Recession is always good,which will teach all good lessons.
And the end result is better managed companies with better productivity. Demand will pick up once the economy stabilises and stock markets will register new highs.
buying is good option, if one can exercise patience....

No need to cut fuel prices now.This is the time to create a buffer cash fund to tackle high oil prices in the future.The public got adjusted to the present rates and are comfortable with it.Also Govt. can plan for some promotion package for selected industries which will generate jobs and sustainable income in the future.
India can utilse this opportunity for a leap forward....

There are many companies issued shares at face value and now quoting at premium. are they all expensive price wise?....

equity value of the telecom joint venture is $3.2 billion, equivalent to Rs 15,840 crore, as against Unitech’s market capitalisation of Rs 12,900 crore last Friday.
Unitech’s holding in the joint venture would be valued at around Rs 9,000 crore. Under the deal, Unitech, which has advanced a debt of Rs 2,000 crore in the telecom venture, would convert the debt into equity shares worth Rs 450 crore, while retaining the balance of Rs 1,550 crore as debt. The debt would be returned by the joint venture to Unitech over the next few quarters.

The current paid-up capital of the joint venture is Rs 138 crore, which is owned by Unitech. Post-transaction, the JV’s paid-up capital would be close to Rs 750 crore and its networth would be of Rs 7,500 crore.
WHY DONT INVESTORS FIND THE VALUE HERE. THE RUPEE COIN BEING SOLD FOR 10 PAISE. BUY...

Realty firm’s telecom unit could seal $1.4-bn deal by weekend.

A leading European telecom giant is set to acquire a little over 43 per cent stake in Unitech’s telecom venture for $1.4 billion. According to highly-placed sources close to the deal, the legal documentation is likely to be completed shortly and an announcement to this effect is expected by the weekend, or early next week.

Unitech was in talks with three major telecommunication giants, including Italy’s Telecom Italia and Norway-based Telenor. Telecom Italia, it is learnt, is no longer in the race due to differences over valuation and the management structure of the company.

Besides the Continent, the European company is a strong player in some of the emerging markets in Asia. With its entry into India, the company will be one of the leading foreign players in South-East Aisa.

Sources said the European company would eventually increase its holding to a majority level at a fair market price. According to the initial understanding, both the partners will have an equal representation on the board with an independent chief executive officer.

“The chief financial officer will be appointed by the foreign partner, while the executive chairman will be nominated by Unitech,” sources said. UBS Investment Bank is advising Unitech.

A high-level management of the European company is expected to visit the country early this week to conclude the deal and make a formal announcement, sources said.

Sources said investment by the foreign company would peg the equity value of the telecom joint venture at $3.2 billion, equivalent to Rs 15,840 crore, as against Unitech’s market capitalisation of Rs 12,900 crore last Friday.

Unitech’s holding in the joint venture would be valued at around Rs 9,000 crore. Under the deal, Unitech, which has advanced a debt of Rs 2,000 crore in the telecom venture, would convert the debt into equity shares worth Rs 450 crore, while retaining the balance of Rs 1,550 crore as debt. The debt would be returned by the joint venture to Unitech over the next few quarters, sources added.

The current paid-up capital of the joint venture is Rs 138 crore, which is owned by Unitech. Post-transaction, the JV’s paid-up capital would be close to Rs 750 crore and its networth would be of Rs 7,500 crore, they said.

The proceeds from a private placement of the joint venture would be used for laying down the network, rolling out operations as well as bidding for the 3G spectrum.

...

Realty firm’s telecom unit could seal .4-bn deal by weekend.


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A leading European telecom giant is set to acquire a little over 43 per cent stake in Unitech’s telecom venture for .4 billion. According to highly-placed sources close to the deal, the legal documentation is likely to be completed shortly and an announcement to this effect is expected by the weekend, or early next week.

Unitech was in talks with three major telecommunication giants, including Italy’s Telecom Italia and Norway-based Telenor. Telecom Italia, it is learnt, is no longer in the race due to differences over valuation and the management structure of the company.

Besides the Continent, the European company is a strong player in some of the emerging markets in Asia. With its entry into India, the company will be one of the leading foreign players in South-East Aisa.

Sources said the European company would eventually increase its holding to a majority level at a fair market price. According to the initial understanding, both the partners will have an equal representation on the board with an independent chief executive officer.

“The chief financial officer will be appointed by the foreign partner, while the executive chairman will be nominated by Unitech,” sources said. UBS Investment Bank is advising Unitech.

A high-level management of the European company is expected to visit the country early this week to conclude the deal and make a formal announcement, sources said.

Sources said investment by the foreign company would peg the equity value of the telecom joint venture at .2 billion, equivalent to Rs 15,840 crore, as against Unitech’s market capitalisation of Rs 12,900 crore last Friday.

Unitech’s holding in the joint venture would be valued at around Rs 9,000 crore. Under the deal, Unitech, which has advanced a debt of Rs 2,000 crore in the telecom venture, would convert the debt into equity shares worth Rs 450 crore, while retaining the balance of Rs 1,550 crore as debt. The debt would be returned by the joint venture to Unitech over the next few quarters, sources added.

The current paid-up capital of the joint venture is Rs 138 crore, which is owned by Unitech. Post-transaction, the JV’s paid-up capital would be close to Rs 750 crore and its networth would be of Rs 7,500 crore, they said.

The proceeds from a private placement of the joint venture would be used for laying down the network, rolling out operations as well as bidding for the 3G spectrum.

...

Thanks for your views. However, if petrol prices are also cut, inflation may further be reduced....

yes i agree completely. GANDABACCHA...

Dear Lookup, Can you please tell me how the telecom joint venture is to be valued? I am a relatively newcomer to Unitech. All that I know about Unitech`s telecom foray is that it has got the licenses to provide telecom services in Tamil Nadu and some other states and it has also been allotted some spectrum. Who is the JV partner of Unitech? When is the telecom rollout? Thanks and regards, Swami...

That may not be exactly correct. But at present sentiments in realty sector as a whole is quite weak....

The share which was bought at Rs.350 three years back before split and 2 bonus issues is now worth Rs.9600(120 x 80),still a mega stock.So, price wise the share looks like expensive....