Page 493 - Business Finance
Deutsche-Commerzbank merger talks collapse
Germany's two biggest lenders Deutsche Bank and Commerzbank said Thursday they had called off talks on a possible merger, dashing Berlin's hopes of creating a financial "national champion". "After thorough analysis, we have concluded that this transaction would not have created sufficient benefits" to justify the risks and costs of the complex deal, Deutsche Bank chief executive Christian Sewing and Commerzbank chief Martin Zielke said in a statement. "After careful analysis, it became apparent that such a combination would not be in the interests of either bank's shareholders or other stakeholders." Both investors and employee unions had strong reservations about a tie-up between the Frankfurt giants. "The disadvantages of such a merger, especially in relation to jobs, would have been disproportionate," said Frank Bsirske, head of service workers' union Verdi. But the retreat from the mooted merger is a setback for Chancellor Angela Merkel's government. Finance Minister Olaf Scholz .
Bharti Infratel shares plunge over 10 pc on disappointing Q4 results
Shares of mobile tower company Bharti Infratel plunged over 10 per cent Thursday after the company's quarterly earnings came in almost flat. The scrip tumbled 10.33 per cent to close at Rs 270.95 on the BSE. During the day, it dived 14.61 per cent to Rs 258. On the National Stock Exchange (NSE), shares plunged 9.61 per cent to close at Rs 272.50 apiece. Bharti Infratel Wednesday posted a consolidated net profit of Rs 608 crore in the quarter ended March, almost flat on year, as consolidation in the telecom sector resulted in reduced tenancies. The company had posted a consolidated profit after tax of Rs 606 crore in the corresponding period a year ago. The consolidated revenue of Bharti Infratel came in at Rs 3,600 crore for the January-March quarter, 2 per cent lower than Rs 3,662 crore in the March 2018 quarter.
Stressed assets resolution: RBI mulls giving up to 60 days additional time for repayments
The Reserve Bank of India (RBI) is working on revising the framework for resolution of stressed assets, including providing additional 60 days to borrowers to repay dues, as part of efforts to mitigate hardships faced by genuine businesses, sources said. Against the backdrop of the Supreme Court quashing an RBI circular, issued on February 12, 2018, a revised set of rules is under works and would be released soon, they added. Under the RBI norms, an account is classified as a Non Performing Asset (NPA) if it is not serviced for 90 days. The February 12 circular had mandated banks to refer an NPA account for insolvency proceedings in case a resolution is not found within 180 days. This was for accounts where the outstanding dues was at least Rs 2,000 crore. Earlier this month, the Supreme Court quashed the circular and termed it as ultra vires. Sources said various options are being explored for rejigging the NPA framework. One of the option is giving 30-60 days more time in addition .
Compliance will help business succeed, says I-T official
Compliance would effectively help a business succeed in the long run by building a positive public image and consumer trust, a senior income tax official said Thursday. Compliance need not be considered only for tax laws but also in regular life, Commissioner of Income Tax (TDS) V S Kumar said. He was speaking while inaugurating the 2nd edition of Compliance Conclave organised by CII here. Such programmes would not only enhance the awareness for compliances of various laws but also ensure business continuity is not affected by way of non-compliance, Kumar said. Besides, compliance benefits enhancing customer and investor confidence, achieving improved operations, higher employee retention and managing competition, he said. Convenor of economic affairs & taxation panel, CII Coimbatore, G Karthikeyan threw light on several Indian and international MNCs which have tried to be non-compliant to the rules of their land and global trade policies and how they paid more in ..
Oriental Bank of Commerce announces cessation of directr
On 24 April 2019
64 pc of flight diversions from 4 metro airports due to bad weather in 2018: Govt estimates
Around 64 per cent of the flights that were diverted from four metro cities -- Mumbai, Delhi, Bengaluru and Chennai --- last year were due to bad weather conditions, an official document stated. According to estimates of the Ministry of Civil Aviation, in 2018, the worst affected airport due to "bad weather" conditions was Delhi airport as 213 flights were diverted because of it. In 2017, just 111 flights were diverted from Delhi airport due to bad weather. PTI has accessed the document containing the estimates of the Ministry of Civil Aviation. The document shows that total 796 flights were diverted from the airports of aforementioned four metro cities due to various reasons last year. Out of 796, the number of flights that were diverted due to bad weather stood at 510. Total 727 flights were diverted from the aforesaid four airports in 2017 for various reasons. Out of this, 502 flights were diverted because of bad weather. Flight diversions due to "overhead congestion", also known ..
Shares tumble on oil price jitters
Domestic stocks corrected sharply after Brent crude oil on Thursday rose above $75 per barrel for the first time in 2019. Higher crude oil prices could increase fiscal deficit, current account deficit and stoke fuel price inflation. The Sensex dropped below the psychological 39,000 level. The Nifty settled below 11,700 mark. Negative global stocks also impacted sentiment.
