Telecom dept asks Voda India, Airtel to pay Rs 3,050 cr in penalties: ET

 Airtel has to pay Rs 1,050 crore and Vodafone Idea Rs 2,000 crore, says report.

The telecom department has asked Vodafone Idea and Bharti Airtel to pay within three weeks Rs 3,050 crore as penalties for allegedly breaking licence terms by denying Reliance Jio Infocomm their networks, the Economic Times reported Friday two weeks after the government announced a relief package for the industry.

Airtel has to pay Rs 1,050 crore and Vodafone Idea Rs 2,000 crore for the alleged violation of norms on points of interconnection (PoIs) in 2016, said the newspaper.

The Telecom Regulatory Authority of India (Trai) had recommended fines in 2016; the telecom department accepted its recommendations in June 2019 but had not served the notices till now.

Vodafone and Idea merged in August 2018.

The union cabinet on September 15 approved a relief package for its cash-strapped telecoms sector including a four-year moratorium on airwaves payments due to the government. The measures gave breathing space to debt-ridden Vodafone Idea, which previously said it runs the risk of a shutdown without government help and more time to pay dues.

Businsess Standard reported last week Vodafone Idea will require a complete moratorium on debt and interest payments and simply deferring AGR (adjusted gross revenue) and spectrum dues, the biggest cost head for the firm, is unlikely to help it effect a turnaround.

The company spent nearly Rs 5,200 crore on interest payment in the first quarter of financial year 2021-22 (Q1FY22), which amounts to 57 per cent of its net sales. In FY21, Vi’s outgo on interest payments was nearly Rs 18,000 crore, or about 43 per cent of its net sales.

"We are deeply disappointed with the arbitrary and unfair demand based on Trai recommendations of 2016 relating to provisions of point of interconnect to a new operator," an Airtel spokesperson said in a statement to ET.

The newspaper said Vodafone Idea did not respond to its questions.

Scarlett Johansson, Disney settle lawsuit over superhero film 'Black Widow'

 Terms of the agreement weren't disclosed, but both sides issued statements suggesting no lingering animosity, despite Disney's initially aggressive response to the actress's lawsuit

Scarlett Johansson and Walt Disney Co. settled a lawsuit over the actress’s pay in the Marvel superhero film “Black Widow,” a case that highlighted growing tension over the role of streaming big budget films.
Terms of the agreement weren’t disclosed, but both sides issued statements suggesting no lingering animosity, despite Disney’s initially aggressive response to the actress’s lawsuit.

“I am happy to have resolved our differences,” Johansson, 36, said in her statement Thursday. “I’m incredibly proud of the work we’ve done together over the years and have greatly enjoyed my creative relationship with the team. I look forward to continuing our collaboration in years to come.”

The actress had sued the entertainment giant, claiming its decision to release the film on its Disney+ online platform reduced her compensation, which was tied to movie-ticket sales. Disney fired back calling the complaint “sad and distressing in its callous disregard for the horrific and prolonged global effects of the Covid-19 pandemic.”

The pay dispute between Johansson and Hollywood’s biggest entertainment company brought into the public eye the long-simmering tension over how actors, directors and others in the movie business get paid in the era of streaming.

IFSCA constitutes panel for development of sustainable finance hub

 The International Financial Services Centres Authority (IFSCA) on Thursday set up an expert panel headed by former Environment and Forest Secretary C K Mishra to suggest a framework to develop a world-class sustainable finance hub at IFSC.

The International Financial Services Centres Authority (IFSCA) on Thursday set up an expert panel headed by former Environment and Forest Secretary C K Mishra to suggest a framework to develop a world-class sustainable finance hub at IFSC.

India aspires to be a frontrunner in climate action, which is evident in its commitment towards its intended Nationally Determined Contributions under Paris Agreement, IFSCA said in a statement.

"Raising financial resources for climate change adaptation and mitigation actions of this scale needs active participation of international investors. IFSCA envisions GIFT- IFSC as a global hub for sustainable finance thereby acting as a gateway for channelizing foreign capital into India," it said.

In its endeavour to develop the required ecosystem, IFSCA has constituted a 10-member Expert Committee to recommend approach towards development of Sustainable Finance Hub and provide a road map for the same.

As per the terms of reference, the panel would identify existing and emerging opportunities in Sustainable Finance for GIFT-IFSC to act as a gateway to meet India's requirements and recommend a short, medium, and long-term vision/road map on sustainable finance.

The committee consists of leaders across the sustainable finance spectrum, including international agencies, standard setting bodies, funds, academia, and consultancies. The committee would submit its report along with recommendations within three months from the date of holding its first meeting.

IFSCA was established in April last year under the International Financial Services Centres Authority Act, 2019. It is headquartered at GIFT City, Gandhinagar.

ICRA flags asset quality pressure risk for IDBI Bank due to pandemic

 The agency upgraded the rating for the Mumbai-based private lender's bonds, debentures and tier-II capital instruments from "A" to "A+"

While upgrading IDBI Bank’s ratings on sustained improvement in credit profile, rating agency ICRA flagged concerns over high asset quality pressures of the lender in the near term due to the pandemic. It said the bank’s return metrics could remain sub-optimal despite improvement in profitability.

The agency upgraded the rating for the Mumbai-based private lender’s bonds, debentures and tier-II capital instruments from “A” to “A+”. The ratings are based on standalone credit profile, as key investors Life Insurance Corporation of India (49.24 per cent) and the Government of India (45.48 per cent) want to offload their stake in the bank.

The rating factored in sustained improvement in the bank’s credit profile. The agency said the internal capital generation is likely to be sufficient for growth and maintaining cushion over the regulatory capital needs. IDBI Bank’s capital adequacy ratio (CAR) stood at 16.23 per cent with tier-I of 13.64 per cent in June 2021. IDBI Bank’s profitability includes recoveries from fully provided legacy stressed assets. It has used them for accelerated provisioning on other stressed assets and potential asset quality stress in the future.

The bank’s incremental slippages could remain high, given the large overdue book amid the weak operating environment and other vulnerable exposures. The bank maintains one of the highest provision coverage ratios (94 per cent) on its stressed assets. However, the timing of recoveries from these could remain uncertain. IDBI Bank’s ability to offset incremental credit costs by ensuring timely recoveries will be a key driver of net profitability, the rating agency said.

ICRA said on a forward-looking basis, normalised operating profitability is expected to remain better compared to past levels. But the elevated operational costs on a reduced scale and the high share of low/non-yielding assets will continue to impact the operating profitability.

Despite the onset of the pandemic, fresh non-performing assets (NPA) generation moderated to 2.12 per cent in FY21 from 8.35 per cent in FY20 and 12.73 per cent in FY19. However, with the onset of the second wave, NPA generation spiked to 5 per cent (on an annualised basis) in Q1 FY22 and the impact of various regulatory measures gradually ended. Nevertheless, the bank has guided towards the normalisation of NPA generation at 2-2.5 per cent in FY22, ICRA said.

Explained: Why China is facing a power crunch and what it means

 A power crunch across China has rippled from factory floors to homes, crimping growth forecasts for the world's second-largest economy

A power crunch across China has rippled from factory floors to homes, crimping growth forecasts for the world’s second-largest economy. The shortages, mirrored in Europe and elsewhere, have roiled commodity markets as well. Part of the problem is that the economic rebound after lockdowns lifted has boosted demand, while lower investment by miners and drillers has constrained fossil fuel production. In China, it’s also due to the green agenda.

Why can’t China meet demand?

Mainly because it’s short of coal. Coal-based producers account for over 70 per cent of the country’s electricity generation, but Xi Jinping’s push to reduce greenhouse gas emissions and go “carbon neutral” by 2060 has capped the growth of coal mining. China’s coal production grew by 6 per cent in the first eight months this year, but the power output from coal-fired generators surged 14 per cent.

