Sunday, 18 June 2017

Draft rules released to prevent tax evasion via unquoted shares

India’s apex body for direct taxes has proposed new rules for bringing the value of unquoted shares on a par with the fair market value of underlying assets, seeking to prevent tax avoidance by firms that use the historical acquisition cost to set the price of unlisted stock. 
The Finance Act, 2017, inserted a new section to the Income tax Act on the valuation of unquoted shares — those not listed on any exchange — at fair market value for computing capital gains tax. It had also introduced new provisions to expand the scope of taxation of any gift or property received for inadequate consideration. 

The Central Board of Direct Taxes on Friday released draft rules prescribing the method of valuation of any such property, jewellery, artistic work, immovable property, or shares and securities. Stakeholders have until May 19 to provide their comments. 

According to the draft rules, the “net asset book value” method is proposed to be adopted for the valuation of shares. For valuation of immovable property, the registration value will be taken into account. For jewellery, the valuation provided by the registered valuer would be used. 

Experts say the new rules bring clarity. “Draft rules appear to bring clarity on the valuation of these assets or properties and reduce ambiguity,” said Shailesh Kumar, director at Nangia & Co LLP. 

Any transaction in unquoted shares will now have to be carried out at its fair value and if done at a level lower than this, both the buyer and seller will be liable to pay additional taxes based on the fair value. 

“Applying a fair value basis for unquoted shares instead of book value will create subjectivity, particularly for businesses where business models are unique and untested,” said Abhishek Goenka, partner and leader for direct taxes at PwC. 

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Tata Sons to buy Tata Steel's 2.9 per cent stake in Tata Motors

In a move to consolidate cross-holdings across group firms, Tata Group’s holding firm Tata Sons is set to acquire Tata Steel’s 2.9 per cent stake in Tata Motors.
The announcement on Saturday, made through a filing with the stock exchanges, confirms reports that the Tata Group is planning widespread consolidation of holdings.  
The issue of cross-holdings has already come up several times, even during the tumultuous few months following the sacking of Cyrus Mistry from the group’s top post. In November, a group of foreign institutional investors wrote to Tata Steels’ board raising concerns about its cross-holdings in other Tata firms.
According to the filing, Tata Sons will buy around 83.6 million shares in Tata Motors at or around the prevailing price of the stock on the date of the planned acquisition, it said, citing “restructuring of investment portfolio” as the reason for the planned deal.
As per details available, Tata Sons owned 29.75 per cent of Tata Steel at the end of March, while Tata Motors owned a 0.46 per cent stake in the steel major.
While Tata Steel has had a troubled few years, reports have spoken about a proposed merger between the firm’s European business and German industrial group Thyssenkrupp AG.
The merger is estimated to save Tata Steel around 400-600 million euros annually and shares of the Indian-steel major rose sharply driven by improved investor sentiment in late May, hitting a two and a half year high of Rs 514.80.
Share prices have since fallen, with Tata Steel shares closing at Rs 455.75 in Mumbai trading on Friday.
According to analysts, a reduction in cross holdings inside Tata Group are set to unlock a significant amount of value for the group.
Kotak Institutional Equities in a report in March pointed out that Tata Power, Tata Chemicals, Tata Global and Tata Motors would alll benefit from lower debt and interest expenses.

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

RBL Bank posts 55% increase in Q4 profit at Rs130.13 crore

RBL Bank Ltd, formerly known as Ratnakar Bank, reported a 55% increase in profit for the March quarter on higher interest income.

Profit rose to Rs130.13 crore in the three months to March from Rs84.18 crore a year ago.

Net interest income, the difference between interest earned on loans and that paid on deposits, rose 47% from a year ago to Rs352.16 crore. Other income rose 66% to Rs236.55 crore.

Net interest margin widened to 3.52% from 3.21% a year ago. Provisions more than doubled to Rs82.10 crore, compared to Rs36.17 crore in the preceding quarter.
Gross non-performing assets (NPAs) as a ratio of gross advances as of the March quarter were at 1.20%, compared to 0.98% as of 31 December. Net NPA ratio at the end of the fourth quarter was 0.64%, slightly up from 0.59% in the third quarter.