Markets tumble in closing hour, Sensex closes at 38,731
Equity benchmark indices wound up lower on Thursday after witnessing heavy selling pressure in the final hour of trading and losses in metal stocks.The S & P BSE Sensex opened above 39,100 mark, touched a high of 39,262 but closed 324 points lower from yesterday's close at 38,731.Panic selling in the closing hour of trading session also pulled the Nifty 50 down 84 points to close at 11,642.All sectoral indices wrapped up in the red, except realty.Significant losses in Reliance Industries, HDFC Bank, Infosys and ICICI Bank weighed on the broader index in afternoon trade.Bharti Infratel fell as much as 9.6 per cent due to subdued corporate results. The other prominent losers were Tata Steel, Vedanta, Maruti and Hindalco.Those which showed gains were Ultra Cement, Grasim, Dr Reddy, Bharti Airtel and Bharat Petroleum.Meanwhile, Asian shares were mixed with investors remaining cautious after the United States told countries buying Iranian oil to stop purchases by May 1 or face economic
Quick Wrap: Nifty Metal Index declines 1.86%
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Maha LS polls: Voter turnout grew by 9.45% in 2014 from 2009
The voter turnout in the 2014 Lok Sabha elections in Maharashtra had witnessed a rise of 9.45 per cent as compared to the 2009 polls. According to the data available with the State Electoral Office here, the total percentage of votes polled in Maharashtra in 2014 was 60.42 per cent, which was 50.97 per cent in 2009. In 2014, Kalyan constituency had registered the lowest turnout of 43.06 per cent, as against the 34.32 per cent in 2009, which was the lowest at that time in the state. Mumbai North Central constituency had recorded 49.37 per cent voting in 2014 as against the 39.63 per cent in 2009. In 2014, the highest polling percentage of 73.05 per cent was registered in Hatkanangale seat, while in the 2009 election, the highest voter turnout of 70.96 was recorded in Bhandara-Gondiya constituency. In the first phase of the ongoing Lok Sabha polls in Maharashtra held on April 11, 61.81 per cent voter turnout was recorded in the seven constituencies in Vidarbha. In the ...
Maruti shares fall over 2 pc after Q4 results
Shares of Maruti Suzuki India (MSI) Thursday fell over 2 per cent after the company reported a 4.6 per cent decline in net profit for the fourth quarter of the 2018-19 fiscal and said it will phase out all diesel cars from its portfolio with effect from April 1, 2020. The scrip dropped 2.23 per cent to close at Rs 6,868.05 on the BSE. During the day, it fell by 2.26 per cent to Rs 6,865. On NSE, shares declined 1.94 per cent to close at Rs 6,880. In terms of traded volume, 1.50 lakh shares were traded on BSE and over 30 lakh shares changed hands on NSE during the day. "From April 1, 2020, we will not be selling diesel cars," MSI Chairman RC Bhargava told reporters here. The company currently sells a range of diesel vehicles. Around 23 per cent of all units sold by the company in the domestic market currently are diesel cars. The country's largest car maker Maruti Suzuki India (MSI) Thursday reported a 4.6 per cent decline in net profit to Rs 1,795.6 crore for the fourth quarter of the
Hind Copper board approves raising up to Rs 1,400 cr through QIP
State-owned Hindustan Copper said Thursday its board has approved raising up to Rs 1,400 crore through an issue of equity shares to qualified institutional investors. "The board of directors of Hindustan Copper Ltd (HCL) in its meeting held on April 25....has inter alia considered and approved...recommended resolution for seeking members approval for raising funds through issue of equity shares through Qualified Institutional Placement (QIP) method for an amount not exceeding Rs 1,400 crore..," the PSU said in a filing to BSE. The Cabinet last year had approved a fresh equity issue of 15 per cent by Hindustan Copper to help it raise over Rs 900 crore. Hindustan Copper had earlier said that it would spend Rs 5,500 crore over six years to expand its production capacity by six times to up to 20 million tonnes per annum (MTPA). Shares of the company dropped by 1.64 per cent to settle at Rs 47.95 on BSE.
Indian investment in UK on rise despite Brexit: Report
The number of Indian companies investing in the UK registered a jump over the previous year despite the ongoing uncertainties around Brexit, according to a new report tracking Indian investments in the UK. The annual 'India Meets Britain Tracker' released in London on Wednesday finds that the number of Indian companies doing business in Britain has increased from 800 in 2018 to 842 in 2019, with a combined turnover of 48 billion pounds. The report, published by business advisory firm Grant Thornton UK LLP and the Confederation of Indian Industry (CII), revealed a more than doubling of the Corporation Tax paid by these companies to hit 684 million pounds, up from 360 million pounds in the previous year. "The headline figures in the Tracker are startling. They are testament to the strength and entrepreneurialism of the Indian business community, with some companies growing by more than 100 per cent year on year," UK minister for investment Graham Stuart said at the launch. The minister .
