Automaker Toyota and SoftBank to invest $1 billion in Ubers self-driving vehicle

Japan’s largest automaker Toyota injected $500 million into Uber last year to work on self-driving cars, where both companies are seen as lagging rivals like Alphabet Inc’s self-driving unit Waymo.

By Reuters | TFM News

NEW YORK (Reuters) – A group of investors led by SoftBank Group Corp and Toyota Motor Corp is in talks to invest $1 billion or more into Uber Technologies Inc’s self-driving vehicle unit, which would value the unit at $5 billion to $10 billion, said two people familiar with the talks.

The investment would provide a cash injection for Uber’s self-driving program that is costing hundreds of millions of dollars without generating revenue.

It could also help underscore Uber’s value as the ride-hailing firm prepares for a stock market debut in which its value could top $100 billion.

Uber and SoftBank declined to comment. A Toyota spokesman stated the automaker “constantly reviews and considers various options for investment” but does not have anything to announce.

News of investment talks was first reported by The Wall Street Journal, which said a deal could be reached next month. SoftBank Group shares rose 4 percent in morning Tokyo trade whereas Toyota’s stock was flat.

Japan’s largest automaker Toyota injected $500 million into Uber last year to work on self-driving cars, where both companies are seen as lagging rivals like Alphabet Inc’s self-driving unit Waymo.

Uber, which last year lost about $3.3 billion, is betting on a transition to self-driving cars to eliminate the need to pay drivers.

The nascent technology came under greater scrutiny last year after one of Uber’s self-driving cars struck and killed a pedestrian in Arizona last year. Prosecutors last week declined to pursue criminal charges.

The challenge of developing the technology is leading to previously unlikely alliances, with SoftBank and Toyota partnering up in Japan. SoftBank has invested $2.25 billion in General Motors Co’s self-driving unit Cruise, which has also received funds from Honda Motor Co Ltd.

Source: Reuters

– TFM News

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Volkswagen’s 5.9 billion euros annual savings goal may cut around 7,000 workforces

Volkswagen has ruled out compulsory layoffs until 2025, but early retirement will help the Wolfsburg, Germany-based carmaker to cut its workforces between 5,000 and 7,000 positions.

By Reuters @moneycontrolcom

TFM News

Volkswagen on March 13 stated it will reduce its workforce by up to 7,000 staff, raise productivity and eke out 5.9 billion euros worth of annual savings at its core Volkswagen brand by 2023 in a bid to raise Volkswagen’s operating margin to 6 percent.

Volkswagen has ruled out compulsory layoffs until 2025, but early retirement will help the Wolfsburg, Germany-based carmaker to reduce its workforce between 5,000 and 7,000 positions, the carmaker said.

“The measures from the earnings improvement programme will enable our brand to achieve a competitive return level of six percent in 2022,” Arno Antlitz, Volkswagen brand’s board member for controlling, said in a statement.

Source: Reuters @MoneyControl

– TFM News

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Tesla in talks with China’s Amperex Technology (CATL) for rechargeable batteries

Tesla in talks with China’s Amperex Technology (CATL) for rechargeable batteries

CATL has been in talks with Tesla officials about the required specifications for the batteries.

By Reuters @moneycontrolcomTFM News

Tesla INC is in talk with Chinese battery maker modern Amperex Technology Co Ltd (CATL) for ordering rechargeable batteries to power its Model three cars, Bloomberg reported on March 11, citing people familiar with the matter.

CATL has been in talks with Tesla officials about the required specifications for the batteries, according to the Bloomberg report, which added that there was no guarantee that an agreement would be reached.

In January, sources told Reuters that Tesla had signed a preliminary agreement with China’s T’ien-ching Lishen to provide batteries for its new Shanghai automobile factory.

Tesla declined to comment and CATL did not immediately respond to requests for comment on the report.

Source: MoneyControl

– TFM News

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India’s Jet Airways raised Rs.2,050 crore ($293 million) loan from PNB

India’s Jet Airways raised Rs.2,050 crore ($293 million) loan from PNB

Jet Airways secured foreign currency term loan worth Rs.1,100 crore and a non-fund based credit facility of Rs.950 crore from Punjab National Bank.

TFM News

Jet Airways has secured capital worth Rs.2,050 crore from Punjab National Bank (PNB) in a bid to provide temporary support to the carrier. The airline raised foreign currency term loan worth Rs.1,100 crore and a non-fund based credit facility of Rs.950 crore from PNB, Mint reported.

This credit has been raised in two trenches through separate contracts with PNB. Under one contract, the airline received credit of Rs.1,050 crore, including a term loan worth Rs.350 crore and a non-fund based facility of Rs.700 crore, the report said. With the second contract came credit worth Rs.1,000 crore, including a term loan of Rs.750 crore and a non-fund based facility of Rs.50 crore.

It is unclear how the carrier will use this credit. While assumption is that the funds will be used for its working capital needs, sources told the newspaper that the airline wants to use the money to clear dues to aircraft lessors and pay staff salaries.

This capital infusion may prop up Jet Airways’ credit rating and help resume flights that have been cancelled ever since at least 49 of its planes were grounded in February.

“The loan has been raised in dollars at a stronger rupee as compared to the value of the rupee now. So, there is a cost arbitrage, which could help the company repay larger rupee loans,” a source cited earlier said.

The term loans have a five-year repayment tenure, but their interest rates are varied. The Rs.750 crore loan has been extended at a rate of 12-month Libor plus five percent and a yearly reset. For the Rs.300 crore term loan, it is six-month Libor plus 3.5 percent and a half-yearly reset.

The airline can sell down Rs.250 crore of the term loans to investors according to the agreement. “The non-fund based facility can be later converted to current account credit facility and be used to fund operations or meet other dues,” the source added.

