RelJio may launch early with free voice services, L&T Infotech IPO gets one million retail investor applications, monthly kerosene hike to boost PSU oil marketing companies, flight cancellation charges to be capped Reliance Jio's 4G Infocomm services are likely to launch in August - three months ahead of schedule. The launch is set to shake up the market with 'free voice for life' packages and high speed data priced at 25% below current rates. ET The L&T Infotech IPO was buoyed with 11 times its subscription, attracting 132 million bids. The retail segment was subscribed seven times. BS PSU oil marketing companies likely to save around Rs 1,200 crore with the monthly kerosene price hike, substantially reducing their under-recoveries. FE Revised aviation rules have capped the cancellation charges air passengers have to pay, and cannot exceed the basic fare and fuel surcharge. These rules will go into effect from August. Firstpost Photo of the Day: David Cameron, Britain's outgoing PM, leaves the PM residence at 10 Downing Street with his family. Reuters/Stefan Wermuth
Stock market report roundup, and pick of the week Research reports roundup this week! Nine company stocks saw BUY reports from analysts One company stock saw a SELL report from analysts Two stocks came in as HOLD. Pick of the week: HindPetro, which has received two price upgrades and targets between Rs 1100-1150 over the last week from HDFC Securities and CapitalVia. Date Stock Target Upside Type Report Date Price CMP Upgrades/downgrades - last 6 months 2016-07-04 Zensar Technologies Limited - ZENSARTECH 1300 26.56 BUY 1038.7 1027.2 1 upgrade till date 2016-07-05 KPIT Technologies Limited - KPIT 130 12.9 SELL 155.5 149.25 5 upgrades, 4 downgrades till date 2016-07-05 UltraTech Cement Limited - ULTRACEMCO 3673 6.13 BUY 3371.2 3461 2 upgrades, 4 downgrades till date 2016-07-05 Skipper Limited - SKIPPER 215 32.31 BUY 157.5 162.5 2016-07-05 TeamLease Services Limited - TEAMLEASE 1170 4.14 BUY 1099.75 1123.5 1 downgrade till date 2016-07-05 Simplex Infrastructures Limi.. - SIMPLEXINF 295 -3.81 HOLD 286.6 306.7 4 downgrades till date 2016-07-08 Sobha Limited - SOBHA 360 9.51 BUY 326.2 328.75 2 downgrades till date 2016-07-11 CESC Limited - CESC 685 14.83 BUY 609.2 604.74 2 upgrades, 2 downgrades till date 2016-07-11 Hindustan Petroleum Corporat.. - HINDPETRO 1100 4.57 BUY 1056.05 1048.5 2 upgrades till date 2016-07-11 Phillips Carbon Black Limited - PHILIPCARB 225 26.4 BUY 174.45 178.3 2016-07-12 Escorts Limited - ESCORTS 280 18.07 BUY 226 237.9 2 upgrades till date 2016-07-12 IndusInd Bank Limited - INDUSINDBK 1250 12.5 HOLD 1124.4 1105.4 1 upgrade till date Source: Trendlyne Research Reports Summaries
China company may bid for Rs. 40,000 crore worth of Indian highway contracts, ED arrests Jignesh Shah for fraud, key bills up for passage in monsoon session, Indian companies most transparent in emerging markets China Railway Construction Corporation intends to participate in the bidding of Rs. 40,000 crore worth of highway projects in India. This would be the single largest foreign investment in Indian roads. CRCC already builds 60% of China's highways, and 80% of the rail tracks. ET The Enforcement Directorate has arrested Jignesh Shah, former Chairman of FTIL. ED's chargesheet alleges a Rs.5,574.35 crore scam at NSEL, which was 99.99% owned by FTIL. Shah's fall from grace has been dramatic since his stature as the golden boy in 2008, when his company had got into the stock exchanges business and MCX, at the time seen as a big move towards financial inclusion. Firstpost In addition to GST, the monsoon session has key bills awaiting passage. This includes bills amending the Factories Act and the Electricity Act, both of which attempt reforms in line with international norms , including minimum wages for workers, disability rights, and increased competition. BS China's companies are the most opaque, and Indian firms are the most transparent, according to Transparency International's study of companies in emerging markets. Bharti Airtel took first place. LiveMint Photo of the Day: Northern Pakistan has what is considered the most dangerous bridge in the world - the Hussaini Hanging Bridge, which is missing many of its original planks. NatGeo
