B U S I N E S S

SEBI makes listing for realty, infra investment trusts mandatory
New Delhi, August 11
To safeguard investors' interest in the newly created business trust structures — Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) —SEBI norms will require them to mandatorily list on stock exchanges and follow stringent norms for disclosures, related party transactions and valuation of their assets.

Hyundai stops exports to Europe from India
New Delhi, August 11
India’s largest car exporter Hyundai has stopped shipments from its Chennai plant to Europe after shifting production of models for the continent to the Korean auto major’s plants in Turkey and Czech Republic.

Hyundai Motor India managing director BS Seo poses with Elite i20 at its launch in Delhi on Monday. Tribune photo: Manas Ranjan Bhui

Tatas-SIA JV ‘Vistara’ set for October launch New Delhi, August 11 The Tata Sons-Singapore Airlines joint venture today unveiled the brand name of its new airline ‘Vistara’, and said it is expected to launch operations by October with the first aircraft coming in by September. Tata-SIA Airlines’ officials pose with the logo of the company in New Delhi on Monday. Tribune photo: Mukesh Aggarwal

RBI: Financial inclusion will reduce graft
Mumbai, August 11
RBI Governor Raghuram Rajan today said the financial inclusion drive, likely to be announced by Prime Minister Narendra Modi on August 15, will break the link between poor public services, patronage and corruption.

HUL rejigs top management; reorganises biz
New Delhi, August 11
FMCG major Hindustan Unilever today announced key changes in its management committee besides splitting up its home and personal care (HPC) business into two verticals — home care and personal care.

Jet to scrap low-cost JetLite, Jet Konnect by year-end
Mumbai, August 11
Jet Airways, which reported Rs 217 crore net loss in the June quarter, today said it will exit low-cost services and merge its two no-frills brands with parent full service carrier.

corporate results
Tata Motors’ Q1 net rises to Rs 5,398 crore
Mumbai, August 11
Tata Motors today reported over 3-fold jump in consolidated net profit at Rs 5,398.21 crore for the first quarter ended June 30, riding on sharp increase in Jaguar Land Rover sales.

SEBI makes listing for realty, infra investment trusts mandatory

New Delhi, August 11
To safeguard investors' interest in the newly created business trust structures — Real Estate Investment Trusts (REITs) and Infrastructure Investment Trusts (InvITs) —SEBI norms will require them to mandatorily list on stock exchanges and follow stringent norms for disclosures, related party transactions and valuation of their assets.

The new norms for InvITs and REITs, instruments that will help attract more funds into these key sectors, was approved by the board of market regulator SEBI yesterday.

As per the regulations, "units of REITs shall have to be mandatorily listed on a recognised stock exchange and REIT shall make continuous disclosures in terms of the listing agreement".

Similarly, "listing shall be mandatory for both publicly offered and privately placed InvITs and InvIT shall make continuous disclosures in terms of the listing agreement".

The norms would also include detailed provisions for related party transactions with respect to these trusts.

Besides, provisions pertaining to valuation of assets, disclosure requirements, rights of unit holders, among others, are also provided for under the norms, SEBI has said.

"For any issue requiring unit holders’ approval, voting by a person who is a related party in such transaction as well as its associates shall not be considered," it added.

The regulations also require the trustees of REITs and InvITs to be independent and not an associate of the sponsor or the manager of the Trust.

The new norms would help in channelising domestic investments into real estate and infrastructure sectors, and also help attract foreign capital for these fund-starved segments of the economy. — PTI

New guidelines

• As per norms, these entities will have to be listed on stock exchanges and follow stringent norms for disclosures, related party transactions and valuation of their assets
• Units of REITs will have to be listed and REIT shall make continuous disclosures in terms of the listing agreement
• Similarly, listing will be mandatory for both publicly offered and privately placed InvITs and InvIT will make continuous disclosures in terms of the listing agreement.

Hyundai stops exports to Europe from India
Unveils premium compact car Elite i20 at Rs 4.9 lakh

New Delhi, August 11
India’s largest car exporter Hyundai has stopped shipments from its Chennai plant to Europe after shifting production of models for the continent to the Korean auto major’s plants in Turkey and Czech Republic.

The move will result in around 25% reduction in overseas shipments from the company’s Chennai plant this year at 1.9 lakh units compared to 2.53 lakh units last year.

The company’s Indian arm Hyundai Motor India ltd (HMIL) will now focus on Latin America, Middle-East, Australia and Asia apart from the domestic market.

“It has been about a month that we have stopped serving Europe, which will now be served by Hyundai plants in Turkey and Czech Republic,” HMIL senior vice-president sales and marketing Rakesh Srivastava said.