Capital adequacy ratio on 31 March stood at 13.72% against 12.94% a year ago.

“There was one corporate account in engineering, procurement and construction (EPC) worth Rs65 crore in loan value, for which additional provisions were made based on central bank review. This contributed for 22 basis points increase in the gross NPA,” said Vishwavir Ahuja, managing director and chief executive officer of RBL bank. A basis point is a hundredth of a percentage point.

Money at risk in the microfinance portfolio is 2% of a Rs2,150 crore portfolio (direct lending), according to Ahuja.

Shares of RBL Bank gained 3.7% to close at Rs585.55 per share on Tuesday on BSE, while the benchmark Sensex index gained 0.01% to close at 29,921.18 points.

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Sura Chawla sells stake in CSB

Non-resident Indian Sura Chansri Chawla is reported to have struck a deal with the Bhansalis of Enam group to sell the entire remaining part his stake in Thrissur-based Catholic Syrian Bank Ltd. (CSB).

The sale is believed to have been done at a price of about ₹160 a share.

The NRI, it is gleaned from reliable sources, has sold close to 5% of his holding in the bank.

When contacted, former chairman of the bank S. Sananthanakrishnan confirmed that the deal had indeed taken place.

Queried on the exact sale price, he, however, said he would not hazard any guess,

Sources indicated that the reported sale price of Rs. 160 a share would definitely set the bench-mark for any future sale of the bank shares.

The deal comes at a time when Fairfax was widely reported to be contemplating equity stake in the Thirusur-based private sector bank.

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

HDFC Life inks distribution tie-up with Catholic Syrian Bank

  • HDFC Life has entered into a bancassurance (the selling of life assurance and other insurance products and services by banking institutions) tie-up with Catholic Syrian Bank to distribute its individual life insurance products to the private lender’s customers.

    HDFC Life inks distribution tie-up with Catholic Syrian Bank

  • HDFC Life will offer its leading range of individual life insurance, health and pension products to the Catholic Syrian Bank’s 1.5 million customer base across all its branches over a period of time.

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Centre plans to divest near 25% stake in MSTC


The Centre is planning to bring down its stake in MSTC, the company’s Director (Finance) AK Basu said here on Thursday. The Centre’s stake in the Miniratna PSU currently stands at over 89 per cent.
The remaining 10-odd per cent is held by various industry associations.
According to Basu, the plan is to opt for an “offer-for-sale” and not an IPO to bring down the stake to 65 per cent.
“The government’s stake post-dilution will stand at 65 per cent,” he told reporters on the sidelines of the foundation stone-laying ceremony of its corporate building in the satellite township of New Town on the north eastern fringes of the city.
He further maintained that the company was also exploring options to divest stake in its subsidiary Ferro Scrap Nigam.
Having reported a turnover of ₹51,000 crore last fiscal, it is eyeing 10-20 per cent growth this fiscal. “We should cross ₹60,000 crore at least,” Basu said.
JV with Mahindra

Meanwhile, BB Singh, CMD, MSTC, pointed out that the company would invest close to ₹120 crore to set up its auto shredding and vehicle recycling unit. It has already entered into a joint venture with Mahindra Intertrade in this regard.
According to the CMD, around ₹20 crore will be spent towards purchasing eight acres of land around Delhi and NCR (national capital region). The collection unit will be set up on this parcel of land.
Shredding unit

Plans are also afoot to set up a shredding unit — for dismantling vehicles — with Dahej (Gujarat), NCR and Chennai being the probable destinations.
The proposed shredding and dismantling unit — with a capacity of one lakh tonnes a year — is expected to help reduce India’s dependence on imports for shredded scrap. Nearly, six million tonnes is imported every year at an appropriate cost of $2 billion. The shredding unit is a part of the ₹120-crore project and a joint venture with Mahindra Intertrade.
MSTC will also focus on the north eastern States as thrust area. It will look to increase its portfolio of auction offerings to include agri produce (from the region) apart from forest products and metal scrap.

