After customers, Reliance Jio now plans to reward its employees with stock options
Mukesh Ambani-owned Reliance Jio Infocomm is planning to roll out stock options for its employees, which could be a reward for the pace at which subscribers are being added as well as a talent retention and attraction strategy of the company, a person familiar with the matter said. The stock options programme is currently in the planning stage and could be rolled out later this year, the person added. The company, which launched 4G services last September, did not respond to emailed queries on the subject.
Ajay Piramal to hike stake in Shriram Capital
Piramal Enterprises (PEL) Chairman Ajay Piramal may consolidate his control in Shriram Capital, the holding company of the financial services entities of Chennai-based Shriram group, by increasing his stake to one third from one fifth and naming a key executive as the firm’s chief executive officer. A hike in Piramal shareholding could pave way for the merger of Shriram Capital with the financial services business of PEL, creating India’s largest nonbanking financial company. This will give the merged entity access to cheaper capital while bringing down the leverage ratio. “It is an option we have…and it is clear they (Shriram group) want it,” Piramal, 61, said. We will see what is to be done at the right time.”
Govt tells IOC, HPCL, BPCL to double dividend payout
Double the dividend payout to Rs 15,000-16,000 crore. That’s what the Centre — and the largest shareholder of the state-owned oil marketing companies — is demanding from IOC, BPCL and HPCL. Last fiscal, these three cash rich oil PSUs cumulatively paid Rs 8,119 crore in dividend to all shareholders, and also as dividend distribution tax to the government. Sources say this demand for the higher dividends from the finance ministry has been communicated to the oil companies via the petroleum ministry.
Ratan Tata Personally Asked Cyrus Mistry to Resign Before Ouster
Tata Group patriarch Ratan Tata had personally asked Cyrus P Mistry to resign as chairman of Tata Sons as the board had lost faith in him, but his refusal led to the removal via majority vote. In a para-by-para response to the petition filed by investment firms associated with Mistry’s family against his removal, Tata Sons — the holding company of the $103 billion salt-to-software conglomerate — told the National Company Law Tribunal (NCLT) that Mistry was removed as Chairman on October 24last year after “little or no signs of improvement” in his leadership.
Tatas question Cyrus Mistry’s right to move NCLT
After a brief ceasefire during the Christmas holidays, the war between former Tata Sons chairman Cyrus Mistry and Interim Chairman Ratan Tata has restarted. Tata Sons says the Mistrys have no locus standi to move the National Company Law Board (NCLT), as they own only 2.17 per cent in the total issued share capital of Tata Sons, instead of the minimum 10 per cent required to file such a petition. Cyrus Investments and Sterling Investment Corporation, two investment companies of the Mistry-family controlled Shapoorji Pallonji group, as 18.37 per cent shareholders of Tata Sons, had filed a petition at NCLT under sections 241, 242 and 244 of the Companies Act, alleging oppression and mismanagement by Tata Sons, Tata Trusts and their officers.
HSBC pegs GDP growth at 6.3% on note ban pains
Foreign brokerage HSBC today projected sharply lower growth numbers for the year at 6.3 per cent, way lower than the official CSO estimate of 7.1 per cent for 2016-17. The Central Statistical Organisation (CSO) had over the weekend released GDP estimates wherein it had pegged growth at 7.1 per cent for 2016-17, lower than 7.6 per cent in the previous fiscal year. The CSO said it did not calculate the impact of the note ban on economic growth.
Higher tax mop up reflects no slowdown post demonetisation, says Arun Jaitley
Finance Minister Arun Jaitley on Monday dismissed slowdown concerns post demonetisation as “anecdotal” and said that indirect tax collection grew at a decent 14.2 per cent in December buoyed mainly by excise, reflecting an uptick in manufacturing. December, which witnessed currency crunch following the ban on high value notes, saw excise collections grow at 31.6 per cent, while service tax was up by 12.4 per cent. Customs mop up, however, witnessed 6.3 per cent decline mainly on account of dip in gold imports.
Curbs on capital outflow unlikely: PBOC advisor
Chinese policy makers’ intensified efforts to stem capital outflows have been effective and new measures are unlikely, said Fan Gang, an advisor to the People’s Bank of China (PBOC). “Things are stabilising now,” said Fan in an interview with Bloomberg Television in Shanghai. While the market has started to respond, policy makers won’t completely drop intervention yet, he said. Capital flight has accompanied the yuan’s steepest annual drop in more than two decades. Policy makers strengthened measures at the beginning of the New Year to reduce outflows, including adding extra requirements for citizens converting yuan into foreign currencies after the annual $50,000 quota for individuals reset January 1.
FRBM panel studying GDP and tax numbers to submit report soon
A government panel, set up to review the working of FRBM Act, is looking into GDP estimates along with revenue numbers and is expected to submit its report soon. At present, the committee is looking at the GDP estimates and revenue collections so far in the current fiscal, FRBM Panel Chief NK Singh told reporters here. “We are calibrating bit of that…we have sought his (the Finance Minister) convenience for submission of report,” he said.
JLR defies Brexit uncertainties
Jaguar Land Rover delivered a strong performance in 2016, defying the uncertainty that followed the Brexit vote, as its sales for the year comfortably crossed the half-a-million mark — a notable target that the car maker surpassed for the first time in the financial year ending last March. In the year to December 2016, Jaguar Land Rover sold 583,313 cars: a 20 per cent year-on-year gain. Jaguar made a particularly strong showing with its sales up 77 per cent for the year, boosted by the sales of the F Pace – the brand’s first SUV and the XE and XF. Growth at Land Rover – 8 per cent – was somewhat muted by the upcoming launch of the new Land Rover Discovery this February. Group Sales Operations Director Andy Gross expressed his confidence about the year ahead for the group, despite the remaining uncertainties around Brexit, which the auto sector has warned could hit it hard.
Source: The Hindu Business Line
Power Ministry to give major thrust to hydro power, says Goyal
There will be a major thrust on hydro sector by different ways to bring down cost of electricity from this renewable source, Power Minister Piyush Goyal said today. “I shall be going later this week to Arunachal Pradesh also to review some of the power projects. In coming few months, we want to give major thrust by different ways to bring down the cost of hydro power,” Goyal told reporters here.
Tax department detects undisclosed income of over Rs5,300 crore
The income tax department has detected undisclosed income of Rs5,343 crore and seized Rs114 crore of new notes which were allegedly procured illegally in its nationwide operation against black money hoarders post demonetisation. Officials said the taxman, exactly after two months after demonetisation was announced, has carried out a total of 1,156 search, survey and enquiry operations under the provisions of the I-T Act since the note ban was announced on 8 November 2016, even as the department has issued 5,184 notices to various entities on charges of tax evasion and hawala-like dealings.
Source: Livemint
McDonald’s sells China business in deal worth up to $2.1 billion
McDonald’s has agreed to sell the bulk of its China and Hong Kong business to state-backed conglomerate CITIC and Carlyle Group for up to $2.1 billion, seeking to expand rapidly without using much of its own capital. The 20-year deal caps months of negotiations between the fast-food chain, private equity firms including Carlyle and TPG Capital Management as well as several Chinese suitors.
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