Tag: REC

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NSE Plans Longer FnO Trading Hours – Top Indian Market Updates

NSE market updates | marketfeed

Here are some of the major updates that could move the markets tomorrow:

NSE plans longer F&O trading hours

As per an Economic Times report, the National Stock Exchange (NSE) is finalising plans to extend trading hours for equity derivatives. The exchange proposes to launch an evening session, possibly between 6 PM and 9 PM. Market participants can continue trading F&O contracts after the regular session between 9:15 AM and 3:30 PM. NSE might consider extending this session to 11:30 PM at a later stage.

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TCS expands partnership with Africa’s Standard Bank Group

Tata Consultancy Services (TCS) has expanded its partnership with Africa’s largest custodian, Standard Bank Group (SBG). SBG would centralise and standardise its custody and securities settlement operations in over 15 markets with the TCS BaNCS Global Securities Processing Platform. The platform has already been deployed in seven markets (including South Africa), and the others will be implemented by March 2024.

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Serentica Renewables secures ₹3,000 crore in debt funding from REC

Serentica Renewables has raised ₹5,600 crore in funding from REC Ltd and Power Finance Corporation Ltd. It has raised ₹3,000 crore from REC and ₹2,600 crore in debt funding from PFC. This transaction is in line with REC’s expanding role in funding green projects and positioning itself as the focal agency for energy transition.

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Strides Pharma to spin off contract development unit

Strides Pharma will spin off its contract development and manufacturing organisation (CDMO) and soft gelatin business into a new entity, OneSource. OneSource will list in the next 12-16 months and will have more than 1,200 employees. The new company is expected to deliver $180-200 million in revenue in the financial year 2024-25.

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Godrej Properties sells 670 apartments worth ₹2,000Cr 

Godrej Properties has sold 670 apartments worth over ₹2,000 crore in its project, Godrej Tropical Isle, in Sector 146, Noida. The project was launched in August 2023, nine months after the purchase of a land parcel through an e-auction conducted by the Noida Authority in November 2022. This is Godrej Properties’ most successful launch in terms of the value and volume of sales achieved.

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IHCL expands footprint in Sikkim

Indian Hotels Company Ltd (IHCL) is expanding its footprint in Sikkim, with the opening of Taj Guras Kutir Resort & Spa in Gangtok. The 69-key resort is spread over 14 acres. With the addition of this hotel, IHCL will have 11 hotels with three under development in North East India. This includes three hotels across the Taj, Vivanta and Ginger brands in Sikkim.

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Indian Oil unveils hydrogen-run bus that emits just water

Indian Oil Corporation Ltd (IOCL) unveiled India’s first green hydrogen-powered bus that emits just water as it takes the lead in bringing out unrivalled tools to replace fossil fuels. IOCL will produce nearly 75 kg of hydrogen by splitting water using electricity from renewable sources. This hydrogen will be used to power two buses, which will ply across the National Capital Region (NCR) for trial runs.

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IRCON executes contract worth ₹122 crore with Sri Lanka Railways

Ircon International Ltd (IRCON) has secured an order worth ₹122 crore ($14.89 million) from Sri Lanka Railways. The work includes designing, installing, testing, commissioning and certifying of signalling and telecommunication systems from Maho Junction to Anuradhapura, IRCON. This contract for the order was executed under the Indian Line of Credit on September 21.

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Grasim Industries temporarily closes Century Rayon plant

A section of Grasim Industries Ltd’s Century Rayon plant at Shahad in Maharashtra has been closed temporarily after a government order. The Department of Industrial Safety and Health’s order came after a fatal explosion at the Century Rayon plant on Saturday, September 23. Two persons died in the explosion, while six others were injured.

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Shree Cement board approves proposal to raise up to ₹700 crore via NCDs

Shree Cement Ltd’s board has approved a proposal to raise up to ₹700 crore through an issue of non-convertible debentures (NCD) on a private placement basis. The secured, rated redeemable and taxable NCDs with a base issue size of ₹350 crore and an option to retain oversubscription of up to ₹350 crore will be allotted on September 26, 2023. The issue will be at a face value of ₹1,00,000 each for cash at par.

