Tag: Ashok Leyland

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WPI Inflation Rises to 14.55% in March – Top Indian Market News

WPI inflation rises to 14.55% in March

As per data released by the Ministry of Commerce & Industry, India’s Wholesale Price Index (WPI) rose to 14.55% in March 2022. Wholesale price inflation has remained in double-digits for the 12th consecutive month since April 2021. WPI grew 13.11% in February, while WPI for January stood at 13.68%. The food articles segment witnessed a rise of 8.06% in March, compared to 8.19% in Feb.

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JSPL reports record steel production, sales in FY22

Jindal Steel and Power Ltd (JSPL) reported record sales of 7.63 MT in the previous financial year (FY22), up 5.03% YoY. It also produced a record 8.1 MT of steel in FY22. The company posted the highest ever production of 2.11 MT in Q3 FY22, up 2% YoY. JSPL’s Angul plant expansion is on track. They expect to reach more than 15 MT capacity by FY25.

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Mindtree Q4 Results: Net profit rises 49% YoY to Rs 473 crore

Mindtree Ltd reported a 49.1% YoY rise in consolidated net profit to Rs 473 crore for the quarter ended March (Q4 FY22). Net profit rose 8% compared to the previous quarter. Its revenue from operations rose 37.4% YoY (or 5.4% QoQ) to Rs 2,897.4 crore during the same period. Mindtree’s board has declared a final dividend of Rs 27 per share. 

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Ashok Leyland to enter used commercial vehicles business

Ashok Leyland Ltd has partnered with Mahindra First Choice Wheels to enter the used commercial vehicles business. The two entities will establish a platform that facilitates the exchange, proper disposal, and purchase of old commercial vehicles. Ashok Leyland aims to streamline the used vehicles market by leveraging its digital ecosystem and its existing and potential channel partners in over 700 parking yards spread across India.

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Indiabulls Real Estate to use Rs 865 crore QIP proceeds for land acquisition, reducing debt

Indiabulls Real Estate Ltd (IBREL) will utilise Rs 865 crore raised by issuing shares to institutional investors mainly for land acquisition and debt reduction. The Mumbai-based firm launched its Qualified Institutional Placement (QIP) on March 7. The current shareholders of IBREL diluted a 15.8% stake through the QIP.

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Passenger vehicle exports from India rose 43% in FY22

Passenger vehicle (PV) exports from India increased 43% YoY to 5,77,875 units in FY22. Maruti Suzuki India led the segment with dispatches of over 2.3 lakh units. Passenger car shipments saw 42% growth at 3,74,986 units, while utility vehicle exports rose 46% to 2,01,036 units in FY22. The data was released by the Society of Indian Automobile Manufacturers (SIAM). 

In other news, Maruti Suzuki has increased the prices of its entire model range by 0.9-1.9% to offset the impact of rising input costs.

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SBI raises $500 million via IFSC Gift City branch

State Bank of India (SBI) has raised $500 million (~Rs 3,800 crore) through its IFSC Gift City branch. This is the first offshore USD Secured Overnight Financing Rate (SOFR) linked syndicated loan raised by SBI through its Gift City branch. MUFG, Bank of America, and JP Morgan were the joint lenders for this offering. First Abu Dhabi Bank acted as the facility agent.

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Zydus Lifesciences gets USFDA approval for Vitamin B12 injection

Zydus Lifesciences Ltd has received final approval from the US Food & Drug Administration (USFDA) to market Cyanocobalamin injection. The drug is used to treat and prevent Vitamin B12 deficiency caused by pernicious anemia. It will be manufactured at the pharma company’s injectables manufacturing facility at Jarod, Gujarat.

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L&T planning to merge L&T Infotech, Mindtree to create $22 billion firm: Report

According to a Bloomberg report, Larsen & Toubro Ltd. is weighing a merger between two of its publicly traded software firms— L&T Infotech and Mindtree. The boards of the two companies will reportedly consider share swap ratios for the merger as early as next week. The merger will result in cost synergies for both IT companies as admin costs would come down.

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Mahindra Lifespaces acquires 11.5-acre land parcel in Pune

Mahindra Lifespace Developers has acquired an 11.5-acre land parcel in Pimpri, Pune. The land is estimated to have a developable potential of ~2 million sq. ft. of saleable area and a gross development value of around Rs 1,700 crore. The realty firm expects to launch the first phase of the project within the next 12 months. 

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RVNL signs MoU with Mahanadi Coalfield for rail infra projects

Rail Vikas Nigam Ltd and Mahanadi Coalfields Ltd (MCL) have signed a Memorandum of Understanding (MoU) for the implementation of rail infrastructure projects. The pact will help in expediting the development of critically important rail infra projects of MCL for evacuation of coal to meet the growing energy demand of India. MCL operates seven open cast mines and three underground mines in Odisha.

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Nestle India’s Net Profit Falls 20% YoY in Q4 – Top Indian Market News

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Nestle India Q4 Results: Net profit falls 20% YoY to Rs 387 crore

Nestle India Ltd reported a 19.9% YoY decline in net profit to Rs 386.66 crore for the quarter ended December (Q4 CY21). The company follows the January-Dec financial year cycle. Its revenue rose 9% YoY to Rs 3,739.32 crore during the same period. EBITDA stood at Rs 865.6 crore, up 11% YoY. The FMCG firm reported a one-time loss of Rs 236 crore due to past service costs. Nestle India’s board has declared a final dividend of Rs 65 per share.

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Purvankara to invest Rs 1,550 crore in Kochi realty project

Puravankara Ltd will invest over Rs 1,550 crore to construct a 3 million mixed-use project at Kochi, Kerala. It is part of the realty firm’s plan to expand business amid the rise in demand for apartments post the second wave of the Covid-19 pandemic. The company is expecting a sales realisation of ~Rs 3,000 crore from this project over the next 6-7 years.

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Jio loses 1.29 crore subscribers, Airtel adds 4.75 lakh in December: TRAI

Reliance Jio lost 1.29 crore wireless subscribers, and its total subscriber base fell to 41.57 crore in December 2021. Bharti Airtel gained 4.75 lakh subscribers, and its overall mobile user base stood at 35.57 crore during the same month. Meanwhile, Vodafone Idea (Vi) lost 16.14 lakh subscribers in Dec, and its user base shrunk to 26.55 crore. The subscription data was released by the Telecom Regulatory Authority of India (TRAI).

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Apollo Hospitals to operate, manage tertiary care hospital in Uzbekistan

Apollo Hospitals has entered into a partnership with Marafon Group to operate and manage (O&M) an upcoming tertiary care hospital in Uzbekistan. The O&M agreement is for 10 years, which can be extended automatically for a period of 10 years thereafter. Apollo will provide clinical, technical, and feasibility support, along with helping Marafon in setting up diagnostics and pharmacy.

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Maruti Suzuki partners with Quicklyz for vehicle subscription program

Maruti Suzuki India Ltd (MSIL) has partnered with Quiklyz by Mahindra Finance for its vehicle subscription program, Subscribe. Quiklyz will offer a white plate subscription, wherein the vehicle is registered under the user’s name and hypothecated to the subscription partner for a range of MSIL vehicles. MSIL’s Subscribe service is currently available in 20 cities across India.

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Ashok Leyland expects turnaround in CV biz; targets 30% market share in FY23

Ashok Leyland Ltd is eyeing a strong comeback in the commercial vehicle (CV) segment this year. The company is looking to consolidate its position in the intermediate commercial vehicle (ICV) segment. It is also betting on the overall improvement in economic conditions and gradual easing of supply chain issues to cross 30% of the overall market share in the CV segment in FY 2022-23.

