1. RCom Signs Pact with Brookfield for Tower Unit
Reliance Communications (RCom) has signed a non-binding pact with Canada's Brookfield Infrastructure Group to sell a majority stake in the Anil Ambani company's tower for Rs 11,000 crore, which will be used to bring down debt. The news sparked a 2.6% rise in the RCom stock.
As per the term sheet, RCom tower unit Reliance Infratel will transfer its assets and related infrastructure into a special purpose vehicle (SPV), which will be majorly held by the world's second-biggest manager of alternative assets such as real estate and private equity with the Indian company holding 49%.
Sources said under the pact, Brookfield can increase stake in the SPV , if certain financial milestones are not met.
(Source: The Economic Times)
2. Q2 Revenue up, But Infy Cuts Full-Year Target
In April this year, Infosys had predicted revenue growth of 11.5-13.5% in constant currency. That forecast was pared to 10.512% in July and, as the second quarter progressed, the company said it would likely have to cut its target again.
In April this year, Infosys had predicted revenue growth of 11.5-13.5% in constant currency.That forecast was pared to 10.512% in July and, as the second quarter progressed, the company said it would likely have to cut its target again.
Infosys now expects revenue to grow 8-9% in constant currency in FY17. The National Association for Software and Services Companies has said it expects the industry to grow 10-12% in constant currency this fiscal, though industry experts expect that target to be cut as well.
(Source: The Economic Times)
3. Jaitley at BRICS: GST Rate on Polluting Items May Be Higher
Within days of India signing the Paris Climate Treaty, Finance Minister Arun Jaitley today said tax on environment unfriendly products will be "distinct" from others in the forthcoming Goods and Services Tax (GST) regime so as to boost funds for climate financing.
"The indirect tax regime that we are planning, the rate of taxation on such products which are going to be environmentally unfriendly would be distinct from the normal rate of taxation. This is one of the proposals being discussed," Jaitley said ahead of the two-day BRICS Summit beginning here tomorrow.
The government is in the process of finalising rates for the GST.
(Source: Business Standard)
4. Note 7 may Hurt Samsung India's Revenues in 2016
Samsung India's smartphone market share slumped 4 percentage points in the September quarter from the preceding one as the negative effect of the Galaxy Note 7 debacle (there were reports of the model catching fire) rubbed off on other models, adding to the competitive pressure from Chinese rivals, analysts said.
But the company flatly rejected their loss projections, saying that these weren't based on facts and that Samsung was headed for record sales in India this year.
Hong Kong-based Counterpoint Research said Samsung's market share slipped to 22% in the three months ended September, down from 26% in the preceding quarter.
It attributed shrinking of company's market share mainly to increased competition from Chinese players like Xiaomi, Oppo and Vivo, despite a 13% sequential increase in shipments.
(Source: The Economic Times)
5. Sri Sri Ayurveda Takes A Leaf Out Of Baba Ramdev’s Patanjali Playbook With ‘Ojasvita’
Spiritual guru Sri Sri Ravi Shankar’s consumer products brand Sri Sri Ayurveda, launched Ojasvita, a health drink, as it gears up to take on yoga guru Baba Ramdev’s Patanjali and other multinational consumer goods giants.
Ojasvita was unveiled by Olympic silver medalist PV Sindhu and chief National Coach for the Indian Badminton team Padmabushan P Gopichand, who have been signed on as brand ambassadors. The drink will be available in six flavours, including chocolate, strawberry, vanilla, mango and Ragi. The 200 gram packs are priced at Rs 120.
Sri Sri Ayurveda has a range of more than 200 products and is available at main hypermarkets and will eventually be sold at local ‘kirana’ stores.
(Source: BloombergQuint)
6. Exports Arrest Two-Month Fall, Grow 4.62%
Merchandise export rose 4.6 per cent in September, only the second occasion in the 22 months since December 2014 of a monthly rise.
Export rose to $22.9 billion in September, against $21.9 billion in the corresponding period last year. In August, export was down by a marginal 0.3 per cent. Cumulative export for April-September, first six months of financial year 2016-17, was $131.4 billion, compared with $133.7 billion for the corresponding period in FY16.
The commerce ministry noted that apart from Japan, where export rose 1.9 per cent, many major economies (America at minus 6.4 per cent, European Union at minus 8.4 per cent, China at minus 4.4 per cent) were experiencing falling export, according to World Trade Organisation data for July.
(Source: Business Standard)
7. Narendra Modi Looks to Forge New Ties at BRICS, Bimstec Summits in Goa
Ahead of a summit of leaders of the five BRICS countries – Brazil, Russia, India, China and South Africa – and six other heads of state representing South Asia and South East Asia in Goa, Prime Minister Modi said on Friday he is looking forward to new partnerships and finding solutions to problems bedevilling the region.
Modi, who is to hold his first bilateral meetings on the sidelines of the BRICS Summit in Goa on Saturday, said the group will discuss ways to address “pressing international and regional challenges that stand in the way of our goals”.
The Prime Minister noted that India is facilitating an outreach summit with the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (Bimstec) comprising Bangladesh, Bhutan, Myanmar, Nepal, Sri Lanka and Thailand.
(Source: Livemint)
8. SBI to Divest up to 5% in SBI Life
State Bank of India Ltd (SBI) will divest up to 5% of its stake in its life insurance subsidiary SBI Life Insurance Co. Ltd, the lender said in a filing to stock exchanges on Friday.
“The Executive Committee of the Central Board at its meeting held on 14 October 2016, has approved to dilute up to 5% stake of SBI in SBI Life to a non-promoter,” the lender said in the filing.
SBI Life is a joint venture between State Bank of India and BNP Paribas Cardiff. SBI owns 74% in the life insurer. The plan to sell a stake comes at a time when the life insurer has been firming up plans to go public.
(Source: Livemint)
9. ICICI Bank Appoints Anup Bagchi as Retail Banking Head
In a major management reshuffle, ICICI Bank has appointed Anup Bagchi, managing director and chief executive officer of ICICI Securities, as the head of retail banking for a period of five years.
The appointment will be effective from 1 November, while his appointment to the board of directors will be effective from 1 February 2017, subject to regulatory approvals, the bank said in a press release on Friday.
Bagchi will replace Rajiv Sabharwal, who is leaving the bank at the end of January, according to the release. Sabharwal, the current executive director of ICICI Bank, will step down to “pursue career opportunities outside the ICICI Group”.
(Source: BloombergQuint)
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