Why didn’t government officials ask coal mines to dig more?

Actually they have, but it’s not that quick or easy. Any new or reopened mines also have to meet tighter standards under Xi’s green push. Penalties for violations of workplace safety rules rose from fines to possible jail time in March.
Why doesn’t China import more coal?

China’s economic planning agency said that the country, traditionally a major buyer in the world market, will increase coal imports “moderately.”

But supplies have been tight, due to the global energy crunch, and prices have climbed to record levels. China stopped buying the highly energy-efficient Newcastle grade from Australia last year amid a political dispute. Rising purchases from Indonesia helped make up for the missing Australian coal this year, but energy demand in Southeast Asia’s biggest economy also soared.

Adani Green arm acquires 40 Mw operating solar project in Odisha

 The project has a long-term power purchase agreement (PPA) with Solar Energy Corporation of India (SECI) for Rs 4.235 per unit, with remaining PPA life of about 22 years

Adani Renewable Energy (MH) has acquired a 40 MW operating solar project in Odisha.

"Adani Renewable Energy (MH) Energy Limited, a wholly-owned subsidiary of Adani Green Energy Limited, has completed the acquisition of 100% of the share capital and all the securities of Vento Energy Infra Private Limited from Essel Green Energy Limited," as per a regulatory filing.

Earlier in the day, the company had said Adani Renewable Energy (MH) Limited (AREMHL), a wholly-owned subsidiary of Adani Green Energy Ltd (AGEL), has signed definitive agreements with Essel Green Energy to acquire 100 per cent economic value in an SPV that owns a 40 MW operating solar project in Odisha.

The project has a long-term power purchase agreement (PPA) with Solar Energy Corporation of India (SECI) for Rs 4.235 per unit, with remaining PPA life of about 22 years.

The closing of the transaction is subject to customary conditions, it had said.

The acquisition of the project is at an enterprise valuation of Rs 219 crore.

With this acquisition, AGEL will achieve a total renewable capacity of 19.8 GW. The total portfolio includes 5.4 GW operational assets, 5.7 GW assets under construction and 8.7 GW near construction assets.

Vneet Jaain, managing director and CEO of Adani Green Energy, said with the acquisition of this project in Odisha, AGEL will now have its footprint across 12 states in India.

"We are on an expansion path that will make us the world's largest renewable player by 2030," he added.

India social commerce startup Meesho valued at $5 billion by Fidelity

 Meesho raised $570 million in fresh funding led by Fidelity Investments

Social commerce startup Meesho Inc. raised $570 million in fresh funding led by Fidelity Investments and Facebook co-founder Eduardo Saverin’s B Capital, adding to the frenzy of global backing for India’s startup ecosystem.

The fundraising takes the Bangalore-headquartered startup’s valuation to $4.9 billion, more than doubling from five months ago when SoftBank Group Corp. led a round that valued it at $2.1 billion. The Japanese company joined other existing investors Naspers Ltd.’s Prosus Ventures and Facebook Inc. in the latest funding, the startup said in an emailed announcement. India’s leading online retailers have focused mainly on the so-called organized segment comprising branded goods in fashion,
home appliances and other categories, said Vidit Aatrey, Meesho’s co-founder and chief executive officer.

“But 80% or about $800 billion of India’s retail is in the unorganized segment dominated by small manufacturers and local brands,” Aatrey said in a video interview. “That’s the market we’re after, we aim to democratize internet commerce.” The pandemic has accelerated the shift online and Meesho has grown order volumes 2.5 times since April, he said. It’s targeting 100 million monthly transacting users by December 2022 and will use the new funds to more than double its technology team and increase its roster of products to over 50 million. Meesho was founded in 2015 by Aatrey and Sanjeev Barnwal, former classmates at the Indian Institute of Technology in New Delhi. The startup serves as a platform for small manufacturers and distributors of fashion, lifestyle, small electronics, sporting goods and other products from unbranded or little-known producers. Meesho wants to bring 100 million such businesses online, Aatrey said.

Buyers on the platform are mostly middle to low income and hail from smaller cities and towns. Over four-fifths of the app’s users are from outside India’s eight biggest cities, a much greater skew than for leading online retailers, Aatrey said. To help buyers in rural communities overcome “trust and quality” issues, the startup works with female resellers, who curate products and sell to their social and community circles.Meesho entered the low-margin, high-frequency online grocery segment earlier this year, starting off in the small towns around Bangalore. It’s relying on group buying where community leaders such as homemakers and small kirana owners aggregate purchases to help keep last-mile costs low, since individual order sizes could be as low as $1 or $2.

“It’s a strategically important segment of online retailing,” Aatrey said. “Everyone wants a piece of it but no one has cracked it.”

Softbank-backed Oyo in legal spat with rival Zostel ahead of $1.2-bn IPO

 Zostel filed a petition in August with the Delhi High Court to stop Oyo from changing its shareholder structure, including through an IPO

SoftBank Group-backed Oyo Hotels and Rooms is facing a legal tussle with rival Zostel ahead of its up to $1.2 billion market debut over a deal between the two Indian hospitality startups that fell apart six years ago.

Oyo is looking to raise between $1 billion and $1.2 billion through a new share issue and an offer for sale from existing shareholders. The company is set to file draft initial public offering documents this month, Reuters reported last week, joining a wave of Indian start-ups looking to go public this year.

But Zostel filed a petition in August with the Delhi High Court to stop Oyo from changing its shareholder structure, including through an IPO, the petition, seen by Reuters, said.

Their 2015 deal was for Oyo to buy some of Zostel's businesses, while Zostel would get a 7% stake in Oyo. The transaction fell apart but the companies have been in a long-running legal battle over the terms, with Oyo arguing that they had not reached a definitive agreement.

In 2018, India's Supreme Court appointed an arbitrator on the case, who in March this year ruled that the terms of the deal were binding and Zostel was entitled to claim the 7% stake in Oyo.

Zostel "did everything within their control to complete their obligations" while Oyo breached its obligations by failing to execute a definitive agreement, the arbitrator said.

Oyo has challenged the arbitration order in the Delhi High Court.

A legal counsel for Oyo said in a statement to Reuters on Wednesday: "[Un]til the time that parties do not come to an agreement on the terms of the definitive agreements and the same are not executed, no right whatsoever arises in favour of any party for any type of shares to be issued in Oyo."

PE firm KKR affiliate sells part of its stake in Max Healthcare

 The shares were sold by Kayak Investment holdings, an affiliate of the private equity firm KKR for Rs 350 per share

Shares worth Rs 2,956 crore of Max Healthcare changed hands on Wednesday in a bunch of bulk deals.

The shares were sold by Kayak Investment holdings, an affiliate of the private equity firm KKR for Rs 350 per share.

The buyers include HDFC Mutual Fund, SBI Mutual Fund, and Veritas Funds. Kayak Investment Holdings is part of the company's promoter group and is the single biggest shareholder and held 47.24 per cent stake as of June 2021.

Max Healthcare’s stock ended Wednesday’s session at Rs 355,witnessing a decline of 3.6 per cent.

Jeff Bezos must take note of Panchjanya magazine's disapproval seriously

 Ahead of Indian festive season Amazon's headache, building up for more than five years, could turn into a throbbing migraine.

The world’s second-richest man is getting an almost daily reminder of how tough it will be to win in the second-most-populous nation. Unlike in China, where the recent attack on tech titans has been delivered with the full formal might of state power, the latest blow on Amazon.com Inc. in India has come from unexpected, and unofficial, quarters.

Chairman Jeff Bezos is on the cover of Panchjanya, a Hindi weekly he’s unlikely to have ever heard of. The article inside, provocatively titled “East India Company 2.0”, goes on to argue that Amazon is threatening the economic freedom of small Indian traders, attempting to hijack policies and politics, and--via Prime Video--degrading Hindu culture and promoting Western values and Christianity.

