DLF says stake sale to GIC will lead to Rs13,000 crore capital infusion by November
A stake sale by DLF Ltd’s promoters to an affiliate of Singapore’s sovereign wealth fund GIC Pte Ltd will see capital infusion of nearly Rs 13,000 crore into India’s largest property developer, DLF said in an analyst presentation on Sunday. The infusion, which will take place by November, will see the promoters putting in Rs 10,000 crore (as net proceed post tax) and the remaining amount from additional fundraising. The additional fundraising, which DLF termed as a “public capital raise” will probably be through a rights issue, said two analysts who didn’t wish to be named.
Sebi may bring in rules for merger of mutual fund schemes
India’s capital markets regulator intends to introduce rules that will force mutual funds to merge schemes in the same investment categories, driving long-pending consolidation in an industry that has hitherto ignored informal requests for ending the surfeit of plans. Broadly put, if a mutual fund has two equity schemes with mandates to invest in large-cap stocks, the asset manager will have to merge the investment products once the new rules proposed by the Securities and Exchange Board of India (Sebi) kick in. The step is aimed at improving transparency and reducing the clutter for investors.
Oppo, Vivo send Chinese expats home on low sales, high hostility
The military standoff at the Dokalam tri-junction seems to have made a major impact far from the Line of Actual Control. More than 400 Chinese expats working for Oppo and Vivo are headed back home after sharp falls in July and August smartphone sales, with anti-Beijing sentiment on the rise in some of India’s large consumer markets.
Vodafone flags concerns over further cut in mobile termination charges
British telecom major Vodafone has sought a reduction in interest rate on deferred spectrum payment and also expressed concerns over risks associated with a possible cut in mobile termination charges (MTC). “We hope the IMG (inter-ministerial group) will recommend a reduction in the interest rates for deferred spectrum payments to 6.25% in line with the improved macro- economic trends and an increase in the period of payment for spectrum,” Vodafone Group chief executive Vittorio Colao said.
Insurance firms tap blockchain for ease of transaction
Thirteen Indian insurance companies have come together to use a blockchain-like technology to create a central repository of policyholder data, so that insurers need not repeat the registration procedure for multiple policies. “When the same records are available to a number of life insurance companies in a chain, the cost incurred by them is lower compared to what it is when they were all separately conducting tests and storing records,” said Akshay Dhanak, vice-president, business systems & technology at HDFC Life Insurance.
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