To avail of the loan, Jet Airways had to create a trust and retention account (TRA) through a tripartite agreement with PNB and ICICI Merchant Services. This mechanism is used to protect banks and lenders against defaults by insulating the project’s cash flows.

Under this pact, the TRA agent has to make all payments to lenders directly, without the borrower’s intervention. This includes managing the project’s operation and maintenance expenses, maintaining a debt servicing reserve and a separate cash reserve for operational spending.

Jet Airways had a debt of Rs.9,600 crore as of December 31. It has incurred a total loss of Rs.3,200 crore in the nine months through December, with a negative net worth of Rs.10,370 crore.

Source: MoneyControl

– TFM Watch

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MARKET UPDATE | Closing Bell: Nifty ends above 11,150, Sensex gains 382 pts; metal stocks outperform

MARKET UPDATE | Closing Bell: Nifty ends above 11,150, Sensex gains 382 pts; metal stocks outperform | The Future Markets

TFM News | http://www.thefuturemarkets.com

Mar 11, 03:35 PM (IST)

Market at close: Indices ended on strong note on Monday as bulls took charge of the Dalal Street with Sensex closed above 37,000, while Nifty finished above 11,150 mark.

The Sensex was up 382.67 points at 37054.10, while Nifty was up 132.60 points at 11168. About 1735 shares have advanced, 911 shares declined, and 163 shares are unchanged.

Bharti Airtel, HPCL, BPCL, Eicher Motors and Bharti Infratel were the top gainers on the Nifty, while losers include NTPC, Zee Entertainment, TCS, Tech Mahindra and HCL Tech.

Except IT index, all other sectoral indices ended in green led by auto, energy, infra, metal, PSU bank, pharma and FMCG.

Mar 11, 03:19 PM (IST)

Godfrey Phillips gains: Shares touched 52-week high of Rs 1,042.50, rising 9 percent intraday Monday after company clarified on the news report about violation of the Foreign Direct Investment (FDI) laws by the company.  MoneyControl

Mar 11, 03:09 PM (IST)

Indian Metals & Ferro Alloys has entered into a Joint Development Agreement with Adventz Finance to develop the property situated at No.44, Chowringhee Road, Kolkata.  MoneyControl

Mar 11, 02:53 PM (IST)

Global Market Check: Boeing shares down by nearly 9 percent in the premarket

US stock index futures traded mixed on Monday morning with investors still digesting weak jobs data from the previous session.

Boeing shares were down by nearly 9 percent in the premarket. This comes as its fastest-ever selling aircraft sparks safety concerns after an Ethiopian Airlines 737 MAX jet crashed shortly after takeoff on Sunday, killing everyone on board. CNBC TV18

Mar 11, 02:22 PM (IST)

Sadbhav Infra shares rally on report of road asset sale

Shares of Sadbhav Infrastructure Project (SPIL) rose nearly 12 percent on Monday on a report that Canada Pension Plan Investment Board is in advanced talks to acquire 12 operating road assets of the company in a deal worth $400-$500 million (about Rs 3,000 crore).

Sadbhav Infra shares jumped as much as 11.7 percent to Rs 103 per share in early trade. At 1:37 PM, shares of the company traded up 7 percent at Rs 98.65 per share on NSE.  CNBC TV18

Mar 11, 02:18 PM (IST)

IFCI gains 5%: IFCI shares rallied 5 percent after the company exit from two large exposures in thermal power sector.  MoneyControl

Mar 11, 01:56 PM (IST)

RITES declares dividend: The board of directors of the company declared an interim dividend at the rate of 40% of paid up share capital (Rs 4 per share of Rs 10 each).  MoneyControl

Mar 11, 01:49 PM (IST)

DHFL down 6%; at day’s low after downgrade coming in from Brickworks

Shares of Dewan Housing Finance Corporation (DHFL) were down 6 percent in intra-day trade on the BSE after Brickwork Ratings (BWR) on March 8, 2019 downgraded DHFL’s various debt instruments by one notch, citing de-growth in business on account of inability to raise funds.  CNBC TV18

Mar 11, 01:15 PM (IST)

IDBI Bank looks to sell bad loans worth Rs 1,353 crore by March-end

IDBI Bank is looking to sell all six non-performing assets (NPAs) worth Rs 1,353 crore by the end of March, multiple sources familiar with the matter told CNBC-TV18.

The lender is planning to sell bad loans to banks, financial institutions or asset restructuring companies as it steps up efforts to recover dues from loan offenders, said the above mentioned sources on condition of anonymity.  CNBC TV18

Mar 11, 01:14 PM (IST)

Birla Corp shares drop up to 14% following NGT order

Shares of Birla Corporation slumped up to 14 per cent during intra-day trade on Monday after National Green Tribunal (NGT) ordered the firm to stop all mining activities being carried on within the municipal limits of Chittorgarh City. On BSE, the scrip after opening on a negative note further declined 14.11 per cent to Rs 485.10 during the day.  ET Markets

Mar 11, 12:57 PM (IST)

CG Power shares rally over amalgamation, promoters’ stake pledge

Shares of CG Power surged 8 percent on Monday after the company’s board approved amalgamation of unit CG Power Solutions with itself and following the promoters’ stake pledge. CG Power’s promoter, Avantha Holdings Ltd, has invoked to pledge all the equity shares by Vistra ITCL, which means 100 percent of promoter stake is pledged.  CNBC TV18

Mar 11, 12:54 PM (IST)

Just In | Kalpataru Power Transmission Limited has secured new orders of Rs.1,288 Crores. The details are as follows:
• Transmission & Distribution business has secured projects of Rs 771 crore primarily in international markets
• Two projects in Oil and Gas business totalling Rs 517 crore 
MoneyControl

Mar 11, 12:48 PM (IST)

Barring IT, all indices trade higher

Mar 11, 12:40 PM (IST)

Premature to call current market gains as pre-election rally, says Saurabh Mukherjea

Saurabh Mukherjea, the founder of Marcellus Investment Managers, is of the view that it would be premature to call the current market rally as a pre-election rally. “It could be that the Indian market is basically catching up with the global market rally,” he said in an interview with CNBC-TV18.

