Sunday, 24 August 2014

FDI in textile sector jumps by 91.41% in 2013-14

Signalling a positive shift in investor sentiment in India`s textile industry, the country attracted $198.86 million foreign capital in the sector during April-March 2013-14, which is 91.41% higher than $103.89 million of FDI attracted during the same period during previous year. According to the Textiles Ministry, the FDI inflow in the sector so far stood at $11.70 million during April-May, 2014-15. The major countries contributing to FDI inflows in the country include the United Arab Emirates (UAE), Switzerland, Singapore, Luxembourg, Japan, Hong Kong, Belgium and Australia.
The country shipped $36.69 billion worth textiles during 2013 from $32.88 billion in 2012 -- up 11.58%. While the country shipped textile, clothing and handicrafts worth $34.93 billion during April-March, 2012-13, it exported clothing and textiles to the tune of% 35.42 billion during April-May, 2014-15, up 12.75% from$ 31.62 billion during 2012-13.
Further, the textile ministry underscored that the government was implementing various schemes to ensure maximum utilisation of FDI in textile sector like Technology Up-Gradation Fund Scheme (TUFS), Scheme for Integrated Textile Parks (SITP), Integrated Skill Development Scheme (ISDS). It also noted that other government supported schemes for the sector included development of technical textiles and development of the power-loom sector.

Sonata Software’s arm inks definitive agreements to acquire controlling stake in Rezopia Inc.

Sonata Software’s wholly owned subsidiary company - Sonata Software North America Inc., has signed definitive agreements to acquire a controlling stake in Rezopia Inc., a California, USA headquartered company which runs a cloud based end-to-end reservations, contracts, operations and distributions management platform for travel providers.
Besides, in a separate transaction, Sonata Software has purchased the business of Xyka India, a Bangalore based company and the sole service provider to Rezopia Inc., under a business transfer agreement.
Sonata Software, headquartered in Bangalore, India, is an IT consulting and software services company delivering transformational IT solutions through customer specific Centres of Excellence. Sonata serves Software Product Companies and enterprises in the Travel, Manufacturing, Retail and Distribution verticals across the globe.

HDFC Bank to increase foreign investment limit up to 74 percent

HDFC Bank, the second-largest private sector bank in India, is reportedly planning to increase its foreign investment limit up to 74 percent. The bank has already sent a fresh petition to government on raising its foreign investment limit. The bank in its petition has also clarified that HDFC’s stake in the bank is not foreign. However, the Department of Economic Affairs and Department of Industrial Policy & Promotion view HDFC’s 22.56 percent stake in HDFC Bank as foreign investment.
Late last year, the Bank had approached the Foreign Investment Promotion Board (FIPB) for increasing the foreign holding in the bank to 67.55 per cent from 49 per cent. If the proposal of the bank to raise foreign investment to 67.55 per cent is accepted, it would exceed the cap of 74 per cent, after taking into account parent HDFC's stake.
HDFC Bank is one of India’s premier banks providing a wide range of financial products and services to its 28.9 million customers. As of June 30, 2014, the bank had a distribution network with 3,488 branches and 11,426 ATMs in 2,231 cities/towns.

Axis Bank getting nod to raise Rs 6,000 crore on a private placement basis

Axis Bank’s board has approved issuance of long term bonds/non-convertible debentures upto Rs 6,000 crore on a private placement basis. The company’s board gave its approval for the same at its meeting held on August 21, 2014.
The approval of shareholders of the Bank in terms of the provisions of Companies Act, 2013 is proposed to be obtained by way of Postal Ballot.

Karnataka Bank entering into MoU with NBHC

Karnataka Bank has entered into a Memorandum of Understanding (MoU) with National Bulk Handling Corporation (NBHC) for extending storage facilities to farmers and finance against the warehouse receipts (WHR). NBHC is one of the leading collateral management service providers with a pan-India presence, managing about 1500 warehouses and cold storages.
The finance to farmers will be extended under ‘Krishik Bhandar’ scheme of the Bank. NBHC has nominated Karnataka Bank as preferred financier for extending finance to farmers against the Ware House Receipts. Farmers can avail the service of NBHC with a nominal fee.

The institutions and non-institutions held 30.41% and 69.59% stake in the company, respectively.