News digest: Noel may join Tata Trusts, RBI keeps rate unchanged, and more

From Jet promoters closing to a deal with lenders to RBI holding rate, again, BS brings you up to date with the latest news

RBI holds rate, for now

The Reserve Bank of India (RBI) on Wednesday kept policy rates and stance unchanged but cut its inflation expectations sharply, for now, owing to the recent correction in crude oil prices.
 

RBI Governor Urjit Patel indicated that the policy course could change soon, depending upon the movement in oil prices. Read more

Noel may join Tata Trusts

There could be a rethink at the $103-billion salt-to-software Tata group on Noel Tata, chairman of Trent and managing director of Tata International. As Tata Trusts, a cluster of charitable organisations that controls 66 per cent of Tata Sons, looks to rejig its composition, the induction of Noel Tata, half-brother of Ratan Tata, is being considered in a significant departure from the past, sources in the group said. Read more

Jet promoters close to a deal with lenders 

The promoters of Jet Airways are close to striking a deal with a consortium of their lenders, led by SBI, to get the troubled firm out of financial stress. The lenders have agreed in principle to convert part of their loans into equity under the proposed debt restructuring plan, banking sources said.

Jet had a debt of around Rs 82 billion as of September-end. The sources said details of the equity restructuring were still under discussion and various formulae were on the table. Banks are prodding Jet founder and chairman Naresh Goyal, who owns 51 per cent of the airline, to bring his stake to 25 per cent or below by partly selling it to Etihad Airways. This will ensure Goyal does not have the power to veto any special resolution passed by the board of directors. Read more