The Tribune, Chandigarh, India

	Indian to relaunch East India Company in July London, June 7 The East India Company, which once ruled over India and set the stage for a prolonged colonial and post-colonial interaction between Britain and India, has reinvented itself under the ownership of an Indian-origin entrepreneur. The company is one of the most recognised names in India and elsewhere and is set to launch its first luxury goods store in Mayfair, London, in July, company sources told PTI today. Established in 1600, the East India Company is one of the most recognised brands in the world: over two billion people know of its history. It once employed a third of the British workforce and was responsible for 50 per cent of global trade, influencing and changing the world we live in today. The company was nationalised by Queen Victoria in 1874. Over a century later and thanks to a group of visionary entrepreneurs, the brand has been brought back to life, with permissions granted by the Treasury to use the name and original trademarks. Sanjiv Mehta, who acquired the company in 2005, has invested $ 15 million and now 'The Honourable Company of Merchants' is ready to launch with a clear vision to build a luxury brand for today's customer. Mehta said: "This once powerful brand can bring together its heritage, origins and products like no other organisation in the world." It is this connectivity between different cultures, countries and ingredients that will be showcased in every product and service. In July, the company will launch its flagship luxury Fine Foods store in Mayfair, London. The Fine Foods business will then expand to Asia, the Middle East and the US via retail, e-commerce and selected wholesale operations. The company will see further portfolio launches designed to build on the authenticity and heritage of the brand, including drinks, furniture & home decoration, publishing, jewellery and real estate. An investment of $100 million has been planned for expansion over the next five years. Mehta said: "The East India Company holds limitless opportunities across many products, sectors and countries. We are determined to capitalise on the impeccable pedigree and enviable heritage of our brand." Mehta graduated from Sydenham College, Mumbai, in Finance and went on to study Gemmology. In 1983, Mehta joined the family diamond trading business. In 1988, he set up an international trading house in London with a special interest in metals, petrochemicals & agro-commodities. — PTI
	New norms to boost markets: Finmin New Delhi, June 7 The Finance Ministry today said that its new rule requiring listed companies to have a minimum 25 per cent public holding would boost capital markets and help the government's divestment programme. "It was announced in the Budget. This has been operationalised and in the medium-term and long-term, it will be for the better health of the capital market," Finance Secretary Ashok Chawla told reporters here. The Sensex closed over 400 points down on the first day of trading after the announcement of the new rule, but analysts attribute the negative sentiments to renewed concerns over the debt crisis in Europe. Chawla said the 25 per cent criteria would provide greater opportunity to investors to take part in equity offering of companies. When asked whether markets would be able to absorb the rush of public offers, necessitated by the new norms, he said, "Well, it is not something, which is going to happen in a day. There is a rollout plan as you would have seen." He said 25 per cent norms would play out over a long period of time. "So, there is really no anxiety, if something is really going to happen to the full extent tomorrow." According to the new norms, listed companies will have to dilute promoters stake by at least 5 per cent each year to reduce it to 75 per cent. The Finance Secretary also said the new norms would have a positive impact on disinvestment. The government plans to mop up Rs 40,000 crore from disinvestment his fiscal. So far, disinvestment in SJVNL has fetched the government over Rs 1,000 crore. To a query, a senior Finance Ministry official said the government's borrowing plan of Rs 4.57 lakh crore would not be disturbed as of now, because of the new norms. "FY'11 borrowing programme stands," he said. Listed companies, including PSUs, will be forced to sell shares currently valued at Rs 60,000 crore by March, 2011 to continue to remain listed, following the government's new norms on public holding. Of the Rs 60,000, about 40,000 crore would come from the listing of state-run companies. In addition, the government has set a target of Rs 40,000 crore from stake sale in PSU's, including Coal India. — PTI
	Nod to RCom opens door to foreign firms Girja Shankar Kaura Tribune News Service New Delhi, June 7 The approval yesterday by the board of Reliance Communications(RCom) for selling up to 26 per cent stake at a premium to its current market price has opened new vistas for foreign telecom companies which have been looking at gaining a footprint in the world’s fastest growing telecom market but are not looking at a full fledged buyout. Just a day after the approval, RCom shares rose 6.45 per cent early in the day before easing to a gain of over 3 per cent, outperforming the Sensex that was off by 2.3 per cent. More than 6.4 million shares were traded during the day, three times their 30-day average full-day volume of about two million shares. The strong trading came as news trickled in that decision for the strategic sale of stake could have Abu Dhabi's Etisalat and US telegiant AT&T eyeing RCom for investment and a foothold in India. Incidentally, of the large telecom operators in the country, only RCom does not have any strategic foreign partner, while all others have investment from abroad. Despite being the number two operator in the country, RCom has so far managed to stay afloat on its on accord. RCom with a market value of about $7.5 billion, said yesterday that it was open to selling a stake of up to 26 per cent to strategic or private equity investors. The move comes within weeks of Anil Dhirubhai Ambani Group (ADAG) chairman Anil Ambani and Mukesh Ambani ended an agreement that forbade them from competing on each other's turf, freeing the younger brother to bring new investors into his debt-laden company. The last time when Anil made an attempt to infuse fresh foreign capital into RCom through strategic merger with South African telecom giant MTN, Mukesh had put a spanner in the wheel by contending that as per the no-compete agreement between the two brothers, he had the first right of refusal over any strategic sale of stake in the telco. “We did not make any offers to Reliance. We're studying several opportunities in India, among them is Reliance," Etisalat chairman Mohammad Omran told a news agency in Amman. However, AT&T declined to comment on a report in the Wall Street Journal that the companies had talked about a transaction. The New York Times also reported that AT&T was in preliminary talks with RCom. If the deal is finalised, Etisalat will have to make an open offer to acquire an additional 20 per cent stake in the Indian firm from the public. Buying a stake in India's second-biggest mobile operator would give Emirates Telecommunications Corp or Etisalat, a vital presence in the world's fastest-growing mobile market, where it owns a stake in a start-up telecoms firm. India has more than 600 million subscribers at present.
