LATEST BUSINESS NEWS

Karnataka Bank launches NPS scheme at select branches

The bank has launched the scheme on February 16, 2017

Karnataka Bank has launched ‘National Pension System’ popularly known as NPS at its Corporate Office, Mangaluru on February 16, 2017. The bank has introduced this scheme at select branches initially and plans to introduce it in a phased manner at all of its branches.

NPS is introduced by Government of India with an intention to provide old age financial security by way of regular income in the form of Pension. Any individual between the age 18 years - 60 years can register his name with the bank branch to contribute and to get the pension benefit under this scheme. The Investor can avail of the exemption to the extent of Rs 50,000 under Section 80 CCD 1 even though he is contributing towards any other pension schemes.

Karnataka Bank operates as a private sector bank. It products and services include current account, demand, time, cumulative, cash certificates, insurance linked savings bank deposits, resident foreign currency accounts and senior citizens deposit schemes.
source: ventura

 

TCS gets nod for Rs 16,000 crore share buyback

The buyback will be on a proportionate basis under the tender offer route

Tata Consultancy Services (TCS) has received its board approval for proposal to buy back up to 5.61 crore equity shares for an aggregate amount not exceeding Rs 16,000 crore, being 2.85 per cent of the total paid-up equity share capital, at Rs 2,850 per equity share.

This is biggest buyback in the history of India’s capital markets, surpassing Reliance Industries’ share repurchase of Rs 10,400 crore in 2012. The buyback will be on a proportionate basis under the tender offer route, using the stock exchange mechanism.

Tata Consultancy Services is an IT services, consulting and business solutions organization that delivers real results to global business, ensuring a level of certainty no other firm can match. TCS offers a consulting-led, integrated portfolio of IT, BPS, infrastructure, engineering and assurance services.
source: ventura

 

NMDC to complete Rs 18,000 crore steel plant at Nagarnar by December

The 3 million tonne annual capacity plant is likely to reach 50% production level in the first year itself and at the end of second year it would be 80% plus

State-owned iron ore miner NMDC’s Rs 18,000 crore integrated steel plant coming up at Nagarnar in Chhattisgarh, is likely to be completed by December. The 3 million tonne annual capacity plant is likely to reach 50% production level in the first year itself and at the end of second year it would be 80% plus.

The company had completed capital expenditure of Rs 1,434.55 crore till September 2016, of which Rs 1,222.65 crore has been invested in Nagarnar steel plant, Rs 17.39 crore on pallet plant at Donimalai, Rs 75 crore in doubling of KK lines, Rs 7.21 crore on Kumarswamy Mine and Rs 4.76 crore in Bailadilla Deposits.

NMDC is a state-controlled mineral producer of the Government of India. It is fully owned by the Government of India and is under administrative control of the Ministry of Steel.
source: ventura

 

GMR Infrastructure completes Strategic Debt Restructuring of GCEL

Out of the total outstanding debt (including accrued interest) of Rs 8,800 crore, debt to the extent of Rs 2,992 crore has been converted into equity

GMR Infrastructure (GIL) has completed the Strategic Debt Restructuring (SDR) of GMR Chhattisgarh Energy (GCEL). GCEL, a subsidiary of the company has announced that the consortium of lenders of GCEL have adopted SDR, as provided under the scheme permitted by the RBI. Accordingly, GCEL has allotted equity shares to all the lenders.

As per the SDR scheme, out of the total outstanding debt (including accrued interest) of Rs 8,800 crore, debt to the extent of Rs 2,992 crore has been converted into equity by which the consortium lenders would have 52.4% shareholding and balance 47.6% would be held by GMR.

Post the conversion, the balance project debt stands at Rs 5,800 crore with Rs 2,992 crore equity held by lenders and Rs 2,721 crore equity held by GMR Group, resulting in the debt-to-equity ratio of 1.0x. The lower debt levels would result in improving the long term viability of the project.
source: ventura

 

Pidilite Industries’ arm incorporates subsidiary company in Sri Lanka

The subsidiary is incorporated for providing waterproofing services to various projects including construction projects

Pidilite Industries’ subsidiary - Nina Waterproofing Systems, has incorporated a subsidiary in Sri Lanka in the name of ‘Nina Lanka Construction Technologies’ which is proposed to be engaged in providing waterproofing services to various projects including construction projects.

