More car per car - A disastrous recipe
If you were bowled over by Telco's "More Car Per Car" ad jingle, here is another bouncer from the commercial vehicle heavyweight:The company reports a mammoth Rs 500 crore loss in FY01.

LIC - Corporation Bank - Will the gamble pay?
The Mangalore-based Corporation Bank Ltd firmed up ties with state owned Life Insurance Corporation. The initial euphoria apart, on the flip side, there is an insurance monolith known for its lethargic ways of functioning, on one hand, while on the other, there is a government-owned bank, but as nimble as a private genre player. Would one expect the marriage to have a happy ending?

Tata Steel - Where growth comes first
Tisco seems to be slowly getting into the growth mould, if its current annual results are anything to go by. The company's profit before extraordinary items and tax grew by about 78% to Rs 888.28 crore in FY 2000-01 as against Rs 499.10 crore in the previous financial year. Its net profit after tax has increased by 31% YoY to Rs 553.44 crore, while operating profit margin improves by 400 basis points.

Zee - Sawaal transparency ka
After the disastrous 2000 and Sawaal Dus Crore Ka fiasco, it was the company's chori chori chupke chupke act to pick up stake in media houses ABCL and B4U TV which threatened to tear its reputation apart. However, the tele seems to be now out and vision seems to be getting a bit clearer.

Synthetic Fibres - In for the upswing
As per a recent report by ICRA (Investment Information and Credit Rating Agency Ltd) the tide seems to be turning for the Indian synthetic fibers manufacturers. The report projects that the margins of the synthetic fibres manufacturers will rise in the medium term.

Aluminium - Shiny times ahead
In the last year the Aluminum industry has been in the limelight. Sharp fluctuations in the international prices of aluminum has been the norm in the recent past. Analysts are of the opinion that the International prices of aluminum are expected to remain firm in 2001.

Infosys - Future@30%
The topline grows at over 100% and so does the bottomline in the financial year 00-01. That's great. However, the concerns about the future growth has stuck on a see-saw. The company in question is none other than software giant Infosys. The slowdown in the US economy has put a question mark over the future growth of the company.

Reliance Infocom - A venture par adventure
From digging oil to carrying digital signals to conducting biotech research, it seems to be willing to straddle every possible business space on earth. A perfect play on brick-and-click economy, you may say. Yes, that is the Rs 355 bn M-Cap Reliance Industries all about.

Paper sector or paper tiger
Falling global paper prices and import duty cuts could weigh heavily on companies like Ballarpur Industries, Tamil Nadu Newsprint, ITC Bhadrachalam Paperboards and West Coast Paper. Healthy profits of the last two years, may have to face the prospect of sluggish growth rates

ICICI Results - Sorry no magic
Recall that famous ICICI byline "adding a little magic to everyone's life", you would be sorely disappointed to know that the financial behemoth's scorecard is bereft of any magical magnificence. The results disappoint at first sight, sample this - Q4 FY01 loss stands at a whopping Rs 257 crore

Why the tea sector cuppa cheers
Can you imagine an industry where the fortunes rise when the production goes down. Seems paradoxical, doesn't it? But that is exactly what is happening in the Tea industry. After the dismal last year, things may be looking up for the tea industry finally

Two way fungibility is happening
ADR/GDR holders, can now take an active part in the buoyant M&A markets in India. Earlier if an ADR holder wanted to offer his ADRs for participating in the open offer in case of a takeover, these (ADRs) had to be first get converted into domestic shares to be eligible. Not any more

Buy - Sell Dilemma in case of ITC
Despite the recent anti-tobacco initiatives of the Union government, Templeton India has decided to hold on to its positive outlook on the ITC stock. Unit Trust of India (UTI) also has kept its position on the ITC stock unchanged, but Merrill Lynch and Kotak Securities have downgraded their recommendations of ITC. All these conflicting statements indicate that the market is really not clear as to whether a market leader like ITC will benefit from the tobacco ban or would gain from this move?

Balco Disinvestment - On the Firing Line
The critics lovingly call it - an example of selling family silver to butler. Yes, the Balco Disinvestment deal is at the center of controversy as opposition parties and worker unions at Balco have been fighting tooth and nail to see that the Disinvestment deal doesn't get to see the light of the day. The pressure tactics adopted by those opposing the deal has however not deterred the government to go ahead with it.

