Friday, September 30 2005 14:07 Hrs (IST) - World Time -

Dubai: Business house Hindujas have announced to float a one billion US dollars (about Rs 4,400 crore) fund to invest in India, UAE and Qatar and said they are exploring the possibility of setting up a heavy vehicle unit in Dubai.

Srichand Hinduja and Indus Industries Holding will soon float the fund that will invest in listed and private infrastructure companies in India, Abu Dhabi (UAE) and Qatar.

Observing that Dubai had limited manufacturing capability, Hinduja Group Chairman Srichand Hinduja told reporters after board meeting of IndusInd holding here last night that the trucks assembled in Dubai could be sold across the Gulf and would be cheaper compared to those available now.

The truck assembly and bus body building unit in Dubai would be set up through their Indian flagship Ashok Leyland.

The Annual General Meeting of the Indus Industries International Holdings Ltd (IIHL) approved the accounts of the company for the 15 months period ending March 31, 2005 and a dividend of 8 per cent per share of US$ 1 as against 5 per cent for the 12-month period ended Dec 31, 2003.

The Chairman of Hinduja Group and the IIHL chaired the AGM in Dubai. Ram Buxani and M J Pancholia of Dubai are the directors on the board of IIHL.

IIHL, registered in Mauritius in 1993, was conceived as the economic platform for Overseas Indians to root the investments into India. The company has paid a total dividend of US$ 0.69 on a share of US$ 1 in the last 11 years or an average annual yield of 6.27 per cent, which compares favorably with average LIBOR of 4.4 per cent during the period.