July 12, 1996: Harshad Mehta, the main accused in the massive stock manipulation scam that crashed markets in 1992, gets bail. Mehta was charged with 72 offences, and his crimes helped trigger reforms at the BSE. Photo: IT
Arvind Panagariya in RBI Governor race, Coal India approves share buyback, Ola in trouble with Karnataka government again, mobile internet base doubles in rural India The government has changed its stance on the fit needed for RBI governorship, now saying that it would prefer an economist in the role. An announcement is imminent and Panagariya, who holds a PhD from Princeton, is according to officials a well-liked option. BS The Coal India board has approved a proposal to buy back 108.9 million shares for Rs 335 each. The price offered for the buyback represents a 4.5% premium over Monday’s closing price. LiveMint The Karnataka government now wants to revoke the cab aggregator licence it had issued Ola, saying that the company has violated its rules by implementing surge pricing and shuttle services. This comes a couple of weeks after Ola's public comments about Uber not following India's rules and regulations. FE The rural customer, whose budget has been stretched in the last year, has chosen to buy mobile internet recharges over cola and sweets. The mobile internet base has doubled as a result in rural India, with the main use being for entertainment. ET Photo of the Day: A deserted street during a Srinagar curfew. Reuters
Women leaders in India: self made, or heading family businesses? In an open letter to her daughter, Chanda Kochhar, the CEO of ICICI Bank wrote about her mother, who became a working single mom after Chanda's father’s death. Chanda writes that her mother was an inspiration to her, ‘full of self-assurance and belief.’ Such inspiring examples however are few in India, despite liberalization and increased efforts to educate women. Family and attitude constraints remain in the way. One of the easiest ways for women to become entrepreneurs in India is still by heading the family business. This is the case for 11 of India's 25 most prominent women business leaders. This includes the Reddy daughters – Suneeta and Preetha – of Apollo Hospitals, Vinita Gupta, the CEO of Lupin, and Kavery Kalanithi, the MD of Sun TV (see table below) Nine of India’s top women business leaders are highly educated professionals who gradually rose through the ranks, like Capgemini’s Aruna Jayanthi and HSBC’s Naina Lal Kidwai. Self-made entrepreneurs among top business leaders are the least in number – Kiran Mazumdar Shaw is a prominent example from the biotech industry, as is Zia Mody, the co-founder of AZB, and Vandana Luthra, founder of VLCC. Some women are also gaining prominence now as founders of startups, including Richa Kar, the founder of Zivame, and we can hope that these new entrepreneurs show staying power. click to expand India is ranked in the bottom three of 32 countries surveyed for the Women Entrepreneur Leaders Scorecard. We ranked especially low in ‘gendered access’ to resources, and in creating a pipeline for entrepreneurship. A country loses out economically if it doesn’t focus on opportunities for women – they should be after all, 50% of the workforce. McKinsey estimated that India’s GDP would grow by an additional 16% in the next ten years if the country emphasized gender equality. Nasscom observed that the Indian IT sector for instance, has a large % of women in the overall workforce, but at the middle and senior management levels the share of women drops dramatically to 5%. The Nasscom panel pointed out that family pressure to quit work after having children, and stereotypes about women in the workplace have made it hard for professional women to progress beyond a point. The solutions go beyond flex timings and maternity leave: without increased efforts to change mindsets and incentives for women to prioritize their careers, the numbers will be hard to budge. Name