WEEKLY CORPORATE AFFAIRS

Newsletter Contents: • SEBI Updates • MCA Updates • RBI Updates • IBC Updates • Labour Law Updates • Press Information IPO & Investment updates • IRDAI Updates Department of Telecommunications • MSME Updates • Competition Commission of India • Current Affairs – FAQ’s

WEEKLY CORPORATE AFFAIRS FROM 13.12.2022 TO 20.12.2022

  1. SEBI Updates:
[Sl.ParticularsLink
  1Informal Guidance request received from TCM Limited on applicability of corporate governance provisions as specified in the SEBI (LODR) Regulations, 2015  Click Here
2Buybacks – Triveni Engineering & Industries Limited  Click Here
  3Informal Guidance request received from Sky Industries Limited on applicability of corporate governance provisions as specified in the SEBI (LODR) Regulations, 2015  Click Here
  4Performance Benchmarking and Reporting of Performance by Portfolio Managers  Click Here
5Framework for Orderly Winding Down of Critical Operations and Services of a Clearing CorporationClick Here
6Applicability of SEBI circular on Principles of Financial Market Infrastructures (PFMIs) to AMC Repo Clearing LimitedClick Here

2. MCA – 21 Updates

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  13,560 companies in India have Chinese directors: What Modi govt revealed in Parliament    Click Here
2M&A approvals: MCA and CCI differ over ‘working’ vs ‘calendar’ days  Click Here

3.  RBI / Banks Updates

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1Hedging of Gold Price Risk in Overseas Markets    Click here
2Master Direction – Foreign Exchange Management (Hedging of Commodity Price Risk and Freight Risk in Overseas Markets) Directions, 2022Click here
3Data Format for Furnishing of Credit Information to Credit Information Companies and other Regulatory Measures Click here
  4Reserve Bank of India (Financial Statements – Presentation and Disclosures) Directions, 2021 – Disclosure of material items          Click here
5.Sovereign Gold Bond (SGB) Scheme 2022-23        Click here
6.RBI Governor interacts with FinTechs and Industry Associations   Click here
7.Reserve Bank of India – Bulletin Weekly Statistical Supplement – ExtractClick here
8.599th Meeting of Central Board of the Reserve Bank of India        Click here
  9.Premature redemption under Sovereign Gold Bond (SGB) Scheme – Redemption Price for premature redemption due on December 17, 2022 (December 18, 2022 being a Sunday) (SGB 2017-18 Series XII)   Click here
10.Three NBFCs surrender their Certificate of Registration to RBI     Click here

4. IBC / Insolvency Law updates

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1Insolvency Professional to act as Interim Resolution Professionals, Liquidators, Resolution Professionals and Bankruptcy Trustees (Recommendation) (Second) Guidelines, 2022Click here
2IBC changes on agenda to speed up resolution; bill likely to be introduced in Budget Session  Click here
3Government to amend insolvency law to reduce time taken for resolution processClick here
4IBBI Penalises 6 Insolvency Professionals in November for Not Following IBC ProcedureClick here

5. Labour law updates

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1Welfare Scheme for WorkersClick here
  2New Labour CodeClick here
  3E-Commerce PlatformClick here
4Worked for more than 20 years under EPF scheme? You will get this as bonus for pension calculationClick here
5Don’t forget to take this EPS pension certificate after leaving your current jobClick here

6. Press information

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1BIS issues standards for organizations publishing consumer reviewsClick here
2MAKE-IN-INDIA IN DEFENCE SECTORClick here
3Central Bank Digital Currency (CBDC) pilot launched by RBI in retail segment has components based on blockchain technologyClick here
4Guidelines for use of Drone TechnologyClick here
5Efforts to Enhance Production Under Mission Coking CoalClick here
  6Financial assistance of Rs. 46.86 Cr. released to States/UTs, NIC/NICSI, during last three financial years 2020-21, 2021-22 and 2022-23 under One Nation One Ration Card (ONORC) plan for nationwide portability of ration cards  Click here
7Various schemes of Ministry of Minority Affairs for the upliftment of minoritiesClick here
8National Credit Framework (NCF) released for public consultationsClick here
9Investment in Steel SectorClick here
10Update on National Creche SchemeClick here
11Tech companies, start-ups & govt will be partners to catalyse India as semiconductor nation and major player in electronics global value chains: MoS Shri Rajeev ChandrasekharClick here
12Regulation of Digital MediaClick here
13Promotion of Semiconductor IndustryClick here
147th edition of India Water Impact Summit ConcludesClick here
15Department of AHD implement various schemes to promote and develop animal husbandry, dairying and fisheries sectorClick here

