Vodafone Welcomes Court Verdict
Vodafone welcomed the court ruling in favour of the British mobile giant which was engaged in a $490-million tax battle with local authorities. The tax fight is one of several embroiling the British company that has become a symbol of problems facing foreign firms doing business in Asia’s third-largest economy. Mumbai’s high court rejected allegations by local authorities that an Indian unit of Vodafone had underpriced shares in a rights issue to its British parent. Indian tax authorities had been seeking payment of Rs 30 billion ($490-million) from Vodafone. On the other hand, Vodafone is still battling a more than $2-billion tax demand over its $10.7-billion purchase of Indian mobile operations in 2007 from Hong Kong-based Hutchison Whampoa.
Telenor Keen On Setting Up ‘Payments Banks’ In India
Norwegian telecom major Telenor said that it is evaluating ‘Payment Banks’ business opportunity in the country. “It is a good step forward. In many countries we are leading mobile money services. I welcome the structure and we will surely have look at it,” Telenor Group CEO Jon Fredrik Baksaas said in a statement. The Reserve Bank of India had issued draft guidelines for setting up Payment Banks to facilitate small savings accounts, payments and remittance services to migrant labour workforce. As per draft guidelines mobile service providers are also eligible for setting up payment banks. Telenor has its own fully owned financial institution in Serbia. The company provided mobile banking services in Pakistan, Bangladesh, Malaysia and Thailand. The company offers mobile payment service in Hungary.
Reliance Industrial Infra Q2 Profit Down By 8%
Reliance Industrial Infrastructure reported an eight per cent decline in net profit at Rs 5.43 crore for the second quarter ended September 30. The company had posted Rs 5.90 crore in the same period of the previous fiscal. However, the total revenue of the company rose to Rs 25.95 crore as compared to Rs 21.93 crore.
Lanco Infratech Ltd In Talks To Sell Stake In Griffin Coal Mine
Indian infrastructure firm Lanco Infratech Ltd is in talks with investors to sell a stake in its Griffin coal mine in Australia and some road projects, as part of its strategy to pay down a hefty debt burden. Lanco, which has been negotiating with lenders to restructure its debts since last year, has been seeking to sell assets to return to profitability and repay net debt which stood at about 360 billion rupees ($5.9 billion) at the end of March. The company, which acquired Griffin Coal Mining Co for about $760 million in 2011, plans to increase annual mining capacity at the largest coal mine in Australia four-fold to around 18 million tons by 2018, according to the company’s website. In a statement to the stock exchange, the company said discussions were in progress with “some strategic/financial investors” over a possible stake sale.
Infosys Q2 Profit Tops
The Bangalore-based company Infosys has posted all-round growth beating the estimates on many counts. In the quarter ended September 30, the net profit grew 28.6 per cent year-on-year to Rs 3,096 crore. The revenue rose 2.9 per cent to Rs 13,342 crore. The net profit rose 7.3 per cent quarter-on-quarter and the revenue increased 4.5 per cent. In dollar terms, Infosys’ net profit increased six per cent sequentially while the revenue grew 3.1 per cent, slightly ahead of estimates. Most analysts had expected the company’s dollar revenue to grow three per cent in the second quarter. Infosys left its revenue growth forecast for 2014-15 unchanged at seven-nine per cent. Infosys also cheered investors by announcing a one-for-one bonus issue of shares, which analysts said was new chief executive Vishal Sikka’s gift to the Street. This was Infosys’ first quarterly earnings announcement after he took charge in August. A recent rise in demand aided Infosys but measures to optimise costs and improve productivity led to better performance.
BHEL Bags Order From Tangedco
Bharat Heavy Electricals Ltd (BHEL) has bagged orders worth Rs 7,800 crore from Tamil Nadu Generation and Distribution Corporation Ltd (TANGEDCO). The order is for Engineering, Procurement and Construction (EPC) for a 1320 mega watt (MW) plant near Chennai. The company said that the order is to set up a 2X660 MW coal-fired supercritical thermal power project at Ennore SEZ. The contract was won by BHEL against International Competitive Bidding. The company partnered with Power Finance Corporation (PFC) another PSU by syndicating the financing package in the current competitive environment, said BHEL. The plant will be constructed on a reclaimed ash pond, calling for specalised civil design, utilising on otherwise barren land.
SUZLON TO BUILD 2,000 Mw Wind Projects IN MP
Wind power gear maker Suzlon plans to execute 2,000 MW wind energy projects over next five years in Madhya Pradesh as it looks at setting up manufacturing base in the state. “Suzlon Group intends to build 2,000 MW of new wind energy projects in Madhya Pradesh over the next five years and establish supporting manufacturing facilities,” the company said in a statement. However, the company did not disclose the investment plans for executing this capacity. Suzlon Group has installed more than 50% of total wind capacity in MP. The company is currently working on its business revival strategy and plans to raise about Rs 1,000 crore from sale of non-core assets this financial year (2014-15).
HTC POSTS QUARTERLY PROFIT
HTC Corp posted third-quarter profit that beat analyst estimates as one-time gains helped overcome eroding sales. Third-quarter net income was NT$640 million ($21 million), the Taoyuan, Taiwan-based company said in a statement on Friday. The average of 15 analyst estimates compiled by Bloomberg was for profit of NT$501.6 million.HTC, maker of the one line of smartphones, posted a loss a year earlier.