MUMBAI, May 24 (Reuters) – Valuations of Indian auto
component firms have taken a beating, creating an environment
where access to fresh capital is getting difficult, especially
for new players waiting to tap the capital market.
“We believe there is some level of over-capacity in the
short term as there has been significant investment going into
the sector the last couple of years,” said Kumar Kandaswami,
Senior Director, Deloitte India.
MUMBAI/SHANGHAI, May 19 (Reuters) – Truck maker Beiqi Foton
Motor Co <600166.SS> plans to be the second major Chinese
automotive manufacturer to set up a plant in India.
Foton, China’s top light commercial vehicle maker and a
partner of Daimler AG <DAIGn.DE>, follows SAIC Motor <600104.SS>
in a move into the booming Indian auto sector.
MUMBAI (Reuters) – Indian auto component makers are set for a crucial year ahead as they struggle to keep costs down, expand capacities, pay down debt and meet growing demand from auto makers.
Overstretched balance sheets and thin margins have made auto parts makers averse to spending hugely on adding capacity, which they have to do if they are to remain competitive in a rapidly changing market scenario.
SEOUL/MUMBAI (Reuters) – India’s top utility vehicle and tractor maker, Mahindra & Mahindra, is considering bidding for South Korea’s Ssangyong Motor, sources with knowledge of the development said, in a deal reportedly worth up to $500 million.
Ssangyong, 10 percent owned by China’s SAIC Motor Corp, has been in court-led restructuring since early 2009, hammered by one of the industry’s worst downturns, and is looking for a buyer to stay afloat with fresh capital.
SEOUL/MUMBAI, May 14 (Reuters) – India’s top utility vehicle
and tractor maker, Mahindra & Mahindra <MAHM.BO>, is considering
bidding for South Korea’s Ssangyong Motor <003620.KS>, sources
with knowledge of the development said, in a deal reportedly
worth up to $500 million.
Ssangyong, 10 percent owned by China’s SAIC Motor Corp
<600104.SS>, has been in court-led restructuring since early
2009, hammered by one of the industry’s worst downturns, and is
looking for a buyer to stay afloat with fresh capital.
MUMBAI/NEW DELHI, May 11 (Reuters) – Carrefour <CARR.PA>,
the world’s No.2 retailer, will enter the India market in July
with its first cash-and-carry outlet, in New Delhi, followed by
3 or 4 other wholesale outlets around the country by year-end,
people familiar with the matter said on Tuesday.
The French retail giant, which has been looking to break
into fast-growing but restrictive India for seven years, has
secured properties in New Delhi, Bangalore, Chennai and
Hyderabad and will soon sign for one in western Mumbai, two
sources with direct knowledge of the matter told Reuters.
SHANGHAI/NEW DELHI, May 10 (Reuters) – Car sales in China
and India, the world’s two fastest growing major markets showed
solid growth in April as government incentives and strong
economic expansion continued to pull buyers into showrooms.
In China, which eclipsed the United States as the world’s
biggest auto market last year, passenger car sales in April
rose 33.2 percent from a year earlier, slowing from a 63.2
percent jump in March when a much lower year-ago base of
comparison inflated the growth rate.
MUMBAI (Reuters) – Reliance Venture Asset Management, the venture fund arm of the Anil Ambani-controlled Reliance ADAG Group, plans to close 3 to 6 deals in six months with a total investment of about $50 million, a top official told Reuters.
A unit of Reliance Capital <RLCP.BO>, the venture firm has already closed two deals this year, Chief Executive Harshal Shah said in an interview late on Thursday. Funded internally by group companies, Reliance Venture has so far advised and invested in about 11 firms for more than $4 billion.
MUMBAI, April 26 (Reuters) – India’s top automaker Maruti
Suzuki <MRTI.BO> missed forecasts for fourth-quarter net profit
and warned of margin pressure and slower sales growth this year
in the fiercely-competitive compact car market.
Maruti, which sells one in two cars in India, was hit by
higher raw material prices, the costs of adopting new emission
norms, fresh model launches and adverse currency movements.
MUMBAI (Reuters) – The BSE Sensex closed up 0.68 percent on Friday, led by financials on hopes of a recovery in credit growth, with the earnings season, progress of monsoon rains and global events eyed for directional cues.
The market was largely rangebound ahead of an official annual monsoon rain forecast, which came in after market hours. India’s June-September monsoon is forecast to be normal this year with rainfall seen at 98 percent of long-term average.