Rolta has denied the report from Glaucus Research which indicated fabrication of the reported capital expenditures in order to mask their materially overstated EBITDA. But Amit Tandon, MD of Institutional Investor Advisory Services is not convinced and says just a denial of charges by the company is not good enough.
The research report said the company does not produce free cash flow and cannot repay offshore bondholders without refinancing and advised investors to sell the company's bonds due 2018 and 2019.
The partnership with Hitachi is for big data analytics, said KK Singh, CMD, Rolta India
KK Singh of Rolta India said the company is already ready with the products, so the prototypes would take less than a year to be done.
The government will fund 80 percent of the prototype cost and partners will be expected to fork out the remaining 20 percent.
Rolta is seeing traction coming in from such as US and Middle East, Rolta India CMD KK Singh said. In growing verticals, the company is focusing on big data analytics, 3D modeling and defense systems, he added.
Rolta announced that it has been awarded a prestigious 3D City Modeling contract by a major Middle-East country.
KK Singh, CMD, Rolta India, says the rationale behind hiking promoter stake holding is on account of the condition that defence sector companies need to have atleast 50 percent promoter stakeholding to be able to participate in manufacturing and in defense make India programmes.
Rolta India recently got a USD 31 million contract from Memphis Light Gas and Water for Oracle enterprise resource planning (ERP) Project. KK Singh, CMD of Rolta India told CNBC-TV18 the importance of such a large order, strategies and the future expectations.
In an interview to CNBC-TV18, KK Singh, the chairman and managing director of Rolta India talks about the funding of USD 135 million which it has tied up via external commercial borrowings to buyback and or redeem its Zero Coupon Foreign Currency Convertible Bonds due on June 29.
KK Singh, chairman and managing director of Rolta says, external commercial borrowings (ECB) funding for FCCB repayment is almost finalised. “It’s almost in the last leg of finalisation. We should be able to do that in the first week of January.”
The Indian rupee has hit a fresh two-year low as it fell to 48 against the dollar in early trade on Wednesday. KK Singh, chairman and managing director of Rolta India, discusses the impact of rupee’s decline on Indian companies on CNBC-TV18.
Rolta has announced that it has sold 50% of its stake in Shaw Rolta. In an interview with CNBC-TV18, KK Singh, CMD, Rolta India threw light on the stake sale.