Top Stories 

RIL sells 80% stake in two Kurd blocks to Chevron

Reliance Exploration and Production DMCC, a wholly owned subsidiary of Reliance Industries Ltd. (RIL) has completed the transaction for divestment of its 80% working interest and operatorship in the production sharing contracts (PSCs) for the Rovi and Sarta Blocks in the Kurdistan Region to subsidiaries of Chevron Corporation.
 
OMV will continue to maintain its 20% interest in each of the two blocks.
 
Reliance’s exit from the blocks is in line with its portfolio rationalization strategy of international assets and to create value for the E&P segment. Reliance will continue to look for opportunities to invest globally.

Infosys in talks to buy Lodestone Management Consultants: reports

Infosys has entered into negotiations to acquire Lodestone Management Consultants, the Zurich-headquartered management and IT consulting firm, according to reports.Reports stated that the the deal could be valued over $300 mn.

Lodestone Management Consultants may consider a sale through a bidding process to realise better valuations for the company, says report.Lodestone is a global management consultancy committed to designing and delivering solutions that enable international companies to thrive in today’s complex business environment

There are reports that Infosys has made four acquisitions since its inception in 1981.

In Focus Stories

Global economic uncertainty weighing on biz prospects: Grant Thornton

Business investment is picking up, especially in emerging markets, according to the latest Grant Thornton International Business Report (IBR). The global survey suggests that businesses, especially in emerging markets, are taking a longer-term approach to growth by increasing levels of investment, an encouraging sign in an otherwise bleak economic outlook.

The IBR reveals that the proportion of businesses looking to increase investment in new buildings has risen from 15% to 21% over the past 18 months, and in plant & machinery from 35% to 38%. Expenditure on R&D is also set to climb, further supporting evidence from the World Intellectual Property Organisation which recorded growth of 10.7% in patent filings last year, the biggest increase since 2005. Moreover, businesses are also investing more in their employees – 68% plan to offer pay rises over the next 12 months, compared with 51% in 2010.

Munesh Khanna, Senior Partner, Grant Thornton India LLP, says: “Global economic uncertainty is weighing on short-term business growth prospects. However, it is encouraging to see dynamic businesses willing to adopt bolder, long-term growth plans. This strategy is not about immediate returns in terms of revenues and profits, but rather investing in their long-term growth and competitiveness.”

By comparison, business expectations for revenues, profits and employment remain at or below levels observed 18 months ago. And the slowdown in the global economy is further highlighted by the sharp rise in the proportion of businesses in the eurozone, China and the US citing reduced demand as a constraint on expansion – at 44% in China, the highest level since 2009.

Grant Thornton

Domestic News

Coal India plans to acquire 50% stake in IOC's explosives division: reports

Coal India is planning to acquire 50% stake in Indian Oil Corporation explosives division to form JV, according to reports.Report said that this move has come after Competition Commission of India (CCI) imposed a penalty of 600mn on 10 private explosives manufacturers.

The financials for stake acquisition will be worked out after the MoU is signed, report says.

There are reports that the company is also planned an investment of Rs. 75bn to develop railway tracks and related infrastructure to evacuate coal from Chhattisgarh, Jharkhand and Odisha.

Tata Steel to sell stake in Dutch recycler HKS

Tata Steel is planning to sell its 50% stake in Dutch recycler HKS Scrap Metals Co to a unit of Germany's TSR for an undisclosed amount, according to reports.

Reports stated that the transaction is in line with Tata Steel's strategy to focus on core activities.

Network18 consolidates Publishing business

Pursuant to the scheme of demerger approved by the honourable High Court of Delhi in 2011, Infomedia18’s publishing business has been demerged and consolidated within Network18 under ‘Network18 Publishing’. The printing press business will continue to remain with Infomedia18.
 
Network18 Publishing will encompass three divisions of Infomedia18’s publishing business -- Business to Consumer (B2C) magazines, Business to Business (B2B) magazines and Business Directories Division (BDD).

United Phosphorus buys Dutch co

United Phosphorus Limited (UPL) announced that its overseas subsidiary has entered into an agreement with SD Agchem Europe, a subsidiary of Punjab Chemicals and Crop Protection Limited (Punjab Chemicals) to acquire 100% in the Dutch company Agrichem along with all tangible and intangible assets, IPR, product registrations, brands, distribution network and manufacturing facilities.

