Page 876 - Business Finance
Tata Steel sells indirect subsidiary Black Ginger
Domestic giant Tata Steel said Monday it has divested the entire stake in indirect subsidiary Black Ginger 461 Pty Ltd (Black Ginger) to a Switzerland-based metals and mining group. Black Ginger has stake in an iron ore mine in South Africa. TS Global Minerals Holding Pte Ltd, an indirect wholly owned subsidiary of Tata Steel, had entered into a pact with IMR Asia Holding Pte Ltd to divest its entire stake in Black Ginger. "T S Global Minerals Holding Pte Ltd has today (Monday) concluded the divestment of its entire stake in Black Ginger," Tata Steel said in a regulatory filing to the BSE. The company on October 18 last year announced that T S Global Minerals Holdings Pte Ltd had entered into an agreement with IMR Asia Holding Pte Ltd to divest its entire stake in Black Ginger (100 per cent). Black Ginger, in turn, holds a 64 per cent stake in Sedibeng Iron Ore Pty Ltd, South Africa, which is the operating company, the filing said. However, it did not disclose financial consideration .
Promoters sell 10% stake in Emami Ltd for Rs 1,600 cr
Kolkata-based Emami Group Monday said its promoters have sold 10 per cent stake in the flagship firm Emami Ltd for around Rs 1,600 crore. The transaction was executed on stock exchanges on Monday and the purchasers included SBI Mutual Fund, PremjiInvest, Amundi, IDFC, L&T Mutual Fund and others, the group said in a statement. The stake sale proceeds will be used to pare promoter debt which was used in creation of assets like cement and solar power among others, it added. "Pursuant to the stake sale, the promoter holding in Emami Ltd will stand at 62.44 per cent," the statement said. The conclusion of the stake sale will ease liquidity position of the promoter group and reduce the debt, Emami Ltd Director Mohan Goenka said. "We are committed to maintaining our significant majority stake in the company and do not anticipate any further dilution of stake in the foreseeable future," he added. Emami Group Director Aditya Agarwal said the promoters remained steadfast in working towards .
SC to hear Zuari Agro plea on Rs 20 cr deposit in Mallya's UB group firm
The Supreme Court Monday agreed to hear on February 20 the plea of Zuari Agro Chemicals Ltd, which had advanced Rs 20 crore as inter-corporate deposit (ICD) in 2012 to a United Breweries (UB) group firm in which fugitive Vijay Mallya has stakes. ZACL has challenged in the apex court the Karnataka High Court's January 28 order which stayed a lower court's interim decision asking Mcdowell Holdings Ltd, a UB group firm, not sell or alienate its shares of other group firms. "Is this Vijay Mallaya matter?," a bench comprising Chief Justice Ranjan Gogoi and Justice Sanjiv Khanna asked senior lawyer Mukul Rohatgi, appearing for ZACL. He replied in affirmative. "We will take it up day after tomorrow," the bench said. As per the appeal, after several renewals of the ICD, Mcdowell Holdings Ltd pledged certain shares of its group firm Mangalore Chemicals and Fertilisers Ltd (MCFL) to lending firm ZACL. Even after the pledging of shares, the lending company said that the debtor firm owed it Rs ...
Rising oil prices may double import bill in FY19
Rising oil prices and depreciating rupee are set to further upset the countrys fiscal math this year, with estimates suggesting that the crude import bill in FY19 would shoot up by close to 50 per cent to $130 billion, twice the level what government agencies were earlier projecting.
