Review all bids: Yes Bank to Fortis
Yes Bank, the single-largest shareholder in Fortis Healthcare, has urged the board to consider revised bids for the company submitted after the Munjal-Burman offer was accepted to “maximize” value for investors. It urged the board to consider inviting other interested companies that did not submit or revise their bids. Law firm Shardul Amarchand Mangaldas wrote two letters on behalf of its client Yes Bank, advising the Fortis board to take into account the reworked bids from Manipal-TPG and IHH Healthcare, said people aware of the development.
Jaiprakash Associates to appeal against NCLT order
Crisis-ridden Jaiprakash Associates Ltd (JAL) has decided to appeal against the NCLT order that directed the company to return nearly 760 acre land to its subsidiary Jaypee Infratech while declaring the transfer of the land as “fraudulent” and “undervalued”. The order came over a petition filed by Jaypee Infratech resolution professional (RP) Anuj Jain in the National Company Law Tribunal (NCLT) seeking direction over the transactions entered by the company’s promoters, creating mortgage on its 858 acre to secure debt for JAL.
India Inc finds RBI’s latest loan default guidelines rigid
Corporate India—especially the chunk comprising over-leveraged companies—is worried about a recent Reserve Bank of India (RBI) circular that says companies with even a day of loan-default can be set on the path of debt resolution and subsequent bankruptcy proceedings. The circular passed on February 12 abolishes all the earlier debt rejig mechanisms such as corporate debt restructuring, and strategic debt restructuring and puts in place a stringent 180-day timeline post default, at the end of which the company is put under the Insolvency and Bankruptcy Code (IBC) if the debt hasn’t been resolved by then.
Competition Law: Regulatory conflicts to ease in redrafting
The government is planning a major overhaul of the competition law, likely bringing in a framework to ensure greater synergy between sector regulators, including RBI, Sebi, TRAI and IRDAI, and the Competition Commission of India (CCI), a senior official told FE. The idea is to remove any overlapping role among watchdogs on regulating competition in a relevant market to ensure faster clearances to large merger & acquisition (M&A) deals and better curtailment of anti-market behavior.
Wilful defaults by PNB’s big borrowers slip further to Rs 15,200 crore by April-end
State-run Punjab National Bank (PNB) saw wilful defaults by big borrowers slipping further to Rs 15,199.57 crore in April this year over the previous month, soon after suffering a record loss of more than Rs 13,400 crore for January-March due to frauds and bad loans. The bank which posted a record loss of more than Rs 13,400 crore for the last quarter of 2017-18 closed the fiscal with big wilful defaults of Rs 15,171.91 crore, according to the PNB data.
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