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Alkem Labs, Biosergen AB sign pact for invasive fungal diseases treatment

Alkem Laboratories has signed a co-development and license agreement with Biotech company Biosergen AB for BSG005. It is used for the treatment of severe and difficult-to-treat invasive fungal diseases. The partnership is for Phase II and Phase III trials of the drug. Alkem will be granted an exclusive license to market the drug in India.

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Power Grid to raise up to ₹2,250 crore via bonds

Power Grid Corporation of India Ltd has approved raising up to ₹2,250 crore in its second tranche as part of its fundraising plans. The proceeds will be used to part finance the company’s capex requirements, to provide inter-corporate loans to its wholly-owned subsidiaries and joint ventures, and for general corporate purposes.

Read more here.

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TCS Partners With JLR’s Digital Unit – Top Indian Market Updates

Here are some of the major updates that could move the markets tomorrow:

TCS partners with JLR’s digital unit to drive ‘future-ready’ tech architecture

Tata Consultancy Services (TCS) has announced a landmark partnership with the digital unit of Jaguar Land Rover (JLR). The partnership aims to drive transformation, simplification, and effective management of JLR’s digital assets. The deal is valued at £800 million (`₹8,340 crore). TCS will provide application, development & maintenance, enterprise infrastructure management, cloud migration, cybersecurity, and data services at JLR.

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REC raised $1.15 billion in August from 6 banks

REC Ltd raised $1.15 billion in August in two tranches from a consortium of six banks. Proceeds of the loans will be utilised to fund power, infrastructure and logistics sector projects as permitted under the external commercial borrowing (ECB) guidelines of the Reserve Bank of India. The funds have been raised under REC’s Market Borrowing Programme of ₹1.20 lakh crore for 2023-24.

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Consumer court orders ITC to pay Rs 1 lakh to man who found one biscuit less in a packet

A consumer court has directed ITC Ltd to pay ₹1 lakh in compensation to a consumer who found one biscuit less in a packet. The consumer accused the FMCG company of deceptive practices after he claimed that he found only 15 biscuits in a packet that was supposed to contain 16. In its ruling, the consumer court found ITC guilty of engaging in “unfair trade practices” and ordered it to cease selling the particular batch of biscuits in question. 

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Ather Energy raises Rs 900 crore from Hero MotoCorp, GIC via rights issue

Ather Energy has raised ₹900 crore ($108.27 million) from its shareholders Hero MotoCorp and Singapore’s GIC through a rights issue. The company plans to use the funds for new product launches and expand its charging infrastructure and retail network. Ather witnessed sound growth in FY23, with the company’s revenue jumping 4.4 times to ₹1,783 crore from ₹408 crore in FY22. The EV firm also increased its retail footprint by 4x to 130 stores from 30 stores last year.

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Tata Steel partners with ABB India to reduce carbon footprint in steel-making

ABB India and Tata Steel will jointly work on technologies for reducing the carbon footprint of steel production. Tata Steel has a medium-term target to reduce carbon emissions to less than two tonnes of Co2 per tonne of crude steel in its Indian operations by 2025. Under the agreement, the two companies will focus on system-level assessments of Tata Steel’s manufacturing plants and production facilities.

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lndiaRF to acquire API, CRAMS business of Ind-Swift Labs

IndiaRF will acquire the active pharmaceutical ingredients (API) and contract research and manufacturing services (CRAMS) business of Ind-Swift Labs. The acquisition is for a consideration of ₹1,650 crore. IndiaRF is an India-focused investment platform promoted by Piramal Enterprises and Bain Capital. The company will use the money to restructure its existing debt.

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Adani Total Gas wins work order from Ahmedabad Municipal Corporation

Adani Total Gas has received a work order from the Ahmedabad Municipal Corporation (AMC). The work order pertains to the design, build, finance and operations of a 500 tonnes per day (TPD) capacity of a Bio-CNG plant. The company will execute the order on a Public Private Partnership (PPP) model at Pirana or Gyaspur in Ahmedabad.