There can be nothing flattering in being compared to the 17th-century British firm that came to trade with a rich, vast land only to end up conquering and plundering it. But does the opprobrium really mean much? Both Bezos and his empire have faced robust criticism around the world, for everything from low pay and poor working conditions in the retailer’s warehouses to its alleged anti-competitive practices. Speaking of unfavorable articles, Lina Khan earned her spurs with her 2017 Yale Law Journal entry, “Amazon’s Antitrust Paradox,” and she’s now the chair of the U.S. Federal Trade Commission.

The reason to take the Indian publication’s disapproval seriously is that Panchjanya, “the sound of righteousness,” isn’t any other magazine. Founded by one of the leading figures of the Rashtriya Swayamsevak Sangh, or the RSS, it’s widely believed to be a mouthpiece of the Hindu cultural organization that stands behind Prime Minister Narendra Modi’s government, nurturing his right-wing nationalist party with ideological sustenance and voter mobilization.

The timing of Amazon’s bad publicity couldn’t have been worse. The media site Morning Context recently reported that the Seattle-based e-commerce firm is investigating a whistleblower complaint, which alleged that certain monies paid by the retailer have been funneled into bribes by one or more of its legal representatives in India. In its reply to the news website’s questionnaire, Amazon said it had “zero tolerance” for graft. It declined to confirm the specific allegations or the status of any investigation.

What is the scale of this alleged bribery? Soon after the Morning Context exclusive, there was a flurry of other media reports, which cited anonymous sources to put a number on what various Amazon entities had spent as legal fees in India in two years: 85.46 billion rupees ($1.2 billion). The Confederation of All India Traders, which accuses the platform of hurting small sellers, latched on to the figure and wrote to Commerce Minister Piyush Goyal — himself no fan of e-commerce platforms — about a “whopping amount” being spent to “manipulate Indian government officials.”

 Microsoft Corp said it will allow Epic Games Inc, Amazon.com Inc, and other firms to integrate their app stores into the technology giant's marketplace, giving more options to third-party developers

(Reuters) - Microsoft Corp said on Tuesday it will allow Epic Games Inc, Amazon.com Inc, and other firms to integrate their app stores into the technology giant's marketplace, giving more options to third-party developers.

The Redmond, Washington-based company also said it would not take a cut from app developers' revenue, when the apps manage their own in-app payment systems.

"Microsoft is again leading the industry forward with Windows, now an open platform with an open store," Epic Games Chief Executive Officer Tim Sweeney tweeted.

The move comes as Epic Games and Apple Inc have been locked in a legal dispute since last year when the "Fortnite" creator tried to get around Apple's 30% fee on some in-app purchases on the App Store by launching its own in-app payment system.

Developers have long criticized Apple's commissions of between 15% and 30% on many App Store purchases, what some developers see as an opaque and unpredictable app-vetting process.

 

Investors with $4 trn assets aim to tackle Asian firms on climate goals

 A group of six investors with a combined $4 trillion of assets under management, including Fidelity International, said on Wednesday it aims to step up engagement with big Asian companies

A group of six investors with a combined $4 trillion of assets under management, including Fidelity International, said on Wednesday it aims to step up engagement with big Asian companies like banks and energy producers to ensure they have a road map to meet climate change targets.

Initial engagement will focus on carbon risk and coal at banks and coal-exposed power companies, the group of investors, facilitated by Singapore-based advisor Asia Research & Engagement (ARE), said in a statement.

The move comes as investors become more active in the field of environmental, social and corporate (ESG) governance, helping to shape firms' climate commitments to better manage that risk for their clients. ESG-related steps they have taken include backing activist shareholder resolutions and voting on board members and remuneration.

At Royal Dutch Shell (RDSa.L)'s annual shareholder meeting in May, nearly a third of shareholders backed a resolution filed by an activist group, but rejected by the board, that wants the company to set short- and medium-term targets to cut absolute emissions.

The six investors include BMO Global Asset Management EMEA, Fidelity International, Dutch pension fund PGGM, Britain-based Local Authority Pension Fund Forum (LAPFF), Aviva Investors and Legal & General Investment Management.

Global energy crunch: China expands power curbs to 20 provinces

 At least 20 Chinese provinces and regions making up more than 66 percent of the country's gross domestic product have announced some form of power cuts, mostly targeted at heavy industrial users

The world’s second-biggest economy is caught in the grips of a widening power crisis that’s threatening to stymie growth and further tangle already snarled global supply chains.

At least 20 Chinese provinces and regions making up more than 66 percent of the country’s gross domestic product have announced some form of power cuts, mostly targeted at heavy industrial users. The reasons are two-fold — record high coal prices are causing power generators to trim output despite soaring demand, while some areas have pro-actively halted electricity flows to meet emissions and energy intensity goals.

Power outages in northeastern China have plunged millions of homes into darkness, triggered factory shutdowns and threatened to disrupt the water supply in at least one province, the Al Jazeera reported. The Global Times tabloid on Tuesday said the “unexpected” and “unpr­ece­dented” electricity cuts in the provinces of Jilin, Liaoning and Heilongjiang were caused by power rationing during peak hours. The nationwide power shortages mirror tight energy supplies in Europe and elsewhere that have roiled commodity markets.

London nickel and tin prices extended losses into a second session on Tuesday, as widening power cuts in top metals consumer China spark worries over downstream demand.

Does Kubota deal mean end of road for Nanda family at Escorts?

 Has life come full circle for the Nanda family of Escorts? Kubota Corp is said to be in talks to become a controlling shareholder of the company. Let's look at what this means for the Nanda family

Japanese agriculture and heavy equipment company Kubota Corporation is reportedly in talks with the promoters of Indian tractor manufacturer Escorts to increase its holding and ultimately become the controlling shareholder.

Kubota currently holds a 9.1% stake in Escorts which it acquired last year through a preferential allotment. Kubota's interest in Escorts also come after their joint venture started production of tractors last year.

The Japanese company is looking to double down on the world's largest tractor market just as demand is starting to pick up after Covid-19-induced lockdowns.

Escorts generated a profit of Rs 872 crore in FY21 on a revenue of just over Rs 7,000 crore. It operates nine factories to manufacture equipment across three sectors and boasts an employee base of more than 11,000.

The family of chairman and managing director Nikhil Nanda owned almost 37% of Escorts at the end of June. This stake is currently valued at Rs 7,500 crore.

Reports suggest that Kubota may initially acquire a 15% stake from the Nanda family before buying them out entirely. Escorts has termed these reports market speculation.

Interestingly, Escorts was the target of a failed hostile takeover attempt in the 1980s, when London-based Swraj Paul tried to acquire it. Escorts, at the time, was the manufacturer of the Rajdoot brand of motorcycles.

Haryana-based Escorts is India's fourth-largest tractor manufacturer. In FY21, it had a market share of 11.3% -- behind Sonalika, TAFE and the Mahindra Group. Escorts also manufactures construction equipment and railway equipment.

If the Kubota deal goes ahead, it would mean the end of a 77-year association between the Nanda family and Escorts.

Amazon launches robot to roll around house, Disney resort voice assistant

 Amazon.com Inc announced a household, canine-like robot called Astro and a deal with Walt Disney Co to imbue its voice-controlled tech in resort hotels

By Nivedita Balu and Jeffrey Dastin

(Reuters) - Amazon.com Inc on Tuesday announced a household, canine-like robot called Astro and a deal with Walt Disney Co to imbue its voice-controlled tech in resort hotels, striving to make its virtual aide Alexa a bigger part of consumers' lives.

The home robot is designed to take up tasks such as home monitoring, setting up routines and reminders, and can play music and TV shows while rolling around the house.