Designation Description 1 Nita Ambani Director at Reliance Industries, founder, Reliance Foundation Family business 2 Arundhati Bhattacharya Chairman & Managing Director at the State Bank of India Professional 3 Ambiga Dhiraj CEO at Mu Sigma Family business 4 Dipali Goenka CEO at Welspun India Family business 5 Vinita Gupta CEO at Lupin Family business 6 Chanda Kochhar CEO at ICICI Bank Professional 7 Vandana Luthra Founder & Vice Chairman at VLCC Health Care Self-made entrepreneur 8 Kiran Mazumdar-Shaw Managing Director at Biocon Self-made entrepreneur 9 Shobhana Bhartia HT Media Chairperson Family business 10 Aruna Jayanthi Capgemini India Professional 11 Preetha Reddy Executive VP, Apollo Hospitals Family business 12 Suneeta Reddy Joint MD, Apollo Hospitals Family business 13 Zia Mody Co-founder, AZB Partners Self-made entrepreneur 14 Harshbeena Sahney Zaveri MD and President, NRB Bearings Family business 15 Kalpana Morparia CEO, J.P. Morgan India Professional 16 Renuka Ramnath Founder, MD and CEO at Multiples Alternate Asset Management Self-made entrepreneur 17 Naina Lal Kidwai Group General Manager and Country Head of HSBC India Professional 18 Swati Piramal Vice Chairperson, Piramal Enterprises Limited Family business 19 Mira Kulkarni MD, Mountain Valley Springs India Self-made entrepreneur 20 Amrita Patel Chairman, National Dairy Development Board Professional 21 Chitra Ramakrishna Joint Managing Director, National Stock Exchange Professional 22 Kavery Kalanithi MD, Sun TV Family business 23 Vinita Singhania MD, JK Lakshmi Cement Family business 24 Vinita Bali Former CEO, Britannia Professional 25 Renu Sud Karnad MD, HDFC Professional
Sensex touches a new high, Vijay Mallya sulks about revoked passport, India Inc receives credit downgrades, Air India matching Rajdhani AC II fares The Sensex touched a new high this year on good US job market data - the US added 287,000 jobs last month, beating forecasts. This is also good news for the party incumbent in the White House - a good economy favors Democrats, giving Republicans less ammo to defeat Democratic Presidential nominee Hilary Clinton. NDTV Mallya is 'bored' and upset about his revoked passport. He is missing Formula One events as well as his usual trips to Goa for his famous parties. as well as travelling to California, where he has housed his 260 cars and bikes. He is instead spending his time at his London estate 'working out.' BS Metals, power, infra and construction firms have been the primary recepients of credit downgrades from rating agencies, and since April Indian companies have received over 665 downgrades, a record high. FE Air India, in a bid to make last-minute airfares affordable, plans to match these ticket prices to Rajdhani AC II tier seats. These fares will be available within four hours of departure of flights. ET Photo of the Day: Young drivers aged 6-10 wait to start the race at the Little Big Mans car racing event in Western France. Telegraph
United Spirits holds Mallya liable for cash diversions, ThyssenKrupp-Tata merger talks 'necessary for Europe market', global growth at lowest since 2012, talks on GST focus on cap for rate United Spirits says that Vijay Mallya had diverted over Rs. 1,200 crore in funds from the company to KingFisher Airlines and his Formula One team. The company says that the Rs 500 crore settlement it had reached with Vijay Mallya would no longer hold water. NDTV Tata has been considering bids for its steel assets in UK, and Thyssen Krupp, one of the companies courting Tata and in merger talks, said that 'consolidation' is looking increasingly necessary to survive in the Europe market. ET Growth is weak all around, according to the JPMorgan Manufacturing Index. The data was collected pre-Brexit, which suggests outlook will worsen as political uncertainty rises in UK and Europe. LiveMint Senior ministers in the BJP government say that the opposition's demand to 'ring fence' the GST rates and ensure successive governments cannot increase rate caps is a sensible suggestion. The Congress party hopes to come to a final stand on the law next week. BS Photo of the Day: Children in Syria play underground, in a playground built to protect them from shelling and missile fire. Guardian
