In a first-of-its-kind order against a listed company, the Bombay High Court has directed Zenith Infotech Ltd’s mainstay cloud computing business be sold to repay dues to foreign currency convertible bond (FCCB) holders. Since the company’s managed services division (MSD) was sold a couple of years ago, cloud computing has been the principal business of the Mumbai-based Zenith Infotech, promoted and run by the father-son duo of Rajkumar Saraf and Akash Kumar Saraf. The court decided to allow the sale to protect the interests of employees and on expectations this was likely to fetch better valuation compared to an outright winding-up. Two different entities have valued the cloud business at about Rs 200 crore. (Business Standard)
Lakshmi Vilas Bank plans to raise Rs 1,000 crore: Karur-headquartered Lakshmi Vilas Bank (LVB) may raise Rs 1,000 crore ($200.5 million) in equity in order to meet its funding requirements for branch expansion and growth capital. Based on the ballot results, the company is looking to raise around Rs 600 to Rs 700 crore ($120 million - $140 million) by way of a rights issue and the prospectus would be sent out after the next meeting to be held shortly. The balance amount would be raised through institutional or private placement," senior officials from the bank said. (The Times of India)
Courtesy: VCCEdge