The device, which has digital eyes on a rotating screen mounted on wheels, is available at an introductory invite-only price of $999.99 and regular price of $1,449.99.

Among other launches in its latest lineup were a smart thermostat, smart display Echo Show 15 and a new health-tracking band called Halo View.

The Echo Show 15 can be mounted on a wall and is powered with AZ2 Neural Edge, a processor that helps users personalize the screen.

In its push to appeal to the next generation of customers - kids - the company introduced Amazon Glow, a gadget for playing games, reading or drawing while on a video call.

In its partnership with Disney, it will launch an Alexa-powered voice assistant at Disney's theme park hotels, along with a paid feature that lets customers interact with Disney characters at home.

The feature is expected to launch next year and will let users interact with Disney characters with the 'Hey, Disney!' voice command.

Aditya Birla Sun Life AMC allots shares worth Rs 789 cr to anchor investors

 Aditya Birla AMC is looking at valuations of Rs 20,500 cr in its IPO-the fourth by a domestic mutual fund house

Aditya Birla Sun Life Asset Management Company (AMC) on Tuesday allotted shares worth Rs 789 crores to anchor investors. The AMC allotted nearly half of the anchor investor portion to eight domestic mutual funds. The domestic funds which were allotted shares include ICICI Prudential, HDFC Mutual Fund, SBI, Axis, Invesco India, UTI, Kotak and Edelweiss. The other prominent anchor investors include Abu Dhabi Investment Authority, HSBC, Morgan Stanley Asia, amongst others.

Aditya Birla AMC is looking at valuations of Rs 20,500 crore in its initial public offering (IPO)—the fourth by a domestic mutual fund house.

The price band is Rs 695-712 per share. At the upper band, the issue size would be Rs 2,768 crore.

The IPO will be a secondary share sale by promoters Aditya Birla Capital (ABCL) and Sun Life AMC.

The domestic partner is selling 2.85 million shares–less than one per cent of its stake–to raise about Rs 203 crore. Meanwhile, Canadian firm Sun Life will divest 12.56 per cent holding, or 36 million shares, to raise Rs 2,565 crore at the top end of the price band.

Currently, ABCL holds a 51 per cent stake, while Sun Life holds the remaining 49 per cent. Following the IPO, the total promoter stake in the fund house will fall from 100 per cent at present to 86.5 per cent.

Aditya Birla AMC is the country's largest non-banking affiliated fund house in terms of assets under management (AUM) and fourth overall.

For the quarter ended June 2021, Aditya Birla AMC had an average AUM of Rs 2.84 trillion. It had reported a net profit of Rs 155 crore on revenues of Rs 336 crore.

UTI AMC was the last MF to come out with an IPO. Its stock has more than doubled since listing a year ago.

Whirlpool to acquire additional 38% stake in Elica PB India for $57 mn

 Consumer durables maker Whirlpool of India Ltd on Monday said it has inked a pact to acquire an additional 38 percent stake in Elica PB India for $57 million (around Rs 420 crore)

Consumer durables maker Whirlpool of India Ltd on Monday said it has inked a pact to acquire an additional 38 percent stake in Elica PB India for USD 57 million (around Rs 420 crore).

The company said it has entered into a share purchase agreement with Elica S.p.A to acquire the additional equity interest in Elica PB India to bring its total equity ownership to 87 per cent.

The transaction is expected to close by the end of September 2021, Whirlpool of India said in a statement.

After the completion of the deal, Elica PB India will become a majority-owned subsidiary of Whirlpool India, it added.

Both organisations would, however, continue to run their operations similar to their current state, the consumer durables maker noted.

Whirlpool India had in 2018 acquired 49 per cent stake in Elica PB India, which produces diverse models of kitchen hoods, hobs and cooktops.

"We are very excited about this transaction and it is aligned with our ambition to accelerate profitable growth in India," Whirlpool of India Managing Director Vishal Bhola said.

Cooking and built-in appliances are under-penetrated categories and the demand has now accelerated with consumers picking up cooking as a passion and investing more in their kitchens, he noted.

PM Narendra Modi launches health ID, digital record for citizens

 Experts flag privacy concerns in absence of data protection law

Prime Minister Narendra Modi on Monday launched the digital Ayushman Bharat Mission and said the initiative would bring about a revolutionary change in India’s health facilities, improve ease of living, and digitally protect the health records of people.

He said in a virtual address that the mission would create a seamless online platform that would enable interoperability within the digital health ecosystem.

Referring to the Jan Dhan-Aadhaar-Mobile (JAM) trinity, the prime minister said the digital infrastructure was taking everything from ‘Ration to Prashasan’ to the common Indian in a fast and transparent manner. “There is no such big connected infrastructure anywhere in the world,” Modi said.

The PM said the Ayushman Bharat–Digital Mission would connect the digital health solutions of hospitals across the country with each other and simplify hospital processes. Every citizen would be able to get a health ID and their health record would be digitally protected, Modi said. Experts, however, have raised privacy concerns around the digitisation of the health records of people, especially in absence of a data protection law or a data protection authority. Digital rights organisation Access Now has said in a letter to the health ministry: “The use of 'unique identifiers' imperils privacy, and enables the “mosaicing” or creation of a complete profile of users, which can be used to target them by commercial or state actors. This must not be permitted.”

Modi stressed that the initiative would play a very important role in eliminating the medical problems of the poor and the middle-class section of society.

He acknowledged that diseases were one of the key reasons to push families into the vicious cycle of poverty. Modi said women in these families were the worst sufferers as they would always relegate their health issues to the background.

In 6 years before Covid, India's average farm incomes rose 59% and debt 58%

 Income varied between farming households disaggregated by the size of landholding and between states.

Agricultural households' average monthly income increased by 59% to Rs 10,218 in the six years to 2018-19, per the National Statistical Office's (NSO) Situation Assessment of Agricultural Households and Land and Livestock Holdings of Households in Rural India (SAS) 2019 survey, released on September 10.

The income was calculated after factoring in paid-out costs. When imputed costs--i.e., use of self-owned inputs like machinery and seed stock, owned animals, and unpaid family labor--were factored in, the average monthly income of farmers' households in 2018-19 was Rs 8,337, per the SAS 2019 survey.

Further, income varied significantly between farming households disaggregated by the size of landholding, ranging from Rs 7,500 to Rs 61,000. Nearly nine in 10 farmer households were landless, marginal, or small, i.e. they owned less than 2 hectares (about 5 acres) of land. Their average monthly income in 2018-19 was Rs 9,700. Medium-sized to large farms of over 2 and 10 hectares, respectively, comprising just 12% of farming households, had an average monthly income of Rs 35,000.

Income also varied greatly between states. In large states like Bihar, Uttar Pradesh, Madhya Pradesh, Telangana, West Bengal and Chhattisgarh, incomes were lower than the national average. Jharkhand and Odisha reported the lowest at Rs 4,985 and Rs 5,112 per month, respectively. Punjab and Haryana reported the highest monthly farmer incomes among large states, at Rs 26,701 and Rs 22,841, respectively.

There was a seven-percentage-point increase in farming households' income from wages and a corresponding decrease in income from farming activities since the 2012-13 SAS survey. The data indicate a worsening in profitability in agriculture overall and a need to supplement farm income with income from other sources, experts told us. Children of farmers were moving out of agriculture and into better-paying professions due to inadequate incomes in the low-productivity agricultural sector, IndiaSpend had reported in July 2019.

SAS 2019 also reported that while half (50.2%) of agricultural households were in debt--slightly less than the 52% that reported indebtedness in the previous survey--the average outstanding loan had gone up by 58% to about Rs 74,000.

