Here are India's top business newsmakers for 2011

It was a remarkable year for Indian business. Safe to say, it had its fair share of ups and downs. Some companies made headlines for all the wrong reasons (DLF), while others won praise for their accomplishments (Flipkart).

Some companies faced the end of an era (Infosys), while others basked in the promise of a new one ahead (the Tata group). It was also a year in which some companies became rising stars (Cognizant), while others plumbed to new lows (Maruti Suzuki).

Here’s a look back at some of the more memorable business newsmakers of 2011.

[caption id=“attachment_162870” align=“alignleft” width=“380” caption=“India’s largest business conglomerate finally named a successor to chairman Ratan Tata. AFP”]  [/caption]

More from Business

Hyundai India’s Rs 27,870 crore IPO oversubscribed by 2.28X, largely driven by institutional investors How Indian fintech startups are driving Malaysia’s UPI-like digital payments revolution

**Tata Group:**It arguably made the most anticipated corporate announcement of 2011. India’s largest business conglomerate finally named a successor to chairman Ratan Tata. His name: Cyrus Mistry, the 43 year-old son of Pallonji Mistry, whose company Shapoorji Pallonji is the largest shareholder in Tata Sons. Tata Sons is the holding company of the $80 billion business group. Mistry, former managing director of Shapoorji Pallonji, will spend a year training for the top job under Ratan Tata, and is expected to take over as chairman in December 2012.

[caption id=“attachment_162872” align=“alignright” width=“380” caption=“Outgoing Infosys Chairman N R Narayan Murthy with his successor K V Kamath during the company’s 30th annual general meeting (AGM). PTI”]  [/caption]

Impact Shorts

More Shorts

Tata Harrier EV vs Mahindra XEV 9e: Design and road presence compared

As Trump weaponises tariff, Fed sees a bigger worry: Not jobs, but rising prices in America

Infosys: One of India’s highly respected IT companies saw the end of an era when co-founder Narayana Murthy stepped down in late August. Murthy co-founded Infosys with six engineers in 1981 by borrowing Rs 10,000 from wife Sudha.

Today, the company boasts a market capitalisation of Rs 1,53,000 crore. Famous for his sense of integrity and honesty, Murthy continues to remain Chairman Emeritus at Infosys. K V Kamath, former ICICI Bank chairman, replaced Murthy as chairman, while S D Shibulal was appointed chief executive officer and managing director.

Continues on the next page

**Reliance Industries:**Perhaps the biggest development this year was the possibility of a rapprochement between the formerly warring Ambani brothers, Mukesh and Anil.

[caption id=“attachment_162877” align=“alignleft” width=“380” caption=“Mukesh’s group reportedly plans to use Anil’s telecom company’s towers to make a second foray into the telecom sector to provide 4G services. Reuters”]  [/caption]

Mukesh’s group reportedly plans to use Anil’s telecom company’s towers to make a second foray into the telecom sector to provide 4G services. Of course, there was plenty of other news to keep both groups in the spotlight through the year, including a sharp drop in gas output from its KG-D6 basin (for the Mukesh-led group) and Reliance Communications alleged involvement in the 2G scam (for the Anil-led group).

Flipkart: Nicknamed the ‘Amazon’ of India, Flipkart made waves after it was reported to have raised $150 million from General Atlantic Partners in a deal that valued the company at $1 billion, according to a report by VC Circle.

[caption id=“attachment_162881” align=“alignright” width=“380” caption=“lipkart was co-founded as an online bookstore in 2007 by an unrelated duo, Sachin Bansal and Binny Bansal.Reuters”]  [/caption]

The deal transformed the company into India’s first billion-dollar Internet startup. Flipkart was co-founded as an online bookstore in 2007 by an unrelated duo, Sachin Bansal and Binny Bansal. According to this Firstpost article , the website, now engaged in general e-commerce, expects to post a 10-fold rise in revenues in the financial year ending March 2012.