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Vedanta signs pact with TERI to accelerate ESG goals

Vedanta Ltd has signed a pact with The Energy and Resources Institute (TERI) to accelerate its environmental, social, and governance (ESG) goals. The company plans to invest ~Rs 200 crore over the next 5-10 years in research & development (R&D) and various initiatives to promote and build a sustainable ecosystem.

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RITES, IIT-Madras signs MoU for marine infra works

RITES has signed a Memorandum of understanding (MoU) with the Indian Institute of Technology, Madras (IIT-M), to cooperate and explore marine infrastructure works. The two entities will collaborate for providing engineering consultancy services and enhancing knowledge sharing for the development of marine infrastructure.

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Punjab & Sind Bank’s gets board approval to raise Rs 4,600 crore by issuing shares to govt

The board of Punjab & Sind Bank (PSB) has given the approval to raise equity capital worth Rs 4,600 crore by issuing preference shares to the government. The Delhi-headquartered bank had posted a record net profit of Rs 301 crore in the quarter ended December 2021. It had posted a net loss of Rs 2,376 crore in the same quarter a year ago.

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BSE EBIX partners with LIC to distribute insurance products

BSE Ebix Insurance Broking Pvt Ltd has signed an Insurance Broker Agreement for the distribution of Life Insurance Corporation (LIC) products on its platform. Under this agreement, BSE EBIX will offer its clients insurance products offered by LIC using its omnichannel digital presence. BSE Ebix is a joint venture of BSE Limited and Ebix Fincorp Exchange Pte Ltd.

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An Analysis of Ashok Leyland

The Hinduja Group’s Ashok Leyland has produced some of India’s best buses and trucks over the past seven decades. From school buses to army trucks, the company continues to play a vital role in our country’s development. In this article, learn more about Ashok Leyland Ltd, the second-largest manufacturer of commercial vehicles in India.

Ashok Leyland Ltd – Company Profile

Ashok Leyland Ltd manufactures and sells commercial vehicles (CVs) in India and across the globe. Incorporated in 1948, it is the flagship company of the Hinduja Group. They primarily manufacture distribution trucks, light & small commercial vehicles, tractors, and goods carriers. The company offers city, intercity, school and college, staff, tourist, and airport shuttle buses. Their range of defence vehicles comprises logistics, high mobility, armoured, light tactical, tracked, and simulator vehicles. Ashok Leyland also provides power solutions, including diesel generators, agriculture engines, industrial engines, and marine engines.

Further, the Chennai-based automaker provides manpower supply services, air charter services, and driver training services. They also operate retail stores and LeyKart, an e-commerce store for spare parts. Ashok Leyland serves its customers through an all-India sales and service network.

The company markets its vehicles under the Ecomet, CHEETAH, Oyster Wide, SUNSHINE, Viking Diesel, and STALLION brands. The company’s UK-based subsidiary Switch Mobility manufactures next-generation electric buses as well. 

Factsheet

  • Ashok Leyland is the second-largest manufacturer of commercial vehicles in India (after Tata Motors).
  • It is the fourth largest manufacturer of buses in the world and the 19th largest manufacturer of trucks.
  • The company operates nine manufacturing plants– 7 in India, 1 in the United Arab Emirates, and 1 in the United Kingdom.
  • Ashok Leyland has a presence in 50 countries and is one of the most fully integrated CV manufacturing companies.
  • The automaker launched India’s first electric bus in 2016.

Financial Performance

Unfortunately, Ashok Leyland’s revenues and profits have been on a decline. The company reported an 11.4% year-on-year (YoY) decline in sales revenue to Rs 19,454 crore for the financial year 2020-21. It posted a net loss of Rs 165.23 crore in FY21, compared to a net profit of Rs 336.67 crore in FY20. The challenges in the commercial vehicle market due to the Covid-19 pandemic continue to impact Ashok Leyland’s sales volumes and overall performance. A sharp increase in the prices of raw materials and the global semiconductor shortage forced the CV major to hike prices last year.

The company’s revenue has grown at a CAGR of -1.76% over the past five years, whereas the CV industry average stands at 0.24%. Currently, Ashok Leyland has a 67.17% market share in India’s commercial vehicle segment.

For the quarter ended September (Q2 FY22), Ashok Leyland reported a consolidated net loss of Rs 84 crore. It had posted a net loss of Rs 96 crore in the corresponding quarter last year (Q2 FY21). Revenue rose 44% YoY to Rs 5,562 crore in Q2 FY22. Meanwhile, EBITDA remained flat at Rs 576 crore. The company has significant long-term and short-term debt liabilities in its books. 

Ashok Leyland will report its financial results for the October-December quarter (Q3 FY22) in February. 

Stock Performance

After a significant rally (nearly 5x) from 2014-2016, Ashok Leyland’s shares fell on account of a failed joint venture (JV) with Nissan Motor Company. The partnership turned sour when the Japanese automaker served a termination notice for one of its JVs. This move was reportedly due to a delay in bill payment by Ashok Leyland. Moreover, the two firms were engaged in legal battles due to alleged breach of contracts. The Indian CV manufacturer also failed to pay a royalty of around Rs 200 crore to Nissan. 

The company’s shares touched an all-time high of ~Rs 165 in April 2018. However, it started falling heavily from that point. Sales of medium and heavy-duty CVs began to decline sharply due to poor conditions in the global automobile industry. Rising commodity prices, fuel efficiency and BSVI regulations, affordability issues for customers, and drastic effects of the Covid-19 pandemic ultimately led Ashok Leyland’s shares to crash 75% within two years.

Ashok Leyland’s stock price is currently trading at Rs 135.15, down 11.95% from its 52-week high.

The Way Ahead

Ashok Leyland has a long-standing presence in India’s medium and heavy commercial vehicle (M&HCV) segment. It has a well-diversified distribution and service network across the country. However, the company is scrambling to regain its lost market share due to unfavourable market conditions. Industry experts expect Ashok Leyland to be a key beneficiary of the anticipated upcycle in the Indian CV segment.

The CV major had lined up a capital expenditure (capex) of Rs 750 crore for FY22 to strengthen its product portfolio. Recently, Ashok Leyland announced its entry into the used vehicles business via a partnership with Shriram Automall. The companies will launch a physical and digital platform for facilitating the exchange, disposal, and purchase of old CVs.  

The company has lined up its electric vehicle (EV) roadmap and also set a target of becoming one of the top 10 commercial vehicle brands in the world. The company’s EV push will be led by its UK-based subsidiary, Switch Mobility. The EV arm plans to launch its first electric light commercial vehicle (e-LCV) in India soon. Ashok Leyland also plans to invest $150-200 million in the EV space in the next few years. Based on estimates, the global electric bus market is likely to reach $70 billion by 2030. Switch Mobility will be well-positioned to address this market. Let us look forward to seeing how the automaker executes its strategic plans.

What are your views on Ashok Leyland? Are you invested in it? Let us know in the comments section of the marketfeed app.

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Asian Paints to Hike Prices by 4-6% From Dec – Top Indian Market News

Asian Paints to hike prices by 4-6% from December

Asian Paints Ltd has confirmed that it is taking a price hike of about 4-6% starting December 5 to offset the impact of rising input costs. The company had earlier hiked prices by 8-9% with effect from November 12. So far, it has taken a cumulative price hike of about 15-16% this year. Asian Paints said high raw material inflation will push the pace of price hikes.

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Coal India allocates 17.34MT of coal to power sector under special forward e-auction in April-Sept

Coal India Ltd (CIL) allocated a 72.1% higher quantity of coal at 17.34 million tonnes (MT) under the special forward e-auction scheme to the power sector during the April-September period. The company had allocated 10.07 MT of coal under the scheme in the year-ago period. Coal distribution through forward e-auction is aimed at providing access to coal for consumers who wish to have an assured supply over a long period to plan their operations.