VST Takeover Bid - Hostility in the air
For the domestic cigarette manufacturers, this season, there seems to be a lot more in the air, hostility being one of them. After the government's ban order on advertisements by Tobacco manufacturers and their withdrawal from the sponsorships of all kinds of sports events, thereby impacting the brand visibility of their products, the hostile bid by raiders Damani brothers on VST Industries have created enough storm in the filter tube of the industry.

US GAAP versus Indian GAAP
Learn to read between the lines of US GAAP and Indian GAAP. Items like ESOP costs, deferred taxes, important write-offs on account of bad investments, doubtful trade receivables etc., made by the companies in their annual, half yearly or quarterly results are key differences

Derisking your Business Model
Infosys is refocusing its business model around PSDP, meaning Predictability, Sustainability, De-risking, and Profitability. What does it actually mean? This business model says that the business of the company should be predictable and diversified

Quarterly Results - Say Hello!!
In today's changing business landscape where technology obsolescence is so high, international trade barriers are falling and information dissemination is rapid and fast, there needs to be room for greater transparency and information sharing by companies. Quarterly results are the answer

ESOPs - Employees know your Kitty
ESOPs have emerged as a powerful technique of rewarding employees and buying loyalty. But still there continues to be a lot of grey areas in terms of ESOP valuation and taxation treatment. Employees need to explicitly understand and appreciate how much their ESOP kitty is worth

Share Buybacks - Truth and Hype
The decision as to whether to sell back or not, should be taken based on the company motive. Investors will do well if they know why repurchases work and spot the difference between a bona fide return of capital to them and merely a company playing games to prop market value

Wipro lists on Big Apple
Wipro has finally made its presence on the Big Apple. The recent ADS listing is one such step. The company issued American Depository Shares (ADS) and got listed on NewYork Stock Exchange (NYSE). What are the company's future plans and where does it go from here

Bajoria pecks at Takeover Code
The Bombay Dyeing Takeover story has had several twists and turns over the last fortnight with excessive wrangling between Arun Bajoria and Bombay Dyeing over alleged violation of takeover code. Apparently the Takeover Code has outlived and needs a serious rethink

Bad Times ahead for Cement
The recent hike in petroleum prices have sharply increased the costs of the cement industry since transportation, a major component of cement costs, has gone sharply up. More so for companies whose manufacturing facilities are far away from their raw material sourcing points..........more

Infosys results fail to impress markets
With a more than 100% growth in profits and the topline the markets should have been impressed with Infosys' results. But markets beat the scrip down. The reason - nothing exciting was happening on the Infosys front and the eCommerce revenues had actually shown a downturn...........more

SSI-Albion - The Costliest Merger
The recent $65 million merger of SSI and Albion marks a new beginning in cross border mergers and acquisitions. More importantly it sets the tone and the pace for more Indian aspiring TMT companies to resort to mergers to go the global way. The largest merger but perhaps not the costliest..........more

Cement Restructuring Mantra
Restructuring in cement is nothing new but it has gained momentum in the recent past. With L&T deciding to hive off its cement division and Birla group cement companies on a consolidation drive the stage is set for a large reorganization in the Indian cement industry. Watch out for more action ..........more

VSNL : What a Bonus
The recent decision of VSNL to issue a 2:1 bonus is definitely to meet the paid up capital requirements as stipulated by the government. But what is likely to be the impact on VSNL prices with the equity substantially diluted? Is the government policy in the right direction on this front? .......more

Cement MNCs on Hold
The recent decision of the government to prevent MNCs from entirely funding their Indian acquisitions locally has come as a blessing in disguise for the Indian cement companies. But it is doubtful if the government decision can do anything worthwhile to stem the process of cement industry consolidation which is inevitable...........more

VSNL - GDR to ADR
The recent decision of VSNL to convert its GDRs into ADRs is definitely going to provide the company with a larger and more informed investor base. But on the flip side, the company needs to become more competitive to be viewed positively on the sophisticated NYSE market. Is VSNL up to it?.......more

Wake up Zee, Star ban gaya Karodpati
The unprecedented popularity of the Big B's "Kaun Banega Karodpati" on Star TV network has given Zee a true run for its money. In a scenario where the markets have banged down the stock of Zee due to poor income quality, the Star dominance is likely to give Zee many sleepless nights...........more

GAIL - A true blue Navaratna
Despite being a public sector unit, Gas Authority of India Ltd. (GAIL) occupies a very strategic position in the Indian energy value chain. More importantly, it has a technological and operational edge over its peers in the industry. How will the Indian government tackle the GAIL privatization?.......more