Stocks that out-performed post-Brexit, first "less than $4" phones out for delivery after hype, Kerala imposes a 14.5% "fat tax" on junk food, Ola's burn rate goes up in its quest for market share 49 stocks that ouperformed the market post Brexit ET Noida based Ringing Bells said that the first 2,000 odd Freedom251 phones are now out for delivery. The company claims over 7.5 crore registrations for the phone, and the first set of deliveries were decided through lots. IE The newly elected Kerala government has introduced a 14.5% 'fat tax' on restaurants selling burgers, pizzas and tacos. Kerala, where KFC, McDonald's and local 'crispy fried chicken' chains have made inroads, is also the state with the highest percentage of heart disease in its population. BS Ola introduced the Micro this year at Rs. 6/km in a quest to restore market share it had lost against Uber. However the lower cost has had Ola running through its cash at a much higher rate, and the company is hoping to raise another $400 million to combat Uber, which has raised $5.5 billion so far in recent months with an eye on the Indian market. LiveMint Photo of the Day: People march across US cities to protest police violence and the recent killings of black men. Reuters
Acquisitions this June - 2016 The media was abuzz with the Rs 16,189 crore UltraTech Jaypee deal that was signed this June, where UltraTech had to raise the final price at the last minute to get Jaypee to sign on the dotted line. Two Indian companies - Centum and Tech Mahindra - acquired international firms. Centum, which is in defence and aerospace electronics, acquired France's Adetel group, giving Centel access to Adetel's international client list and European market. Tech Mahindra acquired the UK based BIO agency, with the hope of building better integrated customer service. Microsoft acquired Wand Labs Inc. Wand Labs is a startup founded by IIT alumnus Vishal Sharma, that has been working on developing more intelligent chat messaging tools. AI in chat is becoming a big goal for companies like Microsoft, Google and Facebook, and Microsoft hopes that the acquisition will help it improve its Bing chat bot. Another interesting acquisition was Tata Power's purchase of Welspun's green energy portfolio, which marks the biggest solar acquisition so far in India. This expands Tata Power's renewable energy portfolio. Welspun had been struggling to raise funds for its green energy business before resorting to this sale. Tata Power agreed to buy Welspun's solar and wind farms that were in operation, as well as those in the pipeline. This is a significant acquisition for Tata at a time the Indian government is encouraging renewable energy solutions to meet the commitments of the Paris climate change agreements. And Eros Entertainment acquired Pooja Films, giving it access to content Pooja owned, such as the movies Bade Miyan Chote Miyan, and Coolie No. 1. Acquiring company Acquired company Date Acquisition goal Dr. Lal PathLabs Ltd Delta RIA and Pathology Lab Private Limited Jun 1 2016 Better health diagnostics HDFC Ergo L&T General Insurance Jun 6 2016 Insurance acquisition - L&T exits insurance Prism Cement Limited 15.23 percent stake in BLA Power Pvt Ltd Jun 8 2016 Reduce cement production costs Tata Power Welspun Energy Pvt Ltd Jun 14 2016 Largest solar power acquisition in India Gaia Smart Cities Solutions Pvt Ltd IoT business of Netcore Jun 14 2016 Brings IoT capabilities into Gaia Microsoft Corporation Pvt. Ltd. Wand Labs Inc Jun 18 2016 More intelligent messaging apps Centum Electronics 51% stake of France's Adetel Group Jun 18 2016 International presence in defence, aerospace Eros International Media Ltd 50 per stake in Puja Entertainment and Films Ltd Jun 21 2016 Access for Eros to better quality content Tech Mahindra UK-based The BIO Agency Limited Jun 21 2016 Access to customer service tools TPG Capital ICICI Home Finance Co Ltd Jun 23 2016 Access to India's home lending market
