Jamshedpur: Tata Motors Ltd ’s commercial vehicle plant at Jamshedpur would be closed for six days, from 12-17 January, to match production with demand, company sources said.
A company spokesman, P. J. Singh, said the continuous unavailability of finance, coupled with high interest rates, across the industry was forcing customers to postpone purchases.
—PTI
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Nissan says car project with Bajaj on track
Mumbai: A project between Japan’s Nissan Motor Co. and Bajaj Auto Ltd to build a low-cost car in India is on track, but the company is assessing the market potential, the Japanese firm’s India head said on Friday.
“We are checking the visibility of the market. Our first priority is to maintain cash flow,” Shouhei Kimura told reporters when asked if the project would be delayed.
Nissan, which is separately setting up a car plant in south India jointly with Renault SA, plans to begin initial production in the first half of 2010, Kimura said.
—REUTERS
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Bial to charge user fee from passengers
Bangalore:Bangalore International Airport Ltd (Bial), the operator a new airport in Bangalore, will begin charging a user fee of Rs260 from passengers on domestic flights from 16 January .
So far, only passengers flying on international routes were being charged the so-called user development fee or UDF of Rs1,070, a tax for using the airport to fly to other destinations and a source of revenue for the airport.
The fee was approved by the Union civil aviation ministry, after Bial sought to levy Rs675 as UDF for each domestic passenger.
—Staff Writer
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Cabinet clears liquidity support of Rs25,000 cr
New Delhi: The government on Friday set in motion the process of providing liquidity support up to Rs25,000 crore to cash-strapped non-banking finance companies (NBFCs) to enable them to pay existing liabilities, as was announced in the second stimulus package to spur economic growth.
A Stressed Asset Stabilisation Fund, set up for acquiring the stressed assets of Industrial Development Bank of India, would function as a special purpose vehicle (SPV) to provide money to such NBFCs.
“These securities would be purchased by (the) RBI and funds would be used by (the) SPV to acquire only investment grade commercial paper and non-covertible debentures of NBFCs,” home minister P. Chidambaram told reporters here.
—PTI
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ONGC borrows $1 bn to fund Imperial buy
Hong Kong:Oil and Natural Gas Corp. Ltd, India’s biggest energy exploration company, borrowed Rs5,250 crore to help finance its takeover of the UK-based Imperial Energy Corp. Plc., a person involved in the matter said.
ONGC Videsh Ltd sold one-year commercial paper to about 15 investors paying interest of 8.15%, said the person, who declined to be identified before an announcement.
Citigroup Inc. arranged the sale, which will help fund the New Delhi-based company’s £1.4 billion (Rs10,416 crore) acquisition of explorer Imperial, the person said.
—Bloomberg
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