Companies and Markets

Companies & Markets

Falling rupee hits firms with high forex debt, casts shadow on earnings

With the Indian rupee hitting new record lows, domestic companies with high external debt are facing the heat.

Companies in sectors like power, metals and mining as well as oil and gas are the worst hit since they have the hig-hest borrowing from the overseas market, accounting for almost half of the total foreign currency borrowings by domestic firms.

Another ‘ugly chapter of family feud’: Shivinder moves NCLT against Malvinder

The differences in the Ranbaxy family has got uglier. Former Ranbaxy promoter and founder of Fortis Healthcare promoter Shivinder Singh said on Tuesday that he had moved the National Company Law Tribunal (NCLT) against elder brother Malvinder and ex-Religare chief Sunil Godhwani, while dissociating from his brother as business partner.

Bharti AXA, SBI ease terms for Kerala flood victims

Considering the unprecedented flood damages in Kerala insurers like Bharti AXA Life Insurance and lenders like State Bank of India (SBI), LIC Housing Finance and Muthoot Finance have come out with relaxed terms to give their clients a helping hand in rebuilding their lives.

M&M aims to recover lost market share with new car Marazzo

Mahindra and Mahindra on Monday drove in an all-new multi-utility vehicle Marazzo to recover lost market share in the growing category.

The company, which is India’s second biggest utility vehicles maker by sales, has spent around Rs 1,500 crore to develop the vehicle over the past four years. It hopes to regain some of the utility vehicle (UV) and sports utility vehicle (SUV) market share it has lost to rivals like Maruti Suzuki, Hyundai and Toyota.

Manipal makes first move to buy out TTK from Cigna TTK Health

Manipal Group, which runs a chain of hospitals and educational institutions, has picked up 16.04 per cent stake in Cigna TTK Health Insurance Company for an undisclosed amount.

With TTK Healthcare holding 34.96 per cent, both Manipal and TTK together will now have 51 per cent stake in the insurance joint venture. The remaining 49 per cent stake will remain with Cigna.

Nifty breaks six-day consolidation range

The market fell sharply as sentiments were hit by the falling rupee and the rising crude prices. The Sensex fell 332.55 points, or 0.86 per cent, to close at 38,312 while the Nifty 50 fell 98.15 points, or 0.84 per cent, to end at 11,582. After opening on a positive note on the back of good first-quarter GDP data, a sell-off gripped the bourses in late trade on negative global cues.

Major Sensex losers were HUL (down 4.58 per cent), Power Grid Corporation (-2.92 per cent), Axis Bank (-2.69 per cent) and ICICI Bank (-2.51 per cent).

Exclusive zero-debt club shines as others fight corporate debt

Even as a debate rages ov-er reasons for bulging corporate debt and problems of twin balance sheet, a research study has found that there are over 100 companies including blue-chip ones, PSUs and large manufacturers which have virtually zero debt on their books.

Some of the companies that have managed their finances well and run their businesses with practically no debt from banks or financial institutions are Infosys, Bosch, Eicher Motors, Hero MotoCorp, Pfizer and Engineers India.

Fear over D Street with new FPI rules

Even as the market regulator Sebi extended the deadline by two months till December for providing a list of beneficial owners, foreign funds are facing serious challenges to comply with the rules. Many analysts fear that there could be huge outflow from the Indian market as many foreign portfolio investors (FPIs) will not be able to comply with the rules set by Sebi.

Clear exam to become independent director

The government plans to have examinations for individuals who want to become independent directors as part of bolstering the corporate governance framework, according to union minister P P Chaudhary. While there are stringent provisions under the Companies Act, 2013 to ensure good governance standards, the roles of independent directors has come under the scanner in certain instances of corporate misdoings.

Also, at a time when the government is making efforts to make its role minimal in the affairs of corporates, the role of independent directors is more vital.

Rally may last a couple of weeks more

The week began on a positive note with big gains on Monday. It did end with gains but was less than what was gained. The BSE Sensex gained 393.27 points, or 1.02 per cent, to close at 38,645.07 points. The Nifty gained 123.40 points, or 1.06 per cent, to close at 11,680.50 points. Market breadth was good and there were no sectoral losers during the week.