Over-indebted infrastructure companies have been looking to sell assets worth more than Rs 1.25 lakh crore over the past three years but much of this remains unsold.
Engineering behemoth BHEL announced last week that it would report net loss of Rs 877 crore for FY16 as its turnover for the year fell more than 12% to Rs 26,702 crore.
Metals producers make up most of the list
Close to a fourth of debt held by mutual funds now comprises lower-grade paper with aggregate exposure to these having increased over the past year.
Shree Renuka Sugars has been downgraded to default with rating agency Icra citing delays in debt servicing, reports Devangi Gandhi in Mumbai.
Publication of unaccepted ratings by companies in cases where they do not agree with the assessment of the rating agencies was also part of discussions. It was mulled whether agencies should let this information be available on their website for any investor to make use of it
At two downgrades a day, the quality of India Inc’s debt is fast deteriorating. Thanks to160 downward revisions in the last two months alone…
Going by the CSO data, it would appear India’s manufacturing sector is galloping at close to 13%; the numbers from the corporate sector, however, tell a different story altogether, in which most firms aren’t sprinting but crawling.
The high-speed clean-up of banks’ books will hurt earnings growth at state-owned lenders and their ability to raise money from the capital market.
Cash-rich Coal India Ltd (CIL) and a clutch of oil-marketing firms may be called upon by the government to cough up larger dividends this time around…
Fund managers continue to be cautious about investing in debt paper that’s rated below AAA. Issuances of bonds that don’t carry a top-notch rating have slowed sharply in the last couple of months.
Debt-weighted credit ratio, or ratio of debt upgraded to that downgraded, at lowest level in three years
Foreign funds bought just about $3.1 billion worth of equities last year, less than a fifth of the purchases made in 2014 of a net $16 billion.
There may not have been too many defaults on the bond market in 2015 — Amtek Auto was a big one — but the sharp jump in fund-raising by companies rated between AA and BBB…
There has to be a collaborative approach between states and the Centre to address the challenges of investment, says Sanjeev Prasad, senior executive director & co-head, Kotak Institutional Equities.
Weak finances could mean smaller dividends for government this fiscal
Despite the recent default by Amtek Auto, which failed to pay bond holders on the due date, investors aren’t really staying away from the corporate bond market.
Forced by weak numbers for fourth quarter running; analysts say more bad news to come
From Cairn India to Hero MotoCorp, a clutch of corporates is cutting back on capex.
From HUL to Asian Paints, firms fail to meet revised analyst estimates on weak rural demand
Mutual Funds say in a debt fund, overall performance should be seen
While stocks such as Hindustan Unilever (HUL) and Maruti Suzuki have outperformed the markets by a wide margin in the last couple of years, the stocks have sustained the performance even over longer periods.
Lower input costs support operating profit margins
If corporate India is struggling to make ends meet in a sluggish economic environment, state-owned enterprises are among the worst hit.
Last week, Amtek Auto defaulted on Rs 800 crore of repayments to bondholders. Unfortunately, the rating agencies were slow to spot the deterioration in the firm’s business until it was too late.
With a big appetite for acquisitions, the Mahindra & Mahindra Group now boasts close to 125 subsidiary and associate firms
Federal Reserve rate hike fears see FII exit in droves