Hyderabad startup set to test-launch Vikram series of rockets
: Skyroot Aerospace, a city-based startup, is gearing up to test-launch its 'Vikram' series of rockets to send satellites into space by mid-2021. The aerospace company is betting big on the proposed Space Activities Bill-2017 which is under discussion at the Cabinet-level. Once the Bill is passed, it would enable and regulate the activities related to space by the private players. Promoters of Skyroot Aerospace Pawan Kumar Chandana and Naga Bharath Daka, who are former scientists of the Indian Space and Research organisation (ISRO), are in the process of raising the second round of funding from investors. Skyroot has graduated from the design-level to the actual testing stage of the propulsion system, according to the promoters. The early-stage funding was done by Mukesh Bansal and Ankit Nagori. Referring to market reports, Naga Bharath said the space vehicle launch market is expected to see exponential growth in the future with over 7,000 satellites anticipated to be ..
TPCI to partner Embassy of US to promote 'Select USA 2019' investment summit
The Trade Promotion Council of India (TPCI) Thursday said it is partnering with Embassy of the US in the national capital to jointly promote domestic investments during 'Select USA 2019' summit. The summit, dedicated to promote foreign direct investment in America, will be held from June 10-12 in Washington DC. TPCI has signed a partnership agreement with the US Commercial Service, Embassy of the US in New Delhi for the same, it said in a statement. The summit provides opportunity to bring together companies from all over the world and other parties working to facilitate business investment in the US, TPCI Chairman Mohit Singla said in the statement. "TPCI is all geared to work in alliance with the US Commercial Services...The idea is to leverage each other complementarity for strengthening the mutual cooperation," he added. Last year, he said, 95 Indian business delegates attended the summit. TPCI has invited expression of interest from senior management level functionaries who would
Norwegian losses deepen as 737 MAX grounding adds to problems
Troubled low-cost airline Norwegian said Thursday its net losses deepened in the first quarter of the year as the grounding of its Boeing 737 MAX 8 aircraft could cost it $58 million. The net loss swelled to 1.48 billion kroner ($171 million, 154 million euros) from 46 million kroner in the same period last year, when it booked an exceptional capital gain. The winter period is traditionally slower for airlines, especially so this year as the Easter holiday fell in April. But Norwegian managed to improve its operating performance, reducing its operating losses to 1.46 billion kroner from 2.23 billion last year. Sales were up 14 percent at nearly eight billion kroner. Norwegian was forced to raise more than $300 million in a share issue early this year to shore up its finances and embarked on a vast cost-cutting programme. The airline, which had pursued an aggressive growth strategy, has shifted its focus to profitability. Norwegian placed huge orders for the latest fuel-efficient ...
Neogen Chemicals IPO subscribed 1.39 times
The initial public offer of Neogen Chemicals has been subscribed 1.39 times so far on the second day of bidding. The Rs 132-crore initial public offer (IPO) received bids for 60,21,405 shares against the total issue size of 43,29,038 shares, as per data available on NSE data till 1530 hours Thursday. Till Wednesday, the offer was subscribed 27 per cent. The IPO comprises fresh issue of up to Rs 70 crore and offer for sale of up to 29,00,000 equity shares, including anchor portion of 18,46,715 equity shares. Price range for the offer, which is scheduled to close on Friday, has been fixed at Rs 212-215 per share. Inga Advisors Private Limited and Batlivala & Karani Securities India Private Limited are the book running lead managers to the offer. Equity shares of the company are proposed to be listed on BSE and NSE. Neogen Chemicals is a manufacturers of bromine-based and lithium-based specialty chemicals.
Housing schemes to fuel employment and economic growth
Citing a study, National Real Estate Development Council's National President Dr Niranjan Hiranandani said that as per the findings of the study conducted by the National Institute of Public Finance and Policy, it is estimated that while 18.92 lakh direct jobs would have been created due to massive push for building houses under the government's flagship scheme, another 42.57 lakh jobs would have been created through an indirect effect.The report also said that the increased pace of house construction has a multiplier effect on the allied industries such as cement, steel and other construction materials."Housing has always been important for India's economy over the years, as it offers visible results to gauge quantum of development. It is vital for the GDP growth, as it creates jobs, generates revenue for the government in the form of taxes as also wages which impact not just the economy but also positively influence residents' standard of living," said Dr Hiranandani."Looking beyond
JM FIN ARC conduct in Leela saga questionable (IANS Exclusive)
With SEBI stopping the Hotel Leelaventure takeover bid in its tracks, several questions have cropped up. A combination of two minority investors -- ITC and LIC -- jointly owning a tad over 10 per cent petitioned both NCLT and SEBI to prevent this takeover from going ahead, citing oppression and mismanagement against the company. IANS now learns that a Middle Eastern billionaire along with an Indian arms dealer had jointly bid for Leelaventure company and their bid at $600 million was higher than any other bid.
Hong Kong Market falls to near four-week low
Financial stocks led the index lower, with Ping An Insurance (2318 HK) down 2.12% to HK$92.15, and China Construction Bank (939 HK) falling 0.72% to HK$6.91.months to March 31, to between 250 million yuan and 350 million yuan.