The company today expanded its compact car portfolio with the launch of premium compact car Elite i20, priced between Rs 4.9 lakh and Rs 7.67 lakh (ex-showroom Delhi), had sold 3.8 lakh units in domestic market in 2013.

It will be available in both petrol and diesel options. While the petrol version is priced between Rs 4.9 lakh and Rs 6.46 lakh, the diesel variants are tagged at Rs 6.09 lakh to Rs 7.67 lakh (ex-showroom Delhi). — PTI

Tatas-SIA JV ‘Vistara’ set for October launch

New Delhi, August 11
The Tata Sons-Singapore Airlines joint venture today unveiled the brand name of its new airline ‘Vistara’, and said it is expected to launch operations by October with the first aircraft coming in by September.

“We are in the last lap of the process of securing the Air Operator Permit (AOP of flying licence). There are a series of approvals which we have to get to the satisfaction of DGCA,” said Phee Teik Yeoh, the CEO of the start-up full-service airline ‘Vistara’.

To questions, he said “we expect to get the first aircraft sometime in September and by this calendar year, we would have five aircraft in our fleet”.

It has already decided to lease 20 Airbus A-320s, including seven A-320 Neo series planes which have the latest technology on board. — PTI

RBI: Financial inclusion will reduce graft

Mumbai, August 11
RBI Governor Raghuram Rajan today said the financial inclusion drive, likely to be announced by Prime Minister Narendra Modi on August 15, will break the link between poor public services, patronage and corruption.

“It can break a link between poor public service, patronage, and corruption that is growing more worrisome,” Rajan said, delivering 20th Lalit Doshi memorial lecture here.

The drive is likely to include identifying the poor, creation of unique biometric identifiers, opening bank accounts linked to these identifiers and eventually transferring government subsidies to these accounts.

“When fully rolled out, I believe it will give the poor the choice and respect as well as the services they had to beg for in the past,” Rajan said, adding financial inclusion will be an important part of government’s and RBI’s plans for the coming years.

Rajan laid extra stress on the cash benefit transfers, saying “money liberates and empowers”. — PTI

HUL rejigs top management; reorganises biz

New Delhi, August 11
FMCG major Hindustan Unilever today announced key changes in its management committee besides splitting up its home and personal care (HPC) business into two verticals — home care and personal care.

Hemant Bakshi, current executive director — Home and Personal Care, will be appointed as executive VP of Unilever Indonesia.

In place of Bakshi, Samir Singh and Priya Nair have been appointed executive director – Personal Care and executive director – Home Care, respectively. — PTI

Jet to scrap low-cost JetLite, Jet Konnect by year-end

Mumbai, August 11
Jet Airways, which reported Rs 217 crore net loss in the June quarter, today said it will exit low-cost services and merge its two no-frills brands with parent full service carrier.

“By the end of this year, there will be no JetLite and Jet Konnect brands and all the aircraft will have business class and economy class seats,” group chairman Naresh Goyal told mediapersons after the company's AGM today.

"I give you my commitment, that by the end of the year, Jet Airways will have the best domestic full service product in the country. We will always be competitive to ensure our customers get the best value for their money," Goyal said.

He denied media reports that the airline was planning to sell off the loss-making JetLite brand.

"Plan to go in for a single master brand strategy is to get rid of the confusion in the minds of customers," Goyal said. — PTI

corporate results
Tata Motors’ Q1 net rises to Rs 5,398 crore

Mumbai, August 11
Tata Motors today reported over 3-fold jump in consolidated net profit at Rs 5,398.21 crore for the first quarter ended June 30, riding on sharp increase in Jaguar Land Rover sales.

Net sales during Q1, 2014-15 increased by 37.18% to Rs 64,150.74 crore, from Rs 46,761.91 crore in the year-ago period, Tata Motors said.

Revenue from the company’s British unit, Jaguar Land Rover went up by 53.89% to Rs 54,425.97 crore in Q1, as against Rs 35,364.97 crore in the year-ago period.

GAIL profit drops 23% in first quarter

GAIL India Ltd on Monday reported a 23% drop in its first quarter net profit as it imported high priced LNG amid falling international rates for the commodity. The company’s turnover went up by 4% to Rs 13,337 crore.

SAIL Q1 profit up 18%

Steel Authority of India (SAIL) on Monday reported 18% increase in net profit for the April-June quarter at Rs 530 crore on higher sales and realisation.

The turnover of the company rose to Rs 12,515 crore, registering a growth of 10 per cent as compared to year-ago period, it added.

HPCL posts Rs 46 crore net profit in Q1

HPCL today reported a net profit of Rs 46 crore in June quarter as compared to a net loss of Rs 1,460 crore after it got compensated for almost all of the loss on fuel sales.

Its sales rose 15% to Rs 61,183 crore. — PTI