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Reliance Industries on 23.01.2021 has come up with the Q3FY21 numbers update and results are very good. However, we in unlisted market are more concerned about Reliance Retail performance, the favorite share among the investors in the unlisted market. So, let us see how it has performed in the Q3FY21. <strong>Reliance Retail Financial Performance:</strong> Reliance Retail has clocked the net-revenue of Rs.30187 Crores in the Q3FY21 and EBITDA of Rs.3087 Crores. This translates into EBITDA Margins of 9.35%. In this quarter, due to COVID-19, the revenue has come down by 18% as compared to Q3FY20, wherein the company had clocked revenue of Rs.40660 Crores.<!--more--> In Q3FY21, Reliance Retail has clocked an EBITDA margins of 9.3% as compared to 6.80% last year in the same period. You must be wondering, how Reliance Retail has almost doubled the EBITDA margins? This boost in EBITDA margins is due to "Investment income" of Rs 775 Cr, excluding this underlying operating margin are at 7.0%. which is still good. <div class="table-overflow-init"> <table width="100"> <tbody> <tr> <td style="text-align: center;" width="79"><strong>Date</strong></td> <td style="text-align: center;" width="79"><strong>Revenue</strong></td> <td style="text-align: center;" width="79"><strong>EBITDA</strong></td> <td style="text-align: center;" width="84"><strong>OPM</strong></td> <td style="text-align: center;" width="79"><strong>PAT</strong></td> <td style="text-align: center;" width="79"><strong>NPM</strong></td> </tr> <tr> <td style="text-align: center;" colspan="6"><strong>Quarter Ended</strong></td> </tr> <tr> <td style="text-align: center;">31-Dec-19</td> <td style="text-align: center;">40660</td> <td style="text-align: center;">2,736</td> <td style="text-align: center;">6.80%</td> <td style="text-align: center;">1,753</td> <td style="text-align: center;">4%</td> </tr> <tr> <td style="text-align: center;">30-Sept-20</td> <td style="text-align: center;">36566</td> <td style="text-align: center;">2006</td> <td style="text-align: center;">5.5%</td> <td style="text-align: center;">973</td> <td style="text-align: center;">2.73%</td> </tr> <tr> <td style="text-align: center;">31-Dec-20</td> <td style="text-align: center;">33,018</td> <td style="text-align: center;">3,087</td> <td style="text-align: center;">9.35%</td> <td style="text-align: center;">1,830</td> <td style="text-align: center;">5.54%</td> </tr> </tbody> </table> </div> Overall, we can say it is a very good performance considering the kind of slow-down is there in the Indian economy. <strong>Business Performance Highlights:</strong> <strong>a) Consumer Electronics: </strong>Strong growth is seen in consumer electronics business due to festive season and tier-2 and 3 cities leading the way. Due to work from home, schools from home, etc have boosted the sales of Laptops, Tablets, HETVs and Small Appliances categories and same has delivered strong double-digit growth. <strong>b) Fashion & Lifestyle </strong>Apparel and footwear revenues stage shows strong bounce back and growth here also has led by Tier-2 and 3 cities. Fashion and Style online e-commerce website Ajio orders has shown 5X growth YoY. Jewels registers high-double digit growth YoY and doubles sequentially. <strong>c) Grocery</strong> Grocery business continue to grow, however, overall revenue impacted by COVID restrictions, local issues and Market stores transition. Footfall is still not same as pre-covid level, but higher billing per order compensated that. Grocery business has shown robust growth during festive period driven by Staples, FMCG and Indian Sweets. Kirana partnerships extended to 23 cities; 2X more business with growing adoption. <strong>Other Highlights </strong>a) Strong profit delivery despite a challenging operational context. b) Sharp recovery in Fashion & Lifestyle business – getting back to pre-COVID levels. c) Overall revenues dragged down by transfer out of Fuel retailing and one-off factors impacting Grocery. d) Business continues on its path of expansion - store count crosses 12,000 mark. e) Steady progress on building Digital and New Commerce – investing for growth. <strong>COVID-19 Update: </strong>a) In this quarter, 96% stores of Reliance Retail are opened now which was just 85% in the last quarter. This shows that impact of COVID-19 is slowly fading and economy is coming to normal. b) Overall footfall at 75% of Pre-COVID levels, at par with last quarter. c) Fashion & Lifestyle and mall stores still significantly lower. <strong>Store Count of 12000+</strong> <img class="alignnone size-full wp-image-13120" src="https://unlistedzone.com/storage/knowledge-logo/g.jpg" alt="" width="367" height="268" />