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Reliance Retail acquires 51% stake in Ed-a-Mamma

Reliance Retail Ventures Ltd. (RRVL) has partnered with Ed-a-Mamma, an eco-conscious clothing brand founded by Bollywood actress Alia Bhatt. RRVL acquired a majority stake of 51% in the company. The joint venture is poised to reshape the landscape of children’s fashion and maternity wear. With this partnership, Ed-a-Mamma will explore fresh domains, including personal care and baby furniture.

Read more here.

HCL Tech wins Elders deal

Australian agribusiness company Elders has selected HCL Technologies to accelerate digital transformation across its business operations. Under the multi-year partnership, HCL Tech will provide managed IT services and a diverse portfolio of IT capabilities. The IT major will also be responsible for application development & management, digital workplace capabilities, infrastructure, cybersecurity, and data management for Elders.

Read more here.

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Tata Chem’s Net Profit Falls 12% YoY to Rs 523Cr in Q1 – Top Indian Market Updates

Here are some of the major updates that could move the markets tomorrow:

Tata Chemicals Q1 Results: Net profit falls 12% YoY to ₹523 crore

Tata Chemicals Ltd reported an 11.8% YoY decline in net profit to ₹523 crore for the quarter ended June (Q1 FY24). Net profit stood at ₹593 crore in Q1 last year. Its consolidated revenue from operations stood at ₹4,218 crore, up 5.6% YoY. EBITDA increased 2.8% YoY to ₹1,043 crore in Q1. As on 30 June 2023, consolidated gross debt dropped to ₹5,873 crore, as compared to ₹6,296 crore as of March 31, 2023.

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Adani Energy Solutions gets financial closure for $1B project

Adani Energy Solutions Ltd (AESL) announced financial closure for its $1 -billion green high voltage direct current (HVDC) link project. It will enable further ‘greening’ of the Mumbai Grid by supplying more renewable power to the city while supporting its rising electricity demand. The 80 km multi-faceted project’s construction work for this link will begin in October this year. The credit facility is part of the $700 million revolving project finance facility tied up in October 2021 for its under-construction transmission assets portfolio.

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Reliance plans crude unit maintenance at Jamnagar complex

Reliance Industries Ltd plans to shut down a crude unit and some secondary units for maintenance in September-October. The crude units at its 704,000 barrels per day (bpd) export-focused plant will be shut down for 3-4 weeks. Reliance is the operator of the world’s biggest refining complex which houses two plants with a combined capacity of about 1.4 million barrels per day. The shutdown of units would curtail Reliance’s crude imports and may push up gasoline margins.

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USFDA issues Form-483 with zero observations for Solara Active’s Cuddalore facility

The US Food & Drug Administration (USFDA) has issued Form-483 with zero observations for Solara Active’s Cuddalore facility in Tamil Nadu. The US FDA inspected the facility between July 31 and August 4, 2023. The inspection established that the facility is in an “Acceptable State of Compliance” with Zero Form 483 inspectional observations from the Agency. With this successful inspection outcome, the current inspection classification of the Cuddalore site shall be reinstated to NAI (No Action Indicated).

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GCPL Q1 Results: Net profit falls 8% YoY to ₹319 crore

Godrej Consumer Products (GCPL) reported a 7.6% YoY fall in net profit to ₹318.8 crore for Q1 FY24. Its revenue from operations rose 10.4% YoY to ₹3,448.9 crore during the same period. EBITDA stood at ₹642.8 crore, up 23.4% YoY. The company’s India business sales grew by 9% YoY led by volume growth of 12%. 

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Star Health and Allied Insurance enters into tie-up with Standard Chartered Bank

Star Health and Allied Insurance announced its collaboration with Standard Chartered Bank to enhance its distribution network. After this collaboration, Star Health will make its health insurance products readily accessible to customers via Standard Chartered Bank’s extensive distribution network. The insurance company hopes that with 100 branches spread across 42 cities, the bank will serve as a convenient one-stop destination for its customers seeking comprehensive health insurance coverage.

