ITC may buy stake in Coffee Day; to vie with Coca-Cola
Posted on 21st August 2019 |
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| Months after the global beverage company Coca-Cola showed interest in buying stake in Cafe Coffee Day, Indian tobacco major ITC Ltd may also fight for a stake in CCD’s parent company Coffee Day Enterprises Ltd. ITC, Asia’s most valuable cigarette maker, is looking to diversify from the company’s main selling product — tobacco — and has been given access to review Coffee Day’s assets and financials so that it can contemplate on picking stake, Bloomberg reported citing unidentified sources. If ITC goes ahead with the deal, it will be able to reduce its dependence on the cigarette business. This comes at a time when the country is forming stringent laws to curb smoking in public places and has also raised taxes on tobacco. “Deliberations are at a preliminary stage and may not lead to a formal offer,” Bloomberg cited an unidentified source as saying. ITC has received an inquiry from an intermediary on Coffee Day. However, no progress as of now has been made, ITC spokesman told Bloomberg. Cafe Coffee Day is under tremendous debt piles and is looking for ways to pare it. The mounting debt also led to the untimely demise of CCD founder VG Siddhartha, who committed suicide few days ago. Meanwhile, CCD’s rival — Tata Starbucks– has said that it is not eyeing acquiring CCD for its expansion. “We have our plans to go in India… and we are going as per our plans. We are not looking at CCD,” Rakesh Sony, Global Head, Strategy and Mergers & Acquisitions at Tata Global Beverages, told CNBC TV-18 on Wednesday. Cafe Coffee Day has over ten-fold more outlets than rival Starbucks. CCD is held by various owners including a unit of private equity firm KKR & Co., which owns 6.07% of the company; Standard Chartered Private Equity, which holds 5.7% and Infosys co-founder Nandan Nilekani, who has a 2.69% stake. Coca-Cola was reportedly in exclusive talks to pick up a significant stake in Cafe Coffee Day. The global soft-drinks company may leverage the rapidly growing space if the deal is successful and the same is also expected to help the company in hedging risks associated with its carbonated drinks business, according to media reports. |
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Bharti Airtel defers Q2 results till Nov 14 over ambiguity on AGR verdict
Posted on 29th October 2019 |
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Bharti Airtel said on Tuesday it has postponed its second-quarter earnings report to mid-November, as the wireless operator sought clarity on the court ruling asking telecom firms to cough up overdue payments to the government.
Shares of the company, which was expected to release its quarterly numbers later in the day, dropped 3.3 per cent in early trade. |
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Rupee slips 8 paise vs US dollar in early trade amid drop in oil prices
Posted on 7th October 2019 |
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The rupee on Monday opened eight paise lower at 70.96 against the US dollar amid drop in crude oil prices and rise in Asian equities. The domestic unit on Friday closed almost flat at 70.88 against after the Reserve Bank of India (RBI) in a widely expected move cut key interest rates by 0.25 percentage point. On a weekly basis, the local unit slumped by 32 paise. |
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LIC pips private insurers in first-year premium growth during April-August
Posted on 13th September 2019 |
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In the first five months of the current financial year, first-year premiums of life insurance companies grew by 39.84% (year-on-year) at Rs 1.05 lakh crore as compared to Rs 75,588.35 crore in April-August of 2018-19. Life Insurance Corporation of India (LIC) continued to grow at a faster pace compared to private insurance players, shows the data from the Insurance Regulatory and Development Authority of India (Irdai). |
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Apollo Hospitals rules out further stake sale
Posted on 13th September 2019 |
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Apollo Hospitals Enterprise (AHEL) has ruled out further dilution of promoters’ stake in the company. The company also said its Rs 1,337-crore stake sale of Apollo Munich Health Insurance with mortgage major HDFC will be concluded by October. Following these stake sales, the promoters’ pledged position will come down from a high of 76% to 54% by October and eventually to 20% by November or December, company sources said here. |
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World trusts India on Kashmir, not us: Pakistan minister Ijaz Ahmed Shah
Posted on 13th September 2019 |
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In a major embarrassment for Pakistan and its Prime Minister Imran Khan, the country's Interior Minister Ijaz Ahmed Shah, a retired brigadier, said the international community didn't believe Pakistan's narrative on Kashmir; instead it is India whose version is trusted. |
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