Mar 11, 12:19 PM (IST)

Nikkei bounces after 4 days of losses, growth worries limit rise

Japan’s Nikkei share average snapped a four-session losing streak on Monday, although gains were limited as much weaker-than-expected U.S. job data dimmed the outlook for the global economy. The Nikkei ended the day up 0.47 percent at 21,125.09. The index crawled back towards a three-month peak of 21,860.39 scaled a week ago.  CNBC TV18

Mar 11, 12:17 PM (IST)

Shares of Aurionpro Solutions gained 5.2 percent intraday Monday after company won a prestigious order from Bharat Electronic.  MoneyControl

Mar 11, 12:06 PM (IST)

Balrampur Chini Mills, Graphite India and Vakrangee among new entrants in Reliance Nippon Life AM portfolio

Balrampur Chini Mills, Graphite India and Vakrangee stood among new entrants in the portfolio of this AMC last month. However, it exited stocks like Hathway Cable, Just Dial, Kajaria Ceramics, SREI Infra, Tata Communications and Tata Elxsi.   ET Markets

Mar 11, 12:04 PM (IST)

Aditya Birla AMC adds exposure to DHFL, exits Suzlon Energy

Birlasoft, Chalet Hotels, Dewan Housing Finance, Divi’s Labs, Hexaware Technologies, IDBI and REC also stood among the list of newly bought stocks. On the other hand, it completely exited stocks such as GMR Infrastructure, Hindustan Aeronautics, J&K Bank, Just Dial, Page Industries, Sintex Plastics, Sunteck Realty and Suzlon Energy. ET Markets

Mar 11, 12:02 PM (IST)

ICICI Prudential Mutual Fund exits CESC Ventures, Spencer’s Retail

The fund house held equity assets of Rs 1.20 lakh crore as of February 28. During the month, it completed its exit from CESC Ventures and Spencer’s Retail. However, it added 6.82 crore shares of National Aluminium during the month. This was followed by NTPC (3.78 crore), ITC (3.68 crore), SBI (3.59 crore), Bank of Baroda (1.50 crore), Axis Bank (1.44 crore), ONGC (1.24 crore) and NHPC (1.24 crore). ET Markets

Mar 11, 11:48 AM (IST)

Buzzing: Shares of Ashoka Buildcon has surged 6 percent after the company’s subsidiary received LoA from NHAI.  MoneyControl

Mar 11, 11:39 AM (IST)

Mentha oil futures gain 0.99% as demand picks up

Mentha oil prices were up by 0.99 per cent to Rs 1,652 per kg in futures market Monday as speculators raised bets amid pick-up in demand from consuming industries in the domestic spot market. Further, tight stocks position on fall in supplies from Chandausi in Uttar Pradesh influenced mentha oil prices. – ET Markets

Mar 11, 11:18 AM (IST)

Eicher Motors hits over 2-month high; chart suggests more upside

Shares of Eicher Motors Ltd gained as much as 3.33 per cent to Rs 22,599.95, highest since Jan. 1
Stock broke above a resistance at Rs 22,264.5, the 23.6 per cent Fibonacci retracement level of the downtrend from Sep. 8, 2017 high to Jan. 29, 2019 low
A close above the 23.6 per cent level may lead to further price rise up to the next resistance at Rs 24,407.75, the 38.2 per cent level, though some resistance is also expected at the 200-day exponential moving average
Stock’s wave pattern suggests it has completed a three-wave downtrend that started on Sep. 8, 2017 and it is now in a five wave uptrend
Trend intensity (TI) indicator rises to 17, suggests prices are trending upwards, MACD is positive and above its signal line
Stock up 4.9 per cent in the last one month as of Friday’s close, outperforming the broader NSE Index’s 0.8 per cent gains in the same period (Source: Reuters)

Mar 11, 11:16 AM (IST)

Shares of Unichem Laboratories added 3.2 percent intraday Monday after successful inspection at Ghaziabad facility by USFDA– MoneyControl

Mar 11, 10:56 AM (IST)

Dilip Buildcon shares jump 7 percent on NHAI project win

Shares of Dilip Buildcon rallied over 7 percent in the early morning trade on Monday after the company said it was declared the lowest bidder for an NHAI project in Maharashtra.”The company has been declared L-1 bidder for the EPC project in the state of Maharashtra, valued at Rs 480.06 crore by the National Highways Authority of India (NHAI),” it said in a filing.

Dilip Buildicon has risen over 30 percent in March and 75 percent in the last one month. – CNBC TV18

Mar 11, 10:42 AM (IST)

Jet Airways surge amid reports of receiving fresh loan from PNB; stock up 13% in March

Shares of Jet Airways gained as much as 4.6 percent to Rs 254.50, on news reports that the airline company has received a fresh loan of Rs 2,050 crore from Punjab National Bank (PNB). The airline had also raised foreign currency term loans worth Rs 1,100 crore and a non-fund based credit facility of Rs 950 crore from PNB, the Mint report said citing loan documents. CNBC TV18

Mar 11, 10:23 AM (IST)

Buy Axis Bank, UPL & Bajaj Auto, says Motilal Oswal’s Yogesh Mehta

The latest analysis and commentary by stock market guru Yogesh Mehta, vice president-equity advisory at Motilal Oswal Securities on what is moving the markets today. He shared his views and readings on Axis Bank, Bajaj Auto and UPL. CNBC TV18

Mar 11, 10:17 AM (IST)

Buzzing: GMR Infrastructure shares gained 1.5 percent after company’s subsidiary GMR Airports (GAL) received the formal letter of award (LoA) from MIHAN India, the concessioning authority for the Nagpur Airport. – MoneyControl

Mar 11, 10:13 AM (IST)

Arvind Fashions hits 5% upper circuit for 2nd consecutive day

Shares of Arvind Fashions hit the 5 per-cent upper circuit on Monday morning for the 2nd consecutive day. It was listed on Friday at a price of Rs 591.75, but consequently ended the day at Rs 621.30.