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Bharti Airtel partners with open network provider Mavenir for 5G trials

Bharti Airtel has partnered with US-based Mavenir for open radio access network (O-RAN)-based 5G field trials in the 3,500 MHz and millimeter wave (mmWave) bands at Chandigarh tri-city. The alliance between the two firms includes the deployment of captive 5G standalone and non-standalone modes for both core and radio networks in Chandigarh’s urban and rural areas. It would further allow Bharti Airtel to test a vendor-neutral ecosystem.

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Zebra Technologies selects TCS to drive digital transformation

Tata Consultancy Services (TCS) has entered into a strategic transformation engagement with US-based Zebra Technologies Corp to drive its IT agile transformation. Zebra provides a portfolio of purpose-built hardware, software, services, and solutions that digitize and automate workflows for the retail, manufacturing, and logistics sectors. TCS will play a key role in the end-to-end global agile transformation of Zebra’s IT that supports its systems and applications used by 8,800 employees in 45 countries.

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Meghmani Organics to invest Rs 400 crore for white pigment plant at Dahej

Meghmani Organics Ltd will set up a manufacturing facility for White Pigment Titanium Dioxide (TiO2) in Dahej, Gujarat. The total capital expenditure (capex) allocated for the project is Rs 400 crore. The plant will have a capacity of 33,000 tonnes per annum. TiO2 has application as a bright white pigment in various industries including paint, coating, plastic, ink, dyes, paper, and cosmetics.

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Coromandel to set up sulphuric acid plant in Vizag for Rs 400 crore

Coromandel International Ltd has announced plans to set up a 1,650 metric tonnes per day (MTPA) sulphuric acid plant at its fertiliser complex in Visakhapatnam. The company will invest Rs 400 crore for this project. The plant will add another 500,000 tonnes a year of sulphuric acid production capacity to the existing 600,000 tonnes. 

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Rakesh Jhunjhunwala’s Akasa Air orders 72 Boeing 737 Max jets

Rakesh Jhunjhunwala-backed Akasa Air has signed a deal with Boeing for 72 fuel-efficient 737 MAX airplanes. The order is valued at nearly $9 billion (~Rs 67,000 crore) at list prices. The low-cost carrier plans to offer commercial flights starting in the summer of 2022 and use its new fleet of 737s to meet the growing demand across India. In October, the Ministry of Civil Aviation had given a no-objection certificate (NOC) for the operation of Akasa Air in India.

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Ashok Leyland’s EV arm to supply 300 e-buses to BMTC

Ashok Leyland’s electric vehicle (EV) arm, Switch Mobility, has received an order to supply and operate 300 electric buses for Bengaluru Metropolitan Transport Corporation (BMTC). The fleet and charging infrastructure will be supplied, operated, and maintained by Switch Mobility for a period of 12-years. The electric buses of Ashok Leyland are expected to reduce fuel consumption by around 5.5 million litres annually. 

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HCL Tech secures multi-year deal from Euroclear Group

HCL Technologies (HCL) has announced a new multi-year application deal with Belgium-based Euroclear Group to accelerate its agile transformation journey. Euroclear is the world’s largest provider of domestic and cross-border settlement and related services for bond, equity, and fund transactions. HCL Tech will work with Euroclear to explore new business models and market opportunities to create value through innovation and data monetisation.

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Tarsons Products IPO subscribed 3.58 times on second day

The Rs 1,023.47 crore IPO of Tarsons Products Ltd was subscribed 3.58 times on the second day of bidding. Retail investors have subscribed 4.74 times against their reserved portion. Non Institutional investors (NIIs) and Qualified Institutional Buyers (QIBs) have subscribed 3.98 times and 1.30 times, respectively, against their reserved portions. 

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WPI Inflation Hits Five-Month High of 12.54% in October – Top Indian Market News

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WPI inflation hits five-month high of 12.54% in October

India’s wholesale inflation accelerated to a five-month high at 12.54% in October 2021. The wholesale price index (WPI) grew 10.66% in September and 1.31% in October 2020. The high rate of inflation is primarily due to the rise in prices of mineral oils, basic metals, food products, crude petroleum & natural gas. Food inflation contracted 1.69% in October, compared to a 4.69% contraction seen in September. The inflation in manufactured products stood at 12.04% in October from 11.41% a month ago.

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HCC-KEC JV wins Rs 1,309 crore Chennai Metro order

Hindustan Construction Company (HCC), in consortium with KEC International Ltd, has secured a Rs 1,309 crore order as a part of the second phase of Chennai Metro Rail. The order entails the construction of an 11.61 km elevated viaduct section and 11 elevated stations on corridor-5 of the second phase of Chennai Metro. The order is scheduled to be completed in 36 months.

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Vodafone Idea clarifies on reports of getting SBI loan after govt’s relief measures

Debt-ridden Vodafone Idea Ltd issued a clarification on a Bloomberg report that suggested that the company may get fresh loans from State Bank of India (SBI) after the government’s relief measures. “The company keeps discussing with various banks its funding and other requirements in the ordinary course of its business, including with SBI who is one of our main bankers. As of now, there is no development, which would require disclosure under the SEBI Listing Regulations,” Vodafone Idea informed in an exchange filing. 

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Power Mech Projects secures orders worth Rs 725.17 crore

Power Mech Projects Ltd (PMPL) has secured two orders worth Rs 725.17 crore. The company has bagged an order worth Rs 645 crore from the National Highways Authority of India (NHAI). The order is for four-laning of NH-365A from Kodad to Khammam in Telangana under the Centre’s Bharatmala Pariyojana project. PMPL has received another order worth Rs 80.17 crore from Howe India to design and build a coal handling plant in Odisha.

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Ashok Leyland in talks with investors to raise funds for EV arm

Ashok Leyland Ltd is in talks with strategic and financial investors to raise funds for Switch Mobility, its newly formed electric vehicle (EV) subsidiary. The trucks and bus manufacturer has hived off its EV division to better tap growth opportunities through the onboarding of partners.  The company also plans to roll out CNG-fitted commercial vehicles during the later part of this financial year.

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Dixon Tech partners with BSH for manufacturing of fully automatic washing machine

Dixon Technologies (India) Ltd has commenced production of fully automatic washing machines for BSH Household Appliances Manufacturing Pvt Ltd. The product will be manufactured at Dixon’s state-of-the-art manufacturing facility at Tirupati. Germany-based BSH is the largest manufacturer of home appliances in Europe.

Bharti Airtel forms ESG Committee to strengthen its focus on sustainable business

Bharti Airtel has formed a Committee of Board of Directors, called the ESG Committee, to sharpen the company’s focus towards its Environmental, Sustainability, and Governance (ESG) agenda. The committee will provide strategic guidance and oversight to the company’s progress on ESG targets, initiatives, and best practices. The telecom operator has named Manish Kejriwal, Lead Independent Director on the Board, as the Chairman of the ESG Committee.

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Delhi HC rules in favour of Britannia over Good Day brand

The Delhi High Court has ruled in favour of Britannia Industries after it had challenged oral care maker Good Day over its brand name, which is identical to one of Britannia’s mainstay biscuit brands Good Day. The court has directed the oral care maker to stop manufacturing, selling, and advertising Good Day toothpaste. ‘Good Day’ is a known trademark of Britannia and protected across all product categories.

