Rothschild bullish on India, expects to close more deals in H22020

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Even as there is no end in sight for the coronavirus pandemic, which scuppered deal-making activities in the first half of the year, global investment bank Rothschild & Co is bullish on India deal street as it’s already working on a pipeline of deals worth billions of dollars.


Domestic deal activity managed to remain in the green during the first half, thanks to the unprecedented stake sale by Reliance Industries in Jio Platforms, between April and June, worth nearly $15 billion (about Rs 1.12 trillion) through 11 deals.



This helped the overall deal-making grow 14.5 per cent to $43.8 billion (about Rs 3.28 trillion) in the first half of 2020, according to numbers collated by Mergermarkets.


According to Aalok Shah, managing director of Rothschild & Co in India, the bank had a reasonably good first half as it completed three large deals — the $490-million Piramal-Carlyle deal, $900-million Edelwiess-Engie deal, and TVS’ buyout of British bike company Norton Motorcycles, and is working on a number of deals which could be completed in the second half.


“We had a decent start to the year with the $900 million

Govt widens ambit of Rs 3 trn MSME credit scheme, doubles upper loan limit

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The government on Saturday widened the scope of the Rs 3-trillion guarantee scheme by doubling the upper ceiling of loans outstanding to Rs 50 crore and including certain individual loans given to professionals like doctors, lawyers and chartered accountants for business purposes under its ambit.


The tweaking of the Emergency Credit Line Guarantee Scheme (ECLGS) was done based on demand from trade bodies and in line with new MSME definition approved by the Union Cabinet in June.



Briefing the media about the changes made, said the scheme will now include individual loans given for business purposes within the ambit of the ECLGS, subject to the eligibility criteria of the scheme.


“We have also decided to cover individual loans given to doctors, chartered accountants for business purposes under the scheme,” Financial Services Secretary Debasish Panda said.


Similar procedure as with regard to companies would be adopted to sanction loans to these professionals running their business, he said.


To include more companies to take benefit of the scheme, he said, it has been decided to increase the upper ceiling of loans

Housing minister unveils digital platforms to market residential properties

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Housing and Urban Affairs Minister on Friday launched digital platforms of real estate bodies CREDAI and NAREDCO to market residential properties, besides releasing a guide book for affordable rental housing scheme for migrants.


The minister launched ‘CREDAI Awaas App’ and NAREDCO’s online portal ‘HousingforAll.com’ through a video conference.



Puri released the knowledge pack of the government’s ‘Affordable Rental Housing Complexes’ (ARHCs) programme, which has been recently launched to provide rental accommodations to migrant and urban poor.


“We have launched these two portals. The idea came recently and we have been able to implement it,” Puri said.


The ARHCs scheme, which has been launched under the Pradhan Mantri Awas Yojana Urban (PMAY-U) as part of Atma Nirbhar Bharat Abhiyan, will help in providing dignified and affordable living spaces for urban migrants/ poor in need, he said.


The ARHCs scheme would also help real estate developers in retaining labour force on their sites, the minister said, adding that rental housing would be beneficial for young people.


On industry demand for one-time debt restructuring and 100 per cent FDI in affordable rental housing,

Rating models for MSMEs need to be revisited amid Covid-19 crisis: Experts

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The credit rating models for

micro, small and medium enterprises should be revisited in the wake of the crisis as these companies are currently facing the problem of capital erosion, financial experts said on Thursday.


Speaking at a webinar organised by Indian Chamber of Commerce, credit information company TransUnion CIBIL managing director and CEO Rajesh Kumar said the play an important role in the economy and their rating models should be looked into afresh.



“All rating models have to be revisited in the present scenario arising out of the pandemic. This is more so because capital erosion of the entities has taken place,” Kumar said.


He also called for the availability of data from the GST system and payment history of the MSMEs, which would help the rating firms to estimate the probability of defaults.


According to him, access to GST database will be helpful in getting the invoices and understanding the production cycles, supplies, cash flows and bank statements.


“All this information will help estimate the probability of default,” he said.


Of the 50 million in India, only ten

Govt extends deadline for filing income tax returns for FY19 till Sept 30

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The government on Wednesday extended the deadline for filing returns for 2018-19 fiscal by two months till September 30.


“In view of the constraints due to the Covid pandemic & to further ease compliances for taxpayers, CBDT extends the due date for filing of Returns for FY 2018-19 (AY 2019-20) from 31st July, 2020 to 30th September, 2020, the Department said in a tweet.



This is the third extension given by the government for taxpayers to file both original and revised tax returns for 2018-19 fiscal.


In March, the due date was extended from March 31 to June 30. Later in June, it was again extended by a month till July 31.

Milk co-ops approach Centre for export sops to clear massive inventories

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Saddled with huge inventories of unsold skimmed milk powder (SMP) and other products, milk cooperatives have approached the Centre for export incentives which, alongside a scheme to distribute milk through anganwadis, schools and hospitals for Covid patients, could help them tide over the problem.


The cooperatives said they could be forced to cut down their milk procurement price during the coming flush season that starts in the next few months, if the support they seeks is not made available.


The cooperatives, unlike their private counterparts, have managed to hold on to the procurement price despite a sharp drop in demand which has they claim has impacted their margins.


The demand for milk and milk products slumped during the Covid-19 lockdown mainly from hotels, restaurants, sweetmeat shops which were shut to control the spread of the disease.


While the government has relaxed several restrictions in the past few weeks, officials said things are yet to come back to normal.


ALSO READ: Maharashtra govt mulls Rs 5/litre direct subsidy transfer to milk farmers


According to industry sources, Indian cooperative milk unions are at present holding around 170,000 tonnes of

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