Nearly 260 Jet Airways’ pilots, who fly the Boeing 737, appeared for an interview conducted by low cost carrier SpiceJet in Mumbai on Wednesday. Among the pilots were 150 captains. SpiceJet also operates the B737. Jet’s pilots, aircraft engineers and senior management have remained unpaid for last three-month. The airline’s pilots have threatened they will stop flying from April 1 unless their dues are cleared or a letter of intent is signed by the management that the same will be cleared.
Financial woes have pushed down Jet Airways from being the second largest domestic airline to the fourth slot in February. While IndiGo is still the market leader, SpiceJet and Air India occupy the second and third positions respectively, data released by Directorate General of Civil Aviation (DGCA) showed. Now, one in nine Indian passengers flies Jet Airways.
Bajaj Auto and Austria's Pierer Industrie AG are in talks to assess the possibility of transferring Bajaj's 48% stake in KTM AG to the holding company KTM Industries AG. Pierer-Group would continue to retain the controlling majority over KTM Industries AG. At present, Pierer Industrie AG holds approximately 62% stake in KTM Industries AG. The listed company KTM Industries AG holds approximately 51.7% shares of KTM AG. If the transaction is executed, KTM Industries AG's stake in KTM AG would increase from current 51.7% to approximately 99.7%.
Mindtree, which is facing a hostile takeover from Larsen & Toubro (L&T), said it would reconvene its board meeting on March 26. L&T will also share details of its open offer with shareholders of Mindtree on March 26. The board of Mindtree met on Wednesday but deferred a decision on a share buyback. On Monday, L&T bought a 20.3% stake in Mindtree from long-term investor VG Siddhartha for Rs 3,269 crore. It is expected to spend another Rs 7,464 crore to increase its stake to 66.6% through a combination of an open offer and buying shares in the open market.
Uber Technologies Inc and Pinterest, two of the biggest internet companies planning to go public this year, have selected the New York Stock Exchange as the exchange for their stock listings. NYSE has become the more preferred stock exchange over NASDAQ for big technology companies in the past few years. Facebook IPO had faced major technical glitches when it listed on NASDAQ. Both the stock exchanges compete fiercely for listing fees.
IndiGo is hiring more than 100 Boeing 737 trained commander level pilots, manly those quitting cash-strapped Jet Airways. Indigo is facing a severe crew shortage. Indigo would need 6 months to train these pilots to fly A320s, an aircraft type that Indigo operates. The carrier has additionally hired about 130 expatriate pilots from all over the world. Indigo is the country’s largest airline by market share. IndiGo has over 200 planes and a pilot strength of more than 3,000, including more than 1,200 commanders.
Indian Rupee, Asia’s worst-performing currency, took just five weeks to convert itself into Asia’s best performing currency. Higher chances of PM Modi returning to power for a second sting after the Lok Sabha elections have propelled the Indian rupee. Gao Qi, a currency strategist at Scotiabank in Singapore, expects the INR currency to rally to 67 per dollar by June-end. Foreign investors have also invested a net $3.3 billion in equities till March 18 this year.
Multiple factors have impacted Eicher Motors stock in the last one year which has lost 23% since March 20, 2018 when it was trading at 28,360. The stock closed at Rs 21,759 on Tuesday, March 19. The main factor which led to a sharp correction in the stock is the slowing growth. Secondly, high volume markets such as Kerala are sluggish, and finally, competition in commercial vehicles remains intense. HDFC Securities maintains its sell rating on the stock with a target price of Rs 21,000.
Shares of Axis Bank touched its 52-week high of Rs 766.70, up nearly 1% intraday on March 20 after brokerages Nomura and CLSA maintained their 'buy' rating on the private lender. CLSA has maintained a buy call on Axis Bank with a target at Rs 840 per share. Nomura also maintained a buy rating on Axis Bank and raised the target price to Rs 900 from Rs 850 per share.
Oil-to-telecom major Reliance Industries retained its tag of 'largest listed firm' in India as the company hit $127 billion in market cap on March 20 intraday. The stock in the current calendar year (January-February-March) has performed far better than last whole year. It has surged 24%, so far, in 2019 against 22% in 2018. The current market capitalisation of the company stands at Rs 8,74,739.75 crore, which is equal to $127 billion, higher than that of TCS (Rs 7.6 lakh crore) and HDFC Bank (Rs 6.2 lakh crore).
In its first ever attempt to tap e-commerce, Emami Ltd will offer its entire range of products online besides launching online exclusive products. Emami has roped in Rishi Agarwal to lead a new team for e-commerce, who was in senior roles in Snapdeal, Arvind, and IBM. Emami wasn’t to raise the share of sales from online and modern retail to 12-15% from the present 7-8%.
The country's largest lender SBI on Tuesday said it has signed a memorandum of understanding (MoU) with the Bank of China to boost business opportunities. Bank of China is the third-largest bank in the world by capital size and one of the major players in the Chinese banking sector. Through this agreement, both SBI and BoC will gain direct access to their respective markets of operation. Clients of both the banks will be able to use the vast combined network to expand their businesses abroad. SBI has a branch in Shanghai and BOC is opening its branch in Mumbai.
The RBI has moved the NCLAT against its order which barred financial institutions from classifying their debt exposure to group companies of IL&FS as non-performing assets (NPAs). The NCLAT had in February ordered that no financial institution will declare any account of IL&FS group entities as NPA without its prior permission. The total debt of the IL&FS group is around Rs 91,000 crore. The counsel for RBI argued that the circular on recognition of assets applies across the board and had been upheld by the Supreme Court.
The initial public offering (IPO) by Embassy Office Parks REIT got subscribed by 47% on the second day of the bidding on Tuesday. The offer received bids for over 3.31 crore units against the total issue size of 7.12 crore units. The category reserved for institutional investors was subscribed 59%, while for other investors the subscription stood at 32%. The issue offers a price band of Rs 299-300 per unit and will close on March 20.
Lenders of Jet Airways are reportedly considering invoking Naresh Goyal’s entire 51% stake as the last resort. Goyal had earlier pledged his entire 51% stake with Punjab National Bank. PNB may invoke pledged shares and transfer them to other lenders in proportion to their debt exposure to Jet. Bankers may also discuss Etihad’s proposal to sell its 24% stake in Jet at Rs 150 per share. Meanwhile, the government has asked state-run banks to rescue Jet Airways without pushing it into bankruptcy to avoid job losses ahead of elections.