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Parliamentary panel stresses on cryptocurrency regulation in meeting: Report

A Parliamentary Standing Committee on Finance, led by former union minister Jayant Sinha, held a meeting today with industry associations and experts on cryptocurrency. During the meeting, there was a consensus that crypto can’t be stopped, but must be regulated, news agency ANI reported. The meeting saw the participation of representatives of crypto exchanges, Blockchain and Crypto Assets Council (BACC), among others.

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Tata Steel revives plans to sell its Thailand business

Tata Steel Ltd (TSL) has revived plans to sell its Thailand business. The company looks to exit less profitable overseas units in the ongoing supercycle. The proposed sale, coming on the heels of TSL’s move to offload its Singapore business NatSteel Holdings, will aid the company cut its debt further. Bangkok-listed Tata Steel Thailand has a market value of over $410 million (~Rs 3,049 crore).

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Sun Pharma Reports 62% QoQ Rise in Net Profit in Q1 – Top Indian Market News

Sun Pharma Q1 Results: Net profit rises 62% QoQ to Rs 1,444 crore

Sun Pharmaceutical Industries reported a 62% quarter-on-quarter (QoQ) increase in net profit to Rs 1,444.17 crore for the quarter ended June (Q1 FY22). It had posted a net loss of Rs 1,655.6 crore in the corresponding quarter last year (Q1 FY21). Its revenue from operations rose 28% YoY to Rs 9,719 crore in Q1 FY22. Revenue from its India formulations business increased by 39% YoY (or 24% QoQ) to Rs 3,308.4 crore during the same period. Sun Pharma launched 13 new products in the Indian market in Q1.

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UPL Q1 Results: Net profit rises 23% YoY to Rs 678 crore

UPL Limited reported a 23% YoY increase in consolidated net profit to Rs 678 crore for the quarter ended June (Q1 FY22). Net profit has increased by 36% when compared to the previous quarter. Its revenue from operations rose 9% YoY to Rs 8,515 crore during the same period. The agrochemical manufacturer posted a 6% YoY growth in total sales volumes, aided by double-digit growth in the Latin American and Indian markets. 

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Lupin acquires Australia-based Southern Cross Pharma 

Lupin Limited has acquired Australia-based Southern Cross Pharma Pty Ltd (SCP), a generic drug manufacturer. As part of the transaction, Lupin’s Australia subsidiary will gain access to over 60 registered products having sales of over $22 million (~Rs 163 crore). Established in 2000, Southern Cross Pharma is engaged in the development, registration, and distribution of generic pharmaceutical products. This acquisition will increase Lupin’s value proposition and market share in the Australian market.

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Indian Oil Corp Q1 Results: Net profit jumps three-fold to Rs 5,941 crore

Indian Oil Corporation (IOC) reported a 211% YoY jump in standalone net profit to Rs 5,941.37 crore for the quarter ended June (Q1 FY22). Net profit has declined by 32.3% when compared to the previous quarter. Its revenue from operations rose 74% YoY to Rs 1.55 lakh crore during the same period. IOC’s gross refining margin (GRM) stood at $6.58 per barrel in Q1 FY22, compared to $1.98 per barrel in Q1 FY21. 

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Dana invests $18 million in Ashok Leyland’s e-bus arm

Dana Inc. has acquired a 1% stake in UK-based Switch Mobility for $18 million (~Rs 13 crore). Switch Mobility is Ashok Leyland Ltd’s electric commercial vehicle subsidiary. US-based Dana will be the preferred supplier of electric drivetrain components for Switch Mobility’s e-bus and EV commercial vehicle offerings. This includes e-axles, gearboxes, motors, software & controls, and electronics cooling systems. Switch Mobility will launch its first electric light commercial vehicle (e-LCV) in India by the end of December 2021.

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Bandhan Bank Q1 Results: Net profit falls 32% YoY to Rs 373 crore

Bandhan Bank reported a 32% YoY decline in net profit to Rs 373.10 crore for the quarter ended June (Q1 FY22). Its total income rose 20.4% YoY to Rs 2,647.5 crore during the same period. The gross non-performing assets (GNPA) ratio increased to 8.2% in Q1 FY22, compared to 6.8% in Q4 FY21. Provisions for bad loans and contingencies rose 62% YoY to Rs 1,374.87 crore in Q1 FY22.

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Marico Q1 Results: Net profit falls 6% YoY to Rs 365 crore

Marico Limited reported a 5.9% YoY decline in consolidated net profit to Rs 365 crore for the quarter ended June (Q1 FY22). Net profit has increased by 60.79% when compared to the previous quarter. Its revenue from operations rose 31% YoY to Rs 2,525 crore during the same period. EBITDA increased by 3% YoY to Rs 481 crore in Q1. The FMCG company posted volume growth of 21% YoY. The Saffola franchise (comprising of edible oils and food) delivered 24% YoY volume growth in Q1.

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Ashoka Buildcon secures order worth Rs 600 crore

Ashoka Buildcon Ltd has secured a contract for the development of Grand Port Hospital in Mumbai to a 600-bed super specialty hospital. The company will also construct a medical college with residential quarters of Zodiac Healotronics. The accepted EPC contract value of the project is Rs 600 crore.

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JSW Energy Q1 Results: Net profit declines 6% YoY to Rs 201 crore

JSW Energy Ltd reported a 5.6% YoY decline in consolidated net profit to Rs 201 crore for the quarter ended June (Q1 FY22). Net profit has increased by 88.65% when compared to the previous quarter. Its total income declined by 1.44% YoY to Rs 1,859.53 crore during the same period. JSW Energy’s power generation stood at 5,141 million units in Q1 FY22, compared to 4,930 million units in Q1 FY21.

KEC International secures new orders worth Rs 1,503 crore

KEC International Ltd has received new orders worth Rs 1,503 crore across various businesses. Its transmission and distribution (T&D) business has secured orders of Rs 866 crore for T&D projects in India, SAARC, Africa, and the Americas. The company’s railways business has won an order worth Rs 321 crore for overhead electrification and associated works. Its civil business has secured orders of Rs 176 crore for infrastructure works in the Metals & Mining, Data Centre, and FMCG segments in India.

Exide Industries Q1 Results: Net profit at Rs 32 crore

Exide Industries Ltd reported a consolidated net profit of Rs 32.88 crore for the quarter ended June (Q1 FY22). It had posted a net loss of Rs 10.68 crore in the corresponding quarter last year (Q1 FY21). Net profit has declined by 89.7% when compared to the previous quarter (Q4 FY21). Its revenue from operations rose 40.2% YoY to Rs 3,543 crore in Q1 FY22.

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Rolex Rings IPO subscribed 130 times on final day of bidding 

The Rs 731 crore IPO of Rolex Rings Ltd was subscribed 130.44 times on the final day of bidding. Retail investors have subscribed 24.49 times against their reserved portion. Non Institutional investors (NIIs) and Qualified Institutional Buyers (QIBs) have subscribed 360.11 times and 143.58 times, respectively, against their reserved portions. 

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Zomato Gains 20% in Grey Market Before IPO – Top Indian Market News

Zomato grey market premium hits 20%, Info Edge slashes OFS by half

Zomato, a food delivery aggregator, has reportedly hit 20% in the grey market according to sources trading in unlisted shares. This comes in light of investor excitement after SEBI approved Zomato’s IPO plans to raise Rs 8,250 crores. Info Edge, a key shareholder, has reduced its share of Offer For Sale (OFS) in half from Rs 750 crore to Rs 375 crore. Market speculation suggests that the price band of the IPO could be anywhere between Rs 70 to Rs 72 per share. 