Pidilite Industries is engaged in manufacturing consumer and specialities chemicals in India. Its products include adhesives and sealants, construction and paint chemicals, automotive chemicals, art materials, industrial adhesives, industrial and textile resins and organic pigments and preparations.
source: ventura

 

On 09.03.17, GAIL will go ex bonus (Bonus Ratio 1:3)

 

Titan Company enters into premium sarees, women's ethnic wear segment

The company has opened its first Taneira store in Bengaluru

Titan Company has entered into premium sarees and women's ethnic wear category under the brand name ‘Taneira’. The company has opened its first Taneira store in Bengaluru. This new store has a collection of handwoven sarees and ethnic wears from across the country with products ranging up to Rs 2.5 lakh. The company reached out to close to 200 different sources of weaves from across the country over 15 months before launching the store. Over the course of a year, the company will open a few more pilot stores across the country.

Titan Company is an Indian designer and manufacturer of watches, jewellery, precision engineering components and other accessories including sunglasses, wallets, bags and belts.
source: ventura

 

Ashok Leyland reports 5% rise in February sales

The company has reported February 2017 sales to 14,067 units, as against 13,406 units sold in the same period of last year

Ashok Leyland, the commercial vehicle manufacturer, has reported an increase of 5% in February 2017 sales to 14,067 units, as against 13,406 units sold in the same period of last year. The company has registered a rise of 5% in its medium and heavy commercial vehicle (M&HCV) products segment to 11,329 units in February 2017, as compared to 10,801 units in February 2016. Light commercial vehicle (LCV) of the company registered sales of 2,738 units in February 2017, as against 2,605 units in February 2016.

Ashok Leyland, the Hinduja Group flagship company in India, is engaged in the manufacturing of commercial vehicles and related components. The company’s products include buses, trucks, engines, defense and special vehicles.
source: ventura

 

Eicher Motors’ motorcycle division reports 19% jump in February sales

The company’s sales of vehicles with engine capacity up to 350 cc increased by 25% at 54,571 units in February 2017 against 43,741 units in the same period year ago

Eicher Motors’ motorcycle division has reported a 19% jump in total sales in February 2017 at 58,439 units, as against 49,156 units in the same month last year. During February 2017, the number of motorcycle units exported, increased by 7% to 1,702 units from 1,589 units in February 2016.

The company’s sales of vehicles with engine capacity up to 350 cc increased by 25% at 54,571 units in February 2017 against 43,741 units in the same period year ago, while the sales of its vehicles with engine capacity exceeding 350 cc declined by 29% at 3868 units as against 5415 units in February last year.
source: ventura

 

Malaysian sovereign fund sells 6% stake in Apollo Hospitals Enterprises

The shares were sold on an average price of Rs 1,267.46, valuing the transaction at Rs 1,069.63 crore

Integrated (Mauritius) Healthcare Holdings, an arm of Malaysian sovereign fund Khazanah Nasional Bhd, has sold a little over 6% stake in Apollo Hospitals Enterprises, through an open market transaction. The shares were sold on an average price of Rs 1,267.46, valuing the transaction at Rs 1,069.63 crore.

Apollo Hospitals Enterprise owns and operates chain of multi-specialty hospitals. It offers the services in the area of cardiology, cardiothoracic, orthopedics and joint replacement, spine surgery, oncology, medical and surgical gastroenterology, neurology, neurosurgery, nephrology, urology, cyberknife robotic radio, birmingham hip replacement, cosmetic, bariatric, liver and bone marrow transplants.
source: ventura

 

MT Educare to enter into agreement to evaluate potential strategic collaboration

The company has received an approval for entering into a confidentiality, exclusivity and standstill agreement

MT Educare has received an approval for entering into a confidentiality, exclusivity and standstill agreement to evaluate a potential strategic collaboration by way of a scheme of arrangement or any other suitable structure between MT Educare and Nspira Management Services. The board of directors at its meeting held on March 6, 2017 has approved for the same.