Suryoday Small Finance Bank which has already filed DRHP for an IPO has raised 151 Crores by issuing 52,08,226 shares to the following shareholders. 1. SBI Life Insurance Company Limited = 30,84,833 2. Axis Multicap Fund = 17,13,795 3. Axis Equity Hybrid Fund = 3,42,760 4. Kiran Vyapar Limited = 66,838<!--more--> The shares are issued at Rs.291 per share. Suryoday Small Finance Bank's Book value as on 31.03.2020 is 123 per share. So, this deal is done at P/B of 2.36x. Currently, the Suryoday Small Finance Bank is available in the unlisted market at a price of 320 per share. <a href="https://unlistedzone.com/storage/knowledge-logo/SMFL_Notice_of_-EGM.pdf">Notice</a>
ICEX is conducting an Extra -ordinary General Meeting (‘EOGM’) of the shareholders of the Indian Commodity Exchange Limited on Monday, February 15, 2021 at 11.30 a.m. at Indian Commodity Exchange Limited, through Video Conferencing (“VC”)/ Other Audio Visual Means (“OVAM”) , to transact the Special Business, as set out in the notice of the EOGM dated January 18, 2021. Items to be discussed in the AGM. a) Appointment of Mr. Suresh Babu Konakanchi (DIN: 07757710) as a Shareholder Director on the Board of the Exchange. b) Appointment of Ms. Vaishali Vishwas Kale as a Shareholder Director on the Board of the Exchange.<!--more--> <strong>Why new appointments are coming?</strong> Mr. Ajit Kumar Mittal vide his letter dated November 06, 2020 had tendered his resignation letter as the Shareholder Director of the Exchange due to his other pre occupations. And as per SEBI regulations, the recognized stock exchange shall place the names of persons to be appointed as shareholder directors approved by the governing board of the stock exchange before the shareholders for their approval before submitting the same to SEBI for approval. The company has received a nomination letter from M/s Reliance Exchangenext Limited dated January 06, 2021, nominating Mr. Suresh Babu Konakanchi for the office of shareholder director on the Board of the Exchange. The NRC & Board also recommended the name of Ms. Vaishali Vishwas Kale a shareholder, to be appointed as a shareholder director on the Board of the Exchange. <a href="https://unlistedzone.com/storage/knowledge-logo/Notice-of-EOGM_February-15-2021.pdf">Notice</a>
<p>HDB Financial Services (HDBFS), a subsidiary of HDFC Bank and a prominent player in the Non-Banking Financial Company (NBFC) sector, recently announced its financial results for Q3FY21. As a Systemically Important Non-Deposit taking NBFC, HDB Financials plays a crucial role in meeting the financial needs of a diverse clientele in India, both in the retail and commercial sectors.</p> <p>The HDB Financials results for Q3FY21 have raised concerns, as the company continues to navigate through the challenges posed by the COVID-19 pandemic. Despite these obstacles, the company's loan book exhibited growth, reaching ₹57,710 Crores in December 2020, up from ₹56,748 Crores in the previous year. This growth, however, is modest, reflecting the cautious approach adopted by HDB Financials in loan disbursement due to the economic uncertainty caused by the pandemic.</p> <p>A key highlight of the HDB Financials results is the company's interest income, which stood at ₹1,010 Crores for Q3FY21, slightly higher than the ₹995 Crores reported in the same period last year. This increment, though marginal, signals a steady income flow for the company.</p> <p>However, the HDB Financials results also revealed a significant downturn in terms of profitability. The company reported a loss of ₹44 Crores in Q3FY21, a stark contrast to the profit of ₹216 Crores in the corresponding quarter of the previous year. This loss is primarily attributed to a substantial provision of ₹880 Crores made in Q3FY21 to mitigate the impact of COVID-19. Consequently, the total Profit After Tax (PAT) for the first nine months of FY21 stood at ₹283 Crores, down from ₹695 Crores in the same period last year.</p> <p>In terms of asset quality, HDB Financials' Gross NPA and Net NPA were reported at 2.7% and 1.7%, respectively. However, these figures could have been significantly higher, at 5.9% for Gross NPA, had the company classified borrower accounts as NPAs post the end of the moratorium on August 31, 2020. This indicates a rise in non-performing retail loans since March 2020.</p> <p>On a positive note, HDB Financials maintains a strong Capital Adequacy Ratio of 19.5%, well above regulatory requirements, showcasing the company's robust financial position.</p> <p>Looking ahead, there is optimism surrounding the recovery of the financial sector. As the economy rebounds, HDB Financials is likely to witness an increase in loan disbursements. The next few years are expected to be particularly beneficial for financial companies, marking a resurgence in the credit cycle. With the worst phase seemingly over, HDB Financials and its counterparts in the financial sector are poised for a period of fruitful growth and stability.</p>