Pharma - A new medicine
With software scrips and ICE stocks showing their true colors, it is perhaps time for investors to look at other investment avenues. Pharma which has grown smartly in the last one year and coupled with biotechnology poses a major challenge for software as the preferred investment sector for investors.......more

Stock Splits - In vogue
Indian markets have seen a spate of stock splits in the recent past with companies increasingly splitting to bring them into a more popular trading gamut. But have stock splits added value in India? Has it atleast been instrumental in bringing illiquid stocks into the liquidity gamut?.........more

Bharti Telecom - IPO once again?
Bharti Telecom is in the news again and this time with its proposed mega IPO issue. But considering the poor returns to Bharti shareholders in the past and the slow growth of private sector basic services, how attractive is this IPO issue? Is that more to it than meets the eye.........more

Bajaj Buyback, Dive or Thrive
The decision of Bajaj Auto to revise the buyback price to Rs.400 strikes a delicate balance between the interests of exiting and continuing shareholders. But the issue of a creeping rise in promoters stake needs to be understood in a broader and more analytical perspective...........more

Rethinking the GACL-ACC Deal
While GACL has acquired the Tatas stake in ACC management control over ACC seems to be a far cry for Ambuja with FIs and SEBI opposing it. But has Sebi overlooked the issue of tainted shares in case of ACC which might have actually taken the GACL stake to beyond 15% is the question..........more

SifyBigshark.com
The recent Sify acquisition of Indiaplaza.com marks another strategic extension for Sify's portal plans. But is Sify biting more than it can chew? If the strategy was so good why are the results not so attractive considering falling profit margins? Is Sify on the right track after all?..........more

Splitting Bill Gates
The recent decision to split Microsoft on the grounds of monopoly rents raises interesting questions for free enterprise in the US. The question is is the Microsoft split going to usher in competition or is it going to be another face wash? Will Bill gates actually gain or lose by this move.........more

Empowering Tata
The merger of the three Tata power companies is going to create a power conglomerate. In the light of reducing MNC interest  in the power sector and the move towards transparency in SEBs, Tata Power is likely to be the biggest gainer in this power deal.......more

Reliance Roars
The recent Reliance AGM establishes this company as the undisputed leader of corporate India both for present and the future. A quick insight into the Reliance AGM and the emergence of India's true blue multinational......more

Interesting Jaiprakash Industries
Why are investors getting interested in the stock of Jaiprakash Industries? What are the implications of the restructuring in progress at the company? What is the future direction of the company and why has the MSCI included the company in its latest emerging market portfolio revision........more

Did Satyam Bluff?
The recent expose of Satyam Computers renouncing its rights in favor of Srinivasa Raju of Satyam Enterprises has opens a hornets nest. Was the rights renounced with the knowledge of the impending merger? What are the implications of this event for Satyam's market fortunes and what are corporate goverance issues raised.....more

Reddy's Medically Fit
The recent merger of Dr. Reddy's Laboratories with Cheminor Drugs is an interesting model for future pharma mergers towards the creation of integrated pharma giants. The interesting part of the story is that the shareholders of both companies are likely to benefit from the merger deal ...........more

Reliance's Power Date
The decision of Reliance Industries to make a strategic foray into power through the acquisition of a creeping stake in BSES is a step in the right direction for both the companies to tap their mutual synergies. But what does the deal mean for the shareholders of the two companies. The answer lies in the market reaction .......more

Cementing Deals
What drives mergers in the cement industry? First and foremost economies of scale imply that size is a must to survive and thrive in the cement industry. Hence most mergers have as their primary objective the need to have access to huge cement manufacturing capacities .....more

Anti-takeover strategies
Mergers and acquisitions may be either hostile or friendly. Where mergers are hostile and the target company wants to ward off the potential shark there are variety of strategies that the target company may adopt to ward of the takeover threat. To know more about poison pills, shark repellants and others read on .....more

Bajaj Buy Back
With Bajaj making its intentions clear about buying back its equity, it would mark the first case of a major Indian company buying back its shares. But the question is whether the company is actually rewarding its shareholders through this buyback or is it more of a measure to artificially boost its valuation in the bourses .....more

Hindalco on prowl
Aluminum industry, which is highly capital intensive and scale sensitive depends on two major variable cost components viz. alumina and power. Synergistic mergers are likely to become the order of the day, more so in the light of the recent deal between the two aluminum biggies Hindalco and Indal .....more