The agreement provides for a mutually agreed exclusivity period for due diligence and discussions between MT Educare and Nspira Management Services in relation to the proposed transaction. Current discussions are at preliminary stage. The proposed arrangement or structure shall be subject to due diligence, agreement on appropriate transaction structure, board, shareholder, regulatory, NCLT and any other third party approvals, as may be applicable.

MT Educare is an education service company providing education support and coaching services. The company operates through conducting commercial training, coaching, tutorial classes and activities incidental and ancillary segment. Its business segments include School Section, Science Section, Commerce Section/University etc.
source: ventura

 

Jindal Poly Films gets nod for expansion plan worth Rs 350 crore

The company has received an approval for expansion plans for its India operation

Jindal Poly Films has received an approval for expansion plans for its India operation by way of investment of Rs 350 crore in Polyester Line - H, (PET) and CP Plant for manufacturing of Polyester Chips to be used for internal consumption to manufacture BOPET Film. After commencement of Line, the combined capacity of BOPET films will be totaling to 1,82,000 TPA. The board of director at its meeting held on March 6, 2017 has approved for the same.

Jindal Poly Films is a part of the diversified B C Jindal group. The group has interests in flexible packaging, photographic products, thermal power generation and steel products. JPFL has the world’s single largest site for production of BOPP and BOPET films at Nasik, India.
source: ventura

 

PNC Infratech bags hybrid annuity highway project worth Rs 1,434 crore

The company has been declared as the lowest bidder for NHAI project of six laning Chitradurga - Davanagere including Chitradurga bypass

PNC Infratech has been declared the L1 (lowest) bidder for NHAI project of six laning Chitradurga - Davanagere including Chitradurga bypass, design chainage km 0.000 to km 20.700 and Km 208.000 to km 260.000 of NH 48 (Old NH-4) in the state of Karnataka under NHDP V, to be executed on Hybrid Annuity Mode for a Bid Project Cost of Rs 1,434.00 crore.

Four firms participated in the bidding and the price bids were opened on Monday, March 6, 2017, with PNC’s bid being the lowest (L1). This is the second hybrid annuity project won by PNC having construction period of two and half years and operation period of 15 years.

PNC Infratech is an infrastructure construction, development and management company, with expertise in execution of major infrastructure projects, including highways, bridges, flyovers, airport runways, power transmission lines, development of industrial areas and other infrastructure activities.

source: ventura

 

On 09.03.17, GAIL will go ex bonus (Bonus Ratio 1:3)

 

Unichem Laboratories receives ANDA approval for migraine drug

It has received ANDA approval from USFDA for Rizatriptan Benzoate ODT 5mg & 10mg and Rizatriptan Benzoate Tablets

Unichem Laboratories has received ANDA approval from the United States Food and Drug Administration (USFDA) for Rizatriptan Benzoate ODT 5mg & 10mg and Rizatriptan Benzoate Tablets USP, 5mg & 10mg which are therapeutically equivalent to Maxalt - MLT Tablets 5mg & 10mg and Maxalt Tablets 5mg 10mg of Merck & Company, Inc.

Rizatriptan Benzoate Tablets USP, 5mg & 10mg and Rizatriptan Benzoate ODT USP, 5mg & 10mg; is a serotonin (5-HT) 1B/1D receptor agonist (triptan) indicated for the acute treatment of migraine in adults and in pediatric patients 6 to 17 years of age. The product will be commercialized from Unichem’s Goa plant. Active Pharmaceutical Ingredient will also be made in house at Roha API Plant.

Unichem Laboratories is an international, integrated, specialty pharmaceutical company. It manufactures and markets a large basket of pharmaceutical formulations as branded generics as well as generics in India and several other markets across the world. In India, the company is a leader in niche therapy areas of cardiology, neurology, orthopedics and anti-infectives.
source: ventura

 

Welspun Enterprises concludes stake sale in Welspun Energy for Rs 286 crore

This implies more than 3x returns on company’s investment of Rs 91.10 crore in Welspun Energy

Welspun Enterprises (WEL), formerly Welspun Projects, part of the $2.3 billion Welspun Group, has completed the sale of its stake in Welspun Energy. Pursuant to the shareholders’ approval by way of postal ballot on February 01, 2017, WEL has divested its stake at a consideration of approximately Rs 286 crore. Further consideration is contingent upon occurrence of certain future events. This implies more than 3x returns on WEL’s investment of Rs 91.10 crore in Welspun Energy.