Sandip Ginodia , Director 
ALTIUS INVESTECH PVT LTD | ABHISHEK SECURITIES

We deal in over 60 unlisted companies with 15 years of experience .
For latest prices visit : www.abhisheksecurities.com/unlisted.htm / call : 09830271248 .

Sunday, 18 December 2016

Catholic Syrian Bank sends list of CEO-MD probables to RBI

CSB has been struggling with bad loans and operational losses for many years.
Private sector lender Catholic Syrian Bank (CSB) is set to get a new managing director and chief executive soon. The names of three former officials from public sector banks have been sent to the Reserve Bank of India for its approval, said CSB chairman S. Santanakrishnan.
The names before RBI are C.V.R. Rajendran, chief executive of the Association of Mutual Funds of India and former chairman and managing director of Andhra Bank; M.S. Raghavan, former chairman and managing director of IDBI bank; and Jeevan Das Narain, former managing director of the State Bank of Travancore. CSB is also looking for a candidate to replace Santanakrishnan after he retires early next year, said a person in the know.
CSB has been struggling with bad loans and operational losses for many years. The bank had planned to raise Rs400 crore through an initial public offering last year, but dropped the plan due to weak financial performance. According to an Economic Times report, Canada-based Fairfax Financial Holdings Ltd is looking to acquire more than 10% stake in CSB. Fairfax with investments in IIFL, ICICI Lombard, and Bangalore International Airport Ltd (BIAL) has committed close to $1 billion in India so far. 
CSB reported net profit of Rs5.3 crore for the six months ended September 2016 as against a loss of Rs40.5 crore a year ago. CSB’s gross non-performing assets dropped to Rs462.7 crore for the period, from Rs503.6 crore in the year- ago period. In percentage terms, NPAs dropped to 5.7% from 5.76% of total assets. The bank’s capital adequacy stands at 10.69% as of September compared to 10.21% during the same period last year.