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HealthifyMe acquires Under45, launches vaccination slot booking

HealthifyMe has acquired Under45, a platform developed by Chennai-based techie Berty Thomas. Under45 is a platform that sends vaccination slot alerts to users opting for the service via the Telegram texting app and covers 4.1 million subscribers across 700+ channels on Telegram. Berty Thomas, the brain behind Under45, shall join HealthifyMe as an Associate Director. HealthifyMe had earlier launched vaccinateme.in, a site that helped over 80 lakh people find vaccination slots. Suchdeep Juneja (who developed mhVaccineTracker) and Chandraaditya Putuveru (who launched the Twitter bot BloreVaccine) have also onboarded the project. 

Read more here.

GRSE bags $1.8 million order for patrol boats from Bangladesh

Kolkata-based Miniratna PSU Garden Reach Shipbuilders and Engineers (GRSE), an NSE-listed company, has received an order to manufacture patrol boats for the Bangladesh Department of Fisheries. These boats will be used for surveillance to curb illegal fishing and also be used for rescue operations. The order is worth $1.8 million (~13.42 crore).

Read more here.

NTPC to buy hydrogen buses for Delhi and Ladakh

NTPC Vidyut Vyapar Nigam Ltd (a subsidiary of NTPC) has invited bids to buy hydrogen buses for Delhi and Ladakh. The company has already placed orders for 15 hydrogen cell buses with Tata Motors last week. NTPC Renewable Energy (another subsidiary of NTPC) will provide the buses with green hydrogen.

Read more here.

Ashok Leyland to ramp up production in July.

Automaker Ashok Leyland has said in an exchange filing that it is going to increase its production capacity in the coming months as demand eases. The company had intimated the closure of plants in April and May amidst the second wave of COVID-19. “The overall market demand in July’21 is better than in June’21. Consequently, our plants will be working for more number of days in July compared to May and June, ranging from 6 to 25 days across various plant locations,” said the automaker in an exchange filing. The stocks of Ashok Leyland closed down at -2.04% on the same day. 

Read more here. 

Airline stocks up as the aviation ministry increases flight capacity.

The Ministry of Civil Aviation has increased the flight capacity allowance of passengers from 50% to 65% in an official intimation. The ministry had cut down the capacity allowance from the earlier 80% to 50% in May 2021 in wake of the second wave of COVID-19 in India. Shares of Interglobe Aviation (IndiGo), Spicejet, Global Vectra Helicorp, and TAAL Enterprises surged between 2-4% the same day.

Read more here.

Sugarcane production in Maharashtra could increase by more than 200 lakh tonnes: NFCSF Chief

Jayprakash Dandegavkar, the president of the National Federation of Cooperative Sugar Factories (NFCSF), has said that Maharashtra’s sugarcane production would increase by more than 237 lakh tonnes this year. He also stated that sugar mills might have to work overtime to crush the produce by over half a month. Last year, Maharashtra had produced close to 1,012 lakh tonnes of sugarcane.

Read more here.

Maruti Suzuki Increases Production 4x in June from the previous month.

Maruti Suzuki’s production for the month of June is 1,65,576 units. This is a four-fold increase from the 40,924 units that Maruti Suzuki produced in May 2021. The company has announced a partial shutdown of factories in the month of May. 

Read more here.

Tata Motors shares dip sharply after pressure over JLR profit warning over chip shortage

The shares of Tata Motors dipped 8% after its subsidiary JLR issued a warning over negative profit numbers for September 2021 owing to chip shortage that could impact production. There is currently a global shortage of integrated circuits (also known as semiconductor chips) that are vital in manufacturing control systems of a car. To know more about the global chip crisis, click here.

Read more here.

Godawari Power turns debt-free

Godawari Power and Ispat Limited (GPIL) has officially turned debt-free after it paid its outstanding debt of Rs 457 crore. The company owed Rs 1,369 crore in standalone long-term debt, which was to be repaid by FY 2032. Due to an improvement in financial performance, GPIL was able to fully repay its outstanding debt from internal accruals.

Read more here.

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Ashok Leyland to Set Up ‘Mother EV’ Plant in India – Top Indian Market News

Ashok Leyland.

Ashok Leyland to set up ‘mother EV’ plant in India

Ashok Leyland Ltd has announced plans to set up a ‘mother plant’ in India under its UK-based subsidiary Switch for its electric vehicle (EV) business. Switch UK will set up an Indian entity, which in turn will establish the plant. Ashok Leyland’s entire EV business will move to Switch, and they will also develop EV-specific platforms in buses and electric light commercial vehicles (LCVs). The company’s existing EV products such as e-buses will also move to Switch.

Read more here.

SJVN Q4 Results: Net profit rises 55% YoY to Rs 620 crore

SJVN Limited reported a 55.29% YoY increase in consolidated net profit to Rs 619.92 crore for the quarter ended March (Q4). Net profit has jumped 213.7% when compared to the previous quarter. Its total income rose 54.17% YoY to Rs 1,084.96 crore during the same period. Net profit for the financial year 2020-21 (FY21) rose 5.03% YoY to Rs 1,645.61 crore. The company’s board has recommended a dividend of Rs 0.40 per share. SJVN is a state-owned hydroelectric power generation company. 

Read more here.

Shalimar Paints Q4 Results: Net loss at Rs 28.45 crore

Shalimar Paints Ltd reported a net loss of Rs 28.45 crore for the quarter ended March 2021 (Q4 FY21). It had posted a net loss of Rs 22.29 crore in the corresponding quarter last year (Q4 FY20). The total income increased by 40.9% YoY (or 27.9% QoQ) to Rs 118.48 crore in Q4 FY21. Net loss for the financial year ended March 31, 2021 (FY21) stood at Rs 49.51 crore. The company had posted a net loss of Rs 37.88 crore in FY20. 

IndusInd Bank acquires 70 lakh shares in Mcleod Russel

IndusInd Bank has acquired over 70 lakh shares in tea company Mcleod Russel after invoking pledged shares of the company to recover its dues. Equity shares of the tea company, held by Ichamati Investments Ltd, were pledged with the bank for securing the outstanding dues of borrower Mcleod Russel India Ltd (MRIL). Ichamati Investments held a 16.39% stake in Mcleod Russel as a promoter at the end of March 2021.

Read more here.

Lupin launches generic HIV-1 drug in the US

Lupin Limited has launched Emtricitabine and Tenofovir Disoproxil Fumarate tablets in the US market. The drug is used in the treatment of HIV-1 infection. It is also used for pre-exposure prophylaxis to reduce the risk of sexually acquired HIV-1 infection. According to IQVIA data, the tablets had estimated annual sales of $2.1 billion (~Rs 15,587 crore) in the US for the 12 months ended March 2021. 

Read more here.

Shree Renuka Sugars to invest Rs 450 crore to increase ethanol capacity 

Shree Renuka Sugars Ltd has announced plans to invest Rs 450 crore to expand its ethanol capacity. The company’s board has approved the proposal of expanding production capacity from 430-kilo litre per day (KLPD) to 1,400 KLPD. In February 2021, the board had approved a capacity expansion of ethanol from 720-kilo litre per day to 970-kilo litre per day. The Indian government has mandated 20% ethanol blending in fuel by 2025, compared to the current blending of 7.79%.

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Finolex Industries Q4 Results: Net profit jumps 409% YoY to Rs 298 crore

Finolex Industries Ltd reported a 409.44% YoY jump in consolidated net profit to Rs 298.84 crore for the quarter ended March (Q4). Net profit has increased by 15.2% when compared to the previous quarter. Its total income rose 64% YoY (or 16.48% QoQ) to Rs 1,262.88 crore during the same period. Net profit for the financial year ended March 31, 2021 (FY21) rose 121.9% YoY to Rs 737.79 crore. Finolex Industries manufactures and sells polyvinyl chloride (PVC) pipes and fittings in India. 

