A round-up of the biggest articles from newspapers.
Tata Power set to raise up to Rs 5,500 crore for clean energy businesses
Tata Power is planning to raise anything between Rs 4,000 crore and Rs 5,500 crore of funds for Tata Power Renewables Energy Ltd (TPREL), reported The Economic Times.Why it’s important:
Tata Power had shelved talks for renewable energy InvIT plans with Petronas for a $2 billion investment to pare debt.
Now the plans are for raising equity for entire renewables portfolio such as operating and pipeline independent power producer assets, charging stations, rooftop solar, microgrids, panel manufacturing, engineering, procurement and construction.
The company is also targeting for a 40 percent green share by 2025.
The move is also considered as a potential value-unlocking and valuation benchmarking exercise for an eventual listing.
Tata-Airbus set to sign Rs 22,000-cr deal to make military plane tomorrow
The Tatas is set to sign a deal with Airbus Thursday to make transport aircraft for the Air Force, The Economic Times reported.Why it’s important:
The Cabinet Committee on Security has already given its approval two weeks ago.
The Rs 22,000-crore deal is the biggest military order with the private sector.
The location for the plant is almost finalised with Hyderabad and Bengaluru as favourites.
40 of the 56 C 295 transport aircraft will be manufactured at the local plant.
SEBI in talks to redefine promoter norms
The Securities and Exchange Board of India (SEBI) is in consultations with other regulatory authorities on the mode of transition from the traditional concept of promoters to that of controlling shareholders, reported The Economic Times.Why it’s important:
The regulators want to accurately reflect the corporate control of the companies.
The SEBI is in talks with the Reserve Bank of India (RBI), Ministry of Corporate Affairs and the Insurance Regulatory and Development Authority (IRDAI) to come out with a uniform framework.
The move is after institutional investors are more or less controlling the companies in the new world.
AAI plans to exit JV airports soon
The Airports Authority of India is planning to exit the JV airports as early as possible, The Times of India reported.Why it’s important:
The move is as part of the government’s plans to divest its stake in them to monetise assets.
AAI has 26 percent stake each in the Delhi and Mumbai JV airports and 13 percent each in Hyderabad and Bengaluru.
The aviation ministry is awaiting Cabinet approval to start the process with Bengaluru and Hyderabad first.
The AAI has also plans to privatise 13 more airports by clubbing seven small airports with six big ones.
The government plans to raise Rs 20,782 crore via aviation assets.
India has a great long-term growth capability: Dimon
In an interview with The Times of India, JPMorgan’s longest serving CEO Jamie Dimon said that the US economy is doing quite well.What Jamie Dimon says:
People sometimes overestimate the risk just like sometimes they underestimate them.
The biggest geopolitical risk is China. But that won’t necessarily derail the economy.
Inflation is probably a transitory piece.
India has a great long-term growth capability.
JPMorgan invests for the long run.
The bankruptcy code, taxes and reducing bureaucracy & building infrastructure and privatising are critical to growth.
Governments should acknowledge the things they don’t do well like banking.
Your government has generally tried to do the right things.
India could attract a lot more foreign direct investment, if it does a lot of things properly around financial market transparency, international banks, etc.
Temasek, Brookfield in race to buy Ramky Enviro stake for $1bn
Temasek Holdings and Brookfield Asset Management are the frontrunners to buy KKR’s 60 percent stake in Ramky Enviro Engineers for around $1 billion, reported Mint.Why it’s important:
There are at least four global investors eyeing the assets.
Ramky abandoned its plan for a public listing.
The move is to monetise the stake by selling it to global investors.
A potential deal would be the largest in the environmental services industry in India.
Ramky deals in generating power from waste and offers integrated environmental services.
No plans for fresh equity in Vi: Vodafone plc
Contrary to market buzz around promoters planning to invest more in the beleaguered Vodafone Idea, Vodafone plc said that it will not make any fresh equity infusion into it, reported the Business Standard.Why it’s important:
The UK telco major said: “Just to confirm our position, there will be no new equity infusion from Vodafone Group.”
The announcement is significant as it is the first time that Vodafone is coming oit with a reaction after the government relief package.
It is also significant as Airtel Chairman Sunil Mittal had recently reached out to Vodafone plc CEO Nick Read asking him to invest more in Vi.
The other partner, the AV Birla group, has not reacted to it yet.
Haldia Petro plans $30-bn expansion, likely to go for IPO
As part of its expansion plans, Haldia Petrochemicals is mulling to set up petrochemical complexes in Tamil Nadu, Andhra Pradesh, and Odisha, reported the Business Standard.Why it’s important:
The total investment is expected to be $30 billion.
The company is also planning an IPO.It is also looking at roping in a strategic investor to partially fund the investment plans.