Page 722 - Business Finance
HCL Tech to acquire US-based digital transformation consulting firm SBE
Indian IT services company HCL Technologies Wednesday announced the acquisition of Strong-Bridge Envision (SBE), a US headquartered digital transformation consulting firm, in a USD 45 million deal. "With this acquisition, SBE will become part of HCL's global Digital and Analytics business," HCL Technologies said in a statement. The size of the buyout is USD 45 million, which includes USD 42 million upfront and USD 3 million potential earn-out linked to target achievements, HCL Tech said in a regulatory filing. Strong-Bridge Envision is a digital consulting firm specialising in customer experience strategy, business transformation, and change management. "Serving Fortune 1,000 clients since its founding, Strong-Bridge Consulting merged with Envision in 2017 to extend its consultancy and digital transformation capabilities and further establish its footprint across North America...," it said. The acquisition is expected to be completed by April 2019.
Sun Pharma raises stake in Russia's PJSC Biosintez to 96.96 pc
Sun Pharmaceutical Industries Wednesday said it has increased stake in Russia's PJSC Biosintez to 96.96 per cent with the purchase of additional shares worth over Rs 22 crore. The company's wholly-owned subsidiary, Sun Pharma (Netherlands) BV, has increased its shareholding in PJSC Biosintez by way of purchase of 33,958 shares, equivalent to 11.86 per cent stake under mandatory tender offer, Sun Phrarmaceuticals Industries said in a regulatory filing. The cost of acquisition or the price at which the shares were acquired was Rubles 21,15,82,11,060 equivalent to USD 32,17,000.3 (Rs 22.39 crore), it added. After the completion of this purchase of shares, the total holding of wholly-owned subsidiary was increased from 85.10 per cent to 96.96 per cent in the Russian firm, it added. PJSC Biosintez had revenues of RUB 2,373 million in 2018. It is mainly engaged in the manufacture and marketing of pharmaceutical products used in the hospital segment of the market. The company's products ...
Ratan Tata inaugurates renovated building of Meherbai Tata
Tata Trust Chairman Ratan Tata Wednesday inaugurated the renovated building of Meherbai Tata Memorial Hospital (MTMH) here. Speaking on the occasion, he said Tata Trust is putting a dream of contributing a grid of the hospital so that lives may be saved. Tata said "we look forward to more lives that may be saved and serve the mankind." Chairman of Tata Sons N Chandrasekaran said we are extremely delighted that this new cancer building has been completed and delighted that it was being inaugurated by Tata. This will provide significant help to affected patients of this part of the world and Jharkhand, he said while appreciating that the building was completed within very short time. Later, talking to newsmen, General Manager (Medical), Tata Steel, Air Marshal (Retd) Rajan Choudhary and Dr. Sujata Mitra, Director of MTMH, said the hospital bed was increased to 128 beds from 72 beds following the new facility was made operational from Wednesday.
Punj Lloyd wins arbitration award against ONGC
Engineering and construction firm Punj Lloyd Wednesday said it has won an arbitration award worth over USD 4.98 million (about Rs 34 crore) with respect to a project in Maharashtra. It said the arbitration award pertained to Heera Redevelopment Project. "The Arbitration Tribunal in the matter of Punj lloyd Ltd & Anr vis Oil & Natural Gas Corporation Ltd in respect of Heera Redevelopment Project, has given an award in favor of Punj lloyd Limited for an amount of USD 4,985,866.37 with interest @ 9 per cent p.a from due date till the date of payment/ realization," the company said in a filing to the BSE. It said the award mentions payment of a further amount of USD 17,500 and USD 7,919,661. "The amount of USD 7,919,661.00 has to be paid within four months from the award otherwise interest @ 12 per cent p.a.will be payable till the payment or realization thereof," the company said without giving details. Punj Lloyd Group is an international conglomerate offering EPC services in ...
