Wednesday, February 19, 2020

Yes Bank out of Nifty indices

Private lender YES Bank will cease to be a part of Nifty 50 index from March 27, and will be replaced by Shree Cement.

Yes Bank closed at Rs 35, down 6 percent in yesterday's trade.

Forthcoming IPO : Barbeque Nation Hospitality Limited

Issue Details: 

Issue size
Rs 1100 Cr
Face Value
RS 10

Sayaji Hotels
Fine dining hotel chain
Bse, Nse
Axis Capital, Ambit Capital, IIFL Securities, SBI Caps

NSE bars 3 brokers

National Stock Exchange has declared three stock brokers -- Vrise Securities, Kaynet Finance and BMA Wealth Creators -- as defaulters for non-compliance and have been expelled from the membership of the exchange

Friday, February 14, 2020

S&P affirms India ratings at 'BBB-'

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International ratings agency Standard and Poor’s on has affirmed India’s sovereign rating at ‘BBB-’ with stable outlook, saying the country’s GDP growth is likely to gradually recover towards longer-term trend rates over the next two to three years.

‘BBB’ rating refers to adequate capacity of the rated entity to meet its financial commitments.

“Despite a notable deceleration in India’s economy in recent quarters, we believe its structural growth out performance remains intact. Real GDP growth is therefore likely to gradually recover toward longer-term trend rates over the next two to three years, according to the agency.

Voda-Idea loss increases

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Vodafone Idea has reported a consolidated loss of Rs 6,439 crore for the December quarter as compared with a Rs 5,005-crore loss in the same period in 2018-19.
 Analyst  had pegged the loss at Rs 4,000 crore, after being in the red by a record Rs 50,922 crore in the September quarter. Exceptional expenses in the quarter were  at Rs 633 crore, largely on account of integration and merger-related costs.
The stock closed flat at Rs 4.5 in yesterday's trading.

RIL wins Panna-Mukta and Tapti fields case

Reliance Industries and its partner Shell has won the court case in U K. The U K High Court has rejected Indian government's challenge to the recovery of certain costs in the western offshore Panna-Mukta and Tapti oil and gas fields they operated.
The government had sought $3.5 billion in dues from Reliance and Shell-owned BG Exploration & Production India based on an October 2016 partial award of an international arbitration tribunal over the recovery of certain costs from the sale of oil and gas produced from the Panna-Mukta and Tapti fields.
The two firms had gone to the U K  High Court against the 2016 partial award.

Forthcoming IPO : Life Insurance Corporation

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Issue Details: 

Issue size
Rs 1,10,000 Cr
Face Value
Rs 10

Govt of India
Life Insurance / Investments
Bse, Nse
BRLM / Underwriters
Sbi Caps / others

Wednesday, February 12, 2020

Forthcoming IPO : SBI Card and Payment Services Limited

Issue Details: 

Issue size
Rs 6000 Cr
Face Value
Rs 10

Credit card  / related business
Bse, Nse
BRLM / Underwriters
Kotak Mahindra Capital Company, SBI Capital Markets, DSP Merrill Lynch, Axis Capital, HSBC Securities and Capital Markets, and Nomura Financial Advisory and Securities

Tuesday, February 11, 2020

Fortis acquisition by IHH is under SFIO scanner

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The $1.3-billion takeover offer for Fortis Hospitals by Malaysia’s IHH Healthcare has now come under the scanner of the Serious Fraud Investigation Office .

The central agency has widened its ongoing probe into alleged financial irregularities at Fortis to also cover the July 2018 deal, which was the biggest foreign direct investment offer in the hospitals space, according to sources.

RBI relaxes norms on CRR

Reserve Bank of India says that banks would not be required to maintain the cash reserve ratio (CRR) for five years on their deposits for an amount equivalent to loans given to the MSME, housing and vehicles sectors between January 31 and July 31.

Banks currently maintain 4 per cent on their deposits as CRR.

In the monetary policy, the RBI said it would allow relaxations on this for loans given to the three productive sectors as they could have “multiplier effects to support growth impulses.

IPO Scam : Sebi imposes fine on Tarini International

 Sebi has levied a total fine of Rs 12.05 crore on Tarini International Ltd and its officials for utilizing the initial public offering  proceeds for purposes other than stated in the prospectus.

The company had also concealed crucial information, such as loan taken from Hind Ispat prior to the IPO, from investors.

 The company came IPO in 2014 and this is what we wrote about the issue : 

Tarini International IPO is made at 70 PE. The average EPS earned in the last 3 years is Rs 0.59. The offer is made at Rs 41, the PE works out to 70. The average return on net worth in the last 3 years is 1.14%. More over, funds sought to be mobilized will go towards working capital needs, brand building, renovation and issue expenses (as estimated by the company) and not for implementing any project. 


The shares are now not traded on the exchanges.

Thursday, February 6, 2020

Sun Pharma's net declines

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Sun Pharmaceuticals has  reported a 26 per cent decline in its consolidated net profit to Rs 914 crore for the quarter ended December 31, 2019.

The company had posted a net profit of Rs 1,242 crore for the corresponding period of the previous fiscal.

Consolidated income from operations of the company stood at Rs 8,039 crore for the quarter under consideration. It was Rs 7,657 crore for the same period a year ago. The stock closed at Rs 429, up Rs 2 in today's trading.