Continues on the next page

[caption id=“attachment_162883” align=“alignleft” width=“380” caption=“Most analysts believe that by the end of March 2012, Cognizant will cement its lead over Bangalore-based Wipro. Reuters”]  [/caption]

Cognizant: In early August, the US-headquartered company grabbed international attention after it beat Wipro in terms of revenues for the June-ending quarter to become India’s third-largest IT services company.

It maintained its lead in the September-ended quarter on the back of business growth in the US and Europe. Most analysts believe that by the end of March 2012, Cognizant will cement its lead over Bangalore-based Wipro. Will it topple Infosys? Not yet, but it’s getting there.

[caption id=“attachment_162887” align=“alignright” width=“380” caption=“Reuters”]  [/caption]

Kingfisher Airlines: Was there anything that didn’t go wrong with the airline? A severe cash crunch led to a string of problems that continue even today: dozens of flight cancellations; the exit of hundreds of pilots and cabin crew because they weren’t paid their salaries; lessors reportedly grabbing back an aircraft for non-payment of dues; suppliers threatening to cut off fuel supplies; airports threatening to force the airline to pay landing fees every time an aircraft landed or took off (instead of extending credit); a huge debt overload; and a reluctance by banks to inject more funds. Whew! The start of 2012 promises to bring more bad news.

Continues on the next page

[caption id=“attachment_162892” align=“alignleft” width=“380” caption=“Moody’s downgrade of SBI’s financial strength rating to D+ from C- in October caused quite a commotion in marke.tsReuters”]  [/caption]

State Bank of India: Moody’s downgrade of State Bank of India’s financial strength rating to D+ from C- in October caused quite a commotion in equity markets, and even prompted Finance Minister Pranab Mukherjee to lash out ratings agencies for trying to “destabilise the banking system”.

Moody’s downgrade was a result of worries about the bank’s capital adequacy in the face of a rapid deterioration in asset quality. A capital infusion could remedy the situation, but given the government’s cash-strapped situation, there’s little clarity on when that will happen.

[caption id=“attachment_162895” align=“alignright” width=“380” caption=“Union leaders were reportedly given huge financial payoffs to leave the company, leaving some institutional investors unhappy at how the whole affair was handled. All in all, it was not one of Maruti’s finest moments.”]  [/caption]

Maruti Suzuki: A widely reported labour strike kept India’s largest car maker in the news for most of the second half of the year. Striking employees led to a slump in production as well as car sales, intensifying the pain already being felt because of cooling demand.

Making matters worse, union leaders were reportedly given huge financial payoffs to leave the company, leaving some institutional investors unhappy at how the whole affair was handled. All in all, it was not one of Maruti’s finest moments.

Continues on the next page

[caption id=“attachment_162902” align=“alignright” width=“380” caption=“The DLF scandal triggered a countrywide debate on the urgent need to regulate a sector already tainted by numerous scandals involving politicians.Reuters.”]  [/caption]

DLF: India’s largest real estate company by market value hit the spotlight after it was fined a whopping Rs 630 crore by the Competition Commission of India for breaching laws on unfair pricing and abusing its market dominant position, following a complaint lodged by a customer of the company.

It triggered a countrywide debate on the urgent need to regulate a sector already tainted by numerous scandals involving politicians. While DLF is legally contesting the fine, the CCI judgement is considered to be a big thumbs-up for consumer rights in the country.

[caption id=“attachment_162908” align=“alignleft” width=“380” caption=“SKS came under harsh criticism for its flawed business model that saw it morph from a non-governmental organisation into a commercial institution. AFP”]  [/caption]

SKS Microfinance: The long list of problems at India’s only listed microfinance institution culminated last month with the exit of founder Vikram Akula, once regarded as the industry’s poster boy. SKS came under harsh criticism for its flawed business model that saw it morph from a non-governmental organisation into a commercial institution that chased investor returns and rapid growth instead of providing financial services to the poor.

Other negatives like lending far more than the borrower’s capacity to repay and aggressive debt recovery practices also gave microlenders a bad name. SKS now plans to cut its microfinance exposure and increase income from other operations, according to a DNA report.