Tuesday, 13 December 2016

Share Prices

COMPANY NAME :
                OUR RECOMMENDATION
OUR  BUY PRICE
OUR  SELL PRICE
ALFA LAVAL  BUY BACK COMPLETE
  
215
265
AMUL    DAIRY
AGRITECH INDIA ( NATH AGRI) NOW LISTED
185
275
ANANDAM RUBBER  NOW LISTED ON NSE
65
105
ABCL--AMITABH BACCHAN CORP
15
28
A K SPINTEX
ATLAS COPCO EX DIV 100/SH 26/3/16
1250
1700
60
90
8
15
70
105
75
140
A V Thomas & Co  ex DIV 750% 10-2-16
7000
8500
70
105
AVENUE SUPER MARKETS  -- D MART OWNER
50
Anup Engg FV 100  BUY BACK AT 1700
1400
2000
Abacus Computer
3
ACE DERIVATIVES AND COMMD. EXCHN
1
Ahmedabad S E
23
38
ALTIUS INVESTECH P LTD      FV RS.100 PHY
INDIA'S BERKSHIRE HATHAWAY IN THE MAKING
1000
1500
BAGGRYS INDIA LTD
105
205
50
85
BEETEL Teletech Ex Payout  BUY BACK @350
200
355
BINANI METALS
4500
7500
40
60
Bharati Telecom ex RIGHTS 4/1/16 115:1 AT PAR
56
67
Bausch & Lomb (Rayban Optics)  NOW NOT TRADEABLE
Bennet & Colman Ex Bonus 8:1
2000
60
90
10500
12000
Bosch Chasis FV CONVERTING TO RS.1 LAC, now NOT TRADEABLE
BOMBAY SWADESHI STORE - co of radha kishan damani --indias ace investor  -- likely to merge in D MART
125
175
Bse BOMBAY ST EX.  NEW FV RS.2       
750825
Baroda Power PHY OTCEI
9
15
BANDHAN BANK 
19
BHARAT NRE COKE prev guj nre minerals
6
18
800
1150
Camac Commercial NOW IN DEMAT
20500
30000
105
145
Cadbury BUY BACK AT 2014 IN SEP 14
70
95
CALYX  chem & pharma
50
75
60
Chemundrum Ispat
CHENNAI SUPER KINGS -- IPL CRICKET TEAM
COASTAL ROADWAYS   EX BONUS 1:1
55
95
Cochin Int. Airport PHY ex right 1:4 @ 50/sh
155
205
Cross Country Hotel
10
CREDO MINERALS LTD JV OF GMDC
50
2000
2900
D MART-- RETAIL CHAIN OF RADHA KISHAN DAMANI -- LIKELY MERGER IN BOMBAY SWADESHI STORES
175 BSS
DAFFODIL SOFTWARE STAKE SALE 6%
DARJEELING PLANTATIONS -- DPIL
15
DALMIA REFRACTORY
45
75
DSP MERRYL LYNCH NOW BOAML BUY BACK 3300
3000
4500
DECCAN HEALTH
195
8
15
DELHI FLOUR MILLS
350
DOLLAR INDUSTRIES     EX BONUS 2:5 RD AUG 16
1100
1450
390
475
Eastern Investment-- HOLDING CO OF OMDC
800
1200
ESSAR CAPITAL PREV INDIA SEC buy back 62
230
450
20
26
5500
10500
EMC
25
Elbee
12
FINO PAY TECH - RBI APPROVED PAYMENT BANK ONLY NSDL
100
125
Farm Enterprise ONLY NSDL    MERGER IN RELIANCE RATIO 1:1 RD 15-4-16
FRESENIUS KABI ONCOLOGY PREV DABUR PHARMA----MAKES ANTI CANCER DRUGS DELISTED AT 135 JAN 2015
50
105
1650
2050
FLIP KART   US DOLLAR  150/SH APPROX
9000
195
255
Guj Nre Minerals  MERGED INTO BHARAT NRE COKE 7:1
Gannon & Dunkerlay
GOKALDAS INTIMATEWEAR
25
HALDIA PETRO
10
30
Hindustan Times  ONLY NSDL
400
700
140
HDFC SECURITIES
Hdfc Life Insurance ISIN SUSPENDED over priced ---- avoid MERGER WITH MAX LIFE
205
245
500
700
HERO FINCORP  NOW IN DEMAT Previously Sagar Ratna
600
690
HEALTHCARE GLOBAL (HCG ENTERP) IPO ON
HONEYWELL ELECTRIC PHY
1800
3500
Hyderabad Stock Exchange CDSL
2.5 LAC
4.5  LAC
HEMADRI CEMENTS PHY
40
55
HINDUSTAN ENGG
100
175
450
650
ICICI LOMBARD only nsdl stake sale to fairfax rs.390/sh on 5nov15
BUY
295
335
ICICI Prudential Life Ins    NOW LISTED -   
LOCKIN SH WE BUY
275
 
Indian Tourism Dev.Corp (ITDC) now trading on bse
INNOVATIVE B2B LOGISTICS
175
650
 
INDOFIL INDUSTRIES     EX RIGHTS 1:9 @ 264
625
750
India Carbon
20
intellisys technologies p.ltd pat 60cr 
8
15
Kotak Mahindra Fin (Phy)
KIMS (KERALA INSTITUTE OF MED SCI
30
KINGFISHER AIRLINES KFA
2.5
3.5
1
4
Kudremukh IRON--KIOCL
60
80
KURLON-- INDIAS LEADING MATTRESS MAKER
BUY
165
200
WE BUY LOCKIN SH AT 15% DISCOUNT TO CMP
MADRAS SAFE DEPOSIT
MKCL(Maharshtra Knowledg Co Lt) PHY
75
145
Malanpur Steel
4
2
6
Mid East Integrated DIV 7.5% RD 15/9/14 , 2015 SKIP
25
35
25
55
38
52
65
95
Mstc (Physical Share)  DIV 102.5% FY 2015-16 AGM is on 30th Sept 2016
NOW EX BONUS 1:1 RD 30/6/16
350
450
MY MOBILE PAYMENTS 1% STAKE SALE
200
1050
1850
MICROMAX
105
NAAPTOL.COM  FV 100
1200
2000
5
15
NBI IND FINANCE HOLDING CO OF SHREE CEMENTS , BANGUR GROUP
1950
2950
NCL SECCOLOR
185
NIRMA  DELISTED & BUYBACK 260.00
160
Nse national stock exchange-- ONLY INSTITUTIONAL LOTS
4000
 
