Saturday, May 21News That Matters

LIC Housing waiting for bourses response on Rs 2,334 crore preferential issue

Kolkata: LIC Housing Finance Ltd is still awaiting for clearances from the stock exchanges before it could go ahead with the Rs 2,334 crore preferential issue to its parent Life Insurance Corporation even though capital market regulator SEBI had not raised any query and the mortgage lender denied approaching the Securities Appellate Tribunal (SAT) in this regard, LIC HFL sources said.
BSE and NSE sought clarifications on why the valuation report of a registered value had not been considered while determining the price of such shares on allotment to LIC.
“Only the stock exchanges had raised queries and we have responded and are waiting for their feedback. The bourses had asked us not to release the voting results on this agenda which we have abided by. There is no query from SEBI so far and we have not approached SAT in this regard,” the sources told PTI.
LIC Housing Finance (LIC HFL) was supposed to issue shares at Rs 514.25 apiece having a face value of Rs 2 each to its promoter. LIC’s shareholding in the housing financier post the proposed allotment of shares will go up to 45.24 per cent from over 40.31 per cent currently.
“The company had received an email dated July 12, 2021 from, BSE Ltd and National Stock Exchange of India Ltd seeking clarifications on compliance with the provisions of Articles of Association (AOA) of the company regarding the process arrived for the valuation at which the said equity shares are offered to LIC,” they said.
“The company had provided the clarification that there is no violation of the provisions of AOA as the price has been duly determined in accordance with the relevant provisions of the AOA as well as the Companies Act, 2013 and SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018,” the sources said, adding that LIC Housing had informed the bourses.
LIC Housing reported an 81 per cent decline in its standalone net profit at Rs 153.44 crore in the first quarter of FY22 ending June due to increased provisioning for non-performing loans.
Garment workers rush back to Dhaka as factories reopen despite COVID-19 surge
Dhaka, Jul 31 (PTI) Thousands of Bangladeshi garment workers on Saturday rushed back to capital Dhaka after the government said that export-oriented factories could reopen despite a “strict” nationwide shutdown during a deadly coronavirus wave.
According to the directorate of health services (DGHS) updates on Saturday, the number of people who died due to COVID-19 reached 20,685 and nearly 12,49,484 have been infected.
Factories, offices, public transport and shops have been closed in Bangladesh from July 23 to August 5 as daily coronavirus infections and deaths hit record levels.
The government said factories could reopen from Sunday despite a “strict” nationwide shutdown. Garment factory owners have repeatedly told the government that Bangladesh’s main export-earning sector could witness “catastrophic” consequences if orders for foreign brands were not complied with on time.
The government earlier did not respond to the factory owners’ call saying no factories would be open until the shutdown was lifted. However, the government overnight changed the decision, prompting tens of thousands of workers to head back to work.
The public transport systems, including trains and bus services, remained shut forcing commuting workers to board rickshaws, goods-laden trucks, auto-rickshaws and vans and ferries, paying two to three times higher fares. —PTI

 

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