Total SA has agreed to buy a 37.4 percent stake in India’s Adani Gas Ltd, the two firms said yesterday, with the French giant spending US$600 million to expand its access to the energy-hungry country.
The Indian firm, part of the Adani Group conglomerate, is one of the four main distributors of city gas in the country, and plans to increase its coverage to 6 million homes and 1,500 outlets to supply vehicles over the coming decade.
Under the terms of the deal, Total is to make an open offer to Adani Gas shareholders to purchase up to 25.2 percent before buying the remaining equity from the company, leaving the French and Indian firms with an equal share.
“Energy needs in India are immense and the Indian energy mix is key to the climate change challenge,” Total chairman and chief executive officer Patrick Pouyanne said in a statement.
“The natural gas market in India will have a strong growth and is an attractive outlet for the world’s second-largest LNG [liquefied natural gas] player that Total has become,” he added.
Natural gas represents a fraction of India’s energy consumption — about 7 percent — while a June report by the New Delhi-based Centre for Science and Environment think tank found that the country’s gas-based power plants were running at 24 percent of their capacity.
New Delhi has set a target to increase natural gas consumption to 15 percent by 2030.
“Total’s investment in Adani Gas reinforces India’s natural gas and demand potential. We look forward to working together towards delivering India’s vision for clean and green energy,” said Gautam Adani, founder of the mining-to-logistics conglomerate.
The Indian group has faced fierce criticism over the environmental impact of a huge coal mine scheduled for construction in Australia, with conservationists saying it would increase global warming, threaten local vulnerable species and damage the Great Barrier Reef.
NEW MARKET: The partnership opens up India to the Dutch company, which already has a strong hold in the semiconductor market of South Korea, Taiwan and China ASML Holding NV entered into a partnership agreement with Tata Electronics Pvt Ltd aimed at ramping up India’s goal to develop domestic chip-manufacturing capabilities. The Dutch company’s technology would help power Tata Electronics’ planned 300 millimeter (mm) semiconductor foundry in Gujarat, according to a joint statement from the two companies on Saturday. The signing of a memorandum of understanding coincides with a visit by Indian Prime Minister Narendra Modi to the Netherlands, which is looking to deepen bilateral relations with New Delhi. ASML, whose top customers include Taiwan Semiconductor Manufacturing Co (台積電) and Samsung Electronics Co, makes lithography machines that can print
PORTFOLIO REBALANCING: The adjustments in three global equity indices reflect rising investor appetite for semiconductor and artificial intelligence-related stocks Taiwan’s weighting in major global equity indices compiled by MSCI Inc is to rise modestly following the latest quarterly review, underscoring the market’s expanding role in emerging-market portfolios, as global investors continue to favor the nation’s technology sector. Taiwan’s weighting in the MSCI Emerging Markets Index is to increase by 0.30 percentage points to 23.76 percent, after the changes take effect at the close of the May 29 session. Its weighting in the MSCI All-Country Asia ex-Japan Index is to rise 0.37 percentage points to 27.16 percent, while that in the MSCI All Country World Index is to edge up slightly to
The Hsinchu County Government’s Labor Affairs Department yesterday said that it has received a plan from cosmetics brand Taiwan Shiseido Co (台灣資生堂) detailing mass layoffs at its plant in Hukou Township (湖口). While the labor authorities did not disclose the number of employees to be laid off, Japanese news media earlier in the day reported that the closure of the company’s factory in Hukou would result in 170 employees losing their jobs. Shiseido followed the law by reporting its layoff plan, the department said, adding that authorities would closely monitor negotiations between the management and affected employees and step in if any
Hon Hai Precision Industry Co (鴻海精密) on Tuesday confirmed a cyberattack targeting some of its North American facilities, but said the affected factories were gradually returning to normal. The company, known globally as Foxconn Technology Group (富士康科技集團), said that its cybersecurity team “activated the response mechanism and implemented operational measures to ensure the continuity of production and delivery.” “The affected factories are resuming normal production,” the company said in a statement. Hon Hai had previously described it as a “technical issue,” when news of the cyberattack first surfaced. The confirmation followed media reports of a large-scale information technology system incident that broke out at
RSS