dfa-15-dec

Daily Financial News Analysis – 15th Dec’20 – Free PDF Download

 

SEBI listing rules for Startups

  • SEBI has proposed to tweak several rules to encourage startups to go public and list on the so-called Innovators Growth Platform.
  • The IGP is aimed at issuers who are intensive in the use of technology, information technology, intellectual property, data analytics, bio-technology and nanotechnology.
  • The regulator has proposed that the compulsory shareholding period before listing for investors owning 25% or higher stake be halved to one year.
  • It has also suggested raising the open offer trigger for investment deals, as well as recommended allocation of a higher percentage of shares to anchor investors during public issues and special rights to promoters and existing institutional investors.

Space can replicate IT’s success

  • Reforms in India’s space sector would help the country become a competitive space market globally and help replicate the success of the IT industry.
  • Private investment in the (space) sector will lead to the creation of hi-tech jobs, which will provide a host of opportunities to the talent pool in IITs/NITs and other technical institutions.
  • PM Modi also underlined the significance of the space sector in communication and navigation.
  • The government also shifted all operational assets of Indian Space Research Organisation (Isro) to New Space India Ltd (NSIL).
  • India formed the Indian National Space Promotion and Authorization Centre (INSPACe) as a regulator to ensure a level-playing field for the private sector.
  • Through these reforms, the endeavour is not only to ensure India becomes a competitive space market, but also to ensure that the benefits of the space programme reach the poorest, he added.
  • Modi also asked participants about the challenges and roadblocks in the reforms process and steps needed to remove them.

Facebook

  • Facebook’s Oversight Board will look into how the social media giant failed to ban Hindu nationalist group Bajrang Dal from its platform for alleged hate content if the matter is referred to the panel.
  • Drawing the line between what would be fair speech and hate is one of the most difficult problems of our times.
  • Wall Street Journal – an internal security team at Facebook issued a warning that if Bajrang Dal were to be classified as a “dangerous organisation” and banned from the platform, there could be retaliatory physical attacks on the company’s employees or offices in India.

Ola e-Scooter

  • Ola will set up a manufacturing hub for electric two-wheelers in Tamil Nadu.
  • The company said in a statement that the planned unit would entail an investment of ₹2,400 crore, employ as many as 10,000 people and would have an initial production capacity of 2 million vehicles annually.
  • The company has plans to sell the vehicles directly to buyers as well as use them for shared mobility.

Google Outage

  • Alphabet Inc’s Google experienced widespread outages around the world, including in India, preventing people from accessing services such as Gmail, YouTube and other products for about an hour on Monday evening.
  • The company’s search product was functioning correctly, and third-party ads – Google’s main revenue driver – remained visible in results, suggesting advertising was unaffected.
  • Outages are not uncommon for any website or provider, with companies including Google as well as Apple, Amazon.com, Microsoft Corp and others routinely experiencing them due to temporary server disruptions often caused by human error.

Air India’s Strategic Sale

  • The Tata Group was among “multiple” interested parties that submitted expressions of interest (EoIs) for Air India.
  • Government described the response as “overwhelming
  • Others in the fray include a group led by employees, and Interups Inc., a US-based firm that specialises in turning around assets.
  • Low-cost carrier SpiceJet is also said to have shown interest in Air India.
  • The government failed to find takers for a 76% stake in Air India in 2018. It then decided to offload 100% of Air India and its low-cost international carrierAir India Express as well as a 50% stake in ground handling unit AISATS.
  • The EoI submission deadline had to be deferred several times because of the Covid-19 pandemic.

CPI & WPI

  • Retail inflation slowed to a three-month low at 6.93% in November but stayed above the central bank’s upper margin of 6% yet again, ruling out any immediate easing in interest rates.
  • Food inflation cooled last month, helped by a fall in vegetable inflation.
  • Separately released data on Monday showed India’s wholesale inflation firming up to a nine-month high of 1.55%, driven by manufactured items even as that in vegetables declined.
  • Retail inflation, based on the Consumer Price Index (CPI), was at a six-year high of 7.61% in October.

 

 

 

Download Free PDF