Agrichem based out of Oosterhaut, Netherlands is engaged in the production, marketing and selling of crop protection products in the European agrochemicals market. Agrichem’s product range includes herbicides, insecticides and fungicides registered in several European countries like Netherlands, Belgium, UK, France, Germany, Ireland, Denmark, Italy, Slovakia, Czech Republic, Belarus and Switzerland. It has a well-staffed crop protection registration department, in-house R&D and quality control facilities and its own formulation facilities in Netherlands.

Diamond Power acquires strategic stake in Maktel Control

CRH plans to acquire Jaiprakash Associates' cement plants in Gujarat: reports

Biocon plans merger with subsidiary

Aarti Inds Board approves merger of manufacturing division of Anushakti Chemicals

Goa Carbon not in talks with firms for stake sale

aurionPro Solutions acquires Enline

Global News

Topsgrup acquires British co for £19.5mn 

Indian security company Topsgrup has acquired 100% stake in a leading British security firm for £19.5 mn, according to reports.Reports stated that the acquisition has positioned the company’s Global Chairman, Diwan Rahul Nanda, as the only entrepreneur of an Indian multi-national company to purchase a 100% stake in a British security company.

Topsgrup originally acquired a 51% majority stake in the company in 2008, and then took up its option to purchase a 100% stake in the company, making it a powerful security services conglomerate, says report.

There are reports that Nanda will assume his position as Executive Chairman of The Shield Guarding Company Ltd with the existing management team remaining in place.

Comcast buys out Microsoft stake in MSNBC.com: report

Comcast Corp, the parent company of NBC, has acquired Microsoft Corp's 50% stake in MSNBC.com for about $300 mn, according to reports.

Reports stated that MSNBC.com was renamed NBCNews.com and users were automatically redirected to the new website.

NBC and Microsoft joined forces in 1996 to create a cable news channel and online news operation, report says.

There are reports stated that MSNBC TV will launch a new digital home in 2013, as an extension of the MSNBC TV on-air brand.

Penn Virginia announces sale of Appalachian assets

Penn Virginia Corporation has entered into a definitive agreement to sell substantially all of its Appalachian assets, with the exception of the Marcellus Shale, to an undisclosed buyer for gross cash proceeds of $100 million. This sale is expected to close before mid-August and is subject to customary purchase price adjustments and other customary closing conditions. The effective date of the sale is January 1, 2012. We intend to use the net proceeds from this sale to help fund our 2012 capital expenditure plan.

The properties to be sold include vertical and horizontal coalbed methane and conventional properties, as well as royalty interests. The properties had net production of approximately 20 million cubic feet of natural gas equivalent per day during June 2012, almost 100 percent of which was natural gas. As a result of the divestiture, our 2012 production will decrease by an estimated 2.9 billion cubic feet of natural gas equivalent (Bcfe). Estimated proved reserves associated with the divested properties, as determined by our third party engineers at year-end 2011, were 105.7 Bcfe, 96 percent of which were proved developed and 100 percent of which were natural gas.

GSK to acquire Human Genome for US$3bn

GSK to acquire full ownership of BENLYSTA, albiglutide and darapladib. Acquisition will be accretive to GSK core earnings in 2013. Tender offer amended to US$14.25 per share and extended until 27 July 2012.

GlaxoSmithKline plc and Human Genome Sciences announced that the companies have entered into a definitive agreement under which GSK will acquire HGS for US$14.25 per share in cash.  The transaction values HGS at approximately US$3.6 billion on an equity basis, or approximately US$3 billion net of cash and debt, and represents a premium of 99% to the HGS closing price of US$7.17 per share on 18 April 2012, the last day of trading before HGS publicly disclosed GSK’s initial private offer.  The Boards of Directors of both companies have approved the transaction.

Facebook acquires mobile startup's team: reports

Facebook Inc is acquiring the engineering team of Spool, a San Francisco mobile app developer, in another sign of the social networking company's focus on the mobile market, according to reports.

Reports said that Spool makes apps for Google Inc.'s  Android operating system and Apple Inc.'s  iOS.

Heineken offers to acquire Fraser & Neave’s interests in APB

Oracle buys a software company Skire: reports

Thermo Fisher agrees to Buy One Lambda for $925mn: reports

Sinclair buying six TV stations for $413 mn: reports

Athene to buy Presidential Life for $415 mn: reports