Banking, Financial and Economic Awareness of 28 and 29 May 2021

Topic: Indian Economy

1. Government trying to avoid open offers in Petronet, Indraprastha Gas following BPCL divestment.

• Government trying to avoid open offers in Petronet, Indraprastha Gas following Bharat Petroleum Corporation Ltd (BPCL) divestment.
• Bharat Petroleum Corporation Ltd (BPCL) is working to avoid open offers by a new private owner in Petronet and Indraprastha Gas after strategic disinvestment. It is consulting market regulator SEBI and Deloitte Touche Tohmatsu India LLP.
• Petronet and Indraprastha Gas are co-promoted by BPCL. BPCL owns 12.5% in Petronet LNG Ltd and 22.5% in Indraprastha Gas Ltd.
• As per SEBI norms, an open offer to buy further shares from retail shareholders in BPCL and in companies promoted by it is necessary in case of change in management control of BPCL. SEBI had previously exempted open offers.
• Deloitte Touche Tohmatsu India LLP was appointed as transaction advisor for disinvestment process.
• Petronet LNG Ltd is India’s biggest importer of LNG. It is 50% owned by BPCL, Indian Oil, ONGC and GAIL, with each holding a 12.5 % stake.
• An open offer is a secondary market offering. It allows shareholders to buy stock at a price lower than the prevailing market price. Its purpose is the efficient raising of cash for the company.

Topic: Corporates/Companies

2. REC Ltd reports nearly five-fold increase in net profit for 4^th quarter.

• REC Ltd has reported a nearly five-fold increase in net profit for 4^th quarter at Rs. 2,070 crore on a year-on-year basis.
• Consolidated net profit for 2020-21 has shown an increase of 69% and total annual revenue increased 19%.
• On Wednesday, Fitch Ratings has given a BBB- investment-grade rating for REC as well as parent firm Power Finance Corporation Ltd.
• REC Limited (formerly Rural Electrification Corporation Limited) is a Navratna company. It comes under the administrative control of the Ministry of Power.

Topic: Corporates/Companies

3. Tata Digital Limited acquires majority stake in Supermarket Grocery Supplies Private Limited (BigBasket).

• Tata Digital Limited has acquired a majority stake in Supermarket Grocery Supplies Private Limited (BigBasket).
• As per Pratik Pal, CEO of Tata Digital, the acquisition of BigBasket fits well with the vision of creating a large consumer digital ecosystem.
• Tata Digital Limited, a 100 % subsidiary of Tata Sons Private Limited. Pratik Pal is CEO of Tata Digital.
• BigBasket is one of India’s largest e-commerce players in the food & grocery segment. It was founded in 2011 in Bangalore. Hari Menon is CEO of Bigbasket.

Topic: Taxation

4. Finance Ministry extends anti-dumping duty on inert gas R-134a imports from China by six months.

• Finance Ministry has extended anti-dumping duty on inert gas R-134a imports from China by six months till January 10 next year.
• R-134a is also called tetrafluoroethane. It is primarily used as a high-temperature refrigerant for domestic refrigeration and automobile air-conditioners.
• SRF Limited is the sole producer of R-134a in India. It has filed a petition for sunset review of the anti-dumping duty imposed in July 2016.

Topic: Appointments

5. Government approves appointment of 3 members for Central Board of Direct Taxes (CBDT).

• Government has approved the appointment of Anu J Singh, J B Mohapatra and Anuja Sarangi as new members of Central Board of Direct Taxes (CBDT).
• The term of Chairman of Central Board of Direct Taxes (CBDT) is scheduled to end on May 31. Pramod Chandra Mody is the current Chairman of CBDT.
• CBDT consists of Chairman and six members. Till date, there were only three members. The Chairman was holding additional charge of Member (Investigation).
• Other two members, Prabhash Shankar and S K Gupta, were also given additional charges.

Topic: Corporates/Companies

6. Pickrr introduces order processing feature in 10 Indian languages.

• Pickrr has introduced an order processing feature in 10 Indian languages to support sellers from tier-2 and 3 cities.
• Pickrr will also make its website and dashboard accessible in over 100 regional languages by the next month.
• Pickrr is a leading logistics and shipping software for e-commerce businesses. Rhitiman Majumder is co-Founder and CEO of Pickrr.

Read Banking Awareness PDF - 28 and 29 May 2021