Shining in the Global Arena
The largest over-sea acquisition by an Indian conaony – TATA of the Anglo-Dutch company – Corus Group which is four time he size of TATA’s
Total Steel production of Corus is 18.2 million tonnes & of TATA’s it is 4.4 million tones.
What is the significant of this acquisition in Indian industrial scenario ?
Today Indina companies areemerging as significant players in cross broader acquisition in ht e first nine months of this year hey have invested $ 7.5 billion to aquire some 115 companies abroad this against the $8.3 billion foreign companies have brought in to fund their acquisition in India
So from above data it is clear that until now the Indina comapanies were acquireing companies which were small or medium in camparsion to themselves. Their acquisition was mainly to gain toe hold in particular geography. Hence they brought an existing brand with tem.
In case of information technology companies the acquisition was mainly to keep technolgies. As basically all Indina companies are into services or mainteance project they need to have experts in their rank to bid for more lucrative deals then just rely in these maintaence work.
Now that many companies big engineering companies are re-negotaiting their contractors for their in-house IT section it makes sense for Indian IT companies to acquire smaller companies which are in the same geographic location as their clients.
In case of phrama industies also the acquisition is done getting hold on generic drugs or drug production technique.
But in case of TATA- Corus merge it is the trimuph of the Indina engineering and managerial skills. In this regard it is very apte to mention that TATA steel is the world’s most cost efficent steel producers.
To is it time India should be recogainczed as not only IT superpower but also engineering & managerial skill master?
Are we ready to take on Chine ?