Page 498 - Business Finance
Facebook keeps aside $3 bn ahead of US FTC fine
Battling several privacy violations, Facebook has kept aside $3 billion, anticipating a record fine coming from the US Federal Trade Commission (FTC) related to the Cambridge Analytica data scandal that involved 87 million users.
F&O expiry may trigger volatility
Trading of Nifty 50 index futures on the Singapore stock exchange indicates that the Nifty could fall 25 points at the opening bell. Axis Bank, Maruti Suzuki India and Tata Steel will announce their January-March 2019 quarterly earnings today, 25 April 2019.
IPCA Labs in focus after inking pact to acquire Ramdev Chemical
IPCA Laboratories announced that it has entered into a share purchase agreement (SPA) to acquire 100% paid-up share capital of Ramdev Chemical for cash at Rs 108.50 crore. Ramdev Chemical is engaged in the business of manufacturing and marketing of advanced drug intermediates, fine chemicals, custom synthesis molecules and active pharmaceutical ingredients. The announcement was made after market hours yesterday, 24 April 2019.
US dollar strengthens in late trading
The US dollar strengthened in late trading on Wednesday.
Facebook braces for $3bn FTC fine over privacy scandals
Facebook on Wednesday said that it is expecting that the Federal Trade Commission (FTC), as a part of its ongoing investigation, would fine the social networking giant to the tune of USD three to USD four billion amid reports of data privacy scandals.Facebook has set aside USD three billion in legal expenses related to the investigation, which cut into its profit for the first three months of 2019. Its profit for the first quarter was USD 2.4 billion, a decrease of 51 per cent from the same period a year ago, CNN Business reported."In the first quarter of 2019, we reasonably estimated a probable loss and recorded an accrual of USD three billion in connection with the inquiry of the FTC into our platform and user data practices, which accrual is included in accrued expenses and other current liabilities on our condensed consolidated balance sheet," the social media platform said in a report released on Wednesday."We estimate that the range of loss in this matter is USD three billion to
Privacy fine set-aside dents Facebook's profit
Facebook has said that its profit took a hit from setting aside billions of dollars for an anticipated fine from US regulators, in a quarterly report that sent shares higher. The leading social network logged a profit of USD 2.4 billion -- down 51 per cent from a year earlier -- on revenue that climbed 26 per cent to USD 15.1 billion in the first three months of this year. The number of monthly active users of Facebook at the end of March was 2.38 billion, up eight percent from a year ago. Facebook estimated that it will be hit with a fine of USD 3 billion to USD 5 billion by the US Federal Trade Commission for "user data practices," and factored that into its earnings report. "The matter remains unresolved, and there can be no assurance as to the timing or the terms of any final outcome," the California-based company said in the release. Facebook shares rallied more than 7 per cent in after-hours trade following the results. Profits would have topped Wall Street forecasts if not for .
Deutsche Bank handing over Trump loan documents: Source
Deutsche Bank has begun to provide documents on financing for some of President Donald Trump's projects to New York State authorities, a source familiar with the matter said. In mid-March, New York Attorney General Letitia James subpoenaed the German bank, demanding records related to loans and lines of credit granted to the Trump Organisation. The money was intended to finance projects such as Trump hotels in Washington, DC, Miami and Chicago, another source said last month on the condition of anonymity. It was unclear whether Deutsche Bank had provided all the documents requested. "We remain committed to cooperating with authorized investigations," a bank spokesman said, while declining to comment on a CNN report that the company was handing over the documents. James' office also declined to comment on the status of the documents regarding financing for the Trump Organization, the holding company that has been run by Trump's sons Eric and Donald Trump Jr since he entered the White ..