Indian firms in MSCI among oldest but things changing, shows data

 The entry of new-age companies will boost revenues but make indices pricier

The majority of stocks in the MSCI India index have been listed for more than 20 years — among the oldest in the Asia Pacific region. On the other hand, China’s frontline equity index is the "youngest" in the region with an average listing age of just nine years, shows an analysis done by Goldman Sachs Global Investment Research. The average listing age for most Asia Pacific ex-Japan equity markets is between 20 and 25 years. Goldman Sachs listing age is “a good proxy for change and innovation".

“The (MSCI India) index still remains dominated by financials and old-economy/traditional sectors. Lack of fast-growing new economy/digital stocks in the index has meant that India’s earnings have lagged the region, while the internet-heavy China index has delivered the best earnings over the past decade,” says the brokerage in a note.

Goldman Sachs projects the average listing age for India to reduce going ahead as large new-age companies enter the public markets. “Indian equity indices could see a larger representation of the new-economy sectors over the next 2-3 years as large digital IPOs get included in the index,” it says.

The entry of new-age companies will boost revenues but make indices pricier.

“Addition of new listings could increase the aggregate revenues of the MSCI India index by 20 per cent, on a pro-forma basis. However, the valuations for the index could rise given near-term negative earnings of few unicorns and expensive valuations of the digital tech companies,” says the Goldman Sachs note.

Facebook puts Instagram Kids on hold amid criticism of planned app

 Instagram has hit pause on a new app it is creating for kids, the photo-sharing service owned by Facebook Inc said on Monday, in a move that comes amid growing opposition for the project

Instagram has hit pause on a new app it is creating for kids, the photo-sharing service owned by Facebook Inc said on Monday, in a move that comes amid growing opposition for the project.

Instagram Kids had been touted as requiring parental permission to join, and was supposed to provide ad-free, age-appropriate content, but U.S. lawmakers and advocacy groups have urged the social media giant to drop its launch plans, citing safety concerns.

"We won't stop pressuring Facebook until they permanently pull the plug," said Josh Golin, executive director of Fairplay, an advocacy group focused on kids.

Instagram said in a blog post that building Instagram Kids was the right thing to do, but that it was pausing the work and would continue building on its parental supervision tools.

"The reality is that kids are already online, and we believe that developing age-appropriate experiences designed specifically for them is far better for parents than where we are today," it said, noting that there were app versions of Alphabet Inc's YouTube and ByteDance's TikTok for those under 13.

Nick Clegg, Facebook's vice president of global affairs, said on Monday that the company is exploring features that would "nudge" a teen away from content on Instagram that its tech system perceives could be negative, or encourage them to take a break from the app. He spoke in an interview at the Atlantic Festival.

Four Democratic lawmakers including U.S. Senators Ed Markey and Richard Blumenthal said on Monday they were pleased by Facebook's decision but said the pause "is insufficient."

Beauty brand MyGlamm unveils Good Glamm Group, raises Rs 255 cr in Series C

 With a Rs 750-crore war chest, the Good Glamm Group will also make strategic investments in innovative beauty and personal care brands

MyGlamm, India’s fastest growing direct-to-consumer beauty brand, has announced the formation of the Good Glamm Group. This move consolidates its position as a ‘Digital House of Brands’ powered by a content-to-commerce strategy.

The firm has also topped up its Series C fundraise with a Rs 255 crore infusion led by an equity investment from the Trifecta Leaders Fund and structured financing from Trifecta Capital and Stride Ventures. With this additional funding, the Good Glamm Group has earmarked a Rs 750-crore war chest to make strategic investments in innovative beauty and personal care brands.

“The purpose of the Good Glamm Group is to transform the beauty journey of millions of women, through great content and innovative products from the Group’s house of brands,” said Darpan Sanghvi, founder and CEO, Good Glamm Group.

In July, this year MyGlamm raised a part of Series C funding round at Rs 530 crore from investors including Accel. This included a top-up of Rs 355 crore to the existing Rs 175 crore it had raised in March of this year from investors such as Ascent Capital, Amazon and Wipro Consumer. This also marked one of the first investments made by e-commerce firm Amazon in a beauty brand in India.

Sanghvi said under the Good Glamm Group umbrella, are fast-growing brands that solve key needs in every part of a woman’s life stage, from a tween to an adult.

“As we have added and strengthened these brands, we have grown multifold in the last 18 months,” said Sanghvi. “In this journey, we have partnered with high-quality long-term investors like Trifecta Capital.”

Brands that come under the Good Glamm Group umbrella will be able to leverage a large digital audience comprising 88 million POPxo annual users, 220,000 Plixxo influencers, and Baby Chakra’s 20 million mothers’ community and 10,000 doctors network. This impressive digital reach, combined with MyGlamm’s 20,000 offline points of sale gives the Good Glamm Group an unprecedented scale. This is further amplified by the Group’s expertise in DTC growth, new product development and technology and data science.

After Covid-19, more women are considering scaling back at work: US survey

 Women, the survey found, were more likely to report experiencing burnout than men - a gap that's widened in the last year, too

Pandemic burnout is nipping at the slow, but steady, progress women have made up and down the corporate ladder over the last five years, a McKinsey & Co. report conducted in partnership with LeanIn.Org released Monday finds.
In an annual survey of 65,000 workers across 423 organizations, one-third of women said they were considering scaling back their careers or leaving the workforce altogether. That figure jumped almost 10 percentage points from the beginning months of the pandemic. Women, the survey found, were more likely to report experiencing burnout than men — a gap that’s widened in the last year, too.

“Our concerns are the impact of pandemic burnout on women long-term, and what companies need to do in response,” said Rachel Thomas, co-founder, and chief executive officer of Lean In.

In the last five years, women’s representation has increased at all levels, the report found. Women hold nearly 50% of all entry-level jobs and around a quarter of C-suite roles, each up a few percentage points from 2016.

But the pandemic has put these small gains at risk, the report’s findings warned. “The representation of women is only part of the story,” the authors write. “The pandemic continues to take a toll on employees, and especially women.”

Pandemic-related child-care struggles have already pushed millions of women in the US out of the workforce. Surveys like this one and others suggest if things don’t improve many more will soon follow.

Unicommerce managing over 1 mn daily transactions, $5 bn in GMV annually

 Unicommerce aims to get over 2000 brands on board in the current financial year

Unicommerce, the e-commerce focused supply chain software-as-a-service platform, said it manages over 1 million daily transactions on its platform, amounting to over $5 billion gross merchandise value (GMV) annually.

It aims to get over 2000 brands on board in the current financial year, increasing from the over 1,500 clients it currently has, across sectors such as fast-moving consumer goods, beauty, and personal care, health and pharma, agriculture, home decor, nutraceuticals, fashion, and electronics among others, expanding the brand portfolio of the company.

The company recently said it plans to increase its workforce by 60 per cent to support its expansion plans in the coming fiscal year. Unicommerce, which currently employs over 240 people, is looking at onboarding more than 150 people by the end of FY22.

“While the Coronavirus (Covid-19) pandemic has undeniably had a severe impact on industries across sectors, it provided an impetus to our business with brands across sizes reiterating focus on strengthening their online presence. This created a huge demand for robust, tech-driven supply chain solutions that are specifically designed for e-commerce. With our sector-agnostic, one-stop platform, we have managed to cater to this heightened demand, which in turn has helped us grow our business manifold. We have become a preferred choice of companies going direct-to-commerce and omnichannel and our strong growth is the testimony of our successful product portfolio. This showcases that we are on the right track and we will continue to expand our business in India and international markets," said Kapil Makhija, CEO, Unicommerce.

SpiceJet's plan to hive off cargo business faces challenge from creditors

 Lessor, lenders object to the airline's plan to hive off logistics arm into a separate business before clearing pending dues

Ajay Singh-led SpiceJet’s plans to hive off its logistics and cargo business into a separate entity called SpiceXpress is facing legal hurdles with lenders and aircraft lessors challenging the move.