	Records cleared by auditors: Tata Tele New Delhi, June 7 Tata Teleservices today claimed that the government-appointed auditors looking into its books had found nothing wrong in the company's accounts. "We are delighted with the special auditors' validation that all payments and dues, including licence fees and spectrum charges have been paid by TTSL, as per the licence conditions and the applicable ruling of the telecom tribunal TDSAT," the company's Legal and Regulatory Affairs Head Madhav Joshi said. "The findings of the audit are testimony to professional management and high standards of professional integrity followed by the company, both in terms of conducting business and our accounting and internal audit processes",he said. — PTI
	Banks likely to get more funds soon New Delhi, June 7 As many as seven public sector banks may get additional capital from the government shortly, financial services secretary R Gopalan said here today. The banking division has sought the approval of Finance Minister Pranab Mukherjee in this regard, Gopalan said, adding that, "We are seeking the Finance Minister's approval... five-seven banks are to be recapitalised shortly". The government plans to provide financial support of Rs 15,000 crore to public sector banks during the current fiscal. The Cabinet has already approved a capital infusion plan that will increase the lending capacity of state-run banks by Rs 1.85 lakh crore. The exact amount, the mode of capitalisation and other terms would be decided in consultation with the banks at the time of infusion. The Rs 15,000-crore fund infusion for tier I capital instruments of PSBs would enable them to expand their credit growth by about Rs 1,85,000 crore. This additional credit availability is likely to benefit employment-oriented sectors, especially agriculture, micro and small enterprises and entrepreneurs. Last week, the government infused Rs 1,500 crore into four public sector banks-- Vijaya Bank, United Bank of India, Uco Bank and Central Bank of India--as part of their recapitalisation package. Of the total, Vijaya Bank got Rs 700 crore, Uco Bank got Rs 300 crore, Central Bank of India and United Bank of India received Rs 250 crore each, sources said. The letter to this effect was issued by the government on June 2. These banks have been instructed to issue perpetual non-cumulative preference shares (PNCPS) in favour of the President, the recently listed United Bank of India had said in a statement. Accordingly, the bank has issued 25,000 PNCPS of Rs 1 lakh each on June 4 in the name of the President, it had added. The fund infusion will enable these banks to maintain comfortable level of capital to risk-weighted asset ratio for supporting credit requirement of the productive sectors. — PTI
	Civic with more features out Tribune News Service New Delhi, June 7 Honda Siel Cars India today launched the latest version of its sedan Civic, priced at Rs 12.20-13.81 lakh. The new Civic comes in three variants with enhanced features like steering mounted cruise control system, back-up sensors and is fitted with 1.8 litre i-VTEC engine, Honda Siel Cars India (HSCI) said in a statement. "Honda Civic has received high appreciation since its introduction in India because of its unparalleled driving pleasure, contemporary styling, and advanced features. We are now delighted to introduce value-added features that will make it even more desirable," HSCI Director (Marketing) Tatsuya Natsume said. The car includes safety features, including anti-lock braking system, dual airbags and pretensioner seat belts. Its users will have to pay Rs 13,000 more than what they paid for the existing model. HSCI is a joint venture between Japanese auto giant Honda Motor Co and the Siel group.
	BHEL commissions power projects in UAE, Oman New Delhi, June 7 BHEL today said it had commissioned two gas-based power projects in the United Arab Emirates (UAE) and Oman. "BHEL commissioned the 2x42-MW gas turbine-based power project of Al Ghail Power Company in Ras Al Khaima, near Dubai, and a 26-MW gas turbine generator at Oman refinery and petrochemical plant in Muscat," a company statement said. BHEL's scope of work under the 2x42-MW project included supply of gas turbine generating units with auxiliary equipment and supervision of erection and commissioning. In the Middle East, BHEL has already set up 14 power projects, besides substations, and supplied a host of equipment for the power and oil and gas sectors. BHEL currently manufactures equipment that can generate 15,000 MW of electricity. — PTI