Energias de Portugal shareholders block takeover bid by China Three Gorges
Shareholders in Portugal's biggest company, Energias de Portugal, on Wednesday blocked a nine-billion-euro (USD10-billion) takeover bid by the state-owned China Three Gorges (CTG) Corporation. The rejection of the bid by the Chinese energy behemoth comes amid growing unease within the European Union over a surge of Chinese state investment in and around the bloc. Energias de Portugal, an electricity company, said in a statement that the shareholders rejected the takeover because of a regulator requirement that their voting rights be modified. The company had already said last year the the offer was too low. "The shareholders decided not approved the change in status of the company," the EDP statement said. The voting rights reform had been demanded by the Portuguese stock exchange as a condition for its green light to the Chinese offer. EDP's current rules prevent any shareholder from having more than 25 percent of the voting rights, regardless of the size of its shareholding. CTG is .
Air accidents take toll on Boeing earnings
The fatal Boeing 737 accidents in March and October have taken a toll on the US aeronautics giant with a 13 per cent drop in net earnings, the company announced on Wednesday.
Trinamool MP Abhishek Banerjee's assets up three-fold
Trinamool Congress MP and party supremo Mamata Banerjee's nephew Abhishek Banerjee, who is seeking re-election from West Bengal's Diamond Harbour constituency, has declared that value of his movable assets have soared three-fold to over Rs 71.40 lakh, as against around Rs 23.57 lakh declared in 2014.
Gulf NRIs offer funds for Jet to fly again
A group of Gulf-based NRIs are ready to raise emergency funding to enable debt-ridden and cash-strapped Jet Airways fly again, said a potential investor on Wednesday.
Bharti Infratel's Rawat not keen to continue as CEO post merger with Indus Tower
Bharti Infratel Wednesday said its current managing director and chief executive D S Rawat is not willing to take up the top job after merger with Indus tower. Rawat, who will continue to lead the company till the merger, has intended to continue with Bharti group in a senior role, said Bharti Infratel in a BSE filing. "D S Rawat, the current MD and CEO, Bharti Infratel Ltd, has informed the board of directors in its meeting today that post the merger of Bharti Infratel Ltd and Indus Towers Ltd, he intends to continue within Bharti Group in a senior role and accordingly would not like to be considered for the role of MD and CEO of the merged entity," said Bharti Infratel. It further said: "He would continue to be the MD and CEO of Bharti Infratel Limited till the merger is completed and would be actively engaged in ensuring smooth integration of the two entities." Last yeat, Bharti Airtel, Idea Cellular and Vodafone Group had announced an agreement for the merger of Indus Towers and ..
SBI to raise Rs 17k cr via bonds in tranches in FY19
The board of State Bank of India has approved raising up to $2.5 billion (around Rs 17,000 crore) through bonds in the current fiscal.
Voda Idea rights issue receives bids for 1109 crore shares: NSE data
Vodafone Idea's rights issue entailing 2,000 crore shares received bids for 1,109 crore shares, according to data available on the NSE on Wednesday. The country's largest telecom operator through the rights issue, which ran between April 10 and April 24, offered 2,000 crore new shares at Rs 12.50 apiece. As per the data, the rights issue had received bids for 11,09,28,57,339 shares at 2000 hours and showed the status as "active". When contacted, the company remained tight-lipped about the final numbers saying it is bound by applicable compliance norms and guidelines. To a separate query, the company said its interactions with investors suggest there is a "strong demand for the rights issue". "Axiata's renunciation has been fully taken up with a strong demand. Hence, we have good reason to believe that the issue will be fully subscribed," Vodafone Idea said in an e-mail response. The company added that it expects allotment to be made on or around May 6, 2019, as mentioned in the offer .
Boeing puts cost of 737 MAX crisis at USD 1 bn
Boeing said Wednesday that its 737 MAX crisis had cost USD 1 billion in the first quarter as it withdrew its 2019 profit forecast on continued uncertainty about when the grounded jets will fly again after two deadly crashes. The US aerospace giant also cited spending on the software fix and related training, according to an earnings presentation released Wednesday that listed the USD 1 billion in 737 program costs. The results are the first since the company entered crisis mode with the March 10 crash of an Ethiopian Airlines jet, which along with an October Lion Air crash claimed 346 lives. Shares rallied in early trading, reflecting relief that damage from the 737 MAX crisis thus far was not worse. The US aerospace giant reported USD 2.1 billion in profits, down 13.2 per cent from same period a year ago due in part to the USD 1 billion hit from the 737 program. Revenues dipped 2.0 per cent to USD 22.9 billion. Boeing also pulled its full-year profit forecast, citing "uncertainty of .
