Niti Aayog working on second list of PSU divestment-:- Equity Research

After submission of the first list of PSUs for closure or sell off to the government, Niti Aayog is now working on another list for disinvestment. "We have submitted the first report on closure and strategic sale or disinvestment to the government. We have recommended a lot of names but difficult to give a number," Niti Aayog Vice Chairman Arvind Panagariya said at an event here. "We are continuously working on it. We are preparing a second list on disinvestment," he added. In June, the think tank had submitted to the government the roadmap for closure and strategic sale of government stake in some PSUs. It had submitted two separate lists of sick and loss-making PSUs - one comprising those that can be closed down and the other of those where government can divest its stake. Strategic sale means that the government will bring down its stake to 49 percent or below in such PSUs. Government has set a disinvestment target of Rs 56,500 crore for this fiscal. Of this, Rs 36,000 crore is to come from minority stake sale in PSUs and Rs 20,500 crore from strategic sale. Government kick-started the disinvestment programme for the current fiscal with 11.36 percent stake sale in NHPC . The government raised Rs 2,700 crore through the process. It has lined up as many as 15 PSUs, including Coal India , NMDC , MOIL , MMTC , National Fertilisers, NALCO and Bharat Electronics , for stake sale in current fiscal. Recently, Heavy Industries Minister Anant Geete said the ministry will seek an in-principle approval from Cabinet for disinvesting government's stake in loss making automaker Scooters India. During 2015-16, the government managed to notch up Rs 25,312 crore through disinvestment, less than half the target of Rs 69,500 crore. It had raised around Rs 24,500 crore in 2014-15 by selling stake in public companies; about Rs 16,000 crore in 2013-14 and Rs 23,960 crore in 2012-13. It had raised around Rs 14,000 crore in 2011-12 and over Rs 22,100 crore in 2010-11.

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Greenpeace questions govt's decision to sustain coal industry-:- Equity Research

Greenpeace India today questioned the Centre's decision to sustain an "obsolete and polluting" coal industry, saying renewable energy holds the potential to meet the energy needs through clean options. Noting that a large role in worsening global climate change, Greenpeace India asked the power sector to think beyond coal and stop sustaining the momentum to prop up a "dying industry". "It is time we create new momentum for the future, instead of sustaining the momentum to prop up a dying industry. The sector needs to evolve if we have to keep pace with development. "The Prime Minister has committed the country to ambitious renewable energy targets through the Intended Nationally Determined Contributions (INDCs) leading up to the Paris Agreement, and we should be focusing energy on how to meet these: that is future-friendly thinking, not this blinkered approach to continuing the coal glut at all costs," Greenpeace India campaigner, Sunil Dahiya said. He said that due to coal-based power plants, more than a million hectares of forests are threatened, including tiger, elephant and leopard habitat while human elephant conflict is on the rise as close to 50 per cent of the human casualty happen in Odisha, Chhattisgarh and Jharkhand. "According to Union Power Minister Piyush Goyal, we are already coal and power surplus. The government must therefore channelise their efforts into developing India's renewable energy potential instead of furthering new coal-based power. "This is the only way to ensure a clean and constant supply of power without damaging public health and destroying forests, community livelihoods and wildlife. This is also critical in order to meet India's commitments on combating global climate change," Dahiya told reporters during an event organised in parellel to seminar on Coal, hosted by the Power Ministry. A Greenpeace India finance briefing for investors said that coal companies have already incurred losses to the tune of Rs 2,400 crore due to shortage of water. Noting there were health impacts due impacts due to this, the NGO said that 85,000-1,10,000 premature deaths have taken place due to air pollution while 625 million people have respiratory symptons, 8.4 million have chest discomforts and 170,000 have chronic bronchitis.

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Tata Motors bags orders for 5,000 buses worth Rs 900cr from STUs-:- Equity Research

Tata Motors today said it has bagged orders of over 5,000 buses worth of about Rs 900 crore from 25 state/city transport undertakings (STUs) across the country. "Tata Motors plans to execute all these orders in 2016-17. The orders will definitely enable us to further strengthen our leadership position in the CV passenger space," Tata Motors Executive Director, Commercial Vehicle Business Unit, Ravi Pisharody said in a statement. Some of the orders require a fully IT-enabled bus to ensure trackability and traceability with features like public information systems, electronic destination boards, CCTV cameras, smart multi-mode ticketing and GPS-enabled on-board intelligent transport system, WiFi and diagnostics systems, the company said. "We are encouraged by adoption of latest technologies by these STUs for fleet modernisation, lower total operating costs, expanding user base and ridership," Pisharody added. Over 1,500 of the ordered buses will be fully built and integrated with these features at Tata Motors JV manufacturing facility at Tata Marcopolo (Dharwad and Lucknow) and ACGL Goa. The company said the orders represented a healthy growth of over 80 percent compared to last year in the orderbook position for Tata Motors. "The big surge in STU buying across is being witnessed after a gap of nearly four years, indicating renewed focus of various state governments and city transport providers on public transport," it added. Tata Motors Business Head (Commercial Vehicles Passenger) Sandeep Kumar said the company has nearly doubled its orderbook in 2016-17 already and is adequately prepared to cater to the current and future demand for its buses.

