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L&T in spotlight after inking pact with CMI Energy

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Last Updated : Mar 08 2014 | 8:55 AM IST

Larsen & Toubro (L&T) after trading hours on Thursday, 7 March 2013, said that the company as a licensee of CMI Energy, Belgium, has signed an agreement with CMI Energy, Belgium for extension of L&T's license territory to manufacture and supply small heat recovery steam generators (HRSGs) installed behind gas turbines below 80 megawatts (MW) to South East Asia and the Middle East. Under this agreement, L&T will have the exclusive rights to apply CMI technology in these markets for manufacturing and supplying single wide HRSGs installed behind gas turbines below 80 MW. L&T and CMI Energy will jointly develop/improve the existing CMI design to suit the client requirements in the extended territory. This will allow CMI and L&T to improve their competitiveness in the regions, L&T said.

HRSGs are used widely in combined cycle power plants and cogeneration applications in process industry. Over the past decade, the market for small HRSGs represents 24% share in terms of number of units sold worldwide, L&T said. This market is poised to grow by 3.5% per year over the next decade, L&T said. CMI Energy and L&T intend to be the key players in this market by attracting a minimum 10% market share, L&T said in a statement.

Mahindra & Mahindra (M&M) said that the tool down strike by employees of its Nashik plant, which started on 5 March 2013 at 18:00 IST, as well as the proposed strike from 11 March 2013, have been called off. M&M said operation in all shifts is expected to be normal soon. The management and union will continue their ongoing dialogue to reach a mutual agreement. The management expects the production loss to be made good, the company said in a statement.

The Government of India is selling 6.89 crore equity shares of state-run Rashtriya Chemicals and Fertilizers (RCF), constituting about 12.5% of the total equity share capital of RCF, through Offer for Sale (OFS) via the stock exchanges mechanism today, 8 March 2013. The OFS will begin at 9:15 IST and end at 15:30 IST. The floor price for the OFS has been set at Rs 45 per share. Shares of RCF dropped 1.68% to settle at Rs 43.85 on BSE on Thursday, 7 March 2013.

Telecom stocks and Reliance Industries (RIL) will be in focus after the telecom department on Thursday, 7 March 2013, cleared a proposal to allow companies with Internet permits to also offer basic mobile telecom services by paying a one-time license-conversion fee. The decision will benefit Reliance Industries (RIL). RIL's telecom unit, Reliance Jio Infocomm, has frequencies to provide broadband Internet across India. Under the new rule, RIL will have to pay about Rs 1658 crore to also provide voice services.

Aviation shares will be in focus after the Minister of State for Civil Aviation, Mr. K. C. Venugopal informed Rajya Sabha on Thursday, 7 March 2013, that the government has decided to replace the present Director General of Civil Aviation (DGCA) with more powerful Civil Aviation Authority (CAA). The proposed Civil Aviation Authority (CAA) will have adequate financial and administrative flexibility to meet functional requirements for an effective safety oversight capabilities over air transport service operators, air service navigation operators and operators of other civil aviation facilities, development and standardization of civil aircraft and aeronautics, matters relating to financial stress on safety of operations, consumer protection and environment regulation in civil aviation sector and for matters connected therewith and thereto. The proposal to form CAA is in the stage of inter-Ministerial consultations, the minister said.

Steel shares will be in focus after the Minister of Steel, Mr. Beni Prasad Verma on Thursday, 7 March 2013, said that the Supreme Court has permitted some mines in Karnataka to reopen. In a written reply in the Rajya Sabha on Thursday, 7 March 2013, Verma said that some iron and steel companies and industry associations such as Karnataka Iron and Steel Manufacturer's Association had requested Ministry of Steel for intervention in reopening of iron ore mines in Karnataka, which had been closed as per orders of Supreme Court. He said that the Ministry of Steel has informed Supreme Court about the requirement of iron ore of iron and steel industry located in and around Karnataka. The matter was also taken up with the Government of Karnataka. Supreme Court has now permitted some mines in Karnataka to reopen, Verma said.

Mahindra Holidays & Resorts India received bids for a total of 90.34 lakh shares at an indicative price of Rs 272.77 per share for the Offer for Sale (OFS) of the company's shares on Thursday, 7 March 2013, as per data from the stock exchanges. Mahindra & Mahindra (M&M), the promoter of Mahindra Holidays & Resorts India, had offered 34 lakh shares of Mahindra Holidays & Resorts India, constituting 4.02% of the equity share capital of Mahindra Holidays, through the OFS via the stock exchanges on Thursday. The OFS began at 9:15 IST and ended at 15:30 IST. The floor price for the OFS was set at Rs 270 per share.

Greenply Industries has incorporated a subsidiary company named Greenlam Europe (UK) in the UK, which will sell the company's products in the region.

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First Published: Mar 08 2013 | 8:48 AM IST

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