On Monday, the scrip hovered at Rs 652.35, up 5 per cent at around 09:40 am while the benchmark BSE Sensex was up 0.80 per cent at 36,964.78.

Investors of Arvind Fashions faced confusion on Friday, as the demerged entity of Arvind, which got listed on stock exchanges, opened at a price that was much lower than the Street estimates. – ET Markets

Mar 11, 10:10 AM (IST)

SBI hits 1-month high on Essar Steel, loan pricing news

Shares of State Bank of India hit a one-month high of Rs.289.00 as the National Company Law Tribunal on Friday approved the acquisition of bankrupt Essar Steel by ArcelorMittal for Rs 420 billion. The bank’s shares also gained as the lender has linked rates on some savings bank deposits and short-term loans to RBI’s repo rate. Effective May 1, SBI’s all cash credit accounts and overdrafts with limits of more than Rs 100,000 would be linked to the repo rate, currently at 6.25 percent, with a spread of 2.25 percent. Brokerage Morgan Stanley reportedly said this move will help reduce volatility in the lender’s margins over time and key things to monitor will be the impact on deposit growth and strategy of peers. In a post-earnings conference call in February, SBI Chairman Rajnish Kumar had said that resolution of Essar Steel would help the bank write back provisions to the tune of 60 bln rupees. At 10.04 am, shares of SBI traded up 2.7 percent at Rs 288.90. – CNBC News

Mar 11, 09:38 AM (IST)

Dilip Buildcon declares as lowest bidder: Shares of Dilip Buildcon rose 6 percent in the early trade on Monday after company declared as lowest bidder for the project in the state of Maharashtra.

The company has been declared L-1 bidder for the EPC project in the state of Maharashtra, valued at Rs 480.06 crore by the National Highways Authority of India (NHAI). – MoneyControl

Mar 11, 09:20 AM (IST)

OPENING BELL: Sensex rises 150 points, Nifty50 nears 11,100; Jet Airways, IDBI Bank gain 3% – ET Markets

Mar 11, 09:08 AM (IST)

Rupee Opens: The Indian rupee gained in the early trade on Monday. It has opened higher by 14 paise at 70.01 per dollar versus previous close 70.15. – MoneyControl

Mar 11, 09:04 AM (IST)

Market at pre-open: Benchmark indices are flat in the pre-opening trade with positive bias Nifty around 11,100 level.

The Sensex is up 32.77 points at 36704.20, while Nifty is up 44.70 points at 11080.10.

Titan, L&T, SBI, are among major gainers in the pre-opening session. – MoneyControl

Mar 11, 08:52 AM (IST)

FPIs buy Rs 1,095 crore worth of equities

Foreign portfolio investors (FPIs) bought Rs 1,095 crore worth of domestic stocks on Friday, data available with NSE suggested. DIIs were net sellers to the tune of Rs 470 crore, data suggested. – ET Markets

Mar 11, 08:51 AM (IST)

Sensex on Friday

Benchmark Sensex dropped 54 points, or 0.15 per cent, to 36,671 and NSE’s Nifty ended the day at 11,035, down 23 points or 0.21 per cent. – ET Markets

Mar 11, 08:42 AM (IST)

Asian markets trade lower: Asian shares pulled back on Monday after US employment data raised doubts about the strength of the global economy while investor jitters ahead of crucial Brexit votes in the UK parliament this week weighed on the pound. – MoneyControl

Mar 11, 08:24 AM (IST)

Crude Update: Oil prices rose on Monday, lifted by Saudi oil minister Khalid al-Falih saying an end to OPEC-led supply cuts was unlikely before June and a report of falling US drilling activity. – MoneyControl

Mar 11, 08:00 AM (IST)

SGX Nifty: Trends on SGX Nifty indicate a flat opening for the broader index in India, a fall of 15 points or 0.14 percent. Nifty futures were trading around 11,043-level on the Singaporean Exchange. – MoneyControl

– TFM News (The Future Markets) | http://www.thefuturemarkets.com

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Glencore signed deal with Canada’s Noranda on the terms of zinc treatment

Glencore signed deal with Canada’s Noranda on the terms of zinc treatment charges

Noranda’s operations include a zinc processing facility in Quebec, last year agreed to buy zinc concentrate from Glencore and sell refined metal back to the miner under a 4-years contract where terms will be negotiated each year.

By ReutersTFM Watch

FILE PHOTO: The logo of commodities trader Glencore is pictured in front of the company’s headquarters in Baar, Switzerland, July 18, 2017. REUTERS/Arnd Wiegmann/File Photo

LONDON (Reuters) – Global trader and miner Glencore has signed a deal with its Canadian subsidiary Noranda Income Fund on the terms of zinc treatment charges for the coming year, but did not reveal the fees, the fund stated on Friday.

Noranda’s operations include a zinc processing facility in Quebec, last year agreed to buy zinc concentrate from Glencore and sell refined metal back to the miner under a 4-years contract where terms will be negotiated each year. The market terms of the deal were not disclosed.

