M&M clarifies on Pipavav Defence acquisition

Mahindra & Mahindra Ltd clarified "It examines/pursues various opportunities in different areas, from time to time on a continuing basis and it is not practicable to comment upon every opportunity at every stage. 

Mahindra & Mahindra Ltd clarified to the exchange that it examines various opportunities in different areas, from time to time on a continuing basis and it is not practicable to comment upon every opportunity at every stage. 

Given the policy of the Company of not commenting on speculative news/reports, they will not be able to comment on the same.

As in the past, the Company would continue to inform stock exchanges about any price sensitive information before the same is made public."

Earlier Exchange had sought clarification from Mahindra & Mahindra Ltd with respect to news article appearing in The Economic Times on February 12, 2015 titled "M&M to Acquire Pipavav Defence in Rs 3,000-cr Deal"

Coal Auctions to proceed as per schedule: Anil Swarup

Delhi High Court had held yesterday that the change of end use for Utkal B1, Utkal B2 and Gare IV/6, all belonging to JSPL, should not be done.

In a press briefing, Coal Secretary Anil Swarup confirmed that auction of the coal blocks will go on as per schedule, and that the high court orders do not question the ordinance on coal, per se, but raises concerns about the change in the end-use of the allotted mines.

confirming that the list of qualified bidders will be issue soon, Swarup gave a snapshot that 86 qualified bidders have submitted their bids for 19 Unregulated mines, while 48 bidders have qualified in technical bids for the regulated sector. Now total of 110 Blocks are to be auctioned or allotted

Regarding the order of the Delhi and Jabalpur High Court, Swarup said that Gotitoria East & West Blocks been put on hold. So, these coal blocks will not be auctioned in the present schedule. Similarly, in Schedule-II of the auctions, 3 coal blocks have been hold.

Delhi High Court had held yesterday that the  change of end use for Utkal B1, Utkal B2 and Gare IV/6, all belonging to JSPL, should not be done.

For the mines which will not be auctioned till March 31, 2015, the government will appoint a custodian, so that the production of those mines are not hampered. However, contours of the custodian, its duties, etc. have not been figured out.

10 Coal mines are under litigation in various courts. 

Bank, FMCG keep Sensex, Nifty lower

The government will announce CPI and IIP data after 5.30 pm today.

At 11:45 AM, the S&P BSE Sensex is trading at 28,534 down 98 points, while NSE Nifty is trading at 8,609 down 19 points. The government will announce CPI (Consumer Price Index) and IIP (Index of Industrial Production) data after 5.30 pm today.

The equity market has extended losses in the late morning deals, owing to weakness in bank, FMCG, metal and oil & gas shares.

The Key benchmark indices have touched a fresh intra-day low at 28,406 and 8,600, respectively.

The broader market remain firm, the CNX Smallcap index has advanced 1.5 per cent at 5,505. The Midcap and Nifty Junior indices have gained almost a per cent each at 3,394 and 19,477, respectively.

The Volatility index - India VIX has spurted by 1.4 per cent at 20.8000.

In sectoral indices, the PSU Bank index has shed around a per cent at 3,700. The Bank Nifty and FMCG shares have declined 0.5 per cent each at 18,833 and 21,151, respectively.

The Metal, Energy and Finance have moved down 0.3 per cent each.

On the other hand, the Realty index has jumped nearly 2 per cent at 229. The Auto index has spurted over a per cent at 8,615. The Pharma index has also gained 0.5 per cent at 11,451.

The breadth is positive in late morning deals - out of 1,692 stocks traded on the NSE so far 910 stocks have advanced, while 503 stocks have declined 

Infosys invests $15 million in DreamWorks' spin-off

This is Infy's first investment from the $500 million innovation fund set up last year.

According to media reports, Infosys has invested $15 million in a start-up, which is a spin-off of the animation major, DreamWorks.

This is Infy's first investment from the $500 million innovation fund set up last year.

The reports added that the new company is yet unnamed. Infy is the first and the only investor in the company.

“They (the spin-off of DreamWorks) have recently brought their amazing animation technology to industries like retail and so on. So we are the only investor in this company,” Sikka said at the Goldman Sachs Technology and Internet Conference held at San Francisco on Tuesday.

We will do things of that nature and we think the information technology needs of the world require a different type of mindset for startups. More and more the innovations that businesses are looking for are going to come from start-up companies,” he added during the Goldman Sachs event.  

I-T dept to pull up socks to meet tax collection target

Recently, the income-tax officers had received verbal instruction to hold back tax refunds till March 31

Tax officials in various commissionerates in the country are pressurized to meet the income tax collection target, according to a media report.

Recently, the income-tax officers had received verbal instruction to hold back tax refunds till March 31.

The total income-tax target for the financial year ended 31 March 2014 is Rs. 7.35 trillion. The government is expected to raise Rs. 2.84 trillion from personal income-tax, while Rs. 4.51 trillion is expected to be collected from the corporate tax for FY14.

