AU Small Finance Bank Raises Total Capital Of Rs 2,500 Crore By Issuing 10-Year Subordinated Bonds

* Largest capital raise in the Bank’s history was oversubscribed multiple times – Equity by 4x and Tier-II capital by 2x 

* The fresh capital will be used to support the Bank’s growth plans over the medium term and takes the Bank’s capital adequacy ratio (CRAR) to over 25% 

AU Small Finance Bank Limited (AU Bank), India’s largest small finance bank by assets announced the successful completion of a total capital raise of Rs 2,500 Cr comprising of Tier I capital of Rs 2,000 Cr and Tier II capital of Rs 500 Cr. This takes the Bank’s overall capital adequacy ratio (CRAR) from 19.4% to 25.7% (as on 30th Jun 2022 on pro-forma basis). The fresh capital will be used to support the Bank’s growth plans over the medium term and will help maintain sufficient headroom over and above the regulatory capital adequacy requirements. 

The QIP Issue of ?2,000 Cr (~USD 253mn) was launched on 3rd August 2022 at a price band of Rs 570 - Rs 590 per share and witnessed strong demand from both Foreign Institutional Investors (FII) & Domestic Institutional Investors (DII), and the QIP issue was oversubscribed 4x with bids crossing USD 1.01Bn and strong interest from marquee investors like sovereign wealth funds, large foreign portfolio investors, global asset managers, domestic insurance companies and mutual funds. The Capital Raising Committee (CRC) of the Bank fixed the issue price at Rs 580 per share and approved allotment of 3,44,82,758 (Three Crores Forty-Four Lakh Eighty-Two Thousand Seven Hundred and Fifty Eight) Equity Shares of face value Rs 10 each to 67 (sixty seven) allotted bidders.   

Post converting into a Small Finance Bank in April 2017, this is the third and the largest primary equity capital raise by the Bank after raising Rs 1,000 Cr from Temasek in 2018 and 2019 via preferential issuance and Rs 625.5 Cr through Bank’s first QIP in March 2021.   

AU Bank also raised Tier II capital via private placement of unsecured, subordinated, rated, listed, redeemable, non-convertible lower Tier II bonds in the form of Non-Convertible Debentures (NCD). The issue opened on 2nd August 2022 at a base size of Rs 400 Cr with a Greenshoe option of Rs 200 Cr and the issue witnessed strong reception from Qualified Institutional Buyers (QIBs) like mutual funds, insurance companies, banks, etc. resulting in 2x oversubscription with final bids of Rs 1,110 Cr The bank eventually issued bonds for Rs 500 Cr retaining a Greenshoe option of Rs 100 Cr. The issue was rated ‘AA/Stable’ by CRISIL & CARE Ratings.   

Speaking on the occasion, Mr. Sanjay Agarwal, MD & CEO, AU Small Finance Bank said, “I am overwhelmed and humbled by the response of investors to the successful completion of Rs 2,500 Cr of capital raise with a mix of Rs 2,000 Cr Tier I capital and Rs 500 Cr of Tier II capital issuance amid the volatile market conditions. I am deeply grateful to all our existing shareholders for their participation in this issue and also welcome all the incoming newer investors – both FIIs and domestic investors, for their confidence in us and in supporting our growth plans. Our objective remains to build a best-in-class tech-led retail bank in India with a very sustainable business model and the fresh capital will significantly help us in that journey. With a post-issue CRAR of over 25% (pro-forma basis) coupled with sustained demand from the segments we cater to, and stable asset quality, we are well positioned to grow and take advantage of the tremendous opportunity that market provides us with. I remain a strong believer that this decade will be India’s and hope that the success of our QIP and Tier II issue and the overwhelming demand from FIIs will augur well for the overall sector”. 

About AU Small Finance Bank:  

AU Small Finance Bank Limited (AU Bank) is a scheduled commercial bank, a Fortune India 500 Company, and the largest Small Finance Bank in the country. Starting its journey from the hinterlands of Rajasthan, today AU Bank is the largest Small Finance Bank with a deep understanding of the rural and semi-urban markets that has enabled it build robust business model facilitating inclusive growth. With 27+ years legacy of being a retail focused and customer-centric institution, AU started its banking operations in April 2017 and as on 30th June 2022, it has established operations across 953 banking touchpoints while serving 30.7 Lakh customers in 20 States & 2 Union Territories with an employee base of 29,883 employees. The Bank has a net worth of Rs 7,789 Cr, deposit base of Rs 54,631 Cr and Assets Under Management (AUM) of Rs 50,161 Cr as on 30th June 2022. AU Bank enjoys the trust of marquee investors and is listed on both the leading stock exchanges viz. NSE and BSE. It has consistently maintained a high external credit rating from all major rating agencies like CRISIL, CARE Ratings and India Ratings. 