However, Noranda said it had negotiated a combination of 50 percent of the concentrate feed at a fixed treatment charge and the rest at a flexible charge that will reflect market movement during the period.

Benchmark treatment charges – the fees miners pay smelters to process their ore – are usually settled between major smelters and miners at the International Zinc Conference, which took place last week.

Supply of feed is rising as can be seen in spot treatment charges, which have risen above $200 a tonne on the spot market from $30 early last year.

“Over the last several months, treatment charges have rebounded in favor of smelters but the pricing environment threatens to continue to be volatile,” Noranda said in a statement.

The deal covers the agreed annual treatment period which runs from May 1, 2019, to April 30, 2020. Glencore is a major producer of zinc, which is used to galvanize steel.

Source: Reuters

– TFM Watch

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Home-renting company Airbnb acquires hotel listings app HotelTonight

Home-renting company Airbnb acquires hotel listings app HotelTonight

The acquisition, which Airbnb announced on Thursday, expands the company’s inventory by adding a number of listings from hotels, long viewed as the arch enemy of Airbnb, and is part of a strategy to win over travelers who have shied away from the risks and quirks of renting a stranger’s home.

– TFM Watch

SAN FRANCISCO (Reuters) – Home-renting company Airbnb has bought HotelTonight, an app for finding hotel rooms at a discount, as it wades deeper into the hotel-booking business to attract a wider variety of travelers ahead of a hotly anticipated initial public offering.

The acquisition, which Airbnb announced on Thursday, expands the company’s inventory by adding a number of listings from hotels, long viewed as the arch enemy of Airbnb, and is part of a strategy to win over travelers who have shied away from the risks and quirks of renting a stranger’s home.

The bid to become a one-stop travel service for more mainstream sightseers puts Airbnb more squarely in competition with large travel sites such as Expedia Group Inc and Priceline.

Airbnb declined to provide the terms of the deal.

HotelTonight has raised more than $115 million in funding and was last valued at $463 million in a funding around in 2017.

Airbnb Chief Executive Officer Brian Chesky called the acquisition “a big part of building an end-to-end travel platform.” Airbnb has steadily moved into new businesses outside of homes, whose growth is threatened by regulations that cap short-term rentals.

The company has added guided tours and activities, luxury homes and restaurant reservations and is pursuing adding transportation services. Early last year, it made changes to its site to make it easier for boutique hotels and bed-and-breakfasts to list their rooms.

In 2018, Airbnb more than doubled the number of available rooms in hotels, resorts, hostels and similar venues. As a result, the company had three times the number of hotel room bookings in 2018 compared to 2017, often by first-time Airbnb users, the company said. And more people are booking Airbnb rooms or homes at the last-minute, many of them business travelers, the company said.

Last-minute booking is HotelTonight’s sweet spot. The San Francisco-based company culls unsold inventory from hotels and offers discounted rooms to travelers, often targeting business districts and urban areas. It started as a service for same-day room bookings, but now lets users book months in advance.

Although the company has struggled to stand out from the travel-booking giants, HotelTonight is profitable. It spent much of 2016 cutting losses through layoffs and eliminating costly promotions to go from burning $2 million to $3 million each month to earning a profit, CEO and Co-founder Sam Shank told Reuters. But it faced immense pressure from investors to grow in a crowded industry.

HotelTonight’s listings include large hotel chains such as Sheraton and Hyatt that Airbnb has said will not have a place on its site. Airbnb and HotelTonight will operate as separate entities, Airbnb said, with HotelTonight keeping its own app and website. Over time, Airbnb will add select boutique HotelTonight rooms, but will not change its standards for hotel listings.

Airbnb has been one of the most active acquirers among highly valued venture-backed tech companies. Valued at $31 billion and profitable, it preparing for an IPO this year, and investors will be focused on its growth prospects.

Three HotelTonight executives whose roles are not continuing after the acquisition will be out of a job, according to a person familiar with the deal’s terms, while the remaining employees will join Airbnb.

Source: Reuters

– TFM Watch

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India’s bankruptcy court NCLT approves ArcelorMittal’s takeover of Essar Steel

India’s bankruptcy court National Company Law Tribunal (NCLT) approves ArcelorMittal’s takeover of 10 million tonne steel plant of Essar Steel

ArcelorMittal confirmed the National Company Law Tribunal (NCLT) had approved the takeover of the 10 million tonne steel plant of Essar Steel by itself and Japan’s Nippon Steel & Sumitomo Metal Corp, paving the way for the first major foreign participation in India’s steel sector.

– TFM Watch

(Reuters) – India’s bankruptcy court on Friday approved global steel giant ArcelorMittal SA’s bid for debt-ridden Essar Steel, potentially ending months of court battles and opening the country’s steel industry to outsiders.

ArcelorMittal confirmed the National Company Law Tribunal (NCLT) had approved the takeover of the 10 million tonne steel plant of Essar Steel by itself and Japan’s Nippon Steel & Sumitomo Metal Corp, paving the way for the first major foreign participation in India’s steel sector.

ArcelorMittal has been trying to enter India’s fast-growing steel market, which is dominated by local companies, for over a decade but bureaucratic hassles and land acquisition woes stifled its bids.

“We welcome today’s pronouncement by the NCLT Ahmedabad,” ArcelorMittal said in a statement. “We hope to complete the transaction as soon as possible.”

Essar Steel, with debts of 50.78 billion rupees ($725.38 million), was among the so called dirty dozen – twelve large steel and other infrastructure companies which defaulted and were referred to India’s bankruptcy court in 2017.

The company became synonymous with the tardy pace of debt resolution by Indian banks saddled with billions of dollars of bad loans.

