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The Business Capsule: Latest News Articles Stock Chart Word Power Business Icon Quiz Contest
The Business Capsule: Latest News Articles Stock Chart Word Power Business Icon Quiz Contest
LATEST NEWS
ARTICLES
STOCK CHART
WORD POWER
BUSINESS ICON
QUIZ CONTEST
The euro is once again running into trouble amid fresh concerns over euro zone sovereign debt and stability of the monetary union. The
EUR/USD is currently sliding further, reaching levels not seen since October of 2008. Currently the pair is trading at 1.2387, a loss of 1.15%
since open. Germany and France said on Monday that Europe had acted decisively to save the euro by rescuing Ireland and agreeing the basis of a
permanent debt resolution system, but financial markets were unconvinced. Portugese consider emigrating.
The 2010 Asian Games, also known as the XVI Asiad, was a multi-sport event in Guangzhou, China that began on 12 November and finished on
27 November 2010. Guangzhou was the second Chinese city to host the Games, after Beijing in 1990. A total of 476 events in 42 sports was
contested by athletes, making it the largest event in the history of the Games. India ended its campaign in the sporting spectacle in the sixth
position with 14 gold, bettering the 13 won at home in Delhi 28 years ago, 17 silver and 33 bronze medals.The total medal haul of 64 here is also
the highest for India in Asiad history as it bettered the 1982 haul in Delhi of 57 comprising 13-19-25.
The deadlock in Parliament is expected to continue next week with the government once again rejecting the demand for a joint parliamentary
committee (JPC) into the second generation mobile spectrum scam alleging that the opposition was using the stalemate as a "political weapon" to
obstruct its functioning. The government will send notices to 85 companies asking why their licenses should not be cancelled for suppressing
facts, said Telecom Minister Kapil Sibal
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The World Cup FIFA Chose Russia and Qatar as Hosts
After a secret ballot of 22 delegates in Zurich, FIFA, soccer's governing body, awarded the 2018 and 2022 World Cups to Russia and Qatar,
respectively. The verdict came amid allegations of corruption and bribery ahead of the pivotal vote, with English and American commentators
feeling particularly aggrieved. But TIME sees geopolitical trends at work in the success of the Russian and Qatari bids.
WikiLeaks Organization Sparks Controversy - WikiLeaks is a website that posts formerly secret documents online in what its members say is
the pursuit of transparency and accountability. Its release of more than 75,000 U.S. Army and Marine Corps documents chronicling six years of
events in Afghanistan has angered officials in Washington, Britain and Pakistan. The United States government, faced with the publication on the
internet of a quarter of a million cables sent from its embassies in recent years, has responded just as it did when WikiLeaks posted similar troves
of secret messages about the wars in Afghanistan and Iraq on the web earlier this year.
North Korea fired scores of artillery shells at a South Korean island on Tuesday, killing two soldiers, in one of the heaviest attacks on its neighbor
since the Korean War ended in 1953. the South fired back and sent a fighter jet to the area. The attack came as the reclusive North, and its ally
China, presses regional powers to return to negotiations on its nuclear weapons program and Pyongyang is fast developing another source of
material to make atomic bombs. YTN said at least 200 North Korean shells hit Yeonpyeong, which lies off the west coast of the divided
peninsula near a disputed maritime border. Most landed on a military base there.
The Government said that the security agencies are unable to intercept and monitor the communication made through Blackberry Messenger
Service and Enterprise Services in readable format. Government is engaged with RIM, the provider of Blackberry services, to find out a solution
for the interception and monitoring of messenger chat and enterprise email using Blackberry phone, Minister of state for IT and Communications
Sachin Pilot said.
ARTICLES
The era of Mergers and Acquisitions
Merger is creation of a new entity by combining two companies whereas an acquisition is the purchase of one company bby another
company in which no new company is formed. Acquisition can be either friendly or hostile depending on how it is communicated and
received by the target company’s board of directors, employees and shareholders. Generally M&A are done secretly due to
confidentiality agreement(Harwood 2005). Another type of acquisition is reverse merger, a deal that enables a private company to get
publicly listed in a short time period. A reverse merger occurs when a private company that has strong prospects and is eager to raise
financing buys a publicly listed shell company, usually one with no business and limited assets.
