GMP, Australia's TGA and UK's MHRA in the next six months for their approvals, said B Arvind Shah, managing director and CEO. In order to make an early entry into the US market, it has also floated a 100% subsidiary called Arvind Remedies and has appointed a full-fledged managerial team.

CCI gives nod to Strides Arcolab-Mylan deal

After the entities modified certain aspects of the non-compete pact, the Competition Commission of India approved the proposed acquisition of a Strides Arcolab subsidiary by Mylan Inc, saying the deal will not have an adverse impact on competition in India. Earlier, CCI had raised concerns about the Restrictive Covenant Agreement between the entities, which was to be effective for six years from the date of completion of the proposed combination.

NMDC to raise capex to R2,720 cr in current fiscal

State-owned iron ore miner NMDC plans to ramp up capex by about 70% to R2,720 crore in the current fiscal and a major part of these funds would be spent on its upcoming steel project in Chhattigarh. The company had spent R1,607 crore on expansion in 2012-13.