When a new bankruptcy law was introduced in 2016 by Prime Minister Narendra Modi, it was seen by investors as a bold move which would ease lending pressure on banks and boost private investment.

However, three years later, most large cases are still languishing in the courts or yet to be resolved – bad news for Modi who is seeking re-election in a month’s time amid border tensions and growing discontent due to high unemployment.

The NCLT approved ArcelorMittal’s bid in October, even as Essar’s founders – the billionaire Ruia family – tried to hold onto the company, offering 543.89 billion rupees to clear its debts.

“We continue to believe that our settlement proposal…is the most compelling one available to Essar Steel creditors,” Essar said in a statement on Friday.

“We are awaiting a copy of the NCLT order, and will take a call on next steps after examining the same,” the statement added.

The case between ArcelorMittal and the Ruia family reached the Supreme Court in January, with Essor’s debt resolution process lasting around 600 days in total.

Local steel giant JSW Steel Ltd and mining conglomerate Vedanta Ltd also bid for the western Indian steel plant.
ArcelorMittal said in October the company would pay a total of 420 billion rupees ($5.73 billion) towards Essar Steel’s debt and put another 80 billion rupees into operations and profitability.

Source: Reuters

– TFM Watch

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L&T Hydrocarbon Engineering secures significant order from ONGC

L&T Hydrocarbon Engineering secures significant order from Oil & Natural Gas Corporation (ONGC).

Project scope includes EPCIC of three (03 Nos.) well head platforms, one (01 No.) bridge connected well head cum riser platform, -59 km pipelines, 3 nos. of clamp-on structure and modification work on two existing platforms.

– TFM News

L&T Hydrocarbon Engineering Ltd (LTHE), a wholly owned subsidiary of Larsen & Toubro (L&T), has won a significant order from Oil & Natural Gas Corporation (ONGC).

The Engineering, Procurement, Construction, Installation and Commissioning (EPCIC) contract is for development of Cluster-8 marginal field which is part of Mumbai High Asset located about 210 km to the west of Mumbai city.

Project scope includes EPCIC of three (03 Nos.) well head platforms, one (01 No.) bridge connected well head cum riser platform, -59 km pipelines, 3 nos. of clamp-on structure and modification work on two existing platforms.

The contract has been awarded through international competitive bidding on a Lump Sum Turn Key (LSTK) basis. This award reposes ONGC’s confidence in LTHE’s EPCIC capabilities and LTHE’s commitment to continue to support ONGC and contribute to India’s energy security.

Organized under Offshore, Onshore, Construction Services, Modular Fabrication and Engineering Services verticals, LTHE delivers ‘design to build’ engineering and construction solutions across the hydrocarbon spectrum.

Source: The Future Markets

– TFM Watch

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Water Technology firm VA Tech Wabag bags order worth Rs. 575 crore in Kolkata, West Bengal

Water Technology firm VA Tech Wabag bags order worth Rs.575 crore in Kolkata, West Bengal

The project will be executed on Public Private Partnership basis under the Hybrid Annuity Model. WABAG will build the sewage treatment plants over a period of 24 months and further Operate & Maintain them over a period of 15 years.

– TFM News

Va Tech Wabag has secured Rs. 575 crore worth order under the prestigious National Mission for Clean Ganga (‘NMCG’) Scheme to Design, Build, Rehabilitate and Operate Sewage Treatment Facilities and associated infrastructure in Kolkata, West Bengal.

The project will be executed on Public Private Partnership basis under the Hybrid Annuity Model. WABAG will build the sewage treatment plants over a period of 24 months and further Operate & Maintain them over a period of 15 years.

The Design, Build, Rehabilitate and Operate contract from Kolkata Municipal Development Authority, funded by NMCG includes Engineering, Supply and Construction of new Sewage Treatment Plants, Renovation and Up-gradation of existing Sewage Treatment Plants, Rehabilitation of pumping stations and other associated infrastructure. WABAG will build the plants using resource recovery from bio-sludge in line with India’s green power vision.

On Friday, VA Tech Wabag was trading at Rs.327, up by 0.25%, with a volume of 5601 shares on the BSE.

Source: The Future Markets

– TFM Watch

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RBI fines Rs.71 crore on 36 foremost banks for non-compliance in SWIFT

RBI fines Rs.71 crore on 36 foremost banks for non-compliance in SWIFT (Global Messaging Software) operations

  • RBI Stated that the penalties ranging from Rs.1 crore to Rs.4 crore were enforced by orders dated January 31, 2019, and February 25, 2019
  • RBI had carried out an evaluation of compliance with its orders on SWIFT related operations with 36 Banks.
  • Fine of Rs.4 crore each has been enforced on Bank of Baroda, Catholic Syrian Bank, Citibank N.A., Indian Bank and Karnataka Bank.

– TFM Watch

The Reserve Bank of India on Friday stated it has enforced penalties worth Rs.71 crore on 36 public, private and overseas banks for non-compliance with various instructions on time-bound execution and strengthening of SWIFT operations.

SWIFT is a worldwide massaging software utilized for transactions by financial entities. The enormous Rs.14,000-crore fraud at the PNB was an instance of misuse of this massaging software. Bank of Baroda, City Union Bank, HSBC, ICICI Bank, SBI and YES Bank are the few foremost banks in the list.

The penalties were ranged between Rs.1 crore to Rs.4 crore, were enforced by orders dated January 31, 2019, and February 25, 2019, the RBI stated. And added, penalties are based on lacks of regulatory compliance and “is not planned” to pronounce upon the validity of any transaction entered by the banks with their customers.