One of SpiceJet’s lessor-Goshawk, along with its trustees, has moved the Delhi High Court asking for an injunction on the airline’s plan to transfer any of its assets to a separate company until the airline clears its pending dues of around $16.2 million as lease rentals on three aircraft.

In its interim order, the Delhi High Court has restrained SpiceJet from alienating the assets worth the amount into a separate company.

“Till further orders, the judgment debtor is restrained from transferring/alienating its assets to the tune of decretal amount,” the order by the Delhi High Court said.

The development is a big hurdle for the airline as hiving off and monetizing the cargo unit remains one of the key strategies to recapitalize the company. The next date of hearing is on 29 November. SpiceJet is in talks with multiple private equity investors to sell shares in the logistics arm to raise money.

People aware of SpiceJet’s business plans indicated that in their talks investors have made it clear that they want the cargo business to be ring-fenced and at an arm’s length distance from the passenger business.

The airline has also approached the Ministry of Civil Aviation for a new Air Operators Permit for the cargo arm and has also set up management, separate from the passenger business.

Sebi might soon allow PE players to snap up, set up their own AMCs

 At present, PE firms are not banned from acting as an MF sponsor, however, the prerequisites make it difficult for them to acquire or run a fund house

Private equity (PE) players may soon get more leeway to snap up asset management companies (AMCs) or set up their own. Market regulator Securities and Exchange Board of India (Sebi) is likely to further ease mutual fund (MF) ownership rules, said people in the know. The issue will be taken up at its board meeting scheduled for Tuesday. The board is also likely to ease the framework governing superior voting rights (SR shares), in a bid to give more flexibility to the founders of new-age companies to raise capital before going public. Sebi could also operationalize the framework to allow the setting up of gold spot and social stock exchanges.

At present, PE firms are not banned from acting as MF sponsors. However, the prerequisites make it difficult for them to acquire or run a fund house.

Under current regulations, a sponsor is required to meet the ‘fit and proper criteria’ under which an entity needs to have a soundtrack record and general reputation of fairness and integrity in all its business transactions. To meet the ‘soundtrack record’ criteria, a sponsor is required to have operated a financial services business for a period of not less than five years and have a positive net worth in the preceding five years. A sponsor is also required to hold at least a 40 per cent stake in the AMC.

Industry players say many of the current requirements act as a deterrent for PEs to take up the sponsorship of MFs.

Sources said the regulator intends to ease several of these rules in order to boost innovation and expand the reach of MF products. The move could also intensify competition in the Rs 36-trillion MF industry.

India emerges as Dubai's second biggest trade partner after China

 Saudi Arabia came fourth with 30.5 billion dirhams up 26 per cent from H1 2020, followed by Switzerland at 24.8 billion dirham

India has emerged as Dubai's second-biggest trading partner after China with the overall volume touching 38.5 billion dirhams in the first half of 2021, according to official data released on Sunday.

According to a Dubai government statement, the emirate had a trading volume of 86.7 billion dirhams with China in H1 (first half) of 2021, followed by India and the US at third position.

Trade with India grew 74.5 per cent year-on-year to 67.1 billion dirhams from 38.5 billion dirhams in H1 2020.

China recorded 30.7 per cent growth year-on-year with total trade with Dubai standing at 66.3 billion dirhams in H1 2020.

In H1 2021, the USA traded 32 billion dirhams with Dubai, up 1 per cent year-on-year from 31.7 billion dirhams.

Saudi Arabia came fourth with 30.5 billion dirhams up 26 per cent from H1 2020, followed by Switzerland at 24.8 billion dirhams.

The total share of the five biggest trade partners in H1 2021 amounted to 241.21 billion dirhams compared to 185.06 billion dirhams in H1 2020, up 30.34 per cent.

Gold topped the list of commodities in Dubai's H1 external trade at 138.8 billion dirhams (19.2 per cent of Dubai trade), followed by telecoms at 94 billion dirhams (13 per cent).

Diamonds came third in the list at 57.3 billion dirhams (8 per cent), followed by jewelry at 34.1 billion dirhams (4.7 per cent), and vehicle trade at 28 billion dirhams (4 per cent).

Dubai's non-oil external trade surged 31 per cent in the first half of 2021 to reach 722.3 billion dirhams from 550.6 billion dirhams in the corresponding period in 2020.

Exports grew 45 percent year on year in H1 2021 to 109.8 billion dirhams from 75.8 billion dirhams, which supports the goal of the 10 x 10 program (one of the nation's 'Projects of the 50' initiatives) to increase the UAE's exports to 10 global markets by 10 per cent annually.

Glenmark Pharmaceuticals sees potential of NONS to prevent Covid-19

 The firm, which has tasted success with its oral antiviral drug favipiravir, is now betting on the NONS to drive revenues from its Covid-19 portfolio

Glenmark Pharmaceuticals plans to test its upcoming nitric oxide nasal spray (NONS) that it has licensed from a Canadian Biotech firm as a preventive measure for Covid-19.

The firm, which has tasted success with its oral antiviral drug favipiravir, is now betting on the NONS to drive revenues from its Covid-19 portfolio.

In the first quarter, Covid-19 revenues were a tad less than 10 per cent of Glenmark’s turnover. Favipiravir alone sold for around Rs 350 crore, boosting its India business by 57 per cent year-on-year (YoY). What’s more? Fabiflu (Glenmark’s brand of favipiravir) enjoys margins of 35 per cent.

Glenmark has tied up with Canadian biotech firm SaNOtize to manufacture, market, and distribute its NONS for Covid-19 treatment in India and other Asian markets. Glenmark aims to launch the NONS under the brand Fabispray in the second half of the 2021-22 financial year.

The regulator has allowed Glenmark to start phase 3 trials of the product with conditions that anyone vaccinated with Covid-19 should be excluded from the disease.

Glenn Saldanha, managing director and chief executive of Glenmark, said a major clinical trial by SaNOtize was being conducted in Canada over 4000 people to see if this drug also works in the prevention of Covid-19. “If the trial shows that this works in prevention, then there are several uses of this. As such, nitric oxide, which is also produced by the body, is safe. With offices, schools, colleges, and local trains resuming, there would be wide and frequent use of the nasal spray,” Saldanha said.

Essar Oil seeks extension on settling value-added tax arrears in UK

 This seemed to be intended to calm speculation that it may be on the brink of collapse, following media reports to this effect

Essar Oil UK (EOUK) on Saturday night rushed out a statement to inform the market it was in negotiations with the British government to extend a settlement of its VAT (value-added tax) arrears and expected an early resolution.

This seemed to be intended to calm speculation that it may be on the brink of collapse, following media reports to this effect.

The weekend in Britain witnessed a rare shortage of fuel at service stations. This was attributed to a dwindling number of drivers and hauliers caused by the UK’s exit from the European Union. People from the EU are no longer able to automatically work in the UK. Five thousand and five hundred visas are to be issued by the British government on an emergency basis from Monday to ease the inadequate transportation situation.

Pump after pump had run dry in Britain in the last three days, setting off panic purchases. The ones that were opened had mile-long queues of vehicles snaking away from them.

Stanlow supplies about a sixth of Britain’s petrol and diesel. Its closure will accentuate the crisis to fearful proportions.

Essar Oil UK, owned by Shashi and Ravi Ruia, said it was in talks with the British government on deferring VAT payments.

“On future VAT payments,” it said, “EOUK entered into a time-to-pay (TTP) arrangement with HMRC (Her Majesty’s Revenue and Customs) for a total of £770 million in April 2021.” It added: “EOUK has already repaid HMRC £547 million leaving a balance of £223 million, as part of the government opt-in-scheme available to all corporates in the UK.”

