After tax googly, Complan may end up in Coke bottle
Two decades after it bought Parle’s beverage brands, including Thums Up, and returned to India, Coca-Cola is poised for its second big acquisition here. The world’s largest beverage company has emerged as the frontrunner to buy the consumer brand portfolio of Kraft Heinz — which includes children’s milk drink Complan, Nycil talcum powder, Sampriti Ghee and energy drink powder Glucon D — for around Rs 4,000-5,000 crore, after a tax googly by the seller stumped other contenders, after a tax googly by the seller stumped other contenders, said multiple sources aware of the matter.
IL&FS downgrade to hit 35 MF schemes as well
ICRA has downgraded the debt of IL&FS to a level below that considered investment-grade for mutual funds, putting the spotlight on asset managers that cumulatively have an exposure of Rs 2,500 crore to outstanding bonds issued by the stressed company and its subsidiaries. Mutual funds consider a bond as investment grade if its credit rating is BBB. Since the rating of IL&FS fell to BB from AA+, it will be considered non-investment grade. A SEBI circular says that “all non government, non-investment grade performing debt securities would be valued at a discount of 25 per cent to the face value.”
Sebi panel may ease investment rules for NRIs, foreign funds
Foreign portfolio investors will breathe a sigh of relief after a Securities and Exchange Board of India-appointed panel on Saturday recommended easing some of the restrictions the regulator had imposed on investments by non-resident Indians and some foreign funds. The committee suggested that NRIs should be allowed to manage funds and have relaxed rules that would have limited their investments in the country. On April 10, Sebi had issued a circular that barred NRIs and persons of Indian origin from being a beneficial owner in funds that invest in India.
Power projects heading to NCLT may get to retain fuel supply pacts
Stressed thermal assets that are referred to the insolvency court may retain their coal and power supply and long-term transmission network access rights. The high-level empowered committee, constituted by the Prime Minister’s Office, considered these special dispensations to the troubled projects to help their lenders recover a fair value. Power projects referred to the National Company Law Tribunal (NCLT) lose their fuel supply agreements (FSAs) with Coal India Ltd, power purchase agreements (PPAs) with state governments, and long-term transmission contracts with Power Grid Corp of India.
Sebi may summon Kochhar’s soon; board to discuss coordinated efforts with government, RBI
Capital markets regulator Sebi may soon summon ICICI Bank’s on-leave CEO Chanda Kochhar and her husband with regard to a probe into alleged regulatory lapses with regard to his business dealings, officials said Sunday. Besides, some other top officials of the bank, as also from Videocon, which allegedly benefitted due to its association with Kochhar’s husband, are also likely to be called for their personal hearings regarding charges against them that may lead to the bank and its embattled chief being slapped with several crores of rupees in fines and other penal actions including ban from markets and directorships.
Govt plans geo-tagging to crackdown on shell companies
Companies may soon have to geo-tag their registered offices in the statutory filings with the Registrar of Companies (RoC), as the government seeks to prevent fraud by tightening regulatory systems. Geo-tagging, or attaching data of the exact location of the office, will allow the online return filing system to alert government officials wherever it detects far too many companies are registered in the same premises, a trend noticed in past investigations into shell companies.
JNPT may buy Air India building for 2,000 crore by year-end
Air India Ltd expects to sell its former head office in Mumbai for an estimated 2,000 crore by the end of March to state-run Jawaharlal Nehru Port Trust (JNPT), said a senior airline official. Both JNPT and Air India are carrying out their individual valuations of the iconic Air India building at Mumbai’s Nariman Point, the Air India official, who declined to be named, told Mint. “The proceeds from the sale of the building will be used to pay off a part of the airline’s debt,” said the official. Officials at JNPT didn’t immediately respond to an email seeking comment.
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