RBI to inject Rs 12,500-cr liquidity via OMOs on Thursday
The Reserve Bank of India (RBI) Monday said it would inject Rs 12,500 crore into the system through purchase of government securities on Thursday to increase liquidity. The purchase will be made through open market operations (OMOs). "Based on an assessment of prevailing liquidity conditions and also of the durable liquidity needs going forward, the RBI has decided to conduct purchase of...government securities under OMOs for an aggregate amount of Rs 125 billion on February 21, 2019," the RBI said in a release. The eligible participants should submit their offers in electronic format on the RBI core banking solution (E-Kuber) system on February 21. The result of the auction will be announced on the same day and payment to successful participants will be made on the following day, RBI said. OMOs are financial tools to either inject or suck out liquidity from the system. When the liquidity is tight, money is pumped into the market by purchase of government securities. While in the case
Ambuja Cement posts net profit of Rs 1,378 cr for Dec quarter
Ambuja Cement Monday reported nearly threefold increase in consolidated net profit to Rs 1,377.88 crore in the December 2018 quarter, benefiting from write-back of tax provisions relating to earlier years. The company, which follows January-December fiscal, had posted a consolidated net profit of Rs 478.39 crore in the corresponding quarter last fiscal, Ambuja Cement said in a regulatory filing. Its profit after tax includes write-back of tax provisions related to earlier years amounting to Rs 873 crore, the company said. The consolidated revenue from operations stood at Rs 6,728.68 crore in the fourth quarter as compared with Rs 6,173.01 crore in the year-ago period, it added. "We have registered a steady growth in our topline. In addition, we also have been able to withstand cost volatility during this quarter, thanks to accelerating efforts on alternative fuels, optimized fuel mix and plant efficiency improvements," Ajay Kapur, managing director and chief executive officer at ...
63 Moons serves legal notices to Chidambaram, 2 civil servants; to seek Rs 10,000 cr damages
63 Moons Technologies Monday said it has served legal notices to Congress leader P Chidambaram and two civil servants informing them of the company's intention to move court to seek damages worth Rs 10,000 crore in connection with the NSEL scam. Formerly known as Financial Technologies Ltd (FTIL), 63 Moons and some of its former executives, including founder Jignesh Shah, are under the scanner of multiple probe agencies regarding the Rs 5,600 crore payment scam at the now defunct National Spot Exchange Ltd (NSEL). Against this backdrop, 63 Moons chairman Venkat Chary Monday said legal notices have been served to Chidambaram, former Additional Secretary at the Finance Ministry K P Krishnan and former Forward Markets Commission (FMC) Chairman Ramesh Abhishek for allegedly destroying the ecosystem and causing huge damage to the company's shareholders. Chidambaram was finance minister when the NSEL crisis came to light in late 2013. While FMC has since been merged with markets regulator ..
Punjab budget 2019-20: Fuel prices cut; FM tries to woo farmers, youth, SC ahead of Lok Sabha polls
With the Lok Sabha elections around the corner, the Congress-led Punjab government cut fuel prices, petrol by Rs 5 and diesel by Rs 1 a litre, and announced a host of new schemes for farmers, youth, industry, Scheduled Caste population in the state budget presented Monday. Deciding against levying any new tax, state Finance Minister Manpreet Singh Badal highlighted "persistent efforts" of the Amarinder Singh-led government to bring the state on a "fiscal recovery path". He also accused the previous SAD-BJP government of leaving the state in a "fiscal mess". Badal presented the budget with a total outlay of Rs 1,58,493 crore, including a 'ways and means' transaction of Rs 32,000 crore. The transaction is a credit facility extended by the RBI to the states. Though with little "fiscal space" in the wake of high committed expenditures, the finance minister tried to provide something to each segment with the launch of new schemes such as 'Make in Punjab', 'Mera Kamm, Mera Maan' and laid ...
Jindal Stainless sets up unit to make components for ICF
Jindal Stainless, a subsidiary of JSL Lifestyle Ltd, commissioned its first dedicated facility for the railways near here Monday and expects a revenue of Rs 300 crore. Spread across two acres, the unit would supply high- quality stainless steel components to the Integral Coach Factory for production of railway coaches. With the commissioning of the new unit, the company hopes to make a revenue of Rs 100 crore initially, a press release said. The facility would produce railway coach sub-assemblies like sidewall, roof arch, trough floor and retention tanks for the ICF, the release said. The components supplied from Jindal Stainless' unit at Pathredi in Haryana would be used in Linke Hofmann Busch (LHB) model coaches. The proximity of the unit to ICF would ensure just-in-time deliveries, low inventory costs, the release said. "Our relationship with Indian Railways is almost two decades old. We have further strengthened it by setting up our facility in Chennai," managing ...
Gokaldas Exports signs MoU with Govt. of Karnataka for setting up apparel manufacuturing units in Ballary District
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RBI board approves Rs 28,000-crore interim dividend to government
The Reserve Bank of India (RBI) board on Monday approved transfer Rs 28,000-crore interim dividend to the government ahead of the general elections to meet the welfare expenditures and the fiscal deficit breach.