As per news roaming in ET, a fund run by UBS’s asset management arm is in discussions to buy a stake in Paytm alongside some of the Swiss bank’s clients. UBS is negotiating the purchase of Paytm shares from a group of the Indian fintech company’s employees. <!--more-->The deal is likely to be completed by this month end. However, the successful completion of the deal will depend upon the valuation at which UBS is agreed to buy and employees are agreed to offer shares.UBS and other Swiss bank clients are looking to buy stakes worth Rs. 300 Crores. In the unlisted market, the current market price of Paytm unlisted shares is Rs.10700 per share. This has fallen from the value of Rs. 18000 in the last one year. In Nov-19, the Paytm was valued officially at $16Billion, when Softbank had infused fresh capital in the company. Stay tuned to UnlistedZone for further updates on this news.
<p>HDFC Securities, the flagship company of HDFC Group has come up with the third-quarter results. In the third quarter i.e. Dec 2020, HDFC Securities has clocked revenue of 335 crores; it was only 214 crores last year in the same period. This has translated into a massive 56% growth in revenue. Total expenses have also gone up to 110 crores as compared to 86 crores last year in the same period.</p> <!--more--> <p>The main expense of Broking Company is employee salaries, for HDFC Securities it accounted for 50% of total expense in the third quarter for FY20-21. The PAT has also grown by 73% to reach 163 crores as compared to just 94 crores last year. <br /><br /><strong>Results Snapshot</strong></p> <div class="table-overflow-init"> <table width="100"> <tbody> <tr> <td width="79">Date</td> <td width="79">Total Income</td> <td width="82">EBITDA</td> <td width="64">OPM</td> <td width="64">PAT</td> <td width="64">NPM</td> <td width="83">EPS</td> </tr> <tr> <td>30-Jun-20</td> <td>275.31</td> <td>194.06</td> <td>70.49%</td> <td>129.72</td> <td>47.12%</td> <td>82.47</td> </tr> <tr> <td>30-Sep-20</td> <td>344.33</td> <td>244.41</td> <td>70.98%</td> <td>165.82</td> <td>48.16%</td> <td>105.34</td> </tr> <tr> <td>31-Dec-20</td> <td>339.12</td> <td>250.17</td> <td>73.77%</td> <td>163.15</td> <td>48.11%</td> <td>103.64</td> </tr> </tbody> </table> </div> <p><strong>Euphoria in the market</strong> <br /><br />If we see the market stats carefully during April-Dec 2020, retail investors have participated big-time as a trader and investor, both. The WFH has given a lot of retail investors a time to invest in the market. The continuous rise of market is also playing in the mind of investors who are buying stocks as they don't want to miss this opportunity of making easy money. This has resulted into good brokerage income for stock brokers in the market.<br /><br /><strong>Impact of COVID-19</strong> <br /><br />Stockbroking and depository services have been declared as essential services and accordingly, the Company has faced no business stoppage/interruption on account of the lockdown. In light of the steep decline in the indices, the Company, in the normal course of business, placed additional margin money with the stock exchanges. <br /><br /><strong>UnlistedZone View <br /><br /></strong>If we annualize the HDFC Securities performance of 9 months, then it will easily touch the EPS of ~400 in FY20-21. This will translate into P/E of 25x at Rs.10,000 per share in the unlisted market. The listed players like Angel Broking and ICICI Securities are trading at P/E of 34x and 20x on FY2021 earnings. <br /><br /><a href="https://unlistedzone.com/storage/knowledge-logo/1bea896c-d282-4f24-843f-e601914ac196.pdf">To check HDFC Securities Results, click here</a></p>
