Kingfisher Airlines' board has approved a debt recast plan that seeks to convert some of its debt into equity. The move will aid the company reduce its interest burden and stem losses.
Kingfisher will convert lenders' loans of as much as Rs. 1355 crore into shares. It also plans to convert founders' debt of as much as Rs. 648 crore into share capital. Kingfisher's balance loans is also repaid to lenders over nine years with a moratorium of a couple of years, it added. The airline plans to problem convertible and redeemable shares to lending banks as well as founder entities in line with its debt recast plan.
It plans to problem as much as 57.5 crore redeemable preference shares and as much as 78 crore convertible preference shares to its consortium of lenders. Its board also approved issuing as much as 64.8 crore convertible preference shares to founder entities United Breweries (Holdings) and to Kingfisher Finvest India. Under the debt restructuring package, lenders can also sanction a lot more funds as well as non-fund-based facilities, Kingfisher said. The package firmed up following a one-time relaxation in restructuring guidelines sanctioned by the Reserve Bank of India, the airline said.
Tata Motors reportedly plans to set up a second factory in Bangladesh, one of its main export destinations for commercial vehicles, in six months to cater to growing sales of smaller and light commercial vehicles.
Separately, Tata Motors reportedly plans to launch compressed natural gas (CNG)-powered trucks within the medium and heavy segments for your domestic marketplace within a year.
Communications Minister Kapil Sibal mentioned on Thursday, 25 November 2010 cellular number portability across the country is going to be implemented from 20 January 2011. Mobile number portability, which allows users to keep their phone number even if they switch operators, was to be introduced in all telecoms zones by 31 March 2010.
The board of Money Matters Financial Services will meet today, 26 November 2010, to select the futures course of action following the Central Bureau of Investigation (CBI) on Wednesday, 24 November 2010 arrested the Money Matters' chairman and a couple of other officials and also the senior executives of three state-run banks and other financial organizations inside a loan bribery case.
In a statement towards stock exchanges, Money Matters mentioned the board meeting had been called to discuss the matter in detail and select the next course of action. The CBI has mentioned that Money Matters acted being a mediator and facilitator of corporate loans and other facilities by bribing bank officials.
Money Matters mentioned the company will like to assure its shareholders, buyers and company associates that the company firmly believes in ethical practices in all company dealings. The company is fully co-operating with CBI and within the legal proceedings, it said.
Paras Pharmaceuticals has reportedly shortlisted the bids of Piramal Healthcare, Emami and unlisted Taisho Pharmaceutical Co to sell a controlling stake. As per reports, Emami could emerge the winner with its final bid of Rs. 2950 crore.
SKS Microfinance has reportedly occur under the scanner on the Insurance Regulatory Authority of India for deviating from guidelines set by the regulator on commissions and claim settlements.
Glodyne Technoserve's board approved sub-division of equity shares of Rs. 10 each into equity shares of face significance Rs. 6 each. The board also approved raising funds through equity and other methods from domestic and overseas markets.
Pratibha Industries has raised Rs. 50 crore through equity shares issued to Van Dyck, a unit of ChrysCapital V LLC. The company issued 38 lakh equity shares on preferential basis at Rs. 92 a piece to Van Dyck, it said. In addition, it issued 16.3 lakh compulsory convertible participatory preference shares at Rs. 92 a piece to Van Dyck, it added.
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