Poor IBC recovery calls for process rejig: Crisil

‘Only 5% recoveries in high-value cases’

Only a third of the admitted financial claims of insolvent companies have been recovered since the onset of the bankruptcy process five years ago, a domestic credit rating agency said.

With only ₹2.5 lakh crore in recoveries, there is a need for a ‘stronger push’ to make resolutions under the Insolvency and Bankruptcy Code (IBC) process more effective, Crisil said, admitting that the law has tilted the power equation in favour of creditors from debtors.

“A closer look at the data shows, however, the recovery rate and resolution timelines have a lot more room for improvement. This makes a continuous strengthening of the code and stabilisation of the overall ecosystem imperative,” it said.

The commentary from the agency comes amid concerns raised over low recoveries, of about 5%, in recent high-value cases. It may be recalled that initially, the recoveries were much higher in the specifically earmarked dozen accounts.

“Besides low recovery rate and longer time frame, a key challenge is the high number of cases going to liquidation,” agency director Nitesh Jain said.

Mitsui & Co H1 Profit Surges, Lifts FY Outlook – Quick Facts

Mitsui & Co., Ltd. (MITSF.PK,MITSY.PK), a Japanese diversified corporation, reported Tuesday that its first-half profit attributable to owners of parent surged to 404.63 billion yen from 267.8 billion yen in the prior year.

Earnings per share were 246.11 yen, compared to 65.13 yen a year ago.

For the first half, revenue was 5.42 trillion yen, higher than 3.71 trillion yen a year ago.

Looking ahead for the year ending March 31, 2022, the company now projects attributable profit of 720 billion yen or 441.26 yen per share.

The company previously expected attributable profit of 640 billion yen or 389.73 yen per share.

In Japan, Mitsui shares were trading at 2,630 yen, down 1.41 percent.

Pre-market Movers: BBBY, RRD, GKOS, TMBR, IRTC…

The following are some of the stocks making big moves in Wednesday’s pre-market trading (as of 06.15 A.M. EDT).

In the Green

Bed Bath & Beyond Inc. (BBBY) is up over 61% at $27.01
R. R. Donnelley & Sons Company (RRD) is up over 28% at $8.49
Glaukos Corporation (GKOS) is up over 21% at $54.88
iRhythm Technologies, Inc. (IRTC) is up over 19% at $91.51
Cerus Corporation (CERS) is up over 18% at $7.92
ION Geophysical Corporation (IO) is up over 16% at $2.74
Ekso Bionics Holdings, Inc. (EKSO) is up over 13% at $4.55
Lyft, Inc. (LYFT) is up over 12% at $51.19
Surgery Partners, Inc. (SGRY) is up over 12% at $46.05
Longboard Pharmaceuticals, Inc. (LBPH) is up over 8% at $7.95
FG Financial Group, Inc. (FGF) is up over 7% at $6.79
NRx Pharmaceuticals, Inc. (NRXP) is up over 6% at $10.13
Genfit SA (GNFT) is up over 6% at $3.74

In the Red

Timber Pharmaceuticals, Inc. (TMBR) is down over 21% at $0.63
Gravity Co., Ltd. (GRVY) is down over 19% at $82.32
Zillow Group, Inc. (Z) is down over 17% at $72.15
Zillow Group, Inc. (ZG) is down over 15% at $72.10
Douglas Emmett, Inc. (DEI) is down over 14% at $28.16
Nxt-ID, Inc. (NXTD) is down over 14% at $3.91
Freshworks Inc. (FRSH) is down over 13% at $43.45
Activision Blizzard, Inc. (ATVI) is down over 12% at $68.28
Cardiol Therapeutics Inc. (CRDL) is down over 12% at $2.97
Waitr Holdings Inc. (WTRH) is down over 9% at $1.55
SkyWater Technology, Inc. (SKYT) is down over 8% at $29.70
The OLB Group, Inc. (OLB) is down over 8% at $7.90

Intesa Sanpaolo Q3 Gross Income Rises – Quick Facts

Intesa Sanpaolo (ISNPY.PK,IITSF.PK) reported third quarter net income of 983 million euros compared to 3.81 billion euros, prior year. Operating income increased to 5.09 billion euros from 4.67 billion euros. Gross income was 1.89 billion euros, up from 1.12 billion euros, previous year.

Net interest income was 2.00 billion euros, down from 2.10 billion euros, last year. Net fee and commission income was 2.32 billion euros, compared to 2.14 billion euros.

The company said the results for the first nine months of 2021 have confirmed its ability to respond effectively to the complexities brought about by the pandemic and have already made it possible to achieve the minimum net income of 4 billion euros envisaged for 2021.

Will Rally For Dermata Therapeutics Continue?

Dermata Therapeutics, Inc. (DRMA) shares are trading more than 12 percent higher on Wednesday morning, continuing a bullish trend after the company reported positive data for mild to moderate Psoriasis candidates in the Phase 1b trial. There were no corporate announcements on the day to impact the stock alert.

Currently, shares are at $6.62, up 14.98 percent from the previous close of $5.75 on a volume of 2,751,835. The shares have traded in a range of $3.94-$6.95 on average volume of 333,819 for the last 52 weeks.

Fed decision, Powell press conference: LIVE Updates

US economy will normalize if Fed raises rates next year: Market expert

Mahoney Asset Management CEO Ken Mahoney weighs in on the ‘great’ earnings season and the Federal Reserve’s expected moves. 

The Federal Reserve will wrap its November meeting at 2 pm ET on Wednesday by delivering a decision on interest rates, as well as more details on when policymakers will begin to taper stimulus efforts. 

Additionally, the state of inflation will likely be addressed as costs continue to climb for everything from food to fuel. 

U.S. stocks were mixed in early afternoon trading ahead of Fed Chairman Jerome Powell's 2:30 pm ET press conference.  

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