Kishore Biyani explores Future Group’s journey with Amazon
Who will buy into Future Group first — Amazon or Alibaba Group? It seems to be advantage Amazon at the moment with Future Group founder Kishore Biyani having met Jeff Bezos in the US two weeks ago to discuss a possible alliance with the Indian retailer which controls nearly a third of the country’s organised food and grocery market. Biyani has, however, also travelled to China to meet Alibaba officials in the recent past to study its model and see if that can be replicated in India.
No angel tax on startups with up to Rs 10 crore funding
Startups incorporated before 2016 that have got up to Rs 10 crore in angel funding won’t face the so-called angel tax, once changes in the regime are finalised by the Department of Industrial Policy and Promotion (DIPP), which will soon notify the amendment, a senior government official told ET. It will also set up a separate committee for the recognition of such startups so that they get the relief, he said. “We have finalized the conditions which will resolve the issue of pre-2016 startups,” the official said.
ArcelorMittal to cash out of Uttam Galva at a big loss to avoid IBC googly
Lakshmi Mittal has decided to sell his 29.5% stake in Uttam Galva Steel at a loss — a nine year old investment of Luxemburg headquartered ArcelorMittal, ending months of speculatiion and corporate shadowboxing over his eligibility to bid for stressed steel assets in India. Mittal will also cease to be a co-promoter of the company after the transaction is concluded later this week, said multiple sources aware. Through an inter-se transfer of shares among promoters, Saiinath Trading Company Limited, a group entity of the promoters of Uttam Galva, the Miglani family, will be buying 4,13,27,931 shares, representing the entire block of shares owned by ArcelorMittal Netherlands BV at an average of Rs 24/share. The block trade is expected to happen this week, possibly as early as Wednesday.
Rs.280.70-cr fraud suspected at one branch: PNB
Punjab National Bank on Monday said it has come across a suspected fraud amounting to Rs.280.70 crore involving one branch wherein certain irregularities have been observed on account of people risk. The public sector bank, in a stock exchange notice, said the matter, involving Rs.280.70 crore based on a preliminary investigation report, stands reported to appropriate regulatory and investigating authorities and a detailed investigation is on. During FY17, the number of fraud cases reported by the bank was 185 and the amount involved aggregated Rs.2,809.31 crore. The quantum of provisions towards fraud accounts during FY17 was Rs 1969.52 crore.
B2B companies seek certification from vendors on GST gains
Fearing that anti-profiteering mechanism may be triggered against them, many companies that are primarily in B2B (business to business) segments are asking their vendors to certify that they are passing on the benefits accrued under goods and services tax (GST). These companies — in sectors such as shipping, ports, electricity distribution and oil and gas — also suspect vendors may not be passing on benefits as prices in several cases haven’t changed despite rate reduction under GST, said people in the know. Under anti-profiteering rules, any company or vendor whose profits jump due to the new tax regime must pass on benefits.
Singapore Telecom to invest Rs2,649 crore in Bharti Telecom
Singapore Telecommunications Ltd (Singtel) will indirectly raise its stake in Bharti Airtel Ltd by investing Rs2,649 crore in Bharti Telecom Ltd, the promoter company of Airtel, through a preferential allotment of shares. The investment comes within two years of Singtel’s participation in Bharti Telecom’s rights issue of Rs2,500 crore, which was completed in February 2016, Bharti Airtel said in a statement on Monday. With the latest round of investment, Singtel’s total stake (along with its affiliates) in Bharti Telecom will increase to 48.9% from 47.17% currently, the statement said. The Mittal family owned Bharti Enterprises continues to hold over 50% stake in Bharti Telecom.
CCI not to probe cartelization charge against telcos until Supreme Court takes a call
Competition Commission of India will not probe charges of cartelisation levelled by Reliance Jio Infocomm against top three telcos over alleged denial of interconnection points until the Supreme Court decides on the matter, Additional Solicitor General P S Narasimha told ET on Monday. The ASG had earlier in the day defended the fair trade watchdog’s had powers to direct such a probe under the law before a Supreme Court bench and urged it to urgently hear the challenge to the CCI’s powers to do so.
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