The RBI had carried out an evaluation of compliance with its orders on implementation and strengthening of SWIFT related operational controls of 50 foremost banks. The evaluation, the RBI stated, uncovered that banks had not followed one or more of the important instructions relating to making of payment messages in the SWIFT and introduction of an extra layer of approval for all payment messages surpassing a specific limit, among others.
On the bases of evaluation conclusions and extent of non-compliance, notices (SCNs) were issued to 49 banks encouraging them to indicate cause regarding why fines should not be enforced for non-compliance with instructions.

“After considering the responses received from the banks, oral submissions made in the personal hearings where sought by the banks and examination of additional submissions, RBI decided to enforce fines on 36 banks, based on the extent of non-compliance in each bank,” the Reserve bank stated.

Fine of Rs.4 crore every ha been forced on Bank of Baroda, Catholic Syrian Bank, Citibank N.A., Indian Bank and Karnataka Bank.

The penalty on BNP Paribas, City Union Bank, Indian Overseas Bank, UCO Bank, Union Bank of India, and United Bank of India, is Rs 3 crore each.

The sum of Rs.2 crore each for Allahabad Bank, Bank of Maharashtra, Canara Bank, DCB Bank, Dena Bank, Jammu and Kashmir Bank, Oriental Bank of Commerce, and Syndicate Bank.

Fine of Rs.1 crore each has been enforced on Bank of America, Barclays Bank Plc, Central Bank of India, Corporation Bank, DBS Bank, Deutsche Bank A.G., HSBC, ICICI Bank and IDBI Bank.

Rs.1crore penalty was included IndusInd Bank, JP Morgan Chase Bank, Karur Vysya Bank, Punjab and Sind Bank, Standard Chartered Bank, State Bank of India, Tamilnad Mercantile Bank and YES Bank.

Source: PTI – Indiatoday

– TFM Watch

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Sysnet Global Solutions turns out to be first to accomplish PCI SSC Qualified PIN Assessor listing

Sysnet Global Solutions turns out to be first to accomplish PCI SSC Qualified PIN Assessor listing

The standard promotes secure management, handling and transmission of all PIN information at ATMs and POS terminals.

– TFM Watch

Sysnet Global Solutions has turned into the first organization globally, to be registered on the Payment Card Industry Security Standards Council’s (PCI SSC) Qualified PIN Assessors (QPA) listing.

The newly appointed QPA status company Sysnet Global Solutions has the option to approve a substance’s adherence to the PCI PIN Standard, by the PCI Council.

In August 2018, the PCI SSC published its PCI PIN Security Requirements and Testing Procedures version 3.0. The security standard promotes the secure management, processing and transmission of all PIN information at ATMs including attended and unattended point of sale (POS) terminals.

This update is outcome of joint effort between PCI SSC and the Accredited Standards Committee (ASC X9) to make a unified standard for payment partners.

James Devoy, EVP Cyber Risk at Sysnet, stated: “The PCI SSC has been developing a program to train and qualify security assessors to provision implementation of its new PIN Security Standard. Presently it’s launched, we are pleased to be the first organization to accomplish full Qualified PIN Assessor status.”

“At Sysnet, we have expertise in supporting payment organisations in accomplishing and maintaining compliance with many standards and are therefore pleased to be able to assist banks and other payment associations to comply with this latest PCI Council standard”

Source: MoneyControl

– TFM Watch

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Egypt’s EFG Hermes is recommending on $500 million merger and acquisition agreement in Saudi Arabia

Egypt’s EFG Hermes is recommending on $500 million merger and acquisition agreement in Saudi Arabia

Highlights

  • Saudi Arabia has made captivating bigger foreign investment a key part of its economic Vision 2030 strategies.
  • EFG Hermes is one of the banks advising on the possible $1 billion listing of Fawaz Alhokair Group’s Arabian Centers Company.
  • EFG Hermes is working at a possible final quarter $300 million IPO, Fahmi said.
– TFM Watch

EFG-Hermes-eyes-acquisition-in-Nigeria-Kenya-brokerage-licence.jpg

Egypt’s EFG Hermes is taking a shot at a $500 million merger deal in Saudi Arabia and assumes more deals should come out of the kingdom in current year, particularly from the private section, its head of investment banking said to Reuters.

Saudi Arabia has made captivating bigger foreign investment a key part of its economic Vision 2030 strategies as it attempts to enhance the economy far from its dependence on oil. The kingdom’s looming consideration in the FTSE Russell developing markets this month is assuming billions of dollars of foreign capital flows.

“Saudi I think will be remarkably occupied,” Mohammed Fahmi stated, on the sidelines of the bank’s investment gathering in Dubai which is occurring this week. “I’m seeing a lot of RFPs (request for proposals) originating from Saudi for IPOs. Private sector organizations hoping to go public, which I believe is a valuable thing.” The bank is additionally advising on an initial public offerings (IPO) in Saudi Arabia, Fahmi stated, however would not give any more details.

EFG Hermes is one of the banks advising on the possible $1 billion listing of Fawaz Alhokair Group’s Arabian Centers Company expected in the second quarter, Reuters has posted, however EFG has declined to comment on its job.

Another official at EFG Hermes told Reuters in December that the investment bank was working on bigger M&A delas in health sector in Saudi Arabia.

Additionally, Fahmi said there were discussions in progress in the automotive, banking and facilities management segments in the kingdom and in the United Arab Emirates.

In Egypt, EFG Hermes is working at a possible final quarter $300 million IPO, Fahmi said.

Another IPO for state-possessed Alexandria Container and Cargo Handling may happen when the second quarter of this current year, Mohamed Ebeid, co-CEO of EFG Hermes Investment Bank told Reuters. EFG Hermes is managing deal along with Citigroup.

Egypt this week revitalized its privatization program, which has lain dormant for more than a decade, with the clearance of a 4.5 percent stake in tobacco monopoly Eastern Company, which EFG advised on.

