Missile attack by Yemen's Houthi rebels damages a ship in the Red Sea
Jerusalem (AP): A missile attack by Yemen's Houthi rebels damaged a ship in the Red Sea on Monday, authorities said, the latest assault in their campaign against shipping in the crucial maritime route.
The attack happened off the coast of Mokha, Yemen, the British military's United Kingdom Maritime Trade Operations centre said. The ship was damaged in the attack, the UKMTO said, though its crew was safe and heading to its next port of call. The agency urged vessels to exercise caution in the area.
There was “an explosion in close proximity to a merchant vessel,” the UKMTO said. “Vessel and crew are reported safe.”
The US military's Central Command identified the ship damaged as the Cyclades, a Malta-flagged, Greece-owned bulk carrier. The military separately shot down a drone on a flight path toward the USS Philippine Sea and USS Laboon, the military said Tuesday.
Houthi military spokesman Brig. Gen. Yahya Saree claimed the attack on the Cyclades and targeting the US warships in a statement early Tuesday.
Meanwhile Monday, the Italian Defence Ministry said its frigate Virgino Fasan shot down a Houthi drone that morning near the Bab el-Mandeb Strait between the Red Sea and the Gulf of Aden.
“A missile exploded in the water in the vicinity of the escorted vessel, causing only minor superficial damage,” the Italian Defence Ministry said, not identifying the commercial vessel being escorted. “The frigate Fasan and the protected merchant vessel are continuing their southward route as planned to exit the Red Sea.”
Saree did not acknowledge that attack, though he claimed the Houthis also targeted a ship in the Indian Ocean. There was no immediate report or evidence to support that claim.
The Houthis say their attacks on shipping in the Red Sea and Gulf of Aden are aimed at pressuring Israel to end its war against Hamas in Gaza, which has killed more than 34,000 Palestinians there. The war began after Hamas-led militants attacked Israel on October 7, killing 1,200 people and taking some 250 others hostage.
The Houthis have launched more than 50 attacks on shipping, seized one vessel and sunk another since November, according to the US Maritime Administration.
Houthi attacks have dropped in recent weeks as the rebels have been targeted by a US-led airstrike campaign in Yemen. Shipping through the Red Sea and Gulf of Aden has declined because of the threat.
American officials have speculated the rebels may be running out of weapons as a result of the US-led campaign against them and after firing drones and missiles steadily for months. However, the rebels have renewed their attacks in the past week. Early Sunday morning, the US military shot down five drones in the air over the Red Sea, its Central Command said.
The drones “presented an imminent threat to US, coalition, and merchant vessels in the region,” Central Command said in a statement.
The Houthis on Saturday claimed they shot down another of the US military's MQ-9 Reaper drones, airing footage of parts that corresponded to known pieces of the unmanned aircraft. US Air Force Lt. Col. Bryon J. McGarry, a Defence Department spokesperson, acknowledged to The Associated Press on Saturday that “a US Air Force MQ-9 drone crashed in Yemen.” He said an investigation was underway, without elaborating.
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Adani touts financial strength, shows can grow without external debt
New Delhi (PTI): Billionaire Gautam Adani's conglomerate on Monday touted its financial and credit details of its portfolio companies to investors, showcasing its robust profits and cash flows that can sustain growth without reliance on external debt.
The ports-to-energy conglomerate, which has been hit by an indictment in a US court against its founder chairman Gautam Adani and two other executives for allegedly bribing Indian official to secure solar power contracts, in a presentation to the investors highlighted its consistently expanding profits and cash flows, which over a period have led to lowering dependence on debt for its growth ambitions.
Equity now accounts for almost two third of its total asset creation, a stark contrast to five years ago. In the last six months, the group has invested close to Rs 75,227 crore, against a total debt increase of only Rs 16,882 crore.
A note was also shared with the investors, along with presentations.
Outlining the group's liquidity position, the note said, "Adani Portfolio companies have sufficient liquidity to cover all debt servicing requirements for at least 12 months. As of September 30, 2024, Adani Portfolio companies had a cash of Rs 53,024 crore, which was close to 21 per cent of its total gross debt outstanding".
This amount, it said, was sufficient to cover the next 28 months of debt servicing requirement.
GROWTH WITHOUT DEBT
In the past, the group has announced plans to invest over Rs 8 lakh crore (USD 100 billion) across portfolio companies in the next ten years.
The Fund Flows from Operations (FFO) or cash profits stood at Rs 58,908 crore for the last twelve months and is growing over 30 per cent for the past five years. On the basis of this, even after assuming no growth, the group will be able to invest Rs 5.9 lakh crore only from its internal cash accruals over the next ten years, leaving very little dependency on external debt.
Further, at the portfolio level, there is very low debt gearing of 2.46x -- which means it has massive headroom for debt, according to the presentation.
Other highlights from the presentation included EBITDA (earnings before interest tax and depreciation) for the last twelve months, which it said is highly stable and hence predictable due to its infrastructure projects, which grew by 17 per cent to Rs 83,440 crore.
Also, existing annual cash flows alone can pay the entire debt in 3 years.
Gross assets/investments increased by Rs 75,227 crore, against total debt increase of only Rs 16,882 crore. Asset base has now increased to Rs 5.5 lakh crore.
Average cost of borrowing at 8.2 per cent, lowest in the last 5 years, due to upgrade in ratings across group companies, it said.
Adani Group's long-term debt from domestic banks was Rs 94,400 crore. This stood against a cash balance of Rs 53,024 crore, most of which was parked with Indian banks.
Borrowings from global banks were 27 per cent of total debt.