7. IPO & investment Section

Issuer CompanyExchangeOpenCloseIssue Price (Rs)Issue Size (Rs Cr)
RBM Infracon Limited IPONSE SMEDec 23, 2022Dec 27, 202236.008.37
Homesfy Realty Limited IPONSE SMEDec 21, 2022Dec 23, 2022197.0015.86
Moxsh Overseas Educon Limited IPONSE SMEDec 21, 2022Dec 23, 2022153.0010.42
Elin Electronics Limited IPOBSE, NSEDec 20, 2022Dec 22, 2022234.00 to 247.00475.00
KFin Technologies Limited IPOBSE, NSEDec 19, 2022Dec 21, 2022347.00 to 366.001500.00
Arihant Academy Limited IPONSE SMEDec 16, 2022Dec 21, 202290.0014.72
Uma Converter Limited IPONSE SMEDec 15, 2022Dec 21, 202233.0018.41
Dollex Agrotech Limited IPONSE SMEDec 15, 2022Dec 20, 202235.0024.39

(Source: Chittorgarh.com)

  • Key Updates in Brief {Source- ET, BS etc.}

1. IRM Energy files draft papers with Sebi to raise up to Rs 700 cr via IPO

City gas distribution company IRM Energy Ltd has filed preliminary papers with capital markets regulator Sebi to raise funds through an initial public offering (IPO).

The IPO is a fresh issue of up to 1.01 crore equity shares by existing shareholders, according to the draft red herring prospectus (DRHP).

Proceeds from the issue will be used to fund capital expenditure requirements for development of the city gas distribution network at Namakkal and Tiruchirapalli in Tamil Nadu, for payment of debt and other general corporate purposes.

IRM Energy provides piped natural gas (PNG) and compressed natural gas (CNG). It has operations in states including Gujarat, Punjab and Tamil Nadu and serves 168 industrial customers, 202 commercial customers, 43,183 domestic customers, as of September 2022.

2. IPO market may undergo phase of consolidation in fear of a recession in 2023

IPO fundraising has significantly reduced. In CY21, the total IPO raised was Rs 1.33 lac crore, compared to Rs 0.6 lac crore in CY22. Barring LIC, we did not see any big-ticket IPOs hitting the primary market in 2022.

This is because the world economy slowed down, bringing high volatility to the stock market. This disturbed the sentiment of the primary and secondary markets affecting the pricing of stocks and discouraging promoters and private investors to come to the market for listing.

A similar effect is felt by investors as appetites are reduced during the year. Availability of liquidity decreased as inflows from institutional and retail investors dropped due to the subdued performance of the current portfolio cutting churning and new investment plans. Due to the global risk-off, FII inflows also reduced.

In CY20 and CY21, HNIs were very active in anticipation of listing gains. HNI used to apply substantially, taking support from external funding sources like NBFCs. As the possibility of sharp listing gains reduced in 2022, HNI’s action has reduced during the year. The outlook for the IPO market in 2023 is presumed to be muted in anticipation of a volatile stock market on the cusp of a recession fear.

In the short to medium-term, other factors like the outcome of the union budget – 2023, the general election in 2024, and the continuation of reforms are the local factors that will affect the IPO market. To read more: Click Here

3. IPO pipeline in India seen active in 2023 on smaller deals

India is expected to see a steady flow of small-to-mid-sized deals next year as investors grow wary about large listings after the disastrous performance of some major technology initial public offerings.

Several of the country’s major startups shed billions of dollars in value since their listing as concerns over high valuations and rising interest rates globally dented demand for technology stocks.

The selloff worsened as early investors pared stakes after the end of lock-up periods. Several of the country’s major startups shed billions of dollars in value since their listing as concerns over high valuations and rising interest rates globally dented demand for technology stocks. The selloff worsened as early investors pared stakes after the end of lock-up periods.

Some of the recent large IPOs have also come under scrutiny for their corporate governance practices. Paytm’s proposal to return capital to shareholders via stock buyback and Nykaa’s bonus share allotment that coincided with the expiry of its IPO lockup spurred debate over the companies’ decisions.

Only two companies raised more than $500 million through IPOs in India this year: Life Insurance Corp. of India ($2.7 billion), the country’s largest on record, and Delhivery Ltd. ($684 million). Last year, 11 newcomers amassed more than that with their listings.

