CIL now wants to be No 1 in terms of revenue

Thursday, 18 Aug 2011 | By ET

State run Coal India, which toppled Reliance Industries as the country's most valued firm, said it is aiming to become number one company of the country in the near future in terms of revenue as well.

At August 17th 2011, the Maharatna firm had a market capitalisation of INR 251,296 crore on the Bombay Stock Exchange and ahead of erstwhile leader RIL marginally by INR 4,167 crore.

Mr NC Jha chairman of CIL said that "We have already become number one public sector company and now we are working on becoming number one firm in the country, profit and turnover wise as well. It is just a matter of some years.”

Attributing the recognition of the Maharatna firm as the number one company on the bourses to its 0.382 million employees, Mr Jha said that "It has happened due to extensive efforts of all Coal Indians, who have been engaged in coal mining day and night."

The Maharatna company, incorporated in 1973 in Kolkata, had reported a 64% growth in its consolidated net profit at INR 4,143 crore during the first quarter of this fiscal vis a vis INR 2,525 crore reported in the April to June of FY'11.

RIL-BP $7.2 bn deal among largest FDIs in India

Feb21, 2011
NEW DELHI: Reliance Industries' USD 7.2 billion mega deal with British major BP Plc is seen as the biggest the foreign direct investment into India so far.

Japanese pharma major Daiichi Sankyo's buyout of Ranbaxy Laboratories for USD 4.5 billion is the second biggest FDI.

Other proposal like South Korean Posco's USD 12 billion investment for a steel plant in Orissa though higher than RIL-BP deal in terms of value, is yet to take off. So is the case with ArcelorMittal's around USD 30 billion investment plans across India.

Another mega transaction worth USD 11 billion was between Vodafone and Hutchison-Essar. However, there was no direct participation of any domestic firm, as deal was between two foreign firms.

Unveiling one of the biggest transactions in the Indian energy space, Mukesh Ambani-led conglomerate today announced the sale of 30 per cent stake in its 23 blocks including the giant KG-D6 gas fields to UK's BP Plc for USD 7.2 billion.

"This is the single largest FDI in the history of India," RIL Chairman Mukesh Ambani said while announcing the deal in London.

Interestingly, Reliance Industries' failed attempt in 2010 to take control of petrochemicals major LyondellBasell, was valued at over USD 14 billion. If the transaction had materialised, it would have been the largest ever by an Indian entity.

Going by estimates, last year alone saw the announcement of more than 290 inbound transactions worth over USD 22 billion.

Among them were Vedanta Resources' planned USD 9.6 billion acquisition of a majority stake in Cairn India .

Abbott Laboratories' takeover of healthcare solutions business of Piramal Healthcare in a USD 3.7 billion deal and Japanese entity JFE Steel Corp's USD 1 billion investment in JSW Steel were among other big transactions.

The NTT DOCOMO-Tata Teleservices worth USD 2.70 billion also saw significant FDI inflows into India.

Among the top deals involving Indian entities are USD 10.7-billion Bharti-Zain transaction and Tata's USD 12 billion-buyout of Corus.

Other major transactions involving Indian entities are Hindalco's buyout of Novelis for USD 6 billion, ONGC -Imperial's USD 2.80 billion deal. (sourced:TheEconomicsTimes)