NCLT approves RIL-JM Financial ARC plan to acquire Alok Industries
The Ahmedabad Bench of the National Company Law Tribunal has approved the resolution plan of Reliance Industries Ltd (RIL) and JM Financial Asset Reconstruction Company to acquire Alok Industries. "The resolution plan jointly submitted by Reliance Industries Limited and JM Financial Asset Reconstruction Company (JMFARC) Ltd for acquisition of Alok Industries Ltd under the Corporate Insolvency Resolution Process of the Insolvency and Bankruptcy Code 2016, has been approved by the National Company Law Tribunal...by order dated March 8, 2019," RIL said in a BSE filing. It added that the implementation of the resolution plan is subject to obtaining necessary regulatory approvals, including approval from the Competition Commission of India. RIL and JMFARC jointly announced bid to acquire the debt-ridden textile manufacturer Alok Industries Ltd in April. In July 2017, the Ahmedabad bench of the National Company Law Tribunal had admitted insolvency proceedings against the textile company ...
RBI to inject liquidity worth USD 5 bn into system
The Reserve Bank Wednesday said it will inject long-term liquidity worth USD 5 billion into the system through foreign exchange swap arrangement with banks for three years. The swap will be in the nature of a simple buy/sell foreign exchange swap from the Reserve Bank side. Under the swap, a bank would sell US dollars to the RBI and simultaneously agree to buy the same amount of US dollars at the end of the swap period. "In order to meet the durable liquidity needs of the system, the Reserve Bank has decided to augment its liquidity management toolkit and inject rupee liquidity for longer duration through long-term foreign exchange Buy/Sell swap...," the RBI said. The US Dollar amount mobilised through the auction, to be conducted on March 26, would also reflect in RBI's foreign exchange reserves for the tenor of the swap while also reflecting in RBI's forward liabilities. The market participants, it said, would be required to place their bids in terms of the premium that they are ...
Benchmarks trade near day's high; breadth weak
Key equity indices firmed up once again and were trading near day's high in afternoon trade. At 13:25 IST, the barometer index, the S&P BSE Sensex, was up 124.35 points or 0.33% at 37,660.01. The Nifty 50 index was up 13.20 points or 0.12% at 11,314.40.
Baba Ramdev's Patanjali raises bid value to Rs 4,350 cr to take over Ruchi Soya
Baba Ramdev's Patanjali Ayurved has increased its bid value by around Rs 200 crore to Rs 4,350 crore for bankruptcy-bound Ruchi Soya, and the revised offer is likely to be considered by lenders soon. Adani Wilmar, which emerged as the highest bidder in August last year after a long drawn battle with Patanjali, has withdrawn from the race citing delay in completion of the insolvency process. "We have revised our bid to Rs 4,350 crore from earlier offer of Rs 4,160 crore. We are ready to bail out Ruchi Soya which has biggest infrastructure for soyabean. It's a national asset," Patanjali spokesperson S K Tijarawala said. He said the decision has been taken in the interest of all the stakeholders including farmers and consumers. The Committee of Creditors (CoC) could meet next week to consider the revised offer of Patanjali, sources said. In December 2017, Indore-based Ruchi Soya Industries was referred for the Corporate Insolvency Resolution Process. Shailendra Ajmera was appointed the ..
Risers Accelerator to shortlist 200 start-ups for mentoring in 2019-20
Risers Accelerator, a newly-launched platform that aims to provide financial, infrastructural and knowledge support to young entrepreneurs, Wednesday said it would shortlist 200 start-ups for mentoring in 2019-20. In a statement announcing the launch of its operations, Risers Accelerator said it is positioning itself as a "platform to transform the game-changing ideas of start-ups into feasible and profitable businesses". The new start-up accelerator initiative is backed by a team of 35 young entrepreneurs from diverse backgrounds and sectors, it added. During 2019-20, Risers Accelerator will shortlist 200 start-ups across the country to support and nurture them. "In case a start-up fails to raise funds by its own, Risers Accelerator will invest up to Rs 50 lakh per start-up," it added. Risers Accelerator has teamed up with Indraprastha Institute of Information Technology-Delhi to help its students become entrepreneurs through financial assistance and mentorship, and get the ...