Ahluwalia Contracts Q4 Results: Net profit jumps 508% YoY to Rs 37.05 crore

Ahluwalia Contracts (India) Ltd reported a 508.4% YoY jump in consolidated net profit to Rs 37.05 crore for the quarter ended March (Q4). Net profit has increased by 151.7% when compared to the previous quarter. Its total revenue rose 38.6% YoY to Rs 761.70 crore during the same period. Net profit for the financial year 2020-21 (FY21) rose 19.89% YoY to Rs 77.20 crore. Ahluwalia Contracts is a leading construction company based in New Delhi.

Read more here.

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Jubilant Foodworks Reports 395% YoY Jump in Net Profit in Q4 – Top Indian Market News

Jubilant Foodworks Q4 Results: Net profit jumps 395% YoY to Rs 104.3 crore

Jubilant Foodworks Ltd reported a 395.5% YoY jump in net profit to Rs 104.3 crore for the quarter ended March (Q4). Its revenue from operations rose 14.3% YoY to Rs 1025.9 crore during the same period. Earnings before Interest, Tax, Depreciation & Amortization (EBITDA) rose 47% YoY to Rs 249.2 crore. Same-sales growth for Domino’s Pizza stood at 11.8% in Q4, compared to -3.4% in the corresponding quarter last year. The company opened a record 50 new Domino’s outlets and one store each of Hong’s Kitchen, Ekdum!, and Dunkin Donuts during Q4. The board of Jubilant Foodworks has recommended a final dividend of Rs 6 per share.

Read more here.

Ashok Leyland’s subsidiary acquires EV maker Switch Mobility Automotive

Switch Mobility, a UK-based subsidiary of Ashok Leyland Ltd, has fully acquired electric vehicles (EV) manufacturer Switch Mobility Automotive Ltd, India. The investment in the equity shares of Switch Mobility Automotive Ltd is at arm’s length. [An arm’s length transaction refers to a business deal in which the buyer and seller act independently without one party influencing the other] Thus, Switch Mobility Automotive Ltd, India, has become a step-down subsidiary of Ashok Leyland.

Read more here.

Easy Trip Planners Q4 Results: Net profit at Rs 30.4 crore

Easy Trip Planners Ltd reported a consolidated net profit of Rs 30.46 crore for the quarter ended March (Q4 FY21). It had posted a net profit of Rs 3.38 crore in the corresponding quarter last year (Q4 FY20). Revenue from operations rose 82.06% YoY to Rs 57.44 crore in Q4 FY21. The online travel company’s expenses declined by 22.5% YoY to Rs 27.17 crore during the quarter. Net profit for the financial year ended March 31, 2021 (FY21) rose 84.99% YoY to Rs 61.01 crore.

Read more here.

LTI enters into strategic agreement with Amazon Web Services

Larsen & Toubro Infotech (LTI) has entered into a strategic collaboration agreement with Amazon Web Services (AWS). LTI had recently launched a dedicated cloud unit for AWS, which will focus on migration and modernisation, data analytics, and Internet of Things (IoT). LTI will also build modern accelerators and create industry-focused offerings for the Banking & Financial Services (BFSI), manufacturing, media & entertainment, and insurance sectors. 

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LIC Housing Finance Q4 Results: Net profit declines 5% YoY to Rs 399 crore

LIC Housing Finance Ltd reported a 5.33% YoY decline in net profit to Rs 398.9 crore for the quarter ended March (Q4). Net interest income (NII) rose 33% YoY to Rs 1,505 crore during the same period. Its provisions towards impairment on financial instruments jumped to Rs 977.19 crore in Q4 FY21, compared to Rs 27.25 crore in Q4 FY20. The company’s loan portfolio increased by 10% YoY to Rs 2.16 lakh crore in March 2021. LIC Housing Finance’s board has recommended a dividend of Rs 8.50 per share.

Read more here.

SJVN partners with NDMC for sale of 150-MW solar power

SJVN Limited announced that New Delhi Municipal Corporation (NDMC) has given its in-principle approval to procure 150 megawatts (MW) of solar power from the projects that SJVN plans to bid and develop under the Central Public Sector Undertaking (CPSU) scheme. NDMC will procure solar power at a rate of Rs 2.44 per kilowatt-hour (kWh) for 25 years if SJVN develops the capacity under the CPSU scheme.

Read more here.

Wipro extends partnership with Levi Strauss & Co.

Wipro Limited has extended its partnership with Levi Strauss & Co., one of the world’s largest brand-name apparel companies and a global leader in jeanswear. As part of a multi-year engagement, Wipro will help optimize Levi Strauss’s customer and user experience across all channels. The IT company will provide Global IT support services across Levi Strauss & Co.’s consumer digital technology space, including eCommerce, B2B Commerce, Consumer Data Hub, Omni Order Management, etc. 

Read more here.

Glenmark Pharma launches COPD treatment inhaler in UK

Glenmark Pharmaceuticals Ltd announced the launch of Tiotropium Bromide Dry Powder Inhaler (DPI) in the United Kingdom. It is used in the treatment of chronic obstructive pulmonary disease (COPD). COPD a long-term condition that causes inflammation in the lungs and narrowing of the airways, making breathing difficult. According to IQVIA data,  Tiotropium DPI had sales of $450 million (~Rs 3,300 crore) in the European Union (EU) for the 12 months ended September 2020.

Read more here.

PFC Q4 Results: Net profit jumps multifold to Rs 3,906 crore

Power Finance Corporation (PFC) Ltd reported a multifold jump in consolidated net profit to Rs 3,906.5 crore for the quarter ended March (Q4 FY21). It had posted a net profit of Rs 693.71 crore in the corresponding quarter last year (Q4 FY20). Total income rose 11.69% YoY to Rs 18,155.14 crore in Q4 FY21. Net profit for the financial year ended March 31, 2021 (FY21) rose 65.8% YoY to Rs 15,716.20 crore. PFC’s board has recommended a final dividend of Rs 2 per share.

Read more here. 

Coal India to reduce manpower by 5% every year over next 5-10 years to cut costs

Coal India Limited (CIL) has announced plans to reduce its manpower by 5% every year over the next 5-10 years to cut costs. The state-owned company currently has 2,72,445 employees. CIL will also close down unviable mines, improve environmental, social, and corporate governance (ESG) compliance disclosures, and work towards achieving a ‘net-zero emission’ status. The PSU aims to achieve a production target of 1 billion tonnes by the financial year 2023-24 (FY24). It has a production target of 670 million tonnes for FY22. 

Read more here.

Siemens to supply digitalised switchgear to 3 steel makers

Siemens Ltd said it will supply advanced power transmission equipment with integrated digital technologies to Icon Steel, Geetai Steels and Gajkesari Steels & Alloys. The installation includes 11 bays of state-of-the-art 132 kilovolts (kV) gas-insulated switchgear (GIS), which will enable increased efficiency, reduced operational costs and ensure safe operations even under extreme environmental conditions.

Read more here.

IPO Updates: 

Shyam Metalics 

The Rs 909-crore initial public offering (IPO) of Shyam Metalics and Energy Ltd was subscribed 3.65 times on the second day of bidding. The portion reserved for retail investors was subscribed 5.8 times. The portion set aside for non-institutional investors (NIIs) saw a subscription of 2.6 times and that of qualified institutional buyers (QIBs) 81%. You can learn more about the IPO here. 

Sona BLW Precision Forgings 

The Rs 5,550-crore IPO of Sona BLW Precision Forgings Ltd was subscribed 27% on the second day of bidding. The portion reserved for retail investors was subscribed 1.02 times. The portion set aside for non-institutional investors (NIIs) saw a subscription of 4% and that of qualified institutional buyers (QIBs) 14%. You can learn more about the IPO here.