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Gland Pharma Q1 Results: Net profit falls to ₹194 crore

Gland Pharma reported a 15.3% YoY fall in net profit to ₹194.1 crore for the June quarter (Q1 FY24). Net profit stood at ₹229.1 crore in Q1 FY23. However, total revenue rose 41.1% YoY to ₹1,208.7 crore during the same period. EBITDA stood at ₹294 crore, up 8.9% YoY. EBITDA margin stood at 24.3% in the reporting quarter as compared to 31.5% in the corresponding period in the previous fiscal. 

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EaseMyTrip board approves raising ₹149 cr on a preferential basis

EaseMyTrip’s board has approved raising up to ₹149 crore through a preferential issue of equity shares. The company’s board has also approved the issuance of 3.37 crore preferential shares at ₹44.32 per share. This is at a discount of 9.5% to today’s closing price of ₹40.10. Recently, Easy Trip Planners Ltd had announced plans to acquire a 51% stake in Guideline Travels Holidays India Private Ltd, Dook Travels Private Ltd, and Tripshope Travel Technologies Private Ltd.

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Apraava Energy inks pacts with REC, PFC to get Rs 9,120 cr finance for its projects

Apraava Energy has inked initial pacts with REC Ltd and Power Finance Corporation (PFC) to get finance of ₹9,120 crore. The funding is for wind, transmission, and advanced metering projects in the country. The signing of MoUs took place as part of the Green Finance Summit organised by REC. The summit was on the sidelines of the Green Business Summit Clean Energy Ministerial (CEM) and Energy Transition Working Group (ETWG) Ministerial held on July 21, 2023, in Goa.

Read more here.

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Tata Motors Posts Net Profit of ₹3,203Cr in Q1 – Top Indian Market Updates

Here are some of the major updates that could move the markets tomorrow:

Tata Motors Q1 Results: Net profit at ₹3,203 crore

Tata Motors Ltd reported a consolidated net profit of ₹3,203 crore for the quarter ended June (Q1 FY24). The company posted a net loss of ₹5,007 crore in the same quarter last year. Its consolidated revenue from operations rose 42% YoY to ₹1.02 lakh crore during the same period. EBITDA stood at ₹13,218 crore, up 448% YoY. The strong bottom line was aided by a stellar operational performance and strong sales growth.

Read more here.

Hero Future Energies signs Rs 6,200-cr MoUs with PFC, REC

Hero Future Energies (HFE) has signed two agreements with REC and PFC to develop green energy projects. The agreements were signed on the sidelines of the 4th G20 Energy Transition Working Group meeting that concluded last week in Goa. PFC and REC Ltd will infuse ₹3,100 crore each into HFE over the next five years. The funds will be used to develop renewable projects across the country.

Read more here.

L&T Q1 Results: Net profit rises 46% YoY to Rs 2,493 crore

Larsen & Toubro (L&T) reported a 46% YoY increase in consolidated net profit to ₹2,493 crore for the quarter ended June (Q1 FY24). Its consolidated revenue also rose 34% YoY to ₹47,882 crore during the same period. The board has recommended a dividend of ₹6 per equity share. The company’s order book has crossed ₹4 lakh crore for the first time.

In other news, the board also approved a share buyback worth ₹10,000 crore through the tender offer route.

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Tata Motors to replace DVRs with ordinary shares

Tata Motors’ board has approved the cancellation of all the Differential Voting Rights (DVRs) of the company. The cancellation will be through a scheme of arrangement, and allotting ordinary shares, which would rank pari passu with the existing DVRs in the company. The company is yet to seek approval from the National Company Law Tribunal (NCLT). Under the scheme of arrangement, the company will issue 7 fully paid-up ordinary shares of face value ₹2 each, for every 10 DVRs.

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JSPL gets certification from Great Place to Work

Jindal Steel and Power Ltd (JSPL) has received a certification from the global body Great Place To Work. The body provides certification to corporate houses and other organisations based on various methodologies to assess workers’ overall well-being, including physical and mental health, and work culture. JSPL is an industrial powerhouse with a dominant presence in the steel, power, mining and infrastructure sectors.

