Washington/New Delhi, September 21
World's second largest PC maker Dell Inc today entered into an agreement to acquire computer services firm Perot Systems for approximately $3.9 billion, making it one of the biggest deals in the IT space since global financial turmoil hit the sector.

The terms of the agreement between the two-iconic brand were approved by the boards of directors of both companies, a statement from Dell said.

Under the terms of the agreement, Dell would commence a tender offer to acquire all of the outstanding Class A common stock of Perot Systems for $30 per share in cash. The deal would see an entity with $8 billion in services revenue.

"This significantly expands Dell’s enterprise -solutions capabilities. The acquisition makes great sense because of the obvious ways our businesses complement each other," Michael Dell, CEO and founder of Dell said.

Analysts feel Dell's move on Perot is partly motivated by a desire to expand its foothold in computer services.

The expanded Dell would be able to provide a broader range of IT services and solutions and also supply its computer systems to Perot Systems customers.

The acquisition will create an entity with $8 billion in services revenue. Once the acquisition is complete, Perot Systems will become Dell’s services unit and will be led by Peter Altabef, the current chief executive officer of Perot Systems.

This is a second biggest deal in the IT space this year.

In April, US business software company Oracle Corporation had announced to buy Silicon Valley rival Sun Microsystems for $7.4 billion.

On Nasdaq, Dell shares were quoted over 3.8 per cent down at $16.05 in early trade. — PTI 

Mumbai, September 21
Investor wealth has increased by over Rs 25 lakh crore in just over five months from the beginning of the current financial year, on improving sentiments in the domestic and global markets.

According to an analysis of the valuations for the period (April 1-September 18), the combined market capitalisation of all firms listed on the Bombay Stock Exchange increased by Rs 25,02,749 crore or nearly 80 per cent.

Analysts believe the rise in investor wealth has been due to the upbeat market sentiments on indications of economic recovery globally.

"The markets have given a healthy return on the back of positive mood among domestic and international investors," SMC Global's vice-president Rajesh Jain said.

The total market valuation increased to Rs 56,35,835.75 crore on September 18 from Rs 31,33,086.7 crore on April 1.

While, the 30-share benchmark index Sensex has given a healthy return of nearly 70 per cent to hover around 16,700 level in September against 9,900 level in April.

The Sensex companies, which account for about 45 per cent of the total market capitalisation of all the companies, saw its combined market valuation rise by over Rs 10,00,000 crore in the reviewed period.

The combined market capitalisation of the 30 blue-chip stocks rose to Rs 25,31,831.55 crore on September 18 from Rs 15,31,252.34 crore on April 1.

However, the total turnover of the Sensex companies declined to Rs 1,597.42 crore on September 18 from 1,705.52 crore on April 1.

Jain further added that the decline in the volumes is due to less participation of retail investors in the markets, which shows the run is mainly on account of institutional money, both domestic and international.

Meanwhile, foreign investment into the Indian stock markets are likely to cross $10 billion-mark by the end of this month as a hefty $9.8 billion (Rs 47,674 crore) have already been poured into the bourses by overseas entities so far this year. — PTI

New Delhi, September 21
Leading multi-brand auto solutions network, Carnation Auto and DC Design, today announced an exclusive tie-up to launch complete customisation solutions and semi-customisation kits for different car models to be made available across the country through the former’s nationwide hubs.

Speaking on the occasion, Jagdish Khattar, chairman-cum-managing director, Carnation Auto said: “Carnation endeavours to create ‘experience destinations’ for our customers. Keeping this in mind, Carnation’s tie-up with DC Design will take us one step closer to fulfilling our vision of addressing the needs of car owners across the country.”

The joint venture’s first offering in the ‘complete customisation’ category is the Innov8, based on the Toyota Innova. Its interiors have been worked upon from scratch to create an experience better than a first class jet liner. The interiors include plush leather seats that recline to 150 degrees, a privacy partition, a 19-inch LCD TV with optional Satellite TV, a sound system with DVD player, a beverage chiller, fold-out tables and ample legroom.

The exteriors are reworked with accentuated bumpers and air ducts, easy-access platforms and aircraft-styled roof module. The company will soon launch semi-customised kits that would be available for Honda City, Suzuki Swift and Tata Nano.

New Delhi, September 21
Gold prices tumbled by Rs 100 to Rs 15,945 per 10 grams in the Capital today on selling due to concerns over the International Monetary Fund (IMF)-approved gold sale.

Selling pressure gathered momentum after gold in the overseas markets fell below $1,000 an ounce following reports that the IMF had approved bullion sale, in addition to a rebounding dollar that reduced the demand for gold.

Retailers bought for the current festival and marriage season amid heavy selling by stockists, which failed to check a fall in both precious metals.

The IMF approved the sale of 403.3 metric tons of gold valued at about $13 billion to raise funds to support weaker countries. Also, the US Dollar Index gained for a second day on speculation that US policy makers might withdraw economic stimulus measures.

In London, gold prices lost $11.63 or 1.2 per cent to $995.97 an ounce and silver fell by 2 per cent to $16.66 an ounce.

Marketmen said the IMF’s decision to sell a large quantity of gold from its reserve had a negative impact on the bullion market, forcing stockists to reduce their holdings.

Gold in the domestic markets surged to an all-time high of Rs 16,220 per ten gram on September 16, while the metal in the overseas markets rose to an 18-month high of USD 1,029 an ounce.

In line with the general weak trend, silver fell sharply on lack of buying by industrial units. Silver ready fell by Rs 200 to Rs 26,300 per kg while silver for weekly-based delivery was not trading following closure of the futures markets.

Silver coins regained their highest record levels of Rs 31,900 for buying and Rs 32,000 for selling of per 100 pieces on retail buying for current festival and marriage season. Standard gold and ornaments fell by Rs 100 each at Rs 15,945 and Rs 15,795 per 10 grams, respectively. — PTI 

Ludhiana, September 21
With virtually no check on quality control, the "Pakistani" cement is being used openly by the contractors here. The residents, particularly architects, have shown concern over the "low-quality" cement, which is easily available at much cheaper rates.

According to information, the contractors, in connivance with the shopkeepers, were using the cement for constructing houses, commercial complexes without informing the owners.

"The dealer gets a bag of Pakistani cement for Rs 150-160 and sells the same for Rs 200. The contractors use it in the foundation of the building. But they plaster the walls with branded cement so that reality does not come out", said a shopkeeper selling "Pakistani" cement along with branded bags of cement at industrial area. He also informed that the practice was not prevalent in Ludhiana alone but in cities like Amritsar, Jalandhar and Patiala.

District Food and Supplies Controller HS Mokha, when asked about it, said the cement came under purview of their department a few years ago. "But now, we are not the nodal agency to check the distribution or quality of cement. If such practice is going on, we are not aware about it", he said.

Ludhiana Architects Association president Ravinder Khosla said the particular variety had become a matter of concern for architects. "We do not know whether the cement is smuggled or government has allowed its sale. But some agency should be held accountable in case of any mishappening", he said.