It claimed: “All companies under the TTP have been given until January 2022 to meet their commitments.”

The company went on to say: “EOUK had agreed to an accelerated schedule to make this payment. However, the recovery from the pandemic has been slower than predicted. EOUK is therefore in discussions with HMRC over a short extension to make those deferred VAT payments.” It maintained: “Those discussions are positive and EOUK looks forward to a resolution soon.”

Did central banks gain too much clout in pandemic: An economist explains

 Christina Parajon Skinner, an assistant professor at the Wharton School and former legal counsel at the Bank of England, probes the question.

Central banks were the first economic responders to the Covid-19 pandemic. From Washington to Wellington, policymakers swiftly deployed tools developed during the global financial crisis and found new ways to shore up credit markets vital to the functioning of modern commerce.
Learning from the 2007-2009 fiasco, they moved with great speed and scope. Monetary authorities were aided by their independence: They had credibility with investors and businesses that allowed them to take bold steps and weren’t subject to the political horse-trading and delays that usually come with fiscal stimulus. But some lessons may have been taken too far. Do central banks have too much clout and shape policy too expansively in too many areas? If so, does that imperil the very autonomy that makes them so effective? Christina Parajon Skinner, an assistant professor at the University of Pennsylvania’s Wharton School and former legal counsel at the Bank of England, probes these questions extensively in her “Central Bank Activism” paper, scheduled to be published next month in the Duke Law Journal.

I discussed with Skinner how the Fed used the enormous power at its disposal — and the potential costs of such a muscular role — particularly in light of the current White House deliberations over whether to nominate Federal Reserve Chair Jerome Powell for a second term. (Fans say Powell did a good job during a once-in-a-lifetime crisis, while most detractors claim he was too easy on banks and is insufficiently attentive to environmental concerns. There are also upcoming vacancies for the positions of Fed vice chair and vice-chair for supervision.) The transcript has been edited for length and clarity.

DM: A barrage of emergency measures has been called upon twice within 12 years. Can they even be called unconventional anymore and how likely is it that central banks go down this route time and again?

Twitter rolls out bitcoin tipping, safety features in product push

 Twitter users globally on iOS devices can now send and receive digital payments, which was previously limited to a small group of testers.

Twitter Inc will allow people to tip their favorite content creators with bitcoin and will launch a fund to pay some users who host audio chat rooms on its Spaces feature, the company said on Thursday.

The San Francisco-based company added it will test new ways to help users have a safer experience on Twitter, such as warning when people are entering a "heated" conversation or letting them leave tweet threads.

The product announcements are part of Twitter's effort to compete with rival platforms like Facebook and Alphabet Inc's YouTube for popular content creators with large followings and turn around its image as a site where polarized discussions can fester.

Twitter users globally on iOS devices can now send and receive digital payments, which was previously limited to a small group of testers.

"We believe we can continue to incentivize the types of conversations that people want to see," said Esther Crawford, product lead for creator monetization at Twitter, in a briefing with reporters.

Twitter said it plans to support authentication for NFTs, or non-fungible tokens, which are digital assets such as images or videos that exist on a blockchain.

Paytm founder could see his stake go up by 2-4% in parent firm ahead of IPO

 In August this year, the company had doubled its ESOPs pool from 24,094,280 to 61,094,280, this was approved by shareholders earlier this month

Paytm founder Vijay Shekhar Sharma could see his stake go up at One97 Communications, the parent company of the digital payments platform. Sharma, who holds around 14.6 per cent in One97, could see his stake increase by another 2 to 4 per cent, said sources in the know.

“Vijay had in the past given 4 per cent of his equity before forming Paytm’s ESOP pool was created. So technically, till sometime back, people got his shares as their ESOPs,” said a source aware of the details on the condition of anonymity.

In August this year, the company had doubled its ESOPs pool from 24,094,280 to 61,094,280, this was approved by shareholders earlier this month. “Vijay has never taken any ESOPs in the past. The existing shareholders see this as a reward for the incredible work he has done in creating payments and financial services leader in Paytm,” said another source close to the development.

These changes come as the company has filed the draft red herring prospectus (DRHP) for an IPO that intends to raise over $2 billion.

Sharma is understood to be offloading some of his stake in the company through an offer for share (OFS). With this, however, he will manage to hold a substantial stake in the company. Some of the other investors like Alibaba Group, Ant Group, Softbank, and others are also offloading some part of their holdings in the company.

North Korea rejects South's calls for end-of-war declaration

 In UNGA, South Korean President Moon Jae-in reiterated his calls for the end-of-the-war declaration that he said could help achieve denuclearisation and lasting peace on the Korean Peninsula

North Korea rebuffed South Korea's push for a declaration to end the 1950-53 Korean War as a way to restore peace, saying Friday such a step could be used as a smokescreen covering up the US hostile policy" against the North.

In a speech at the UN General Assembly earlier this week, South Korean President Moon Jae-in reiterated his calls for the end-of-the-war declaration that he said could help achieve denuclearisation and lasting peace on the Korean Peninsula.

North Korean Vice Foreign Minister Ri Thae Song dismissed Moon's call as premature so long as US policies were unchanged.

It should be clearly understood that the declaration of the termination of the war is of no help at all to stabilize the situation of the Korean Peninsula at the moment but can rather be misused as a smokescreen covering up the US hostile policy," Ri said.

He said American weapons and troops deployed in South Korea and its vicinity and regular US military drills in the region all point to the US hostile policy toward (North Korea) getting vicious day by day.

North Korea has also long described US-led economic sanctions as proof of US hostility against the North.

The Korean War ended with an armistice, not a peace treaty, leaving the peninsula in a technical state of war. North Korea has steadily wanted to sign a peace treaty with the United States to formally end the war and for subsequently improved relations, sanctions relief, and the reduction or withdrawal of the 28,500 US troops deployed in South Korea.

Both Koreas had called for an end-of-war declaration to be made during the period of diplomacy with the United States that began in 2018, and there was speculation then-President Donald Trump might announce the war's end in early 2019 to convince North Korean leader Kim Jong Un to commit to denuclearization.

Google Photos Locked Folder option coming to all Android phones soon

 Search engine giant Google has confirmed that the Locked Folder in Photos is set to arrive on all Android devices soon.

Search engine giant Google has confirmed that the Locked Folder in Photos is set to arrive on all Android devices soon.

The feature was released exclusively on newer Pixel phones in June. Google hasn't provided an exact date for when the feature is releasing more widely, reports The Verge.

The Photos Locked Folder will roll out soon to devices running Android 6.0 and newer. Once it is life, users will be able to set up this folder after they receive a notification from Google Photos.

Google Photos Locked Folder hides selected pictures/videos from the application's main grid, search, and "apps that access your device photos."

Additionally, these photos will not be backed up or shared and require a device screen lock to access. Even users will not be allowed to take screenshots when they are inside a secure space.

"With Locked Folder in @googlephotos, you can add photos to a passcode-protected space and they won't show up as you scroll through photos or other apps on your phone. Locked Folder is launching first on Google Pixel, and more Android devices throughout the year," the firm said in a tweet earlier.

One can set up a Locked Folder by going to Library > Utilities > Locked Folder in the Google Photos app.

Fed meeting: Global markets can ride out tapering, say experts

 The Fed is charting a steady course, Joyce Chang, JPMorgan Global Research Chair says in a television interview with Bloomberg

Wall Street appears to be a little more confident that global markets can weather a gradual tightening in Federal Reserve monetary policy. Stocks have climbed and the Treasury yield curve has flattened since US Federal Reserve Chair Jerome Powell announced the Fed could begin scaling back asset purchases in November. But there’s no tantrum in sight, at least so far, of the sort that roiled investors in 2013.