EFG Hermes is additionally taking a shot at various IPOs with privately owned businesses in Egypt, Ebeid stated, for the most part on the industrial side.

($1 = 17.5000 Egyptian pounds)

Source: Reuters

– TFM Watch

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Carlyle Group obtains 9% stake in SBI Life from BNP Paribas Cardif’s current stake

Carlyle Group obtains 9% stake in SBI Life from BNP Paribas Cardif’s current stake

Highlights

  • Carlyle Group has bought 9.2 crore shares or 9.23 percent stake out of existence stake from BNP Paribas Cardif.
  • The transaction valued Rs.4600 crore after 10 percent discount on Thursday closing of Rs.580.50.
  • Carlyle’s value for this venture originated from CA Emerald Investments, an associated element of Carlyle Asia Partners V.
– TFM Watch

carlyle-group-tmagArticle.jpg

International investment firm Carlyle Group has bought 9.2 crore shares which is 9.23 percent from the existing stake of BNP Paribas Cardif. Out of which 9 crore shares were acquired by CA Emerald Investments an associate of Carlyle group.

The transaction valued Rs.4600 crore after 10 percent discount on Thursday closing of Rs.580.50. Following this deal, BNP Paribas Cardif’s stake in SBI Life has redused to 12.8 percent from 22 percent while Carlyle’s holding through CA Emerald Investments is at 9 percent. And SBI holds major part with 62.1 percent stake in the organization.

SBI Managing Director (worldwide banking and auxiliaries) Dinesh Kumar Khara said SBI Life acknowledges the help given via Cardif in this adventure and anticipate Carlyle’s help to the organization.

The life coverage industry in India has a solid development potential thanks to positive demographics and raising attention in financial savings, said Sunil Kaul, MD of the Carlyle Asia Buyout warning group.

BNP Paribas said it assumes to make after tax capital gain of 450 million euros (about $510 million) from the deal in the next quarter.

SBI Life said in a regulatory filing that “Distinctly, our company has also been informed by BNP Paribas Cardif SA, that it has successfully sold 9.23 crore equity shares of our company, overall representing 9.2 percent of the total issued and paid-up equity share capital of our company, as on March 1, 2019,”.

Carlyle’s value for this venture originated from CA Emerald Investments, an associated element of Carlyle Asia Partners V, Carlyle’s leader USD 6.55 billion capital concentrated on buyout and strategic investments over a scope of divisions in Asia Pacific, a joint press explanation said.

Carlyle has put resources into the capital services industry in Asia Pacific for a long time, sending more than USD 4 billion of value in excess of 15 private equity investments as of December 31, 2018.

In India, Carlyle’s ongoing interests in money related administrations incorporate PNB Housing Finance and SBI Card.

Source: PTI – MoneyControl  and Bloombergquint

– TFM Watch

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Telsa’s CEO Elon Musk presents estimate again for its 2019 production on Friday

Telsa’s CEO Elon Musk presents estimate again for its 2019 production on Friday

Highlights

  • Tesla will make somewhere in the range of 420,000 and 600,000 vehicles in 2019.
  • A fizzled Tweet landed CEO Musk in the line of sight of the U.S. Securities and Exchange Commission three days prior.
  • Here’s his full statement about how he come to this most recent calculation: “350,000 to 500,000 Model 3s, is what I said in the earnings call and then we would expect to make somewhere between 70,000 to 100,000 of the S and X. So, the lower bound would be 350,000 plus 70,000, and the upper bound would be 500,000 plus 100,000.”
– TFM Watch

tesla-dallas

Tesla will make somewhere in the range of 420,000 and 600,000 vehicles in 2019, the CEO said on a call with reporter to about the arrival of Tesla’s new $35,000 version of the Model 3 car. He gave the projection when asked whether Tesla will be able to surge production for its most reasonable vehicle.

Musk’s figures are a delicate subject. A fizzled Tweet landed him in the line of sight of the U.S. Securities and Exchange Commission three days prior. Here’s an unpleasant breakdown of how his 2019 assessments have progressed:

  • In a Jan. 30 investor letter, Tesla anticipated conveyances of 360,000 to 400,000 autos.
  • Hours after the fact, Musk said on a profit call the organization will create 350,000 to 500,000 Model 3s alone.
  • On Feb. 19, Musk tweeted Tesla will deliver around 500,000 vehicles in 2019.
  • Hours after the fact, Musk sent a subsequent tweet illuminating that the organization will come to an “annualized generation rate” of 500,000 before the year’s over. “Conveyances still evaluated to be about 400k”.
  • On Feb. 25, the SEC requested that a judge hold Musk in scorn of a settlement achieved a year ago, which expected him to get pre-endorsement from an in-house legal advisor before issuing tweets with material data.

Note: Production commonly surpasses conveyances by a couple of percent.

Estimation for the Model S and Model X

Musk’s most recent update incorporates his first estimate for 2019 creation of the Model S vehicle and Model X SUV, which he said will be somewhere in the range of 70,000 and 100,000. Early this year, Tesla raised costs and added features to the base variants of these models, leaving investors to ponder what the new measurement of demand might be.

On Thursday, Tesla brought down the cost of all vehicles as it cuts costs by shutting stores and moving all business worldwide to online-just requesting. The Model S presently begins at $79,000, and the Model X starts at $88,000.

While Musk forewarned “we don’t have a crystal ball,” here’s his full statement about how he come to this most recent calculation:

“350,000 to 500,000 Model 3s, is what I said in the earnings call and then we would expect to make somewhere between 70,000 to 100,000 of the S and X. So, the lower bound would be 350,000 plus 70,000, and the upper bound would be 500,000 plus 100,000.”

Source: bloomberg

– TFM Watch

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