Nucleus Software Sees Returns On Focus On Operational Excellence In Global Projects While Announcing Its Q1 Results (2022-23)

* Revenue in Q1 2022-23 at Rs.128.84 Crore on a consolidated basis

*  PAT in Q1 2022-23 at Rs.10.77 Crore on a consolidated basis

*  EPS at Rs. 4.92 on a standalone basis and Rs. 4.02 on a consolidated basis

Nucleus Software, the BSE & NSE listed, leading provider of lending and transaction banking solutions to the global financial services industry, has taken some extremely bold steps to ensure long term growth while announcing its financial results for the Quarter ended June 30, 2022.

The revenues on a consolidated basis are at Rs.128.84 Crore for the quarter ended June 30, 2022, as against Rs.108.44 Crore in Q1 of 2021-22.

PAT in Q1 of 2022-23 stood at Rs.13.17 Crore on a standalone basis as against Rs. 6.05 Crore in 2021-22. The PAT on consolidated basis was at Rs.10.77 Crore, as against Rs. 6.00 Crore in Q1 of 2021-22. 

The basic EPS on standalone basis during this period was Rs. 4.92 as against Rs. 2.08 in 2021-22. The EPS on consolidated basis stood at Rs. 4.02 in Q1 of 2022-23 as against Rs. 2.07 in Q1 of 2021-22.

“Due to the IP centricity of our business model, we will ride the wave that approaches with the global economic ripples. In addition, the measures taken by our company on the personnel front are leading to a reduced attrition. The freshers we had hired in the previous years have already started contributing to our revenue generating projects. We plan to continue strengthening our company’s culture by inducting an equally large number of freshers this year as well”, says Mr. Vishnu R Dusad, MD, Nucleus Software.

“In addition to the deep domain expertise our colleagues have in the field of Banking and Financial Services, as well as the cutting-edge technological platforms we have built, our company’s focus on operational excellence has helped us go live with some of the most complex implementations at a global scale in the last quarter. We continue to add various feathers to our cap of implementations of FinnOne Neo as well as FinnAxia, our flagship products. This success is reflected in our quarterly results”, says Mr. Parag Bhise, CEO, Nucleus Software.

About Nucleus Software

Nucleus Software Exports Ltd. is a, publicly traded (BSE: 531209NSE: NUCLEUS), software product company that provides lending and transaction banking products to global financial leaders. 

Nucleus Software powers the operations of more than 200 Financial Institutions in over 50 countries, supporting retail lending, corporate banking, cash management, mobile and internet banking, automotive finance and other business areas. Its products facilitate more than 26 million transactions each day, managing over US $ 200 billion of loans and enabling more than 200,000 users logging in daily.

Nucleus Software’s flagship products, built on the latest technology are:

·         FinnOne NEOTM: The next-generation digital lending solution that is built on an advanced technology platform, designed to shape the future of lending across Retail, Corporate and Islamic sectors for banks and other financial service companies. The 10-time winner of ‘World’s Best Selling Lending Solution’, helps digitize the complete loan lifecycle.

·         FinnAxiaTM: An integrated global transaction banking solution used by banks worldwide to offer efficient and Innovative global payments and receivables, liquidity management and business internet banking services.

·         PaySeTM: The world's first online & offline digital payment solution designed and created with an aim to democratize money by making banking services available to the unbanked in remote geographies.

Air India Strengthens Domestic Connectivity With 24 Additional Flights

* Network expansion to boost metro to metro connectivity

Air India, India’s leading airline, today announced an increase of 24 new flights on its domestic network with effect from August 20, 2022. The expansion in its domestic connectivity will cater to growing traffic between India’s major metros and facilitate convenient travel over the upcoming festive season. The strengthening of domestic connectivity has been enabled as more aircraft return to service.

The additional 24 flights include two new frequencies from Delhi to Mumbai, Bengaluru and Ahmedabad, and from Mumbai to Chennai and Hyderabad, as well as one new frequency on the Mumbai - Bengaluru route and Ahmedabad - Pune route.