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Aurobindo Pharma arm gets USFDA nod for Plerixafor injection

Aurobindo Pharma’s subsidiary Eugia Pharma Specialities has received final approval from the US Food & Drug Administration (USFDA) for its generic version of Plerixafor injection. The injection is indicated for patients with certain types of cancer to prepare them for stem cell transplants. According to IQVIA data, the approved product has an estimated market size of around USD 210 million for the 12 months ending May 2023.

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Suzlon Energy Q1 Results: Net profit falls 96% YoY to ₹101 crore

Suzlon Energy reported a 96% YoY fall in consolidated net profit to ₹101 crore for the quarter ended June (Q1 FY24). Net profit stood at ₹2,433 crore in Q1 FY23. Its consolidated revenue from operations also fell marginally to ₹1,351 crore during the same period. EBITDA stood at ₹199 crore, down 7% YoY.

Read more here.

SpiceJet taken off DGCA’s enhanced surveillance regime

SpiceJet has been taken off from the Directorate General of Civil Aviation’s (DGCA) ‘enhanced surveillance regime’. Under the regime, a total of 23 aircraft were inspected and 95 observations were made. The DGCA conducted 51 spot checks across 11 locations on the airline’s Boeing 737 & Q-400.

Read more here.

Jubilant FoodWorks Q1 results: Net profit falls 74% to ₹28.9 crore

Jubilant FoodWorks reported a 74% YoY fall in consolidated net profit to ₹28.9 crore for the quarter ended June (Q1 FY24). Its profit stood at ₹112 crore in Q1 last year. However, its consolidated revenue rose 1.7% YoY to ₹1,334.5 crore during the same period. EBITDA stood at ₹275.8 crore in Q1.

Read more here.

Sonata Software launches Harmoni.AI

Sonata Software has introduced Harmoni.AI, an innovative responsible-first artificial intelligence (AI) offering. This comprehensive platform comprises a range of industry solutions, service delivery platforms, and accelerators, all powered by generative artificial intelligence (AI). Harmoni.AI empowers individuals, businesses, and communities to harness the full potential of cutting-edge innovations, interconnected ecosystems, and pervasive efficiencies.

Read more here.

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RIL’s Net Profit Falls 11% YoY to ₹16,011Cr in Q1 – Top Indian Market Updates

Here are some of the major updates that could move the markets on Monday:

Reliance Industries Q1 Results: Profit falls 11% YoY to Rs 16,011 crore

Reliance Industries (RIL) reported an 11% YoY fall in consolidated net profit to ₹16,011 crore for the quarter ended June (Q1 FY24). Its consolidated revenue also fell 5.3% YoY to ₹2.11 lakh crore during the same period. However, its EBITDA rose 0.25 % to ₹38,093 crore compared to Q1 FY 23. EBITDA stood at ₹37,997 crore in Q1 FY23. The board has recommended a dividend of ₹9 per equity share.

Read more here.

Ramkrishna Forgings to acquire Multitech Auto for Rs 212 crore

Ramkrishna Forgings is set to acquire 100% ownership of Multitech Auto Pvt. Ltd along with its wholly-owned subsidiary Mal Metalliks Pvt. Ltd. The deal is valued at ₹212 crore. The acquisition process is anticipated to conclude within the next six months, subject to obtaining approval from the Adityapur Industrial Area Authority. This strategic acquisition is aimed at facilitating the expansion and growth of Ramkrishna Forgings’ business operations.

Read more here. 

JSW Steel Q1 Results: Net profit rises 179% YoY to ₹2,338 crore

JSW Steel reported a 179% YoY increase in consolidated net profit to ₹2,338 crore for the June quarter (Q1 FY24). The company’s operating revenue for the quarter rose 10.8% YoY to ₹42,213 crore. Additionally, its EBITDA stood at ₹7,046 crore in Q1, up 63.5% YoY.

Read more here.

Jayaswal Neco in talks with funds to refinance its debt of Rs 3,200 crore

Jayaswal Neco Industries is in talks with special situations and private credit funds to refinance a debt of ₹3,200 crore. This high-yield loan is likely to be priced at 18-20%, which will be 600 basis points lower than the current borrowing rate. The company is in talks with funds including Kotak Special Situations Fund and Edelweiss Special Situations Funds.