72 pc of Indian investors say present corporate leadership 'unfit' for future: Study
More than 70 per cent of investors in India feel that current corporate leadership is "unfit" to meet the challenges of tomorrow, says a study. The study by organisational consulting firm Korn Ferry said that globally, 67 per cent investors feel that current private-sector leadership is unfit for the future. In India, the percentage is 72 per cent, the study based on the responses of 795 investors globally said. In neighbouring China, the percentage stood at 84, 80 per cent for Japan, 70 per cent for the US, and 72 per cent for the UK. The study argues that today's disruptive forces in technology, globalisation, demographics and consumer behaviour are exposing the limitations of legacy leadership worldwide. "Companies have a crucial role to play in cultivating the leaders of the future. To close the leadership gap, businesses urgently need to revolutionize how they identify future executives who have what it takes and accelerate their growth, as well as build a culture that empowers ..
Poshan Abhiyaan: Organisations pledge to make India free of malnutrition
Several organisations came together Wednesday and pledged to build a social movement with their staff and customers supporting the government's 'Poshan Abhiyaan' to make India healthy and free of malnutrition. The 'IMPAct4Nutrtion' platform convened by UNICEF, Tata Trusts, Sight and Life, CSRBOX, CII, WeCan and NASSCOM Foundation was launched to provide an opportunity to the private sector to be part of a large initiative that will positively impact the nutritional and health status of India. Niti Aayog Advisor Alok Kumar said one-third of the children in India have stunted growth and tackling malnutrition is a key challenge for the country. "This needs to change for a nation that is doing well in many other areas, and we need to come together to tackle the problem of malnutrition," he said. Kumar said the government, with its schemes, has done a lot to strengthen the supply side response but needs cooperation from the private sector and the civil society to address the demand ...
Acko Genral Insurance raises USD 65 mn from investors
Acko General Insurance on Wednesday said it has raised USD 65 million from investors, including Flipkart co-founder Binny Bansal. The round of funding also saw participation from existing investors such as Amazon, Accel, SAIF and TechPro Ventures, the company said in a statement. Founded in 2016, Acko General Insurance claims to be the country's first digital native insurer, offers an intuitive purchase experience, cheaper prices and stress-free claims. The company uses a direct-to-consumer approach for distributing motor insurance, allowing for favourable risk selection and superior underwriting.
MSTC IPO subscribed 5%
Receives bids for 8.10 lakh shares
Quick Wrap: Nifty Media Index registers a drop of 2.04%
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Sensex, Nifty log 3rd straight gains; bank stocks show the way
Indian bourses Wednesday looked beyond global market uncertainties to continue their unabated rally for a third day in a row, with the Sensex and the Nifty logging gains led mainly by banking and energy stocks. The 30-share BSE index ended 216.51 points, or 0.58 per cent, higher at 37,752.17. The broader NSE Nifty closed with gains of 40.50 points, or 0.36 per cent, at 11,341.70. In the Sensex pack, IndusInd Bank rallied 4.15 per cent. Other gainers included Yes Bank, Bajaj Finance, HDFC Bank, SBI, Bajaj Auto, RIL, HCL Tech, HDFC and ICICI Bank -- rising up to 3.67 per cent. On the other hand, Bharti Airtel emerged as top loser with 4.08 per cent fall on the Sensex list. Other major laggards were Vedanta, Sun Pharma, Tata Steel, ONGC, Tata Motors, NTPC and Coal India -- shedding up to 3.48 per cent. On Sensex, 13 stocks closed with gains and 17 saw losses. Among the main reasons behind the market rally are sustained foreign fund inflows and strengthening rupee, according to ...
