Three dozen companies have emerged as prospective bidders in the current round of
auctions for 27 coal blocks, from which 25% of the produce can be sold in the open
market. These companies include Vedanta, Tata Steel, Ultra Tech Cement, Balco,
Ambuja Cements, JSW Steel, Hindalco, Birla Corp, ACC Cement and Reliance
Cement.

The coal ministry, which is conducting road shows in various cities, has prepared a list
of prospective bidders for its 8th, 9th and 10th Tranches of auction.

  • At a meeting called by the Coal Ministry for the potential bidders, stakeholders, for next
    round of coal auctions, bidders have expressed concern over the lower number of coal
    mines being put up for auction in the Eastern part of the country. They also pointed out
    that the end-use industries (coal consumers) are in the East, but a majority of the
    blocks on offer are in the Western part, specifically Maharashtra.
  • The rupee pared initial gains to settle almost flat at 71.71 against the US dollar on
    Monday as rising crude oil prices kept investors edgy.
  • The rupee finally settled at 71.71, higher by just 1 paisa over its previous close. The
    rupee has extended gains for the fourth day in a row.
  • Sical Logistics Ltd a Coffee Day Group company that runs port terminals and container
    freight stations is likely to see bidding by JSW Group and Adani Group, sources close
    to the development reported media. The Dubai government-owned DP World, a
    container major, too, has shown interest, the sources said.
  • Sical also has a category 1 license from the Indian Railways that permits it to run
    container trains across India. Apart from port terminals and container train operations,
    Sical has interests in mining, road transport, inland container depot, warehousing and
    shipping. It also provides offshore support services to the oil and gas industry and owns
    and operates a cutter suction dredger.
  • In an indication of continued concerns for the NBFC sector, India Ratings on Monday
    revised its outlook for the non-banking finance companies to negative from stable and
    also maintained its negative outlook on large ticket housing finance companies (HFCs).
  • The agency also cut its growth forecast for NBFCs for 2019-20 to 10% to 12% from the
    earlier estimate of 15% due to funding challenges and slowdown in economic activity,
    which is evident from the fall in auto sales, slowdown in rural infra activity and small
    and medium enterprises (SME) challenges. It also said that measure announced by the
    government to improve liquidity for the sector are likely to play out over the medium-to-
    long term.
  • The NBFC and HFC sector has been in the midst of a financial crisis for a year now
    and the Reserve Bank of India and the Finance Ministry have announced a slew of
    measures to improve funding to them. NBFCs focussed on retail asset financing with
    long track records have been able to mobilise funding owing to the granular nature of
    their loan books and the control they have exhibited in maintaining asset quality, India
    Ratings said.
  • It however, cautioned that wholesale and semi-wholesale NBFCs in real estate,
    corporate lending and large ticket housing segment have seen challenges in mobilising
    liabilities, largely because of the asset-side perception risk arising from the slowdown in
    real estate and moderation in refinancing opportunities.
  • Terming the revision of power purchase agreements (PPAs) for wind and solar plants in
    Andhra Pradesh as “unfortunate”, Union Power Minister Mr RK Singh on Monday said
    foreign investments have been coming in the country’s renewable energy sector on the faith of sanctity of contracts.
  • The Andhra Pradesh government had formed a committee to revise “abnormally priced
    wind and solar” PPAs, these might have been inked with “malafide intentions and could
    have resulted in unjustified burden on consumers of the state.”
  • While addressing the media in Hyderabad about the achievements of the government
    in the first 100 days, Mr Singh said that If there is any concrete and specific evidence of
    illegality, go ahead and take action as per law but contracts cannot be re-opened
    across the board.