Paytm CEO, Vijay Shekhar told to Reuters Next conference that Indian fintech giant PayTM may turn profitable this year as the pandemic fuels a surge in the use of its payment platforms. At the conference, Vijay Shekhar Sharma said the crisis had forced more merchants to use PayTM's platforms as businesses were forced to accept digital payments. <!--more--> PayTM, which began as a service for people to top up their mobile phones, offers a digital payment platform for merchants, money transfers and bill payments across India. Its lending businesses include credit cards, personal loans and merchant cash loans in partnership with other lenders. Pressed on whether the company, which is backed by Chinese fintech giant Ant Financial and Japan’s Softbank, would soon look to list, Sharma said it would look at that when profitable but had no plans in the “short term”. PayTM was valued at about $16 billion during a private fundraising round in 2019. Currently, it is available at $11 billion of valuation in unlisted market.
Japan's beer maker Kirin Holdings will invest 210 Crores in New Delhi-based B9 Beverages, as it seeks to secure a spot in India's growing craft beer market amid falling sales at home. The Japanese brewer will acquire a stake of under 10% in B9.<!--more--> As per Ankur Jain, CEO of Bira, this investment would allow Bira, which has posted losses in recent years and has been hit by the COVID-19 pandemic, to break even in the 2021-2022 fiscal year. <strong>UnlistedZone View</strong> We at UnlistedZone are iu view that this is the timely investment which has come to the rescue of Bira, as hotel and restaurant industry, the largest seller for bira beer, was the most hit sector due to COVID-19. This funding will allow Bira to carry out operations without having to worry about the cash flow problem. Plus they will get the support and expertise of Japanese beer maker in expanding operations in India. If we go by this deal, the Bira is valued approximately 2200 Crores. In 2019, Bira had raised 30 Cr from Sixth Sense Ventures, at a reported valuation of 1722 Crores.
Financial advisory firm Plutus Wealth Management LLP and its associates have bought shares worth Rs 500 crore in Rakesh Jhunjhunwala-backed mobile gaming startup Nazara Technologies. The shares have been purchased from Nazara’s early investor WestBridge Ventures’ private equity fund WestBridge Ventures II Investment Holdings in a secondary transaction to provide latter the complete exit from the gaming company that had developed popular games such as World Cricket Championship, Chhota Bheem Race, Motu Patlu Race, etc. WestBridge Ventures had put around Rs 22.6 crore in Nazara and obtained sales consideration of around Rs 1000 crore from its investment.<!--more--> “We believe gaming will be a prominent form of entertainment and will do well in the next decade. We believe that Nazara is well-placed to leverage on the vast available opportunity,” said Arpit Khandelwal, Partner, Plutus Wealth Managing in a statement. With the latest deal, Nitish Mittersain who heads Nazara Technologies said the company is seeing Plutus as a ‘long term investor’ in the company. The secondary exit has come ahead of the company’s planned IPO this year. <strong>As per UnlistedZone estimate;</strong> " <em>As on 31.03.2020, the West-Bridge has 6,121,210 equity shares in the Nazara Technology. So, if we go by this news where Plutus Wealth Management is buying all the shares of West-Bridge for consideration of Rs.500 Crores, per share value comes out to be around 810 per share</em>". <strong>About Plutus Wealth Management</strong> Plutus Wealth LLP is an award winning Independent Financial Advisers based in central London. They provide independent advice and wealth management to companies and individuals. They have a diverse range of clients and specialise in those new to financial planning. Plutus brings together experienced, able and highly regarded individuals, our emphasis is on building strong, long lasting, personal relationships with our clients. We pride ourselves on giving a fresh perspective to clients and their financial affairs. <strong>Source: Economic Times</strong>
Hi, Please find the proposal to sell unlisted shares at Unlisted Zone. 1. We will confirm our buying price. 2. We will give you our client master report and you will transfer the shares to our account. 3. We will ask for bank details of you once the shares are received in our demat account. 4. We will transfer the funds in your account within 24 hrs of receiving the shares. 5. Payment will be made in RTGS / NEFT / CHEQUE TRANSFER. No CASH DEPOSIT / IMPS. 6. Payment will be given in the same account which is linked to demat account. 7. Happy investing. Dinesh Gupta Partner, 8010009625 UnlistedZone- Best Place to Buy and Sell Unlisted Shares in India <strong>Note:</strong> The price at which we are buying the share is fixed for 1 week. If you cant sell your stock within 1 week, then the price of that day will be applicable when we receive shares in our demat.
