Infosys Tech Authorised Capital Doubles

Bangalore-based software company Infosys Technologies Ltd has increased its authorised share capital to Rs 20 crore from the existing Rs 10 crore consisting of equity shares of Rs 10 each.

This follows the company's recent decision to issue 1:1 bonus shares. The company has also recommended a final dividend of Rs four per share making, in all, a total dividend of Rs 5.5 per share for the year ended March 31, 1997.

This came through a special resolution which was passed at its annual general meeting held on Saturday in Bangalore which also created a record of sort with shareholders both in Mumbai and in the US watching the AGM live by the establishment of video conferencing at the venue.

 

For the first time, an AGM of an Indian company was simultaneously watched by shareholders in Mumbai and also in USA.

Where Infosys' outfit in Fremont, California, had established connectivity with the Bangalore venue.

The company has also proposed to make use of the recent government notification for increasing the investment limit of foreign institutional investors and non-resident Indians, etc., in Indian companies from 24 per cent to 30 per cent. The board also passed a resolution to increase this limit to 30 per cent.

As part of its efforts of assessing intangible assets, which it started last year by using the Lev and Schwartz model to evaluate its human resource, Infosys, this year, has valued yet another intangible asset: its brand name. "We've used the 'brand-earnings-multiple' model to value the Infosys brand," Murthy said.

The AGM also passed another resolution to increase the company's investment in its wholly-owned US subsidiary Yantra Corporation from $ two million to $ four million for its expansion programme.

The shareholders at the AGM also passed a resolution approving the appointment of N R Narayana Murthy, and N S Raghavan, as managing director and joint managing director respectively for a further period of five years from May 1, 1997.

Commenting on the company's performance, Narayana Murthy said the revenue, exports, PBIDT and PAT of the company grew from Rs 93.41 crore, Rs 80.34 crore, Rs 33.95 crore and Rs 21.01 crore in 1995-96 to Rs 143.81 crore, Rs 125.28 crore, Rs 50.06 crore and Rs 33.39 crore respectively.

"The growth in all parameters of the business has been satisfactory," he said. The company has launched a new SBU (strategic business unit) named SBU5 to provide Internet consultancy to its customers, according to him.

The company is in the process of developing PorteNT--a methodology for porting applications from OS/2 to WindowsNT.