Read more here.

Vedanta Q1 Results: Net profit falls 40% YoY to ₹2,640 crore

Vedanta reported a 40% YoY increase in consolidated net profit to ₹2,640 crore for the June quarter (Q1 FY24). Its operating revenue also fell 13% YoY to ₹33,342 crore in Q1. Vedanta’s EBITDA stood at ₹6,029 crore, down 38.6% YoY from Q1 FY23.

Read more here.

Lupin unit introduces inhaler for asthma patients in Germany

Lupin has launched a pressurised metered dose inhaler for the treatment of asthma and chronic obstructive pulmonary disease (COPD) in Germany. Lupin’s German subsidiary Hormosan Pharma GmbH introduced Luforbec in the European nation. With a significant portion of the population (5% of adults and 10% of children) currently undergoing asthma treatment, Luforbec aims to provide comprehensive support to patients and healthcare professionals.

Read more here.

UltraTech Cement Q1 results: Net profit rises 7% to ₹1,688 crore

UltraTech Cement reported a 7% YoY rise in consolidated net profit to ₹1,688 crore for the quarter ended June (Q1 FY24). Its revenue from operations rose 17% YoY to ₹17,737 crore during the same period. However, its EBITDA fell 1.5% to ₹3,049 crore compared to Q1 FY 23.

Read more here.

DLF to develop a residential project in Mumbai, ties up with Trident Realty

DLF will enter the Mumbai property market with a project in Andheri West. The company will develop around 2.5 million sq ft in the first phase of the project. DLF will allot 9800 equity shares (₹10 face value) at par to Trident Buildtech Pvt Ltd through its subsidiary Pegeen Builders $ Developers Pvt Ltd. Trident realty is already executing projects in Delhi-NCR and Panchkula.

Read more here.

ICICI Securities Q1 Results: Net profit falls 1% YoY to ₹271 crore

ICICI Securities reported a 1% YoY fall in net profit to ₹271 crore for the quarter ended June (Q1 FY24). However, the company’s total revenue rose 18% YoY to ₹934 crore, compared to ₹795 crore in Q1 FY23. The decline in the profit could be attributed to higher expenses, as its total expenses shot up by 33% to ₹570 crore in Q1. 

Read more here.

SJVN inks initial pact with REC to secure Rs 50,000 crore for projects

SJVN Ltd has inked an initial pact with REC Ltd for securing finance of ₹50,000 crore for projects of its subsidiaries and joint ventures. REC will provide financial assistance to set up new power-generating stations based on conventional and renewable sources of energy. Furthermore, REC will assist financially in setting up new technology projects like battery storage, E-vehicles, green hydrogen/ammonia, hydrogen cells storage and manufacturing units for green projects.

Read more here.

Union Bank to sell 8 NAP accounts worth Rs 3,000 cr to NARCL

Union Bank of India has identified eight troubled accounts worth ₹3,000 crore to be sold to the national bad bank NARCL this fiscal. The bank has more than doubled its net income at ₹3,236 crore in the June 2023 quarter on improved asset quality and recoveries. Union Bank had already sold three accounts worth ₹900 crore last fiscal to the national bad bank at a recovery of 33%.

Read more here.

Power Finance Corporation to lend Rs 2.37 lakh crore to 20 clean energy projects

Power Finance Corporation (PFC) has entered into loan agreements worth more than ₹2.37 lakh crore with 20 companies. These firms include Adani Group, Greenco, ReNew Power, Continuum, Avaada, JBM Auto, Rajasthan Renewable Energy and Megha Engineering & Infrastructure, among others. These agreements are part of the company’s plan to position itself as the focal funding agency for the energy transition.

PFC is looking to fund projects like offshore wind, pumped hydro storage, solar modules and cells, among others in the clean energy space.

Read more here.

