Rooting for Ratan
The Times Of India— December 19, 2005

TA few years back not too many pundits would have done it. That is, root for the shy architect-chairman of India's second largest industrial house. But today with Bombay House making its presence felt across the globe, Ratan Tata has proved that it's not perception but performance that creates winners. And grander things are in store in 2006, say insiders as the group goes from strength to strength. Like a further dilution of stake in its brightest jewel-software powerhouse TCS.

Tata who wants to convert TCS into a $10 billion company over the next four years, is said to have opted for a domestic borrowing programme, over an overseas one. The group is also racing ahead to meet its mega expansion schedule. Rs 25,000 crore in Tata Teleservices, adding 5000 mw to Tata Power, eyeing 20 MT of steel capacity in Tat a Steel and adding close to 3000 rooms in Indian Hotels Company.

While Tata Steel, Tata Motors and Tata Power can meet their financial requirements from its internal resources and leveraging their balance sheets, telecom and hotels need hard cash. So while talks are on with private equity investors like Temasek for Teleservices, IHCL is planning to approach its shareholders with a rights issue.