1. Yes Bank Chairman Ashok Chawla Resigns Over Corruption Charges
Ashok Chawla, chairman of Yes Bank Ltd, resigned from the lender’s board on Wednesday after being named in a corruption charge sheet by the Central Bureau of Investigation (CBI). “Ashok Chawla, non-executive (independent) chairman of the board has tendered his resignation on 14 November with immediate effect,” the bank said in a late evening exchange filing on Wednesday.
Chawla attributed his decision to personal reasons, a person with direct knowledge of the matter said on the condition of anonymity. “As I resign, I wish to thank everyone at Yes Bank…and wish the bank all the luck for the transition it is going through…,” read Chawla’s resignation letter, the person said.
The cloud of uncertainty over whether Chawla, who is also the chairman of National Stock Exchange of India Ltd and a former finance secretary, is in compliance with Reserve Bank of India’s “fit and proper” norms after his name appeared in the charge sheet ends with the resignation.
(Source: LiveMint)
2. Vodafone Idea Plans To Raise Rs 25,000 Crore
Vodafone Idea Ltd plans to raise close to Rs 25,000 crore, the bulk of it coming from promoters of India’s largest telecom operator — Vodafone Group Plc and the Aditya Birla Group.
Vodafone Idea, which has a market capitalisation of close to Rs 36,200 crore, is looking to raise funds by issuing fresh shares, according to its exchange filing. This could include a rights issue, qualified institutional placement and/or preferential issue. The infusion, if approved by the board, is expected to be completed by March.
While the company didn’t mention the purpose of fundraising, an analyst told BloombergQuint requesting anonymity that it would help it pare its debt of Rs 1,12,500 crore.
(Source: BloombergQuint)
3. Gautam Singhania Steps Down as Raymond Apparel Chairman
Gautam Singhania has stepped down as the chairman of Raymond Apparel Ltd, the company informed the BSE on Wednesday.
Adman Nirvik Singh was appointed non-executive chairman of the Raymond group subsidiary, which owns Park Avenue, Color Plus, Parx and Raymond Ready-to-Wear brands. Singh, a veteran advertising and communications professional, is currently the Chairman & CEO, Asia Pacific, Middle East, and Africa of Grey Group Asia Pacific.
Company officials said Singhania resigned because he wanted seasoned executives to professionalise Raymond Apparel's management and enhance corporate governance.
(Source: Business Standard)
4. SpiceJet Posts Net Loss of Rs 3.89 Bn in Q2 on Higher Fuel Cost, Weak Rupee
Low-cost carrier SpiceJet Ltd reported its second straight quarterly loss on Wednesday, hurt by higher fuel expenses and depreciation in the rupee.
Standalone net loss, which excludes results of units SpiceJet Merchandise and SpiceJet Technic, was Rs 3.89 billion ($53.90 million) in the quarter ended 30 September. The company had posted a profit of Rs 1.05 billion a year earlier.
Aircraft fuel expenses climbed 55.8 percent to Rs 8.45 billion, while total income from operations rose 3.8 percent.
(Source: Business Standard)
5. ICICI Bank Hikes FD Rates: How These Compare With HDFC Bank, SBI FD Rates
Days after HDFC Bank hiked interest rates for fixed deposits, ICICI Bank, too, raised retail term deposit interest rates by up to 25 basis points today. The new interest rates for fixed deposits of less than Rs 1 crore will be applicable across various term periods from tomorrow November 15.
After the increase, ICICI Bank offers an interest rate of 7.5% for all FDs above 2 years and upto 3 years. This is the highest interest rate that ICICI Bank is offering across various tenors. For FDs between 1 year and 389 days, the rate of interest is 6.9%, an increase of 15 basis points.
(Source: LiveMint)
6. Government, RBI May Reach Agreement On Prompt Corrective Action Framework, Sources Say
The government and the Reserve Bank of India seem to be veering around to reach an agreeable solution particularly with respect of relaxation of the prompt corrective action framework and easing of lending norms for the micro, small and medium enterprises sector ahead of the RBI board meeting on 19 November, sources said.
If not in this board meeting, sources said, the issue of relaxation of PCA framework which the Finance Ministry has been pitching for would be reached in the next few weeks.
As a result of relaxation, some banks may come out of the PCA framework by the end of the ongoing financial year.
(Source: BloombergQuint)
7. Zee Has Received Interest From Tech Firms For Promoter Stake, Says CEO Punit Goenka
Zee Entertainment Enterprises Ltd said it has so far received interest from technology companies as promoters of India’s largest broadcaster plan to sell up to half their stake.
The company expects at least binding offers to come in and binding deals to happen in the next six months, Punit Goenka, managing director and chief executive officer at Zee Entertainment Ltd told BloombergQuint in an interview.
(Source: BloombergQuint)
8. Maruti Feels the Heat, Loses Market Share
It has been a classic case for the Indian passenger vehicle market in the last 5-7 years: If Maruti Suzuki sneezes, the market catches a cold.
So, the overall Indian passenger vehicle market fell into negative category in the quarter ended September with sales falling 3.6% year-on-year to 870,804 when Maruti Suzuki sales dropped 1% to 449,834. This after the industry grew by a whopping 22% to 873,501 units in April-June quarter, led by a 3% out-performance by the most dominant player.
Consequently, Maruti Suzuki, which has been single-handedly driving the Indian passenger vehicle market for many years now, saw its market share fall below 50% after almost six months to as much as 48.4% in October, down from its peak of 55% in April 2018.
(Source: The Economic Times)
9. FMCG Grows 16.5% in Value Terms in Q3, But May Slow
The FMCG sector grew 16.5% in terms of value in the third quarter of 2018 because of increase in private consumption, expansion in rural income and moderate inflation levels of about 4%, according to Nielsen’s quarterly report.
For the last quarter of 2018, the research firm expects the growth in the FMCG sector to drop to as much as 12-13% due to macro-economic factors such as below average rainfall, ban on plastics in some states, and floods in Kerala which is a consumption-oriented state.
However, this would not affect the growth estimate for the FMCG industry for calendar year 2018 which is approximately 13%, slightly lower than 14.1% in calendar year 2017, Nielsen said in a statement.
(Source: The Economic Times)
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