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What Welspun saga tells us: cotton by any other name isn't-:- Equity Research

Mumbai-based textile maker Welspun India lost more than a third of its market cap -- about 36 percent -- in two days following its US client Target Corp cancelling its contract on August 19. Its stock also fell about 20 percent, for the second day in a row, after the news broke. This 20 percent decline in stock was its worst since January 2008. Target alleged that Welspun had sold pillowcases and bedsheets with cheaper cotton and not with the premium Egyptian variety it was promised. Soon enough, Welspun's other global clients, Wal-Mart, Bed Bath & Beyond and JC Penney, also launched their investigations into the textile maker's product claims. For Welspun, the allegation is serious: it receives 95 percent of its revenues from international clients alone, and Target is a key part of it. To get to the bottom of it, Welspun has appointed consultancy firm Ernst and Young to audit its entire supply chain. Target, its second largest client, was important for Welspun as it contributed 10 percent of the textile maker's overall business in FY16. Target quickly removed all of Welspun's products from its shelves after rigorous investigations into the usage of non-Egyptian cotton came out positive. Target had been Welspun's client for about 2 years before it cut its ties.

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Nissan introduces new Micra CVT at Rs 5.99 lakh ahead of Diwali-:- Equity Research

Nissan India has introduced the freshened Micra hatchback with a new “Sunshine Orange” exterior colour together with an all-black sporty interior. These new options are available across the Nissan Micra range including Micra Active versions in India. The Micra has a starting price of Rs 4.55 lakh (Ex-showroom, New Delhi). Micra equipped with a continuously variable transmission (CVT), will be priced at Rs. 5.99 lacs. Arun Malhotra, Managing Director, Nissan Motor India Pvt. Ltd., said, “The affordable and accessible Micra offers a charming visual appeal with its new “Sunshine Orange” exterior colour complemented by the edgy, European-style all-black interior. These new options come without any price increase. We’re confident this package will resonate with Indian customers.” Globally, the Micra has a heritage spanning over 35 years and is currently in its fourth generation. The first generation was launched in 1982 as the Nissan March in Japan. The name March was the result of a public poll. The name Micra is derived out of the word ‘micro’.

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Dr Reddy's Laboratories may test Rs 3350-:- Equity Research

Rajat Bose of rajatkbose.com told CNBC-TV18, "Technicals are sort of becoming better because Dr Reddy's Laboratories had a big fall after it has posted very bad results and this went down below Rs 3,000 levels but did not really go to the target levels mentioned by a lot of analysts like Rs 2,700 or so." "From here, if it were to cross Rs 3,150, it will gain traction. That is still 75 points to go and after that the next target would be Rs 3,350. So, that is a medium-term target for this stock and put a stoploss below Rs 2,925," he added. The share touched its 52-week high Rs 4,382.95 and 52-week low Rs 2,750 on 20 October, 2015 and 21 January, 2016, respectively.

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Cipla gets USFDA nod for generic anti-depressant drug-:- Equity Research

Drug firm Cipla today said its US arm InvaGen Pharmaceuticals Inc has received final approval from the American health regulator to market generic Bupropion Hydrochloride extended release tablets used for treatment of major depressive disorder. "InvaGen Pharmaceuticals Inc has received final approval for its abbreviated new drug application (ANDA) for Bupropion Hydrochloride extended release tablets (XL), 150 mg and 300 mg, from the United States Food and Drug Administration," Cipla said in a statement. The product is available for shipping immediately, it added. The company's tablets are generic versions of Valeant's Wellbutrin XL tablets in the same strengths, Cipla said. "The tablets are indicated for the treatment of major depressive disorder (MDD) and prevention of seasonal affective disorder (SAD)," it added. Wellbutrin XL tablets and generic equivalents had US sales of approximately USD 792 million for the 12 month period ending June 2016, according to IMS Health, Cipla said. Shares of Cipla were today trading at Rs 570.25 per scrip in the afternoon trade on BSE, up 0.54 percent from its previous close.

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