Mergers are generally differentiated from acquisitions partly by the way in which they are financed and partly by the relative size of the
companies. Various methods of financing an M&A deal exist:
Cash-Payment by cash. Such transactions are usually termed acquisitions rather than mergers because the shareholders of the target
company are removed from the picture and the target comes under the (indirect) control of the bidder's shareholders.
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Stock-Payment in the acquiring company's stock, issued to the shareholders of the acquired company at a given ratio proportional to the
valuation of the latter.
Every company at some point of time wants to go for expansion and if it goes for creating a brand new company then a lot of money ,
labor and time has to be put in. The easier route is M&A. Mostly companies go for M&A in order to convert their diseconomies of scale
into economies of scale. Companies may have huge reserves of cash and manpower but they might be lacking in the technology
forefront. The Indian companies are considered as masters of M&A. One of the biggest advantage of M&A is ready availability of
human resouces who know the organization from its roots and hence a lot of money is saved in training and development.
The arcelor mittal deal : Steel tycoon LN Mittal acquired Brussels based Arcelor in the year 2006 for a consideration of 26
billion euros i.e. US $ 33 billion dollars to became the world’s largest steel maker.
The tata – corus deal : TATA steel acquired Anglo-Dutch company corus for a sum of US $8.1 billion in the year 2006.
The tata- jaguar deal: TATA Motors acquired UK based iconic car models Jaguar and Land Rover in the year 2008 for a
cumulative sum of US $ 2.3 billion
The mahindra-reva deal : Mahindra &Mahindra acquired a controlling stake of 55.2% in Reva electric vehicles in march
2010 for an undisclosed amount.
The mahindra-ssyanyong deal : Mahindra & Mahindra took over the loss makig south korean SUV maker Ssyangyong in
2010 for a consideration of US $ 464 million.
The piramal health care- abbott deal : Piramal Health Care sold its generic drug business to US based Abbott
pharmaceuticals for Rs. 17000 crores in 2010 .
Contributed by Md Hafizul
STOCK CHART
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BOMBAY STOCK EXCHANGE CLOSING INDEX PRICES (15-NOV-03 DEC)
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CONTRIBUTION BY: ADITYA PANCH AND SAKET SUMAN
SENTENCE- NISHIT COULD HARDLY WAIT FOR HIS PARENTS TO LEAVE; HE CARRIED THEIR LUGGAGE OUT TO THE CAR
WITH GREAT ALACRITY.
2. COMMENSURATE (ADJ.)
SENTENCE: THE PAY SHOULD BE COMMENSURATE WITH THE NUMBER OF HOURS WORKED.
3. GREGAROIUS (ADJ.)
SENTENCE- VIVEK WAS BENEFITTED IN HIS JOB BECAUSE OF HIS GREGARIOUS NATURE.
4. GARRULOUS (ADJ.)
SENTENCE: KELLY WASN’T GARRULOUS IN THE PARTY; SHE WENT TO THE PARTY, BUT SHE SPENT MOST HER TIME
HIDING IN THE CLOSEST.
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5. INNOCUOUS (ADJ.)
SENTENCE: THE SPEAKER’S VOICE WAS LOUD BUT HIS WORDS WERE INNOCUOUS TO THE AUDIENCE.
6. UBIQUITOUS (ADJ.)
7. VICARIOUS (ADJ.)
MEANING- EXPERIENCED, PERFORMED, OR SUFFERED THROUGH SOMEONE ELSE; LIVING THROUGH THE EXPERIENCES OF
ANOTHER AS THOUGH THEY WERE ONE’S OWN EXPERIENCES.
SENTENCE- TO TAKE VICARIOUS PLEASURE IN SOMEONE ELSE’S SUCCESS IS TO ENJOY THAT PERSON’S SUCCESS AS
THOUGH IT WERE OWN.
