Top headlines: Team Modi to meet after reshuffle, Adani to raise $1.5 bn

Prime Minister Modi expands and reshuffles his team of ministers; Shapoorji Pallonji group says it doesn't need Tata approval to pledge its shares in the conglomerate.

The Union Cabinet and the Council of Ministers are expected to meet on Thursday, a day after Prime Minister Narendra Modi rejigged his team. Shapoorji Pallonji (SP) Group said it does not need Tata Group’s permission to pledge a part of its 18.5-per cent stake in Tata Sons, These are the top headlines at this hour.

Modi Cabinet 2.0 is all about politics and governance

Prime Minister Narendra Modi on Wednesday sacked many senior colleagues, elevated some, and infused the government with new faces to make the most comprehensive reshuffle of his council of ministers in the government’s seven-year tenure. Jyotiraditya Scindia will be in charge of the civil aviation ministry and Manusukh Mandavia will lead the health ministry. Read more

Shapoorji Pallonji says it doesn’t need Tata approval to pledge shares

Shapoorji Pallonji (SP) Group does not need Tata Group’s permission to pledge a part of its 18.5-per cent stake in Tata Sons, said a top executive of the SP Group. Its stake is worth Rs 2.4 trillion; its immediate fund requirement is just Rs 5,000 crore to pay Indian lenders, in keeping with the one-time restructuring (OTR) of the debt proposal. Read more

PNB advises Housing arm to rejig Carlyle deal as per Sebi order

Punjab National Bank (PNB) has advised its housing finance arm to restructure its fundraising deal with investors, led by the Carlyle Group, in accordance with the recent directive by the Securities and Exchange Board of India (Sebi). However, PNB Housing Finance has decided to wait for the Securities Appellate Tribunal’s (SAT) order, expected to be pronounced on July 12.

A day before the scheduled hearing of SAT on July 5, PNB wrote to PNB Housing Finance, asking it to take cognisance of Sebi’s June 18 directive and consider restructuring the contours of the deal in line with the market regulator’s order. The PNB letter conveyed the decision taken by its board on July 3, based on legal opinion obtained from a law firm. Read more.

Google, Facebook won't have to pay domestic tax under new IT rules

For digital multinationals such as Google, Facebook and Twitter, appointing grievance officers under new information technology (IT) rules does not imply that they have a “permanent establishment” in India.

But if their local office performs business functions and contributes to revenue of the parent firm abroad, it may attract domestic taxes, said two people in the revenue department. Read more.

Adani Group to raise over $1.5 bn to refinance Mumbai airport debt

Mumbai airport is looking to raise bonds worth $1.5 billion to refinance the debt of Mumbai’s international airport amid a slump in air travel owing to the ongoing pandemic.

The plan to raise capital comes months after the Ada­ni group announced acqu­isition of the GVK-group-owned MIAL. In February, the Adani group acquired 23.5 per cent stakes in the Mu­mbai airport from two South African investors, while the acquisition of GVK group’s 50.5 per cent stake in Mumbai airport is still in process. Read more.