1. NTPC Share Price Jumps After Rs 20,000 Cr Capex Plan
Shares of state-run electricity major NTPC jumped on Thursday afternoon after the firm announced a mega capex of Rs 20,000 crore in FY20. NTPC shares gained more than 4.5 percent to hit the day’s high at Rs 135.95. Notably, the government-run power giant has announced that it is eyeing to produce 310 billion units of power and 10.4 million tonne of coal, and spend Rs 20,000 crore on capital expenditure in the current financial year.
NTPC has signed a Memorandum of Understanding (MoU) with the Power Ministry on various targets to be achieved in 2019-20 on 23 May, a company statement said. The firm would also ensure 10.4 million tonne of coal production to strengthen fuel supply to its power stations, compared to 6.8 million tonnes in the previous fiscal year.
(Source: Financial Express)
2. Byju’s Double Paid User Base Triples Revenue to Rs 1,430 Cr in FY19
Edtech unicorn Byju’s nearly doubling paid user base from 1.26 million in June 2018 to 2.4 million currently, along with company’s ‘deeper penetration’ across the country, has tripled its revenue to Rs 1,430 crore in Fiscal Year (FY) 2019. The company is eyeing Rs 3,000 in revenue for FY20.
The regional expansion has been the key focus area for Byju’s to drive growth. The company is working on developing learning programs in various regional languages that will be a “game changer,” said Byju’s founder and CEO Byju Raveendran.
(Source: Financial Express)
3. India’s GDP Growth Forecast at 7.1% for FY20
The country’s median GDP is forecast at 7.1 percent for FY20 and 7.2 percent for FY21, according to a survey. The industry body FICCI’s economic outlook survey said the minimum and maximum growth estimate stood at 6.8 percent and 7.3 percent, respectively, for 2019-20. The survey was conducted in May 2019 among economists belonging to the industry, banking and financial services sectors.
The median growth forecast for agriculture and allied activities was pegged at 3 percent for FY20, while industry and services sectors are expected to grow by 6.9 percent and 8 percent, respectively, during the year. The median growth forecast for IIP has been put at 4.4 percent for FY20, with a minimum and maximum range of 3.3 percent and 5.5 percent, respectively.
(Source: Financial Express)
4. Govt Likely to Adopt Bank of Baroda-Like Model of Merger for PSBs
The National Democratic Alliance (NDA) government, led by Prime Minister Narendra Modi, in its second stint may not go for a mega merger of public sector banks (PSBs) — a plan which was mooted during recent deliberations on consolidation.
Instead, the government may adopt a Bank of Baroda (BoB)-like model to merge two or three banks, people aware of the development said.
Sources said that earlier this month the Reserve Bank of India (RBI) Deputy Governor M K Jain had met Financial Services Secretary Rajiv Kumar and other Finance Ministry officials in Delhi to discuss the PSB merger plan informally. This was followed by another round of meetings between the officials and the RBI.
(Source: Business Standard)
Markets await next Finance Minister
5. Bond Dealers, Economists Expect RBI to Lower Policy Rate at 6 June Meeting
Bond dealers and economists are certain that the Reserve Bank of India (RBI) will lower the policy rate. However, there is disagreement on the timing.
The rate can be pared right now to give growth a push, but it’s possible that the six-member Monetary Policy Committee (MPC) prefers to pause till the Union Budget in July. By then, those who prefer a pause in the 6 June policy say monsoon-related uncertainties would be clear, too.
The policy repo rate is now at 6 percent. Retail inflation was at 2.92 percent in April, but the market expects gross domestic product (GDP) to come below 6 percent for the last quarter. GDP numbers will be released on Friday.
(Source: Business Standard)
6. Former Religare Chief Sunil Godhwani Detained at IGI Airport Over Fraud
Former Religare Enterprises Ltd chairman Sunil Godhwani was detained at Delhi’s Indira Gandhi International Airport on Thursday by the Economic Offences Wing (EOW), two people aware of the development confirmed.
Godhwani was trying to catch a flight to London, the people said on the condition of anonymity. The Serious Fraud Investigation Office (SFIO) had issued a lookout circular for Godhwani in a case related to Religare Enterprises Ltd, which is under the scanner for alleged financial irregularities. Godhwani has been accused of cheating, fraud and misappropriation of funds to the tune of Rs 740 crore, according to a police complaint by Religare Finvest Ltd (RFL). Godhwani could not be immediately reached for comment.
(Source: Livemint)
7. Lupin’s Goa Facility May Face Regulatory Action, Says USFDA
Drug-maker Lupin on Thursday said the US health regulator has cautioned that the firm's Goa facility may be subject to regulatory or administrative action and it may withhold approval of any pending applications or supplements in which this facility is listed.
The company has received a letter from the US Food and Drug Administration (USFDA) classifying the inspection conducted at its Goa facility between 28 January to 8 February as Official Action Indicated (OAI), Lupin said in a regulatory filing.
(Source: Livemint)
8. Can't Approve FY19 Results, Says Jet Airways
Jet Airways (India) Ltd on Thursday said that the airline is not in a position to consider and approve the audited financial result for the financial year that ended on 31 March, the company said in a stock exchange notification.
"This is to inform that, in view of the ongoing bidding process undertaken by the domestic lenders for change in management of the company, coupled with resignation by members of the board of directors, its key managerial personnel and other employees across functions, the company is not in position to consider and approve the audited financial result for the year ended 31 March 2019," the airline said.
(Source: Livemint)
9. NCLAT Upholds NCLT Order on Bharati Defence Liquidation
The National Company Law Appellate Tribunal (NCLAT) has upheld the decision of the NCLT to liquidate debt-laden Bharati Defence and Infrastructure.
The insolvency court in Mumbai had ordered liquidation of the company after rejecting the resolution plan submitted by Edelweiss Asset Reconstruction Co Ltd, leaving two dozen defence vessels stranded. A clutch of lenders stand to lose Rs 11,373.40 crore which the firm owes them.
(Source: The Hindu Business Line)
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