8. SILHOUETTE (NOUN)
SENTENCE: DURING ELLIPSE MOON WAS ENTIRELY SILHOUETTED AGAINST THE DISK OF SUN.
9. PROLITARIAT (VERB)
SENTENCE: THE PROLETARIAT IS THE LABOURING CLASS-BLUE COLLAR WORKERS OR PEOPLE WHO ROLL UP THEIR
SHIRT SLEEVES TO DO AN HONEST DAY’S WORK.
SENTENCE: THE PACIFIC TEMPER SEEKS TO SETTLE DISPUTES ON GROUNDS OF JUSTICE RATHER THAN BY FORCE.
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Chanda Kochhar was born in November 17, 1961 in Jodhpur, Rajasthan. She completed her Bachelor of
Arts degree from Jai Hind College, Mumbai. Later, she joined the Jamnalal Bajaj Institute of
Management Studies for the Masters Degree in Management Studies. She has two children, a son and a
daughter. She is the Chief Executive Officer (CEO) and Managing Director (MD) of the bank in May
2009. She is currently the Joint Managing Director (JMD) of ICICI Bank. She is also the bank`s the
Chief Financial Officer (CFO) and the official spokesperson & that`s not all. She also heads the
Corporate Centre of ICICI Bank. Chanda Kochhar joined ICICI as a Management trainee after her
Masters in the year 1984. After 9 years of hard work, Kocchar was appointed as part of core team to set
the ICICI bank. She got promotion in 1994 & 1996 as Assistant General Manager and then Deputy
General Manager respectively. In 1998, she was promoted as the General Manager with role of handling relationships with ICICI`s top 200
clients. In April 2001, she was promoted as Executive Director, heading the retail business in ICICI Bank. In April 2006, Chanda Kocchar was
appointed as Deputy Managing Director of ICICI Bank.
Honors & Awards: -Under Kocchar`s leadership, ICICI Bank won the Best Retail Bank in India award in 2001, 2003, 2004 and 2005 and
Excellence in Retail Banking Award in 2002; both awards was given by the The Asian Banker. Kocchar personally was awarded Retail Banker of
the Year 2004 (Asia-Pacific region) by the Asian Banker, Business Woman of the Year 2005 by The Economic Times and Rising Star Award for
Global Awards 2006 by Retail Banker International. Kocchar has also consistently figured in Fortune`s list of Most Powerful Women in Business
since 2005. She climbed up the list debuting with the 47th position in 2005, moving up 10 spots to 37 in 2006 and then to 33 in 2007. In the 2008
list, Kocchar features at the 25th spot.
THE QUIZ
Q1) What changes did the Industrial Revolution in England NOT see?
Q2) In which year did Milkha Singh win the first National title in the 400 m race?
a) 1955
b) 1956
c) 1957
d) 1970
Q3) The final act of betrayal was when Tipu went himself to fight the British soldiers that were able to enter the fort courtyard. One of the traitors
then ordered the inner doors to be shut. Who was this traitor?
a) Badaruddin
b) Zaman
c) Purnia
d) Mir Sadiq
Q4) Which Indian writer has a National Park named after him?
a) William Darlymple
b) Jim Corbett
c) Sosa Archbutnott
d) Henry Jones
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Q5) Anupam Kher's real age when he played a 65-year-old retired principal in Saaransh was...?
a) 28
b) 29
c) 42
d) 43
The first three correct entries will be given prizes . The names of the winners will be declared in the next issue. Please don’t
forget to write your Name, Division, and Roll. No. with your answers.
THE EDITORIAL TEAM-ADITYA PANCH, DEVASISH ROY, JAKRA BEG, SAKET SUMAN, LIONEL MAAIN, CHANDAN
MISHRA, BIPIN BHARADAWAJ, SWETA KUMARI , JYOTSNA NANDA , MD HAFIZUL AND MEGHA SAXENA.
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