“I am anticipating the broader markets to hold well despite talk about recession, which means pipeline for IPOs will also remain robust,” said Vikas Gupta, a strategist at OmniScience Capital. “But it’s not going to be easy for overvalued or loss-making companies to raise funds. I think there is little scope for such companies to take primary market route.”

8. irdai – insurance updates

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1IRDAI(Appointed Actuary) Regulations 2022Click Here
  2IRDAI(ARA for Life Business) Regulations 2022Click here
3IRDAI(ALSM of General Insurance Business) Regulations 2022Click here
4IRDAI (Other Forms of Capital) Regulations, 2022Click here
5IRDAI(Regulatory Sandbox) (Amendment) Regulations 2022Click here

9. Department of Telecommunications (dot)

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1TRAI releases Recommendations on “Improving Telecom Connectivity/ Infrastructure in far-flung areas of Himachal Pradesh”Click here
2Rolling out of 5G NetworkClick here
3Atmanirbhar Bharat SchemeClick Here
  45-G forest reformClick here
    5Promotion of ‘Make in India’ in Electronics and Information Technology SectorClick here

10. msme / SME updates

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1Foreign Investment in MSMEs sectorClick here
2Women entrepreneurs registered under Udyam SakhiClick here
3Pharmaceutical Technology Upgradation Assistance Scheme for MSMEsClick here
4ECLGS loans to domestic airlines haven’t reduced MSMEs’ share in credit scheme: MoS FinanceClick here
5Shriram Finance And Shriram City Merger To Focus On MSMEs And OthersClick here

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11. Competition Commission of India (CCI)    

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1Competition Commission of India raids some steel firms for alleged price collusion­Click here
  2India antitrust agency raids some steel firms for alleged price collusion, say sourcesClick here
  3On the radar. Price collusion charge: CCI conducts ‘dawn searches’ at several steel firmsClick here
4CCI clears Tanweer Infrastructure’s acquisition of Sembcorp EnergyClick here

12. Cabinet Decisions / New Acts

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1Amendments in EPA, 1986Click here
2Status of the National Water Framework Bill, 2016Click here
3Uniform Code of Pharmaceutical Marketing Practices (UCPMP)Click here
4Implementation of Seed SchemeClick here

13. Current Affairs Quiz (taken from various sources) 

Sl.QuestionsAnswers  
1‘Youth Co:Lab’ youth innovation movement is an initiative of Atal Innovation Mission (AIM) and which institution?UNDP
2What is the new name of ‘Pradhan Mantri Kaushal Ko Kaam Karyakram (PMKKK)’?PM VIKAS
3Which company became the official partner of FIH Odisha Hockey Men’s World Cup 2023?Tata Steel
4‘SURYA KIRAN’ is a joint training Exercise conducted between India and which country?Nepal
5Which city is the host of India Water Impact Summit (IWIS 2022)?    New Delhi
6Beypore Uru is a flagship product of which state?Kerala
7Airbnb signed MoU with which state government to promote inclusive tourism?Goa
8Which institution launched the ‘International Climate Club’?G-7
9Which country has announced the historic Nuclear Fusion Breakthrough?USA
10Which state recently passed a bill to remove Governor as Chancellor of state’s universities?Kerala
  • Top 5 Current Affairs:
  1. India’s retail inflation, which is measured by the Consumer Price Index (CPI), eased to 11-month low of 5.88% on an annual basis in November. The inflation was 6.77% in October, 2022.
  2. The Prime Minister virtually inaugurated the Goa-based All India Institute of Ayurveda, Ghaziabad-based National Institute of Unani Medicine, and Delhi-based National Institute of Homeopathy from Goa.
  3. According to the International Debt Report 2022 by the World Bank, debt of low and middle-income countries in Sub-Saharan Africa (SSA) rose to a record high of 789 billion USD in 2021.
  4. ‘World Soil Day’ is being observed annually on 5 December to focus on the importance of healthy soil and to advocate for sustainable management of soil resources.
  5. Kerala CM Pinarayi Vijayan declared a seed farm, located in Aluva in Kerala, as the first carbon neutral farm in the country. Reduction in carbon emission has helped the seed farm under the Agricultural Department achieve the carbon neutral status.

The End

Disclaimer: This write – up is prepared as a Knowledge Sharing Initiative. *Every effort has been made to avoid errors or omissions in this material. In spite of this, errors may creep in. Any mistake, error or discrepancy noted may be brought to our notice which shall be taken care of in the next edition. . In no event the author shall be liable for any direct, indirect, special or incidental damage resulting from or arising out of or in connection with the use of this information.

 

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