This deal is another step in the company’s business re-organization efforts, in order to create value for its stakeholders by enhancing focus on core businesses. This will further improve WEL’s balance sheet and cash reserve, thus setting a stronger platform for future growth.

Welspun Enterprises, formerly Welspun Projects, part of the Welspun Group, is an operating company in the infrastructure business. The company also has investments in Oil & Gas Exploration.
source: ventura

 

GDF International to sell 10% stake in Petronet LNG

GDF has offered each of the Promoter a first right of purchase/refusal in relation to the proposed sale of 10% equity shares in the Company

GDF International, who is holding 10% Equity Share Capital in Petronet LNG, has proposed to divest its entire shareholding in the Company. GDF has offered each of the Promoter a first right of purchase/refusal in relation to the proposed sale of 10% Equity Shares in the Company in the same proportion in which the promoter are holding equity shares in the Company.

Petronet LNG (PLL) is engaged in sale of re-gasified liquefied natural gas (RLNG). The company is engaged in the import and re-gasification of liquefied natural gas (LNG). The company operates through the segment of natural gas business.
source: ventura

 

Shree Renuka Sugars issues shares worth Rs 27.21 crore to SCB

The paid up share capital of the company stands increased from about Rs 92.88 crore to Rs 94.52 crore

Shree Renuka Sugars has allotted shares worth Rs 27.21 crore to Standard Chartered Bank (SCB) against the part-conversion of its loan. The allotment committee of the Board of Directors approved the allotment of 1,64,35,338 equity share of face value of Re 1 at a price of Rs 16.56 per equity shares aggregating to Rs 27,21,69,197.28 to SCB. As a result, the paid up share capital of the company stands increased from about Rs 92.88 crore to Rs 94.52 crore.

Shree Renuka Sugars is a global agribusiness and bio-energy corporation. The company is one of the largest sugar producers in the world, the leading manufacturer of sugar in India, and one of the largest sugar refiners in the world.
source: ventura

 

Varun Beverages divests 41% stake in Varun Beverages Mozambique

The subsidiary contributed only 0.6% to the net revenues in 2016

Varun Beverages (VBL), a key player in the beverage industry, has divested 41% stake in its Mozambique subsidiary, Varun Beverages Mozambique. The subsidiary contributed only 0.6% to the net revenues in 2016.

The divestment of the stake is in view of limited opportunity to scale-up operations which would have enabled the company to turnaround the loss making subsidiary. The company continues to hold a residual stake of 10% in the unit. The subsidiary recorded a loss of Rs 99 million in CY2016.

Varun Beverages is one of the largest franchisee in the world (outside US) of carbonated soft drinks (CSDs) and non-carbonated beverages (NCBs) sold under trademarks owned by PepsiCo. The company produces and distributes a wide range of CSDs, as well as a large selection of NCBs, including packaged drinking water.
source: ventura

 

Oil India inks MoU to augment reserves base, maximize recovery from ageing oilfields

The major focus of the MoU with University of Houston is collaboration in the areas of improved oil recovery and EOR for augmenting the production from matured fields

Oil India (OIL) has signed a MoU with the University of Houston in a bid to augment its reserves base and maximize recovery from its ageing oilfields. The major focus of the MoU is collaboration in the areas of improved oil recovery and enhanced oil recovery (EOR) for augmenting the production from matured fields, improvement in drilling and well intervention practices, seismic interpretation and reservoir characterization studies, and unconventional hydrocarbon studies.

Oil India, a Navratna Company, is Asia's oldest and biggest pioneer oil exploration and Production Company, while IOC is the largest enterprise in the country and the foremost ranked Fortune Global 500 Company in India and has presence in the complete hydrocarbon value chain from downstream refining & marketing, pipeline transportation, Petrochemicals, E&P and Gas Marketing.
source: ventura