Hush-hush tales from the world of stock markets, banking, corporate world and corridors of power
Last Updated: May 30, 2022 / 08:57 AM IST
Full-blown Crisis At Bank
Against the full strength of 11, the number of board members in this bank has now whittled down to just five. If one excludes the CEO and the RBI nominees, the board members are merely three. This situation arose after a series of resignations including one last month. Although personal reasons were cited, we hear the real reason why the directors resigned was an open threat from powerful shareholders about a forced ouster at an impending extraordinary general meeting. This was because the directors refused to toe the line of shareholders. What is more worrying is this bank won't be able to appoint additional directors due to an ongoing court case. This would mean if one more director resigns, the bank will be left with just one director excluding CEO and RBI directors that will push it to nothing short of an administrative crisis. Will the RBI let that happen? We will update you on this. Watch this space!
A domestic airline recently blamed external forces for the delay in flights. It raised quite a few eyebrows because, well, the airline has a habit of coming up with such reasons. Industry experts said the ransomware attack may have been a cover-up by the airline to not bring its financial health into the limelight. Government officials said flights of the airline have in the past also been delayed due to non-payment of daily due to airports. This is one jinxed airline, no doubt.
Health Is Wealth?
At a recent meet to discuss opportunities and challenges in the health insurance industry, various industry bodies emphasised a great deal on consumers choosing budget hospitals rather than “five- star hospitals” for in-patient services. They cited instances of how most patients and their families during the hospitalisation exhaust the sum assured within a few days, and later fight with insurance companies when they need to pay out of pocket for extra expenditure incurred during the treatment. These instances, they complained, have particularly been rampant during the COVID-19 period.
Retail M&A Therapy
Speculation is rife that a European wholesale retailer has decided to call it quits in India. While the wholesaler itself has rebuffed the claims saying its business is doing quite well in India and it is considering ‘strategic partnerships’, rumour has it that the company is in talks with an Asia-based cash-and-carry major, which entered India a few years back. We might hear an acquisition or a ‘strategic partnership’ announcement from the two players soon.
NFT Wait & Watch Strategy
We hear movie studios have kept on hold plans of entering the non-fungible token (NFT) space as things remain unclear with regulations on virtual digital assets. A person in touch with film production companies said 70-80 percent of his movie clients don't want to launch digital collectibles because there is lack of clarity in terms of taxation and regulations. There is caution amid production studios as they say the film industry becomes an easy target. Makers of some recent blockbuster movies are waiting for government regulations before they announce launch of NFTs.
Paint My Moves
The recent big bang move by a diversified conglomerate in the paints segment is being seen as a 'Jio' moment by the analyst community. For a change the group is the disruptive aggressor this time, considering it has faced the brunt for the past few years in the telecom segment. So is the market leader in the $8 billion plus domestic paints industry at risk? Game on, we guess!
The chief minister of this BJP-ruled state in the north has issued strict instructions to his staff to ensure that any important message from the CM's office is first sent out on local multi-lingual social media platform Koo. Until now, the CM's office would share posts simultaneously on all social media networks including Twitter and Koo, to name a few. At times, a tweet was sent out before Koo. But now the CM has urged staff to send out message on Koo first followed by a tweet in a few minutes.
Har Ghar Kuch Kehta Hai
A senior creative director has been changing homes and jobs for a while now. While that’s not something unheard of in the business of advertising, what’s interesting is the investments he is making in a bustling city. We hear that this creative director has been placing his bets on the real estate business and keeps a constant check on market trends. At a time when there is uncertainty in the advertising business, having a plan B, H and K is a solid move.
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