These additions will provide flyers more travel options between key metros in the late afternoon and evening, and take Air India’s daily frequencies to 10 flights each way between Delhi – Mumbai, 7 flights each way between Delhi - Bengaluru,  4 flights each way  between Mumbai - Bengaluru, and Mumbai - Chennai and 3 flights each way on Mumbai - Hyderabad and Delhi - Ahmedabad routes.

Commenting on the network expansion, Mr. Campbell Wilson, MD and CEO, Air India, said, “This expansion bolsters connectivity between key metros, and improves connectivity between Air India’s domestic and international networks. Over the past six months, Air India has been working closely with our partners to return aircraft to service, and we are delighted that this effort is now bearing fruit.”

Air India’s narrowbody fleet currently stands at 70 aircraft, of which 54 are currently serviceable.  The remaining 16 aircraft will progressively return to service by early 2023.

Tata Punch Achieves A New Milestone In The Indian Market

* Becomes the fastest SUV to reach 1,00,000 sales mark  

Tata Motors, India’s leading automotive brand, today rolled out the 1,00,000th unit of Tata Punch, India’s first sub-compact SUV, from its manufacturing facility in Pune. The Tata Punch has set a new benchmark in the industry, by becoming the first SUV to achieve this milestone in a span of 10 months, since its launch in October 2021. It has received a phenomenal response from customers for its stunning design, robust performance and best-in-class 5 star safety.

Tata Punch is the youngest member of the ‘New Forever’ range and comes with remarkable features such as a 7-inch touchscreen system, digital instrument cluster, auto AC, automatic headlights, connected car tech, and cruise control. Offering the agility of a hatch with the DNA of an SUV, Tata Punch has been a part of top 10 highest-selling cars in India consistently.

Commenting on this milestone, Mr. Shailesh Chandra, Managing Director, Tata Motors Passenger Vehicles Ltd. and Tata Passenger Electric Mobility Ltd. said, “We are delighted to share that Punch has achieved the 1 Lakh sales mark within a short span of 10 months. It is one of the highest selling SUV from our ‘New Forever’ portfolio. This achievement speaks highly of the strong response from customers and we are very thankful to them for their continued trust. The Punch is our second product based on the ALFA architecture and has successfully established its popularity by creating a new segment and thereby reinforcing the four core pillars of a true SUV - Stunning Design, Versatile and Engaging Performance, Roomy and Spacious Interiors and Absolute Safety. We are confident that the Punch will continue to receive love from customers and will keep redefining the SUV experience through its performance.”

Since its launch in 2021, Tata Punch is known for its distinctive personas that embrace diversity while remaining committed to its vibe. The Punch offers a wide array of options at different price points to choose from, catering to a wide spectrum of consumer needs. Punch sales were the highest ever in July’22 at 11,007 units.

Powered by a 1.2-liter petrol engine, it delivers an outstanding fuel efficiency of 18.82 kmpl in Manual and 18.97 in AMT. Offered in both MT and AMT transmission options, the Punch is India’s safest sub-compact SUV with 5 Star GNCAP rating. The car is available in 8 colors, as well as in dual tone options. With features such as projector headlamps with LED DRLs, LED tail lamps, rain-sensing wipers, auto-fold ORVMs, 16-inch diamond-cut alloys, 7-inch touchscreen infotainment system, automatic temperature control, semi-digital instrument cluster amongst other features, the Punch aims at providing the utmost comfort. Furthermore, it also includes the iRA connected car technology, which offers over 25 features, making the car a complete package for its customers.

To know more about offers and car buying options, call your nearest dealership or visit https://cars.tatamotors.com/ 

HDFC ERGO Launches ‘Pay As You Drive – Kilometre Benefit’ Add-On Cover Empowering Customers

* Claim up to 25% of own damage premium based upon the number of kilometers driven during the year

* At the time of purchase, no commitment pressure of maximum kilometers one intends to drive during the year

* During the year, policy cover continues with no extra charge for driving extra kilometers and no hassle of updating kilometers

* Benefit opted will be applied at the end of the policy year on submission of distance traveled, even if you decide not to renew the policy with us

* At the end of the policy period, the customer is eligible to take a refund at the applicable rate based on the distance covered and will get an additional 5% discount if the policy is renewed with HDFC ERGO with no claims history 

HDFC ERGO General Insurance Company, a leading private sector general insurance company, has launched the ‘Pay As You Drive – Kilometre Benefit’ add-on cover for all its private car owners. Anyone driving less than 10,000 km in a year can benefit up to 25% of their own damage premium, subject to the odometer reading.