<h3><strong>Introduction to Unlisted Shares and Capital Gains Tax</strong></h3> <p>Unlisted shares refer to shares of companies that are not listed on any recognized stock exchange. These shares are typically held by private companies or pre-IPO firms. Investing in unlisted shares can offer substantial returns, but understanding the tax implications, particularly capital gains tax, is essential.</p> <p>Capital gains tax is levied on the profit earned from the sale of shares. In India, the capital gains from unlisted shares are categorized into Long-Term Capital Gains (LTCG) and Short-Term Capital Gains (STCG) based on the holding period of the shares.</p> <h3><strong>Understanding Long-Term Capital Gains (LTCG) on Unlisted Shares</strong></h3> <h4><strong>Definition and Holding Period</strong></h4> <p>Long-Term Capital Gains (LTCG) on unlisted shares arise when these shares are held for more than 24 months (2 years) before being sold. The holding period is crucial because it determines whether the gains will be taxed as LTCG or STCG.</p> <h4><strong>Tax Rate on LTCG: Recent Changes</strong></h4> <p>As of July 23, 2024, the tax rate on LTCG for unlisted shares has been revised to 12.5% without the benefit of indexation. Prior to this change, the LTCG on unlisted shares was taxed at 20% with indexation.</p> <p><strong>Scenario 1: LTCG Without Indexation (12.5%)</strong></p> <ul> <li><strong>Purchase Price:</strong> ₹10 lakhs</li> <li><strong>Sale Price:</strong> ₹20 lakhs</li> <li><strong>Capital Gain:</strong> ₹20 lakhs - ₹10 lakhs = ₹10 lakhs</li> <li><strong>Tax Rate:</strong> 12.5%</li> </ul> <p><strong>Tax Liability Without Indexation:</strong></p> <p><span class="base"><span class="mord text"><span class="mord">Tax Liability</span></span><span class="mrel">=</span></span><span class="base"><span class="mord">12.5%</span><span class="mbin">×</span></span><span class="base"><span class="mord">₹10</span><span class="mord text"><span class="mord"> lakhs</span></span><span class="mrel">=<strong> </strong></span></span><strong><span class="base"><span class="mord">₹1.25</span><span class="mord text"><span class="mord"> lakhs</span></span></span></strong></p> <p><strong>Scenario 2: LTCG With Indexation (20%)</strong></p> <ul> <li><strong>Purchase Price with Indexation:</strong> ₹12 lakhs (Assumed after indexation)</li> <li><strong>Sale Price:</strong> ₹20 lakhs</li> <li><strong>Capital Gain With Indexation:</strong> ₹20 lakhs - ₹12 lakhs = ₹8 lakhs</li> <li><strong>Tax Rate:</strong> 20%</li> </ul> <p><strong>Tax Liability With Indexation:</strong></p> <p><span class="base"><span class="mord text"><span class="mord">Tax Liability</span></span><span class="mrel">=</span></span><span class="base"><span class="mord">20%</span><span class="mbin">×</span></span><span class="base"><span class="mord">₹8</span><span class="mord text"><span class="mord"> lakhs</span></span><span class="mrel">= </span></span><strong><span class="base"><span class="mord">₹1.6</span><span class="mord text"><span class="mord"> lakhs</span></span></span></strong></p> <p><strong>Comparison:</strong></p> <p>In this example, the new rate of 12.5% without indexation results in a lower tax liability (₹1.25 lakhs) compared to the older rate of 20% with indexation (₹1.6 lakhs). This suggests that the revised rate is generally more favorable, especially when inflation does not significantly increase the indexed purchase price.</p> <h3><strong>Understanding Short-Term Capital Gains (STCG) on Unlisted Shares</strong></h3> <h4><strong>Definition and Holding Period</strong></h4> <p>Short-Term Capital Gains (STCG) occur when unlisted shares are sold within 24 months (2 years) of acquisition. Unlike LTCG, the holding period for STCG is shorter, leading to a different tax treatment.