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Mindtree Reports 53% YoY Rise in Net Profit in Q4 – Top Indian Market News

Mindtree Q4 Results: Net profit rises 53% YoY to Rs 317 crore

Mindtree Limited reported a 53.4% year-on-year (YoY) increase in consolidated net profit to Rs 317.3 crore for the quarter ended March (Q4). On a quarterly basis, net profit has declined by 2.9%. The IT firm’s revenue from operations rose 3% YoY to Rs 2,109.3 crore during the same period. Its order book grew 12.3% YoY to $1,382 million in FY21. Mindtree has announced a final dividend of Rs 17.5 per share.

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NALCO receives mining lease for Utkal-E coal block in Odisha

The Department of Steel & Mines, Government of Odisha, has granted the mining lease of Utkal-E coal block to National Aluminium Company (NALCO) Limited. The initial capacity of the Utkal-E coal block is 2 million tonnes per year, with a total mineable reserve of ~70 million tonnes. With the grant of Utkal D & E coal blocks, NALCO’s total mineable coal reserve will increase to 175 million tonnes.

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Ashok Leyland delivers light bulletproof vehicles to Indian Air Force

Ashok Leyland said it has delivered the first lot of Light Bulletproof Vehicles (LBPV) to the Indian Air Force. The LBPV is an adopted version of Lockheed Martin’s Common Vehicle Next-Gen (CVNG). It was developed under a transfer of technology (TOT) agreement between Ashok Leyland and Lockheed Martin. The LBPV has high off-road mobility in mud, sand, rocks, and shallow water. It can accommodate a crew of six people, with ample cargo space to carry substantial mission equipment.

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L&T secures significant orders across business segments

Larsen & Toubro (L&T) said its construction arm has received significant orders (in the range of Rs 1,000-2,500 crore) across business segments in the domestic and international markets. Its power transmission and distribution business has won orders to construct two 132/11kV substations in Dubai. L&T’s building and factories business has secured an order from a leading cement manufacturer to construct a 3.5 MTPA cement plant in Rajasthan.

Read more here.

Maruti Suzuki hikes prices of select models by up to Rs 22,500

Maruti Suzuki India said it has hiked prices of select car models by up to Rs 22,500 to partially offset the impact of rising input costs. The weighted average price increase of ex-showroom prices (Delhi) across models is 1.6%. The price hike will be applicable to all car models, except Celerio and Swift. In January 2021, the automaker had announced a price hike of select models by Rs 34,000 due to a rise in input costs.

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Quess Corp to acquire remaining 30% stake in Conneqt from Tata Sons for Rs 208 crore

Quess Corp Limited said it will acquire the remaining 30% equity stake in Conneqt Business Solutions Ltd from Tata Sons for Rs 208 crore. With this transaction, Conneqt will become a wholly-owned subsidiary of Quess Corp. This will allow the company to realise synergies between its various divisions (including Conneqt and Allsec Technologies). It will also strengthen Quess’ position to accelerate growth in the IT/ITeS space.

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GTPL Hathway Q4 Results: Net profit at Rs 56.89 crore

GTPL Hathway Ltd reported a consolidated net profit of Rs 56.89 crore for the quarter ended March (Q4). It had posted a net loss of Rs 13.62 crore in the corresponding period last year. The company’s revenue from operations rose 17.82% YoY to Rs 748.72 crore in Q4 FY21. Its board has recommended a dividend of Rs 4 per share. GTPL Hathway is a leading digital cable TV and broadband service provider.

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RITES-led consortium emerges lowest bidder for railway project in Bangladesh

A consortium led by RITES Limited has emerged as the lowest (L1) bidder for a tender floated by Bangladesh Railways. The order consists of the construction of a dual gauge railway line from Bogura to Shahid M. Mansur Ali station in Bangladesh. The project is funded by Exim Bank of India under the Line of Credit (LOC) scheme. RITES stated that the total fee income would be ~Rs 63 crore.

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NTPC to raise Rs 3,996 crore via bonds

NTPC Limited said it will raise Rs 3,996 crore through the issuance of non-convertible bonds on April 20, 2021 (Tuesday). The bonds will be issued on a private placement basis at a coupon rate of 6.87% per annum. The proceeds from this issue will be utilised for funding capital expenditure, refinancing of existing loans, and other general corporate purposes. The bonds are proposed to be listed on NSE.

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Vivimed Labs receives approval for 3 products

Vivimed Labs Limited has received approvals for 3 products from its state-of-the-art manufacturing site in Hyderabad. The approved products include Bilastine tablets 20mg under the brand name- FLUSTIN. It is used in the treatment of allergic Rhinoconjunctivitis and Urticaria (hives). The second product is Ornidazole and Otloxacin tablets, used in the treatment of bacterial and parasitic infections. The third product is Paracetamol 12 Smg/Sml and Chlorpheniramine Maleate Syrup (used to treat symptoms of allergic conditions).

IndiGo to waive-off change fees on domestic bookings made from April 17-30

InterGlobe Aviation Ltd (IndiGo) announced that it will not charge any fees to change the time or date on domestic tickets that are booked between April 17-30. The airline said passengers can make unlimited changes on domestic tickets booked between this period. However, there will be no change in cancellation fees.

In other news, IndiGo said it had transported a total of 81,437 kg of Covid-19 vaccines between January 12 and April 12. The airline had a leading market share of 36.56% in Covid-19 vaccine transportation during this period.

Read more here.

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Editorial

The Hinduja Group: Origin, Businesses, and Expansion

hinduja group

The Hinduja Group is one of the largest diversified business groups in the world. Since its inception more than 107 years ago, the group has expanded gradually to business segments such as automotive, information technology, media & entertainment, oil and specialty chemicals, banking and finance, power generation, real estate, healthcare, and many more. The Hinduja Group has established its direct presence in 38 countries and conducts operations in more than 100 nations around the world.  

Let us take a closer look into the history of the Hinduja Group and learn more about their businesses. 

Brief History

The Hinduja Group was established by Parmanand Deepchand Hinduja in 1914. He hailed from a Sindhi family based in India. Initially, he began a small business in Sindh (now in Pakistan). One of the major milestones in his career was setting up an international trade centre in Iran in 1919. Merchant banking and trade were the twin pillars of the group’s business. After Parmanand Hinduja’s demise in 1971, his sons took over the family legacy. They formed a financial institution known as Hinduja Bank in Switzerland around the same period. The Hinduja Group also acquired the world-renowned ‘Gulf’ brand and later established Gulf Oil Corporation Limited. 

The Islamic Revolution in Iran in 1979 forced the group to move its headquarters to London, United Kingdom. Around 8 years later, they acquired Land Rover Leyland International Holdings’ overseas stake in Ashok Leyland. They focused on setting up production units and showrooms across India, Sri Lanka, and the United Arab Emirates. The commercial vehicle manufacturer is now the flagship company of Hinduja Group. The automaker even launched India’s first CNG-powered bus in 1997.

The year 1994 marked the group’s entry into the Indian banking space. They established IndusInd Bank. It was one of the first private sector banks that helped in accelerating the process of reforms in post-liberalised India. Hinduja Group also set up IndusInd Media and Communications Ltd in 1995.

Hinduja Global Solutions was incorporated in 2000. This is essentially the business process outsourcing (BPO) subsidiary of the group, which is headquartered in Bangalore. In 2007, Ashok Leyland and Japan-based Nissan Motor Corp entered into a joint venture to build light-duty trucks. The group also owns Optare plc, which is a leading manufacturer of electric buses in the UK.