Speaking about the launch of the ‘Pay As You Drive – Kilometre Benefit’, Mr. Parthanil Ghosh, President – Retail Business, HDFC ERGO General Insurance Company said, “The disruption of technology in the insurance sector has acted as a stimulus for the insurance players who want to keep pace with the evolving needs of customers. The innovative solution we have launched today will not only do away with ‘one-size-fits-all car insurance premium’ but will also empower customers to customize their own damage policy with better control over the premium, keeping intact the simplicity of the traditional motor insurance policy. The company has meticulously designed the customer onboarding journey to avoid any commitment pressure of maximum kilometers and stress of disclosure. During the policy period, we want our customers to enjoy their drive rather than tracking their usage and get bothered with some time intruding top-up reminders. Even if customers drive beyond a certain limit, they will not be penalized for it and they will stay covered under their private car insurance policy. In addition, at the expiry of the policy period, the customer subject to providing distance traveled, has the flexibility to claim the benefit irrespective of their decision to renew or not to renew their policy with us. In case the customer renews the policy with us, the company will provide an additional 5% discount, for all claim-free policies.”

In the aftermath of the pandemic, many people do not drive frequently, however, they still have to pay the same premium as a person with high vehicle usage. The ‘Pay As You Drive – Kilometre Benefit’ feature will help those insured customers who prefer not to drive as much or own multiple cars, some of which are used less frequently than others.

About HDFC ERGO:

HDFC ERGO General Insurance Company is a joint venture between HDFC Ltd. and ERGO International AG; the primary insurance entity of the Munich RE Group of Germany. HDFC ERGO is one of India’s largest non-life insurance companies in the private sector. A digital-first company, transforming into an AI-first company, HDFC ERGO is a leader in implementing technology to offer consumers the best-in-class service experience. The company has created a stream of innovative & new products as well as services using technologies like Artificial Intelligence (AI), Machine Learning (ML), Natural Processing Language (NLP), Robotics, and IBM Watson. HDFC ERGO offers a range of general insurance products and has a completely digital sales process with ~93% of retail policies issued digitally. The self-help tech platform developed by HDFC ERGO has empowered the customers to avail 58% of the services virtually in a self-help mode on a 24x7 basis with ~40% of the customer requesting services digitally.

The Company offers a complete range of General Insurance products including Health, Motor, Two-wheeler, Home, Travel, Cyber, Agriculture, Credit, and Personal Accident in the retail space along with Property, Marine, Engineering, Marine Cargo, Group Health, and Liability Insurance in the corporate space. Be it unique insurance products, integrated customer service models, top-in-class claim processes, or a host of technologically innovative solutions, HDFC ERGO has been able to delight its customers at every touch-point and milestone to ensure consumers are serviced in real-time.

Meru Launches FREEDOM DRIVE And Salutes The War Veterans Pn Independence Day

 

~ Commits to contribute 10% of its 15th August Ride revenue to Veterans India under #FREEDOM DRIVE ~

Meru, a pioneering airport brand in Indian mobility space, announced that it will be contributing 10% of its ride revenue generated on August 15th to Veterans India, a non-governmental organization (NGO) that works with the veterans and their families.  This will be done under the latest campaign titled ‘#FEEDOM DRIVE’ which salutes war veterans on the occasion of this Independence Day. 

Mr. Kannan Chakravarthy, CEO, MERU says “The war veterans have been contributing to building stronger India for the last so many decades. On the occasion of India’s 75th Independence Day, Meru would like to appreciate the invaluable contributions of the war veterans and their families. As a small contribution, I would like to announce that we will be donating 10% of ride revenue to Veterans India which supports Veterans families and disabled veterans. We are extremely proud to be associated with these warriors who had devoted their entire lives to serving the nation. We request our customers to contribute to this cause”

Speaking on the association, Colonel HV Sharma (Retd) National Vice President of Veterans India said, “The fund generated by this drive would enable Veterans India to carry on with its patriotic activities. With help of organisations like Mahindra Logistics Veterans India strives to continue its activities for spreading and inculcating nationalism and patriotism across the country, especially the youth of the country”, he adds. 

Commenting on the association, Mr Anand Mahindra, Chairman, Mahindra Group, Tweeted “A small step can go a long way. Well done @MeruCabs, for leading a cause for our army veterans, who guard our freedom, and their families for whom duty for the nation is above everything. We’re proud you are a @MahindraRise company.”

