IT stocks are trading in the red led by Mahindra Satyam and HCL Infosys. According to a leading daily, HCL Technologies has entered into a strategic partnership with Linedata which is a French global applications software provider. Through this partnership, HCL is likely to transfer its commercial lending software product business (Finance Center). This would imply transferring customer contracts and other supportive assets and liabilities for a consideration of US$ 45 m. We may note here that earlier, HCL had got ownership of Finance Center, a commercial lending software suit through its acquisition of Capital Stream in 2008 post which HCL has significantly transformed this product into a management platform.
Automobile stocks are trading strong led by Force Motors and TVS Motors. As per a leading daily, Tata Motors is all set to launch MCV buses for intercity and staff transportation. The automobile company has developed an entire range of world class buses in both AC and non AC segments. These have been prepared as per international standards especially the body that has been built by Tata Motors Marcopolo known for its reliability and performance. Two of these were launched in the recent SIAM International Bus & Utility Vehicles Show held at Greater Noida. Other new technologies like Divo Coach, Semi Deluxe Starbus Ultra Contract Bus, Starbus Ultra for school application and an ambulance based on the Tata Venture platform were also showcased here. It must be noted that the company has been facing considerable headwinds in the domestic market both in the MHCV and passenger vehicles businesses due to the weak macro environment. Thus, besides launching new products the company also intends to strengthen its distribution network in order to keep up the demand for its products.