Nath (Pack of 3 Cos)  NOW LISTED
Nath Seeds (Now Listed On Bse)
Nath Bio NOW LISTED
NON SUCH TEA
95
nuziveedu seeds
75
origin agrostar  prev dsq biotech
1
5
Otis Elevator DIV 400% Interim, 950% Final FOR 15-16
1250
1750
ONE NETWORK ENTERTAINMENT -- A MEDIA CONTENT CO STAKE SALE 5%
1.1CR
ONE 97 COMMUNICATION (PAYTM)  Shares in Demat
5000
 
450
650
5000
 
PETER ENGLAND
PERFECT CIRLE
6
14
PHILIPS INDIA --DEMERGER RD 8-4-16
COMBO    BUY SELL
  
PHILIPS LIGHTING DEMERGED RATIO 1:1
                    650    750
  
Pilani Investment --HOLDING CO OF BIRLA GROUP
900
1350
PLENTY VALLEY -- MERGE WITH DHUNSERI INV RATIO 8:1
175
Pnb Finance-- HOLDS SH IN BENETTEE COLMAN
7500
8500
PROXEUROS GLOBAL
QUIKR.COM  FV 100
3300
QUESS CORP  --- A THOMAS COOK GROUP CO--- NOW LISTED
RBL BANK  PREV Ratnakar Bank WE BUY LOCKIN SH AT 15% DISCOUNT TO CMP
215
270
RAINBOW INV FV 10 PHY
32500
RANI SATI INV
20
RESIN & PLASTICS EX DIV 3/SH
165
200
Ram Narayan Mills -- PHY
RELIANCE MEDIA DELISTED AT 63
30
50
RELIANCE BROADCAST DELISTED AT 63
30
50
RICOH INDIA
90
75
125
3
7
SCOTTISH ASSAM
115
275
 (Shreno Ltd) PREVIOUSLY ALEMBIC GLASS EX BONUS 2:1 NOV'2012 EX RIGHTS 1:1 OCPS ON 5/11/14 FOR 400/OCPS
1000
1300
SHARE KHAN
350
4500
7500
Sistema Shyam TELECOM--MERGER WITH RCOM IN RATION OF 10:1
4
8
Smc Global NEW FACE VALUE RS.2
55
75
175
250
Sri Natraj Ceramics  NAME CHANGE TO DALMIA REFRACTORY
40
80
715
825
SOUTHERN GAS
110
SWARAJ AUTOMOBILES-- STAKE SALE BY MAHINDRAS AT 145
115
175
SNAP DEAL
SRI CHAKRA TYRES
2
50
100
TALBROS ENGG EX RIGHTS 8:10 @ 34 PREMIUM NOW LISTED AT BSE
225
340
255
325
Tata Sons
65000
Tata Technology  DIV FOR FY 2015-16 350%
1700
2200
TATA ADVANCE SYSTEMS
75
TATA ADVANCED MATERIALS  --- COMPULSARY BUY BACK AT 20
Taparia Tools
60
TETROMATIC COZY PRODUCTS
15
Ttk Lig
4000
6000
TOPS SECURITIES
UP STOCK EXCHANGE FV 1000 PHY
45000
UNIJULES LIFE SCIENCES
175
375
455
Utv Soft
550
950
VICTOR GASKETS
20
VADILAL DAIRY --DELISTED @4 FROM BSE
5
WELSPUN
800
1000
WIPRO ENTERPRISES
175
YASHOMATI HOSPITAL
35
YOKOGAWA  EX DIV 28/SH
430
575