Big deal

Tata group company VSNL (Videsh Sanchar Nigam Limited) is now one of the world’s largest providers of submarine cable bandwidth. It has completed the acquisition of Tyco Global Network (TGN), a cable network that spans 60,000 km and the continents of North America, Europe and Asia, for a sum of $ 130 million. "We believe this is a good acquisition. We are not carrying any liability except for some suppliers to be paid in normal course of business,” Tata Industries managing director K. A. Chaukar said, as reports The Economic Times of July 2, 2005.

Strengthening its position as a leading international telecom provider, VSNL is also acquiring TeleGlobe International Holdings Limited, a leading provider of wholesale voice, data, IP (internet protocol) and mobile signaling services for $ 239 million (Rs 1,039 crore), states an ENS (Express News Service) Economic Bureau report datelined July 25, ’05. The deal would give VSNL access to an extensive global network that reaches more than 240 countries and territories with advanced voice, data and signaling capabilities and ownership interests or capacity in more than 80 subsea and terrestrial cables. "VSNL’s vision is to become a leading global player in wholesale voice and bandwidth and enterprise data services,” stated VSNL director N. Srinath. The acquisition value includes the price of $ 4.5 per share payable to shareholders of TeleGlobe and the assumed debt. The deal is subject to the approval of TeleGlobe’s shareholders and government approvals in various countries and is expected to be completed in two months.

With the Government of India opening up the defence sector, the Rs 3,930 crore Tata Power Company Limited has earned Rs 62 crore by supplying multi rocket launcher systems to the Indian Army in 2004-05, reports The Indian Express of July 20, 2005. Tata Power’s Strategic Electronics Division (SED) has developed Pinaka, a multi-barrel rocket launcher and Samyukta, an integrated electronics warfare (system) for induction by the Indian Army. "Tata Power is expecting this (SED) division to be a major growth driver and is planning new business verticals which include command control, communications and computer intelligence surveillance and reconnaissance equipment, avionics, etc,” the Express correspondent notes. SED’s notable recent achivements have been the electronic warfare control center for the Army, combat systems for the navy, advanced automatic data handling air defence system for the Air Force and advanced automotive electrical system for the Army’s main battle tank, states their website. SED (Bombay) was established in 1967, with the manufacturing facility coming up in Bangalore in 1982.

Group firm Tata Motors is in the process of making armored vehicles for the Indian Army, the Express adds. Hitherto, defence orders were the prerogative of public sector enterprises.

Above: Largest private sector employer Tata Consultancy Services.

Information technology giant Tata Consultancy Services (TCS) has become the country’s largest single employer in the private sector, with a staggering 48,711 employees on its rolls. TCS is likely to increase its lead after Tata Infotech is merged with it, adding another 3,600 employees.

Right behind is Wipro with 46,500 employees and Reliance Infocomm with 42,000. Among the top five private sector employers in India is Tata Steel with a workforce of around 40,000, with Infosys Technologies snapping at its heels with 39,800 employees. Ahead of Tata Motors’ 22,000 employees is Hindustan Lever Limited with a work strength of 36,000, as per the July 19, 2005 Bombay edition of the Hindustan Times.