Troubled retail chain Vishal Retail is finally selling off its businesses. On Monday the company’s board approved the sale of its retail operations to the Shriram Group. It also gave the green light to selling its wholesale operations to TPG’s Indian unit. The total value of both sales put together is Rs 100 crore. Not included in the sale are Vishal’s properties in Kolkata, Hubli, Dehradun and Jabalpur.
News of the approval sent stocks of Vishal Retail soaring on Monday. They climbed 6.69% on the BSE to close trade at 54.25.
Also on Monday, the Supreme Court issued a notice to telecom minister A. Raja on the 2008 auction for 2G spectrum auction. The notice gave him 10 days to respond to allegations of irregularities. Notices have also gone out to the CBI, which is investigating the case, and to the Enforcement Directorate.
Monday’s notices were the result of a public interest litigation filed by lawyer Prashant Bhushan. He represents an NGO called the Centre for Public Interest Litigation. Its petition challenges a Delhi High Court judgment from May that dismissed the case against Raja. The petition also claims the CBI is dragging its feet in its investigation because Raja is important to the ruling coalition. Finally, the petition asks the Supreme Court to oversee the investigation into the auction. Critics allege that Raja’s 2008 decision to sell 2G spectrum licenses based on 2001 prices caused the exchequer losses of tens of thousands of crores.
Banks led a rally in Indian markets on Monday, boosted by strong industrial production numbers. Shares of State Bank of India shot up 5.52% to close at 3147.25 on the BSE. And those of private lender HDFC Bank gained 1.86% to finish at 41.70.
And overall markets also surged. The Sensex shot up 409 points higher to close at19,208. And the Nifty soared 120 points to finish at 5,760.