Copper rises after Supreme Court knocks back Vedanta smelter reopening
LONDON (Reuters) - Copper prices rose on Monday on concerns that supply will be tight after a court ruling cast doubt on the future of a smelter in India and a large mine in Indonesia said its export permit had expired.
Grasim to acquire chlor-alkali biz of KPR Industries for Rs 253 cr
Aditya Birla Group firm Grasim Industries Monday said it has inked a pact to acquire chlor-alkali business of KPR Industries by way of a slump sale for a cash consideration of Rs 253 crore. The company, which has inked a definitive agreement to acquire the business, said the transaction will be funded through internal accruals. KPR Industries' chlor-alkali business comprises an under-construction 200 TPD project at Balabhadrapuram, Andhra Pradesh. As part of the deal, Grasim would take over the assets and identified liabilities associated with the business. KPR Industries on the other hand will utilise the capital towards a full and final settlement of the lenders' dues. "This acquisition is a strategic fit, and further strengthens our group's leadership in the chlor-alkali sector. Caustic soda is a critical input in the aluminium sector. Given the expansion plans for the aluminium businesses, it will serve as an excellent sourcing point for leading aluminium players," Birla Carbon ...
Power Grid's K Sreekant gets additional charge as NTPC Director Finance
State-run utility Power Grid Corporation's Director Finance K Sreekant has been given additional charge as Director Finance of NTPC for a period of six months from February 12. "Ministry of Power on February 13, 2019, has assigned additional charge to the post of Director (Finance), NTPC Limited to K Sreekant, Director (Finance), Power Grid Corporation for a period of six months from February 12, 2019 or till the appointment of a regular incumbent or until further orders, whichever is the earliest," a BSE filing said. NTPC's board has appointed Sreekant as Director Finance on the board through a circular resolution with effect from February 12, the filing said. Sreekant (55 years) is CMA and PGDM (Finance) from Management Development Institute, Gurgaon. He has over 33 years of experience in the power sector involving all facets of finance and accounting function and in particular, long term financial planning, investment appraisals, formulation of capital budgets, resource ...
Grasim Industries to acquire Chlor-Alkali Business of K P R Industries (India)
The Business consists of an under-construction 200 TPD Chlor-Alkali project at Balabhadrapuram, Andhra Pradesh. Grasim would take over the assets and identified liabilities associated with the Chlor-Alkali Business.
RBI to pay Rs 28,000 cr as interim dividend to govt
The Reserve Bank will pay an interim dividend of Rs 28,000 crore to the government, a move that will help the Centre keep fiscal deficit in check. The announcement on Monday came after the bank's Central Board meeting, which was addressed by Finance Minister Arun Jaitley. This is the second successive year when the Reserve Bank of India (RBI) will be transferring an interim surplus. This is in addition to Rs 50,000 crore surplus transfer announced by RBI in August 2018 for 2017-18 (RBI follows July-June financial year). Of this, Rs 10,000 crore was given as interim dividend to the government on March 27, 2018. "Based on a limited audit review and after applying the extant economic capital framework, the Board decided to transfer an interim surplus of Rs 280 billion to the central government for the half-year ended December 31, 2018," the central bank said in a statement. RBI had given Rs 30,663 crore as dividend to the government in 2017-18. In his address to the Board, Jaitley ...
Government recapitalization plan for PSBs to further improve their balance sheets: FICCI-IBA Survey
Liquidity scenario expected to remain tight even in Q4 of FY19
Ambuja Cements fourth-quarter standalone profit jumps over 58 percent
(Reuters) - India's Ambuja Cements Ltd on Monday posted a 58.8 percent jump in fourth-quarter profit, exceeding analysts' estimates, as it logged higher cement sales and a tax benefit.
RBI to transfer 280 billion rupee interim surplus to government
(Reuters) - The Reserve Bank of India (RBI) on Monday decided to transfer an interim surplus of 280 billion rupees ($3.92 billion) to the government for the half year ended Dec. 31.
RBI decides to transfer interim surplus of Rs 28000 crore to Govt
Finance Minister meets the Directors of the RBI Central Board