</p> <h4><strong>Tax Rate on STCG</strong></h4> <p>STCG on unlisted shares is added to your total income and taxed as per your applicable income tax slab. Depending on your total income, the tax rate could range from 0% (if your total income is below the taxable limit) to 30% (for those in the highest income tax bracket).</p> <p><strong>Example:</strong></p> <ul> <li><strong>Purchase Price:</strong> ₹10 lakhs</li> <li><strong>Sale Price:</strong> ₹15 lakhs (within 18 months)</li> <li><strong>Capital Gain:</strong> ₹15 lakhs - ₹10 lakhs = ₹5 lakhs</li> <li><strong>Tax Rate:</strong> Based on the applicable tax slab</li> </ul> <p>If your total income, including the ₹5 lakhs gain, falls into the 30% tax bracket, you would be liable to pay 30% tax on the ₹5 lakhs, amounting to ₹1.5 lakhs.</p> <h3><strong>Capital Gains Post Listing of Shares</strong></h3> <p>When unlisted shares are eventually listed on a stock exchange, usually through an Initial Public Offering (IPO), the taxation rules change slightly. Here's how:</p> <h4><strong>Tax Implications After Listing</strong></h4> <p>Once unlisted shares are listed, any subsequent sale through a recognized stock exchange is taxed as per the rates applicable to listed shares. However, the holding period for determining whether the gains are short-term or long-term is still calculated from the original date of purchase.</p> <h4><strong>Lock-In Period Considerations</strong></h4> <p>There may be a lock-in period after the shares are listed, especially if they were acquired before the IPO. It's important to factor in this lock-in period when planning your sale, as the tax rates applicable to listed shares would then apply once the lock-in expires.</p> <h4><strong>Example: Taxation on Sale of Listed Shares</strong></h4> <ul> <li><strong>Purchase Price:</strong> ₹10 lakhs</li> <li><strong>Holding Period:</strong> 3 years (before listing)</li> <li><strong>Post-Listing Sale Price:</strong> ₹25 lakhs</li> </ul> <p>Although the shares were held for 3 years, the applicable tax rate after listing will be the LTCG rate of 10% for listed shares.</p> <h3><strong>Key Considerations for Tax Planning</strong></h3> <p>Proper tax planning can significantly impact your net returns from unlisted shares. Here are some key considerations:</p> <h4><strong>Importance of Tracking Holding Period</strong></h4> <p>Always keep a close eye on the holding period of your unlisted shares. Selling after 24 months can reduce your tax liability by qualifying for the lower LTCG rate, as opposed to the potentially higher STCG rate.</p> <h4><strong>Timing of Sale for Tax Efficiency</strong></h4> <p>Deciding when to sell your unlisted shares is crucial. If the shares are nearing the 24-month mark, it might be beneficial to wait until you cross this threshold to qualify for LTCG, thereby reducing your tax burden.</p> <h4><strong>Strategic Considerations Post Listing</strong></h4> <p>After your unlisted shares become listed, understand the new tax rules that apply. Consider the lock-in period and plan your sale accordingly to minimize tax liability.</p> <hr /> <h3><strong>Frequently Asked Questions (FAQs)</strong></h3> <h4><strong>1. What is the holding period for LTCG on unlisted shares?</strong></h4> <p>The holding period for Long-Term Capital Gains (LTCG) on unlisted shares is more than 24 months (2 years).</p> <h4><strong>2. How is STCG on unlisted shares taxed?</strong></h4> <p>Short-Term Capital Gains (STCG) on unlisted shares are taxed at your applicable income tax slab rate, which could range from 0% to 30%.</p> <h4><strong>3. What changes when unlisted shares become listed?</strong></h4> <p>Once unlisted shares are listed on a stock exchange, the tax rates applicable to listed shares apply. The holding period continues from the original purchase date.