India Inc buzz: Nail-biting AGM, no Chinese toast

Suits & Sayings | ET’s weekly roundup of the wackiest whispers and murmurs in corporate corridors & policy parlours:Nail the BossMost of us, while watching horror flicks, or prior to a job interview or even an exam, may have bitten our nails. But when the chairman of one of the largest conglomerates keeps at it all through an AGM, one can’t help wonder if he’s hungry or nervous! Possibly the latter, it could well be argued, as several of the group’s top companies are scrambling for safe refuge. Add to that some hard grilling by nervous shareholders. Here’s hoping that his nails are substantial enough to withstand the crisis his companies are currently staring at.Going GuerrillaThis healthcare entrepreneur was caught off guard when he was trolled late one night last week. Having listed shares is a huge exposure and braver men than him have panicked in the past after such attacks. While the nasty online tribe was able to hide its tracks successfully for some time at least, the needle of suspicion naturally veered toward rival hospital groups. While this gradually got resolved as peers swore innocence, there seemingly was an unhappy fallout. We gather a VIP who had accepted to attend a virtual event cried off at the last minute, creating consternation all around. Invitations were rapidly retracted, but it seems the trolls and whoever had unleashed them clearly had notched up a victory, on the sly.In AbsentiaLike many of his peers, the fortunes of this billionaire have taken some hard knocks. So many were surprised to see him camp in Kolkata for long stints instead of managing the crisis from the front. Well, he sure has several sharp CEOs managing the individual pieces or perhaps a close relative needed his physical presence to battle health issues. But old-fashioned stakeholders can’t stop groaning as one venture has been in constant peril.Neighbour’s EnvyWe don’t know which came first, the mega funding or the swanky wheels, but both are oven fresh, we can tell you that. The diminutive owner, till now, did not come across as a flashy, flamboyant brat. But being the co-founder of a much sought-after venture that has just blazed into the haloed club certainly has some prize perks attached. We can safely say he’s also managed to give his avuncular, conservative neighbours a taste of the millennial ‘minimalist’ lifestyle –buying a BMW ranks higher than buying a bungalow, even if the bank balance can easily afford both.Landing a FortuneRecently we told you about a car plant up north. Then we stumbled upon another nugget, this time from down south. A birdie tells us a two-decade-old automotive plant was recently put on the block. This was just months after a foreign player had inked a joint venture with a homegrown manufacturer late last year to ensure a significant capacity ramp-up. But the sale didn’t go through. A Chinese company that was interested backed out after hearing the astronomical quote by the CEO. Whether they make one more attempt to find a suitable buyer, we don’t know. Till then, we are told there is an endeavour to make best use of the resources available.71074434Check that BounceWhen a harmless branch executive called this precocious fund manager to tell him that his account lacked sufficient balance for two ultra high-value cheques to be passed, he first received a condescending response and then a stern order to clear the payments. But the executive did not budge, even after the family name–a respected one in the world of finance–was dropped. The young gentleman, a little birdie tells us, thus dialled the CEO of the bank and acted brusque. A no-nonsense veteran with zero tolerance for such shenanigans, the CEO, as expected, gave him a mouthful and hung up. Still dogged in his pursuit, the lad apparently tried to win over relatives who also work in the bank to get his cheques cleared. The CEO has put his foot down and last heard has sought a written request. Daddy may well have to bail out his son in the end. Smashing PrejudicesWhen the work culture gets toxic, no amount of cosmetic makeover helps. Facing the recent brunt of some serious negative news flow and bad PR around workplace harassment and bullying, this fast-growing retailer had to shake things up to prove beauty ain’t skin deep. Investors too were breathing down its neck demanding accountability. It was a matter of time before heads would roll and now we hear they have. Not one, but a handful, who have all been given the quiet sendoff.Fizzing Out?It’s been the zestiest homegrown brand in the beverage space that saw a lot of smart money taking a big swig of it in the early days till its own growth gave it a hangover. Loyalists still swear by it, but spicier upstarts are fast playing catch-up. Growth needs money and we have heard a handful have been spending time on diligence. Turns out a large Chinese asset management company that has been fairly active in India wanted to raise a toast, no matter the frothy ask. But if Bengaluru’s chatterboxes are to be believed, the authorities got wind of it and asked for the term sheet on the table. Predictably, the drink and the deal have both gone flat. But perhaps there could be an interesting after taste. Watch this space.Leave us AloneThe once-voluble disruptor seems to have been significantly disrupted even though he is keeping a strong facade of stability for the world outside. His NCR-headquartered unicorn has recently cancelled one month of accumulated and encashable privileged leave for all employees, which effectively amounts to a pay cut of a month-and-a-half, according to the disgruntled staff. They have been told this move is to reduce cost without firing anyone amid the ongoing pandemic. Many employees shared their displeasure at leave being targeted at a time when the company is merging six different branches across the city into one building and continues to spend on its construction.Of Auspicious TimingsTelecom over, now the dollar deluge for retail is set in motion. Deal Street is buzzing with names of fat cat private equity investors, e-commerce and even global retailers grabbing the coattails of India’s richest man. So, when is the announcement, or shall we say, slew of announcements? A wise man tells us, one still needs to wait for a few more days as no important or auspicious venture gets signed during the ongoing shraadh period. And we all know, this is a family that takes astrology very, very seriously.Upping the AnteWe have been honestly surprised at the aggression that some of the leading state lenders are showing in the courts as they lock horns with this still influential but beleaguered tycoon, many of whose companies are now bankrupt. An ARC has proposed a resolution plan but the lenders have chosen to keep everything close to their chest. Instead, they have raised the stakes in the ongoing legal war, going after the invocation of personal guarantees that were allegedly given. Tell us, when was the last time you saw PSU banks terming certain representations made by the promoter as “erroneous” and “fallacious”? They also claim he was painting a bright picture of the recovery prospects of the banks when, in reality, they would only retrieve a fraction of their dues.74170139

from Economic Times https://bit.ly/3bvMiPU
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