Major Company Segments

  1. Ashok Leyland Limited– It is the second-largest manufacturer of commercial vehicles in India (after Tata Motors). The company is the fourth-largest manufacturer of buses in the world. It also offers power solutions for electric power generation, agricultural harvester combines, and earth-moving & construction equipment. They have set up around 10 manufacturing facilities across India, UAE, and UK.
  1. IndusInd Bank– The company offers banking and para-banking services. Para-banking may include insurance services, portfolio management services, pension fund management, mutual fund business, etc. The lender has established nearly 2,000 regional branches across India.
  1. Hinduja Global Solutions Limited– It provides services related to business process management (BPM). The company’s primary activities include information technology (IT), IT-enabled services (ITES), and business process outsourcing (BPO). Through its subsidiaries, Hinduja Global Solutions also offers contact center solutions and back-office transaction processing services across North America, Europe, Asia, and the Middle East. It caters to the healthcare, telecommunications, media, insurance, retail, and consumer electronics sectors.
  1. Gulf Oil Corporation Limited– The company offers energetics, mining, and infrastructure development services. It manufactures and sells explosives, detonators, explosive bonded metal clads, and special devices for defence and space applications. GOCL also undertakes large-scale mining services in coal, iron ore, limestone, and bauxite mines.

The Hinduja Brothers

The Hinduja Group is currently headed by Srichand P Hinduja, the eldest son of Parmanand Deepchand Hinduja. Along with his brothers— Gopichand P Hinduja, Prakash P Hinduja, and Ashok P Hinduja— S.P Hinduja has led the company to great heights. They have collectively strategized and executed the diversification and expansion of the group as a whole. The Hinduja Brothers have lived up to their father’s vision and commitment towards building one of the most reputed business empires in the world.

Interestingly, the group trades in practically all products and commodities except tobacco, meat, and alcohol. On the other hand, they have focused on philanthropic activities, and have built hospitals, wellness centres, schools, and colleges in India and abroad. It has provided direct employment opportunities to more than 150,000 people. For years, the Hinduja Group has also promoted and developed the use of clean renewable energy sources.

The group had posted revenues of $50 billion in 2018. According to Forbes, the Hinduja brothers were the fifth-richest businessmen from India in 2020. They have a net worth of $14.8 billion as of March 2021.

Recent Developments

The Hinduja brothers are now involved in a legal dispute in the UK over their family fortune. A letter signed in 2014 and a related document had stated that the brothers appoint each other as their executors and that assets held in any one brother’s name belong to all four. The dispute between the Hinduja family came to light in a ruling delivered in June 2020 by a London judge, who said that the three brothers- Gopichand, Prakash, and Ashok- tried to use the letter to take control of Hinduja Bank. The bank was in Srichand’s sole name at the time. However, S.P Hinduja and his daughter Vinoo wanted the letter to be dismissed or to have ‘no legal effect’. Despite this issue, the brothers have reaffirmed that the court proceedings will not affect their businesses or the values which they stand for.

The third and fourth generations of the Hinduja family are all set to carry forward the rich heritage of the group in the years to come. Let us look forward to seeing how they execute future plans and expand further.

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Tata Motors’ Shareholders Approve Hiving Off PV Business Into New Entity – Top Indian Market News

Tata Motors’ shareholders approve hiving off PV business into new entity

Tata Motors Limited announced that its shareholders have approved the separation of its passenger vehicle (PV) business into a new entity. On March 5, the shareholders of the company voted to consider and approve the transfer of the PV business unit to TML Business Analytics Services Ltd on a slump sale basis. The automaker said that its passenger vehicles business is valued at Rs 9,417 crore. The process of hiving-off its domestic PV business is expected to be completed by May-June this year.

Read more here.

Tata Motors, Ashok Leyland, M&M looking to acquire 26% stake in BEML: Report

As per a report from Mint, Tata Motors, Ashok Leyland, and Mahindra & Mahindra are among at least six companies looking to buy the government’s 26% stake in state-run BEML Limited. The report states that Bharat Forge and Megha Engineering & Infrastructure are also likely to submit Expression of Interest (EoI) for acquiring the stake in BEML. In January 2021, the Department of Investment and Public Asset Management (DIPAM) had invited EoIs to offload their 26% stake in BEML. The government currently holds a 54.03% stake in the defence and construction equipment manufacturing firm. 

Read more here.

Atul Auto launches new autorickshaw model in CNG, LPG, and petrol variants

Atul Auto Limited has announced the launch of a new next-generation CNG, LPG, and petrol autorickshaw model for the Gujarat market. The supplies of the new model will begin from April 2021 for India and international markets. The new model comes with features like an international styled beige dashboard, semi-digital instrument cluster, step-less entry, and LED tail lamps.

Read more here.

Adani Green Energy’s subsidiary commissions 100-MW wind power plant in Gujarat

Adani Green Energy Limited announced that its subsidiary, Adani Wind Energy Kutch Three Limited (AWEKTL), has commissioned a 100 megawatt (MW) wind power plant in Kutch, Gujarat. With this, the company has an operational wind generation capacity of 497 MW. The plant has a Power Purchase Agreement (PPA) with Solar Energy Corporation of India (SECI) at Rs 2.82 per kilowatt-hour (kwh). 

Read more here.

Talbros Automotive secures multi-year contract worth Rs 304 crore

Talbros Automotive Components Ltd and its joint venture (JV) partners have won multi-year orders worth Rs 304 crore. The orders are spread across its domestic and international customers. The order covers the company’s flagship products- gaskets and forgings. It also includes products from the JV’s— Talbros Marugo Rubber Pvt Ltd and Magneti Marelli Talbros Chassis Systems Pvt Ltd.

Read more here.

Easy Trip Planners IPO subscribed 2.33 times on first day of bidding

The Rs 510-crore initial public offering (IPO) of Easy Trip Planners was subscribed 2.33 times on the first day of bidding. The issue received bids for 3.51 crore equity shares against an offer size of 1.5 crore shares. The portion reserved for retail investors was subscribed 12.58 times. The portion set aside for non-institutional investors (NIIs) witnessed a subscription of 15%. 

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DCW raises Rs 410 crore through debentures

DCW Limited said it has raised Rs 410 crore through the issuance of debentures to refinance its existing term loans and increase working capital. The company issued Non-Convertible Debentures (NCDs) worth Rs 350 crore and Optionally Convertible Debentures (OCDs) amounting to Rs 60 crore. The OCDs will be converted into equity within 18 months. The speciality chemical firm expects this fundraise to enhance capacity utilisation and meet increasing product demand.

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Subex to launch new AI automation platform in April

Subex Limited announced that it will launch a new artificial intelligence (AI) automation platform in April 2021. The platform will help enterprises in their AI adoption journey. Bengaluru-based Subex is a leading software company that provides digital trust products for telecom service providers. 

Natco Pharma receives final approval from USFDA for Everolimus tablets

Natco Pharma Limited announced that its marketing partner, Breckenridge Pharmaceutical Inc. (BPI), has received final approval for Everolimus Tablets from the US Food & Drug Administration (USFDA). The tablets are indicated for the treatment of breast cancer and a few other types of cancers. BPI plans to launch 2.5 mg, 5 mg, and 7.5 mg strengths of the product shortly within the next few weeks.

Meera Industries receives export order worth $180,000

Meera Industries Limited has received an export order worth $180,000 (~Rs 1.31 crore) from Turkey-based Monofiber Teknik Tekstil San Tic. The order is for the company’s recently launched MODEL DTX-260 (Direct Twisting + Precision Winding). The machine is used for all kinds of industrial thread twisting and winding like woven sacks threads, cotton twine, etc. Meera Industries is a leading textile machinery manufacturing company based in Gujarat.

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