Indian Hotels Company, a part of the Tata Group, is picking up around 36-37% equity stake in BJETS - a fractional ownership private jet company headquartered in Mumbai. Singapore-based Briley group (a $2 billion group with interests in aviation, hospitality and BPO) will be the majority shareholder in BJETS.
The Tata Group has a stake in domestic low-cost carrier SpiceJet.
As part of its ambitious drive to be Asia's largest business jet operator, the newly-floated company has also signed the single-biggest order ever in Asia for a fleet of 50 brand new jets worth over $600 million (Rs 2,400 crore).
BJETS is planning to provide private jets to high net worth individuals under fractional ownership where they can own part of an aircraft as well as get a fixed flying time at their disposal.
The company will have a flight operations centre at the new Hyderabad international airport.
Deliveries of the aircraft will be over a period of five years beginning in the first quarter of 2008 comprising 20 Cessna Citation CJ2+ jets and 20 Hawker 850XP and 900XP jets with options for 10 more jets. The first 15 jets will be delivered by the end of 2008. BJETS will start operations from May 2008.
Mark Pierre, CEO, BJETS, said: "While 70% of the fleet will be stationed in India, the rest will be in south east Asia. Our aicraft will be able to fly to at least 120 airports in India. The market in India is under-served with only 100 jets compared to 13,000-14,000 in Europe and US."
Pierre expects the company to have a turnover of around $600 million in its fifth year of operation.
The company will offer three options to corporates and high net worth individuals: 1) Fractional ownership in the fleet with an assured flying time for a year; 2) A pre-paid card of 25 hours of flying without ownership; and 3) Manage your aircraft for you.
R K Krishna Kumar, vice chairman, Tata Group, said: "BJETS will set a new standard in the way we fly and do business in Asia.. This will further underline the luxury experience which the Taj is known for."
Buy Microsoft Products with us and Save upto 60%
Tuesday, February 19, 2008
Tata Group to take 36% stake in BJETS
Thursday, December 20, 2007
Top News - 20th Dec
IFCI invites bids to sell shares in 100 firms
A day after cancelling the stake sale process, IFCI today invited bids from merchant bankers to value and buy shares in unlisted firms to enable the company to sell them.
"We have identified 100 companies wherein IFCI would like to sell off its stake," an IFCI official told PTI.
Merchant bankers and other interested parties are requested to submit bids before January 10, 2008 in this regard, he added.
IFCI has over time acquired stake in many companies either directly or in lieu of debt, he said.
Atul Rai, CEO and managing director, IFCI, had said yesterday: "We need the capital."
IFCI sold its stake in National Stock Exchange and rating agency ICRA this year.
Share of IFCI closed at Rs 76.40 - down 23.6% on the BSE today after the institution aborted the process for equity sale as the highest bidder - the Sterlite-Morgan Stanley consortium - put conditions with its bid.
TVS can sell Flame, says Madras HC
A division bench of the Madras High Court today suspended the interim order restraining TVS Motor Company from booking or selling its recently launched 125-cc bike Flame.
After hearing the arguments of both parties for about two hours on Thursday, the bench suspended the interim order of the single judge and posted the case to January 4 and 5, 2008, for further hearing all petitions. Bajaj Auto had accused TVS of copying its patented DTSi technology in its 125-cc motorbike TVS Flame.
However, TVS responded that the Flame was fitted with a three-valve engine based on CCVTi (Controlled Combustion Variable Timing Intelligent) technology, which is different from the technology used by Bajaj Auto.
Tatas world's 3rd most accountable group
The Tata Group, easily India's most respected business house, has been named the world's third most accountable and transparent company by Britain's One World Trust although US hotel chain Orient-Express has not found it worthy of an alliance.
According to Rob Lloyd, the report's lead author, the assessment is a measure of the extent to which organisations have the policies and systems in place to enhance consistent and coherent accountability to the people they affect." The report ranked GE number 1 and GlaxoSmithKline number 2 among the most transparent and accountable companies.
Tata Group, was however, considered ahead of Coca-Cola, Petrobras, HSBC Holdings, PriceWaterCooopers International and Google, when measured on the parameters of transparency and accountable leadership among global companies.
The annual Global Accountability Report considered the Tata Group at number 10, among the world's 30 most powerful organisations from the inter-governmental, non-governmental and corporate sector, to be accountable to civil society, affected communities and wider public.
Orient-Express Hotels had recently rejected an offer of alliance from Tatas, saying tying up with the "predominantly Indian" hospitality firm will erode the US hospitality chain's brand image. Tata Group's interests range from hotels to steel to salt and software and auto.
One World Trust rated UN Development Programme followed by Asian Development Bank and Christian Aid the most transparent and accountable organisations among world's top 30 organisations.
Stop cartelisation, MRTPC tells cement firms
Anti-monopoly watchdog Monopolies and Restrictive Trade Practices Commission (MRTPC) today held major cement manufacturers, including L&T Cement, Birla Cement, Grasim and ACC, guilty of cartelisation under the aegis of Cement Manufacturers' Association.
Announcing its order after 17 years of judicial investigation, the commission warned cement producers and Cement Manufacturers' Association not to repeat unfair trade practices.
"We issue a cease-and-desist order... And direct them not to indulge in any such arrangement directly or working through CMA," said a three-member bench consisting Justice O P Dwivedi, M M K Sardana and D C Gupta.
Passing the order, MRTPC also directed the cement companies, including Century, Dalmia, Jaypee and Mysore, to file a compliance report within eight weeks.
Wednesday, December 19, 2007
Rallis eyes niche chemical segment
The Tata group-promoted pesticide maker Rallis India is to broaden its product portfolio beyond agri-business and pesticides.
The company will foray into newer speciality chemicals segment and look at various high potential areas such as construction chemicals. The company plans to seek the assistance of an international consulting firm for its product search.
According to official sources, the company is planning an investment of about Rs 300 crore to set up a greenfield manufacturing facility for its new range of products. Rallis has already acquired 150 acres in Dahej (Gujarat) for the purpose.
The facility would produce goods for both domestic and international markets. The company is also looking for contract manufacturing deals with global speciality chemical makers, sources say.
“We are looking at newer areas of development through the proposed speciality chemical business. For instance, construction chemicals is a niche area with a lot of potential. However, we are yet to finalise an area,” sources pointed out.
The choice of the location will also help Rallis leverage on the group company, Tata Chemicals. Rallis has been in the process of gradual restructuring over the last few years.
Having divested its pharmaceutical division some six years ago, Rallis has been positioning itself as a agro-chemical company.
The company stopped marketing fertilisers of Tata Chemicals some time back. Similarly, Rallis had handed over its entire clinical trial and research and development facilities in Bangalore to Advinus Therapeutics, another Tata group firm that focuses on drug research.
