Crude oil prices fall on back of escalating tensions between US and China. Reliance Industries share price falls over 10% in four days, loses more than INR96,288cr in market value. Uber expected to price its IPO at or below the midpoint of its expected price range. Disney’s revenue rose to $14.9bn in Q2. 12% increase in the profits of Fox Corp. in Q1.
Patanjali to invest INR600cr from internal accruals to fund Ruchi Soya acquisition. RBI withdraws circular asking banks to reveal their IL&FS exposure.
At Any Cost: Patanjali Ayurved has proposed to invest INR600cr from its ‘internal accruals’ to help fund its proposed INR4,350cr acquisition of debt-laden Ruchi Soya.
Patanjali is in talks with banks to help fund a large part of the transaction even as it has so far received commitment for about INR3,900cr. It is also likely to raise INR450cr each through non-convertible debentures and preferential shares.
Stepping Back: The RBI has withdrawn its previous circular asking banks, financial institutions to declare details of their exposure to the Infrastructure Leasing & Financial Services (IL&FS) Group that are bad loans.
The development comes as the NCLAT has allowed banks to declare the defaulting accounts of IL&FS as non-performing assets (NPAs).
According to the NCLAT order, banks can declare the defaulting accounts of the beleaguered group as NPAs but they cannot start the recovery process and debit money until a resolution for the group is found.
RBI warns Finance Commission of factors that may lead to fiscal slippage.