But the actual tax collected is Rs. 1.66 trillion from personal income-tax, while the collection for corporate tax stands at Rs. 2.77 trillion between April and December, the report further said. 

Nifty above 8,650 levels

Auto, Consumer Durables, Power, banking, capital goods, FMCG, healthcare metal, realty, Oil and gas indices are the gainers.

At 9:19AM, the S&P BSE Sensex is trading at 28,618 up 84 points, while NSE Nifty is trading at 8,657 up 29 points.

The BSE Mid-cap Index and BSE Small-cap Index was trading up at 1%.

Auto, Consumer Durables, Power, banking, capital goods, FMCG,  healthcare metal, realty, Oil and gas indices are the gainers.

The much-feared general anti avoidance rules (GAAR) could be deferred by about two years so that business sentiment is allowed to improve in India but will need to be rolled out in some form or the other by 2017, in sync with the international framework on preventing treaty abuse that's been accepted by the G20, says a report.

In a relief for Jindal Steel and Power Ltd (JSPL) and its promoter Naveen Jindal, Delhi High Court directed a technical committee to review its own decision to change the end-use of two coal blocks earlier allotted to the company and removing the mines from the auction.

The Board of Directors of Grasim Industries Limited approved the proposed merger of Aditya Birla Chemicals (India) Limited (“ABCIL”), an Aditya Birla Group Company with Grasim. The swap ratio approved by the Board is 1 (one) share of Rs. 10 each of Grasim for every 16 (sixteen) shares of Rs. 10 each of ABCIL. Grasim will issue 14.62 Lakh new shares, which will increase its share capital to Rs. 93.31 crore.

Top corporate news of the day - February 12, 2015

India Cements announced that its shareholders are set to get ownership of Chennai Super Kings Cricket Ltd, a new wholly owned subsidiary of India Cements 

Natco Pharma, which was granted compulsory license for Bayer's cancer drug Nexavar (Sorafenib) by the Indian patent office a couple of year back , announced that its marketing partner Mylan Inc. has filed an Abbreviated New Drug Application (ANDA) for the generic version of the same US FDA. 

  Irish lessor Babcock and Brown Aircraft Management (BBAM) has sought the return of 6 Boeing B737 aircraft, and payments to the tune of around USD100mn from Spicejet towards several months of unpaid lease rentals (USD40mn), besides other damages like maintenance costs.

  India Cements announced that its shareholders are set to get ownership of Chennai Super Kings Cricket Ltd, a new wholly owned subsidiary of India Cements. 

   Tech Mahindra said its sister company Mahindra Finance will become equal shareholder if the Reserve Bank clears its payment bank licence, and the company is also in talks with the World Bank Group member IFC for a partnership in the foray. 

  In a relief for Jindal Steel and Power Ltd (JSPL) and its promoter Naveen Jindal, Delhi High Court directed a technical committee to review its own decision to change the end-use of two coal blocks earlier allotted to the company and removing the mines from the auction.

   The board of Grasim Industries approved the proposed merger of Aditya Birla Chemicals (India) with itself and has approved the swap ratio at 1 share of Grasim for every 16 shares of ABCIL. 

   IT services major Infosys said it has been selected by ICA Gruppen, Sweden's leading retailer, to manage its IT operations.

   Reliance Industries has slapped an arbitration notice challenging oil ministry’s decision to take away 814 square kilometre of its eastern offshore KG-D6 area that contained five gas discoveries.

   Surana Solar Ltd has firmed up plans to enter into a new line of business for the manufacturing of LED bulbs and LED tubes of an initial capacity of 1mn units.

  Tech Mahindra will build more technology development facilities in the United States and Canada and boost local hiring to tap new business opportunities linked to digital technologies. 

Top economic news of the day - February 12, 2015

National Bank for Agriculture and Rural Development (NABARD) announced Rs 1.1tn credit plan for agriculture in Rajasthan for fiscal 2015-16, encompassing all 33 districts in the state.

Uttarakhand Cabinet has decided to regularise land under the category IV, provide a subsidy of Rs232m to clear the dues of private sugar mills and bring a Bill in the Assembly for providing 10% horizontal reservation to the statehood activists.

National Bank for Agriculture and Rural Development (NABARD) announced Rs 1.1tn credit plan for agriculture in Rajasthan for fiscal 2015-16, encompassing all 33 districts in the state. 
 
The Finance Ministry has imposed definitive anti-dumping duty on sodium nitrate imports from China, EU, Ukraine and South Korea. This anti-dumping duty will be valid for a period of five years. 
 
The Cabinet approved increasing the National Minorities Development & Finance Corporation (NMDFC)’s authorised capital from Rs15bn to Rs30bn and restructuring of its shareholding pattern.