GDR manipulation: Sebi bars Jindal Cortex, 3 directors from securities markets for 5 years
Markets regulator Sebi Wednesday barred Jindal Cortex and its three directors from accessing the securities market for five years for manipulating issuance of global depository receipts (GDRs). Sandeep Jindal, Rajinder Jindal and Yash Paul Jindal were directors of Jindal Cortex Ltd (JCL) at the time of violation, according to a Securities and Exchange Board of India (Sebi) order. The regulator examined the issuance of GDR by the firm and observed that it issued 5 million GDRs amounting to USD 38.75 million on the Luxembourg Stock Exchange in 2010. During the examination, Sebi found that Vintage FZE was the only entity to subscribe the entire 5 million GDRs of the JCL, and Vintage had availed loan for the subscription amount from EURAM bank. JCL, however, provided security towards the loan obtained by Vintage through a pledge agreement with EURAM bank. "By entering into the pledge agreement for facilitating the subscription of its own GDR's, JCL has played a fraud on the securities ...
RBI reply on home loan norm breach by bank sought
The Delhi High Court on Wednesday asked the Reserve Bank of India (RBI) to file reply on a plea complaining that Central Bank of India, the public sector lender, has disbursed the housing loan without linking it to the stages of construction for a under-construction greenfield housing project.
Eco Survey may prescribe higher crop support prices
The upcoming Economic Survey for 2019-20 may have some new prescriptions that can address travails of the large sections of farmers who roil under low income for their produce, big loans and lose foodgrains for lack of proper logistical facilities.
Sebi restrains Hotel Leela from selling properties to Brookfield, NCLT issues notice
Market regulator Sebi has restrained Hotel Leelaventure from selling its four hotels and other assets to Brookfield Asset Management in a Rs 3,950 crore deal till its further orders after a representation by Kolkata-headquartered ITC, the debt-ridden firm said Wednesday. Meanwhile, the Mumbai bench of NCLT issued notices to Hotel Leelaventure, its promoters along with its lender JM Financial over a joint petition filed by ITC and its investment arm Russell Credit Ltd. ITC and Russell Credit which together hold 8.72 per cent of the issued share capital of Hotel Leelaventure have sought a waiver of 10 per cent minimum shareholding for minority shareholders to be counted in management matters. The National Company Law Tribunal (NCLT) adjourned the matter to June 18, 2019, for the next hearing. On March 18, Hotel Leelaventure Ltd (HLVL) had announced sale of its four hotels located in Bengaluru, Chennai, Delhi and Udaipur, as well as a property to Canadian investment fund Brookfield for ..
NBCC submits revised bid for Jaypee Infratech
State-owned NBCC Ltd Wednesday submitted its revised bid to acquire debt-ridden Jaypee Infratech and complete over 20,000 delayed apartments in Noida, sources said. NBCC and Suraksha group, which are in the race to acquire the Jaypee Group firm, were asked to sweeten their offers by the lenders. Suraksha had earlier submitted its revised bid. However, details of the revised offers by NBCC and Suraksha were not immediately available. A meeting of the Committee of Creditors (CoC) is scheduled to be held on April 26, Jaypee Infratech's Interim Resolution Professional (IRP) Anuj Jain had said in a regulatory filing. Sources said the lenders would discuss the revised bids of both the potential buyers. In their earlier bids, both NBCC and Suraksha group had offered lenders parcels of Jaypee Group's land to settle debt as well as monetisation of Yamuna Expressway that connects Noida and Agra in Uttar Pradesh. Meanwhile, business conglomerate Adani Group had also expressed interest to bid for