The Fed is trying to avoid creating fear in markets about the pullback in asset purchases, Jeffrey Rosenberg, senior portfolio manager for systematic fixed income at BlackRock, said on Bloomberg Television: “The Fed has got to be pleased that their communication on the long way to tapering has avoided the dreaded fear of the tantrum. The flatter curve is kind of an initial response. Yes, the curve is flatter, but you’ve got to squint to see that market reaction. This is a very good outcome for the Fed in terms of signaling their intent to give the market information well ahead of the tapering decision.”

Vincent Reinhart, chief economist and macro strategist at Mellon, says the markets have got it about right: “They are going to unwind unconventional policy action, there is a sell-by date for the asset purchases, probably July of next year, and that they are ready to start raising rates may be as soon as December next year. However, what they also heard is that they are confident enough about the economy to support that.”

The Fed is charting a steady course, Joyce Chang, JPMorgan Global Research Chair says in a television interview with Bloomberg: “The Fed is effectively on cruise control at this point. Powell has made it very clear that it will take a serious disappointment to knock them off course.”

The dot plot indicates a greater tolerance to inflation, says Matthew Luzzetti, chief US economist at Deutsche Bank AG in New York.

Explained: How human beings lost their tails

 Charles Darwin first recognized this change in our ancient anatomy. But how and why it happened has remained a mystery

For half a billion years or so, our ancestors sprouted tails. Like fish, they used their tails to swim through the Cam­brian seas. Much later, when they evolved into primates, their tails helped them stay balanced as they raced from branch to branch through Eocene jungles. But then, roughly 25 million years ago, the tails disappeared.

Charles Darwin first recognized this change in our ancient anatomy. But how and why it happened has remained a mystery.

Now a team of scientists in New York says they have pinpointed the genetic mutation that may have erased our tails. When the scientists made this genetic tweak in mice, the animals didn’t grow tails, according to a new study that was posted online last week.

This dramatic anatomical change had a profound imp­act on our evolution. Our an­cestors’ tail muscles evolved into a hammock-like mesh across the pelvis. When the ancestors of humans stood up and walked on two legs a few million years ago, that muscu­lar hammock was ready to support the weight of upright organs.

Although it’s impossible to definitively prove that this mutation lopped off our anc­es­tors’ tails, “it’s as close to a smoking gun as one could hope for,” said Cedric Fesc­h­otte, a geneticist at Cornell not involved in the study.

Bank deposits rise 12% in FY21 on higher CASA growth: RBI data

 Among institutional categories, the household sector held a 64.1 per cent share in total deposits

Bank deposits grew 11.9 per cent year-on-year during 2020-21 compared to 8.8 per cent in 2019-20 on the back of high growth in the current account and savings account (CASA) deposits, RBI data showed.

The share of CASA deposits increased to 43.7 per cent in March 2021 compared to 41.7 per cent a year ago, according to the Reserve Bank of India (RBI's) Deposits with Scheduled Commercial Banks - March 2021 data released on Thursday.

Among institutional categories, the household sector held a 64.1 per cent share in total deposits.

Individuals, including Hindu Undivided Families (HUFs), were the major constituent of the household sector and contributed 55.8 per cent in aggregate deposits, the data showed.

Bank deposits of non-financial corporations surged by 18.8 per cent during 2020-21 and their share in total deposits increased to 16.2 per cent in March 2021.

Metropolitan branches of banks, which account for over half of total deposits, accounted for 59.6 per cent of incremental deposits during 2020-21 as against 43.2 per cent in the previous year.

Three major states -- Maharashtra, UP, and Karnataka -- held one-third of the total household sector's outstanding deposits and over 40 per cent of its incremental deposits during 2020-21, the data showed.

The share of private sector banks in total bank deposits continued to rise at the cost of public sector banks and stood at 30.5 per cent (29.5 per cent a year ago), accounting for about half of the deposits of financial and non-financial corporations as well as the rest of the world sectors.

No doubt Vodafone Idea will survive, funding to come soon, says CEO

 With govt's relief package all fears to some extent have been put aside by investors, says Ravinder Takkar

Vodafone Idea is confident it can reach a fundraising deal with potential investors, bolstered by a federal government package that provides much-needed relief to the debt-ridden mobile carrier, its chief executive officer said on Wednesday.

Vodafone Idea, with net debt of ₹1.91 trillion ($25.86 billion) and other government dues of ₹1.68 trillion, had expressed repeated concerns about its ability to stay afloat without federal help.

Investors were waiting to see whether New Delhi would ensure that at least three players exist in the telecoms sector and also wanted the funding to be used for business rather than paying government dues, Ravinder Takkar, the CEO of Vodafone Idea, said in a video interview.

"With this package, all of those fears to some extent have been put aside," said Takkar, without specifying the names of investors the company was in talks with or a timeline for the fundraising.

"With this tremendous change, our business plans will have to be updated, which means our funding requirements will also have to be updated."

Prime Minister Narendra Modi's government last week approved a relief package for India's cash-strapped telecoms sector, including a four-year moratorium on airwaves fees due to the state.

Mindtree appoints key personnel to expand Europe and APAC presence

 Names three Chief Business Officers--one for DACH nations, another for Nordics and Benelux, and a third for Asia-Pacific

Mid-sized information technology firm Mindtree is expanding in Europe and Asia-Pacific and has appointed key personnel in the regions.

The company has appointed Klaus Seifert as Head of Strategy for Europe and Chief Business Officer for Germany, Austria, and Switzerland (DACH).

Munich-based Seifert has over two decades of experience in sales, business development, and profit and loss management across diverse industry sectors. He was formerly the head of Global Technology Services for DACH at IBM.

Further, Erik Julius Larsen has joined the company as Chief Business Officer for Nordics and Benelux.

Larsen’s experience of more than 25 years includes several executive positions in the IT industry across northern Europe. Prior to joining Mindtree, he worked at Cognizant as Country Manager and Head of Sales for Nordics.

Dominic Del Giudice has been appointed as Chief Business Officer for Asia-Pacific and will be based in Melbourne, Australia.

"Del Giudice joins Mindtree with more than two decades of management consulting, business and digital transformation, and enterprise and technology solutions experience with large multinational companies. He joins Mindtree from IBM, where he was Vice President and Senior Partner at IBM Global Business Services across Asia-Pacific and Australia/New Zealand.

India's SII to invest $68 million in UK vaccine maker Oxford Biomedica

 Serum - the world's largest vaccine manufacturer by volume - and Oxford Biomedica both produce AstraZeneca's COVID-19 vaccine.

(Reuters) -Vaccine maker Serum Institute of India (SII) will invest 50 million pounds ($68 million) in Oxford Biomedica to help fund the development of a plant that manufactures COVID-19 shots, the British company said on Wednesday.

Serum - the world's largest vaccine manufacturer by volume - and Oxford Biomedica both produce AstraZeneca's COVID-19 vaccine.

Serum Life Sciences Ltd, a unit of India-based SII, will pick up a 3.9% stake in Oxford Biomedica as part of the deal.

Oxford Biomedica spun off from Oxford University in 1995, said it would use the funds to develop the fallow area at its Oxbox plant into a manufacturing space expected to come online in mid-2023.

The Oxbox plant currently makes COVID-19 shots, and the new space is expected to include a capacity to produce viral vector-based products including vaccines, Biomedica said.

Shares of the British firm were up 5% on the London Stock Exchange, as of 0745 GMT.

Serum's investment comes four months after Oxford Biomedica doubled its sales estimates from the AstraZeneca shot to more than 100 million pounds by 2021-end.

A representative for SII did not immediately respond to Reuters' request for a comment.

For Serum, the deal is the second in as many weeks, following its planned purchase of a 15% stake in Indian drugmaker Biocon's biologics unit.

The Oxford-based company said on Wednesday it swung to a profit after its half-yearly revenue more than doubled.