About Veterans India Foundation

Veterans India utilises the experience of its Veteran Members into nation building. The organisation in last seven has helped large number of ex-servicemen, Veer Naris (defence widows) and specially abled soldiers with the help of its state, district and block units. Especially in natural calamities and during corona pandemic the organisation distributed food and clothes to needy people.

About MERU

Meru, a pioneering brand in the shared mobility space in India, is now a part of Mahindra Logistics Limited (MLL). MLL is a leading logistics and mobility solutions provider with over a decade of experience in offering integrated, customized, scalable, innovative and technology-enabled solutions to its customers across diverse industries. Leveraging on the strong foundation provided by MLL's capabilities and resources, Meru now aims to take its service offerings to newer heights, delivering on its promise of customer excellence, safety and sustainability.

For more information, visit www.meru.in

Yellow.ai Announces The Launch Of Its Proprietary DynamicNLP - A First In The Enterprise Conversational AI Space

* Powered by zero-shot learning, Yellow.ai’s DynamicNLP™ enables zero training of NLP 

* models, go-live within minutes; while delivering over 97% intent accuracy

Yellow.ai, a leading enterprise-grade Conversational AI platform trusted by 1000+ enterprises globally, today announced the launch of its proprietary DynamicNLP™, a first in the enterprise Conversational AI space to enable enterprises to go-live within minutes with lower operational costs and an intent accuracy of over 97%.

According to the future of conversational AI from Deloitte, training AI agents with manual methods can take as long as six to nine months, making it one of the most common setup challenges faced by enterprises. Yellow.ai DynamicNLP™ eliminates the tedious process of training and labeling Natural Language Processing (NLP) models manually. This enables Dynamic AI agents to learn on the fly, helping enterprises to set up Conversational AI flows within minutes, and reduce training data-related costs and efforts. Yellow.ai DynamicNLP™ comes with a pre-trained model built using billions of anonymized conversations, which helps in the reduction of unidentified utterances by up to 60%, making the AI agents more human-like and scalable across industries with wider use-cases.

Commenting on the launch, Raghu Ravinutala, co-founder and CEO, Yellow.ai said, “Yellow.ai DynamicNLP™ is a first of its kind proprietary technology in the global enterprise Conversational AI industry; a breakthrough innovation that can help enterprises save time, effort, and operational cost while accelerating their go-live strategy. It enables our pre-trained Dynamic AI agents to deliver superlative moments of truth across the entirety of customers' and employees' life cycles. As global tech innovators, we see our DynamicNLP™ as a significant step forward in realizing the true potential of NLP as a game-changing technology.”

Eric Hansen, CIO, Waste Connections, said “Yellow.ai has helped us accelerate our AI automation journey for some of the most important use cases, and with the launch of DynamicNLP™ which enables zero training for NLP models, would elevate customer and employee experiences from day one. We firmly believe that Yellow.ai DynamicNLP™ will open new avenues to scale up additional use cases of customer support and agent productivity.”

With DynamicNLP™, Yellow.ai’s platform is capable of improving the accuracy of seen and unseen intents in utterances right from day one. The elimination of manual labeling also helps remove the errors propagated, leading to a stronger, more robust NLP with better intent coverage for all types of conversations. With the agility offered by Yellow.ai DynamicNLP™, enterprises can successfully maximize efficiency and effectiveness across a wider gamut of use cases, including Customer Support, Customer Engagement, Conversational Commerce, HR and ITSM Automation.  

About Yellow.ai 

Yellow.ai is a leading enterprise-grade Conversational AI Platform, enabling enterprises to unlock business potential at scale. The platform is trusted across 85+ countries by 1000+ enterprises, including Domino’s, Sephora, Hyundai, MG Motors, Biogen International, Edelweiss Broking, Siemens Limited, Food Panda, Carrefour, Kuwait Food Company (Americana), Choithrams, Amouage Oman, Arabian Radio Network,  Bharat Petroleum, Waste Connections US and Tata. Powered by Dynamic AI agents for enterprises, the company aims to deliver human-like interactions that boost customer satisfaction and increase employee engagement at scale, through its no-code platform. Recognized by Frost & Sullivan, Gartner, Forrester, IDC, and G2 as a leader, the company has raised more than $102M from blue-chip investors and has offices across six countries.