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Guangzhou Auto sweetens Denway buyout offer - Reuters
(Reuters) - Guangzhou Automobile, China's sixth-biggest carmaker, said it will hike its offer to take unit Denway Motors ( 0203.HK ) private by 25 percent, as it readies for its own listing.

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"They are making the whole offer more attractive by revising the share exchange ratio," said Rachel Miu, an analyst at DBS Vickers.

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Guangzhou Auto said it would revise upwards the ratio of the planned Denway share swap to 0.474026 Guangzhou Auto share for each Denway share, from 0.378610, to "further enhance the attractiveness of the offer".

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Auto fuel price hike deferrred - Hindu Business Line
The Empowered Group of Ministers (EGoM) on petroleum pricing on Monday postponed the politically sensitive decision of freeing auto fuel prices from government control. The Ministerial panel led by the Finance Minister, Mr Pranab Mukherjee, would meet again soon to take a final decision, the Petroleum Secretary, Mr S. Sundareshan, said after the meeting.

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An official statement said, “The EGoM came to the conclusion that further discussion would be necessary before views are firmed up. A further meeting will be scheduled shortly.” But no dates were given.

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Even as the EGoM sat to meet, speculation was rife that a minimum price hike of Rs 3 a litre on petrol and diesel was coming. There was also a buzz of a possible rise in cooking fuel prices, though marginally.

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Nano - Pantnagar plant not viable in longrun - Business Standard
As commercial production at Tata Nano’s mother plant at nearby Sanand started earlier this week, vendors supplying components to the dual locations, here and to the other production unit at Pantnagar, Uttarakhand, feel continuing with a low-volume production line at the latter would not be viable in the long run.

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Sanand is making 200-300 Nanos a day, likely to be scaled up to 1,000-1,200 cars a day by March next year. It has an installed capacity of 2,50,000 cars annually, to be expanded to 3,50,000 and eventually, depending on demand, to be scaled up to 5,00,000 cars annually (at 1,000-1,200 cars a day, the plant is likely to touch around 3,50,000 cars a year by March 2011, considering 295 working days in a year).

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The company aims to complete deliveries by December of cars booked in the first lot, so that it could start fresh bookings. When asked if production at Pantnagar would continue after the first lot of bookings had been cleared, a Tata Motors spokesperson said, “A decision on that is pending.” Tata Motors collected 2,06,703 orders for the eagerly awaited Nano during the initial sales period last March-April. From this, 1,00,000 customers were chosen by a lottery. Deliveries of the cars began in July last year. Around 35,000 cars have been delivered so far.

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PE firms back in ancillary lane on auto revival signs - Economic Times
MUMBAI | CHENNAI: Private equityinvestors are driving back into the domestic auto ancillary space after a yearwith investments in mid-tier companies as the automobile sector shows visiblesigns of recovering from the global economic downturn.

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InternationalFinance Corporation, the World Bank’s private investment arm, has lined upan Rs 162-crore investment in Coimbatore-based Craftsman Automation whileMotilal Oswal PE has invested Rs 40 crore in Delhi-basedMinda.

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“The pace of investment by PE majors in mid-marketcompanies is likely to go up considering their easy access to capital,post-slowdown,” said a senior official from a Delhi based mid-tierancillary company who did not wish to be named.

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Auto racing Brad Keselowski wins Nationwide race - Detroit Free Press
GLADEVILLE, Tenn. ? Brad Keselowski raced to his third NASCAR Nationwide Series victory of the year and ninth overall, easily holding off rival Carl Edwards on Saturday night at Nashville Superspeedway.

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Keselowski, the series points leader, led 97 of 225 laps in his Penske Dodge and finished 1.67 seconds ahead of Edwards. Paul Menard was third, giving Sprint Cup drivers the top three spots.

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Keselowski, Edwards, Menard and Michael McDowell also will race Sunday at Pocono in the Sprint Cup event. McDowell exited early after finishing 30th.

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