Morning Buzz: GoAir looks to restart operations, Byju's to take Aakash public, and more

GoAir has sought the DGCA’s nod to restart flights with 22 aircraft for the next five months Image: Punit Paranjpe / AFP

GoAir looks to restart operations with 22 aircraft

GoAir has sought the DGCA’s nod to restart flights with 22 aircraft for the next five months. The airline requires Rs200 crore to start flying again and believes it can access Rs200 crore under the government’s emergency credit line guarantee scheme. Part of this money will also be used to pay staff salaries for April and May and make payments to vendors.
(Economic Times, Mint, Hindu BusinessLine)

Byju’s plans to take Aakash public next year

Faced with a loan repayment deadline, Byju’s announced plans to take test preparation company Aakash public by the middle of next year. The company is due to pay a $40-million instalment of a $1.2-billion loan. It is the largest unrated loan ever taken by a startup, and if it fails to meet the deadline, Byju’s would officially be termed a defaulter.
(Mint, Hindu BusinessLine)
 

Car dealer inventories pile up

Dealer inventory levels have risen to 40 to 45 days, even as car sales rose 4 percent year-on-year in May. As a result, dealers have started talks with car manufacturers to rationalise inventory levels. High interest rates have meant that any inventory beyond 21 days pinches the dealer. Inventory levels have been creeping up since January when they were at 33 to 35 days. By March they had moved up to 37 to 39 days.
(Business Standard)
 

4: Output cut planned by Saudi Arabia to raise oil prices

A Saudi output cut announced on Sunday is likely to drive the price of oil to $80 a barrel. This could result in no cut in prices at the pump for Indians as well as a rising import bill. Investors sold shares in oil marketing companies HPCL, BPCL and IOC, taking their prices down as rising prices are likely to impact their profitability. Post the announcement, oil prices inched up to $78 a barrel.
(Economic Times, Times of India)
 

5: RBI panel proposes a slew of customer-friendly measures

An RBI committee has recommended several customer-friendly measures: Extending deposit cover to prepaid instruments, submitting life certificates for pensioners at any branch, having auditors check misspelling and making it easier to release pledged assets. They have also allowed for KYC updates to be done without any service disruption. The recommendations of the committee will be acted upon on due course.  
(Times of India)