</p> <h4><strong>4. How does the new tax rate impact LTCG on unlisted shares?</strong></h4> <p>The new LTCG tax rate of 12.5% without indexation is generally more favorable than the older 20% rate with indexation, especially in low-inflation scenarios.</p> <h4><strong>5. Are there any exemptions available on capital gains from unlisted shares?</strong></h4> <p>Yes, certain exemptions under Sections 54EC, 54F, and others may be available, depending on the reinvestment of capital gains and other conditions.</p> <h4><strong>6. How should I plan my investments in unlisted shares from a tax perspective?</strong></h4> <p>It's advisable to plan your investment horizon carefully, consider holding periods, and be mindful of changes in tax laws to optimize your returns.</p> <hr /> <h3><strong>Conclusion</strong></h3> <p>Understanding the capital gains tax implications on unlisted shares is vital for making informed investment decisions in India. With recent changes in tax laws, it's more important than ever to stay updated on how your investments will be taxed. Whether dealing with LTCG or STCG, or managing shares post-listing, strategic tax planning can make a significant difference in your overall returns.</p> <p>For personalized advice or further clarification on capital gains tax, don't hesitate to reach out to us at <span style="text-decoration: underline;"><strong><a rel="noopener">[email protected]</a></strong></span>. We're here to help you navigate the complexities of the unlisted shares market.</p>
Jubilant Foods has informed to the bourses that they are investing Rs. 92 crores in Barbeque-Nation Hospitality Limited for a 10.76% stake. The Company will acquire 36,50,794 fully paid up equity shares of face value of INR 5 each aggregating to 10.76% stake in BNHL.<!--more--> <strong>Barbeque Nation:</strong> BNHL operates Barbeque Nation (BBQ) an Indian cuisine, casual dining Brand which introduced the concept of live grilling of Kebabs to the Indian market. It owns and operates 138 Barbeque Nation Restaurants in 73 cities in India and 7 International Barbeque Nation Restaurants (as of November 30, 2019). It also has a presence in the Italian cuisine segment under the brand, Toscano. <strong>About Jubilant Foods:</strong> Jubilant Foodworks Limited (JFL/Company) is part of Jubilant Bhartia group and is India’s largest foodservice Company. Its Domino’s Pizza franchise extends across a network of 1,264 restaurants in 281 cities (as of September 30, 2020). The Company has the exclusive rights to develop and operate Domino’s Pizza brand in India, Sri Lanka, Bangladesh and Nepal. At present, it operates in India, and through its subsidiary companies’ in Sri Lanka and Bangladesh. The Company also enjoys exclusive rights to develop and operate Dunkin’ Donuts restaurants in India, has in operation 26 restaurants across 8 cities in India (as of September 30, 2020). JFL has ventured into Chinese cuisine segment with its first owned restaurant brand, ‘Hong’s Kitchen’, which serves 2 cities with 5 restaurants in India (as of September 30, 2020). Recently, the Company has added Indian cuisine of biryani, kebabs, breads and more to the portfolio by launching Ekdum! with 3 restaurants in Gurugram. In accordance with shifting consumption habits, the Company has also launched its ready-to-cook range of sauces, gravies and pastes under the brand ‘ChefBoss’. Mr. Shyam S. Bhartia, Chairman and Mr. Hari S. Bhartia, Co-Chairman, Jubilant Foodworks Limited said, “We are happy to announce our investment in Barbeque Nation - a differentiated, casual dining restaurant brand of scale with strong unit economics. We are confident that the proposed investment will create value for our shareholders.
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