Facing revenue shortfall, Govt pushes IOC, ONGC to pay 2nd interim dividend
Grappling a shortfall in tax revenues, the government has pressed cash-rich PSUs like Indian Oil Corp (IOC) and Oil and Natural Gas Corp (ONGC) to pay a second interim dividend for the current fiscal after seeking regulatory nods. While IOC has called a board meeting on March 19 to consider paying a second interim dividend, ONGC has declined saying it does not have surplus cash to make such payments within a month of an interim dividend payout, sources with direct knowledge of the development said. As per regulations, a company cannot declare a second dividend within a month of the previous payout and companies like ONGC would need to seek an approval of the market regulator SEBI to make such a payment. Sources said the government is struggling to meet the revised fiscal deficit target of 3.4 per cent in view of shortfall in Goods and Services Tax (GST) collections. GST shortfall is likely to be around Rs 30,000-40,000 crore and a similar shortfall is expected in direct tax ...
UK slashes 2019 economic growth forecast: Budget
Britain on Wednesday slashed it forecast for its economic growth this year, as finance minister Philip Hammond said lifting Brexit uncertainty was parliament's "most urgent task". The UK economy is forecast to grow by 1.2 per cent this year, down on the government's prediction of 1.6 per cent in October, Hammond said as he gave a budget update hours before MPs vote on whether to allow the country to leave the EU with no deal.
Budget-friendly apartment size shrunk 17% in 5 yrs: Report
In the last five years, realty sector saw average size of budget apartments in major cities shrinking by 17 per cent to match affordability, a study has found. The top 7 Indian cities collectively saw the average apartment size shrink by almost 17 per cent between 2014 and 2018, it claimed. Mumbai Metropolitan Region topped with 27 per cent squeeze, followed by Kolkata with 23 per cent reduction, the report by Anarock Property Consultants showed. Bengaluru saw the least decline in average property size at roughly 12 per cent during the period. "A major element contributing to the shrinking apartment sizes across most metros is the rising demand for budget-friendly housing. With property prices going overboard in most metros, developers have been reducing sizes to align their offerings more with the actual homebuyer demand," Anarock Property Consultant chairman Anuj Puri said. Compact housing is the fastest seller in the resale market, so such homes give millennials both .
SpiceJet shares slump post grounding of B737 MAX planes; IndiGo climbs
SpiceJet shares took a beating on Wednesday after aviation regulator DGCA decided to ground Boeing 737 MAX 8 planes amid safety concerns. However, airline stocks showed mixed trends as crisis-hit Jet Airways closed in the red while no-frills airline IndiGo gained. The scrip of SpiceJet -- which has 12 MAX 8 aircraft in its fleet -- tumbled 8 per cent in intra-day trading but managed to recoup losses to close little over 2 per cent lower at Rs 77.15 on the BSE. The company's shares opened on a weak note and had slumped 7.99 per cent to touch an intra-day low of Rs 72.50. The Directorate General of Civil Aviation (DGCA) decision on Tuesday to ground MAX 8 planes comes after a crash of such an aircraft in Ethiopia killed 157 people on Sunday. Following the move, SpiceJet has grounded all its 12 MAX 8 aircraft resulting in flight cancellations. Jet Airways has 5 such planes but all of them are already grounded. Shares of Jet Airways fell 2.06 per cent to end the day at Rs 240.60 on the ..
NHPC board to consider proposal to raise up to Rs 2,017 cr via bonds on Friday
State-owned hydro power giant NHPC said Wednesday that its board would on Friday consider a proposal to raise up to Rs 2,017.20 crore through taxable non-convertible bonds on a private placement basis. "The NHPC board in its meeting on Friday will consider proposal to issue 'GOI Fully Serviced Bonds' worth up to Rs 2,017.20 crore as per mandate given by the Government of India for 2018-19," the company said in a statement. The unsecured, redeemable, non-cumulative, non-convertible, taxable bonds will be issued in one or more tranches on a private placement basis in the domestic market, it added. Besides, it said the company would also consider a proposal to raise funds through external commercial borrowing in the Japanese yen equivalent to USD 100 million from MUFG Bank, Japan's leading lender, to part-finance capital expenditures for on-going projects and other permissible end-uses.