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LTIMindtree to Replace HDFC in Nifty 50 From July 13 – Top Indian Market Updates

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Here are some of the major updates that could move the markets tomorrow:

LTIMindtree to replace HDFC in Nifty50 from July 13

LTIMindtree will replace HDFC in the Nifty 50 index following its merger with HDFC Bank. The change will come into effect on July 13. HDFC Ltd will stop trading from July 13. Nuvama’s preliminary calculations expect LTIMindree to see an inflow of $150 million to $160 million. IT firm LTIMindtree is a subsidiary of Larsen & Toubro Ltd.

Read more here.

SBI gets approval for buyout of SBICAPS stake in SVL for Rs 708 crore

The Executive Committee of the Central Board (ECCB) of State Bank of India (SBI) has approved the acquisition of the entire stake held by SBI Capital Markets Ltd in SBICAP Ventures Ltd (SVL) for ₹708 crore. SBI Capital Markets Ltd (SBICAPS) is a wholly-owned subsidiary of SBI. The reason behind SBI’s acquisition of SVL is for better governance.

Read more here.

Indian Oil to consider fundraise via rights issue on July 7

Indian Oil Corporation’s (IOC) board is planning to consider raising capital. The capital raise will be through a rights issue of equity shares. The company will use the funds to meet the capital expenditure plan for its various projects. The company plans to host the board meeting on July 7.

Read more here.

REC set to raise $1 billion via loans

REC Ltd plans to raise about $1 billion through term loans to help fund infrastructure projects. The external commercial borrowing is split into two tranches, with the first expected to close this month amounting to $505 million. The company expects to raise the second tranche of $520 million in August, as it has applied to the RBI for approval.

Read more here.

Sun Pharma promoter creates pledge on 51.30 lakh shares on June 30

Sun Pharma created a pledge of 51.3 lakh equity shares on June 30, 2023. The company has pledged the shares in favour of Tata Capital Financial Services. The promoters have a shareholding of 54.48 %. Some large promoters of the company are Dilip Shanghvi with 9.6% shareholding, Shanghvi Finance Private Ltd with 40.3% shareholding, and AdityaMedisales Ltd with 1.67% shareholding.

Pledging of shares means taking a loan against the securities you own.

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IDFC-IDFC First Bank merger gets board approval

IDFC First Bank has received approval from its board of directors for a merger with IDFC Ltd. The share exchange ratio for the amalgamation will be 155 equity shares of the face value of ₹10 each fully paid-up of IDFC First Bank for every 100 equity shares of the face value of ₹10 each fully paid-up of IDFC Ltd. The bank’s standalone book value per share would increase by 4.9%, as calculated on audited financials as of March 31, 2023.

Read more here.

HPL Electric bags orders worth Rs 903 crore for smart meters

HPL Electric and Power Ltd (HPL) has secured orders worth ₹903 crores for smart meters. With this contract, the company’s total pending pipeline order book stands at over ₹2,250 crores. HPL Electric claims these smart meters contribute to a greener and more sustainable future by empowering consumers and utilities to optimise energy usage.

Read more here.

Adani Green Energy to consider fundraise on July 6

Adani Green Energy will hold a board meeting to discuss and approve a fundraising proposal. The proposal involves issuing equity shares or other eligible securities through different methods, including private placement, qualified institutions placement, and preferential issue. However, the specific details regarding the amount to be raised and its utilisation are undisclosed. 

Read more here.

Chalet Hotels to raise up to Rs 600 crore

Chalet Hotels’ board of directors has approved raising funds of up to ₹500 crores. The purpose of this fundraising is to refinance the company’s high-cost debt. The company plans to raise the funds through non-convertible debentures (NCDs) or other debt instruments in multiple tranches. Additionally, the board has also authorised raising funds of up to ₹100 crores by borrowing from the company’s promoters. These funds will be utilised to cover expenses related to the residential project in Koramangala, Bengaluru.

Read more here.

Tata Steel’s NINL plant reaches 100% capacity utilisation within 1 year of acquisition

Tata Steel’s NINL plant has reached 100% capacity utilisation within one year of its acquisition by the company. The company completed the acquisition of Neelachal Ispat Nigam Ltd (NINL) through its subsidiary Tata Steel Long Products Ltd (TSLPL) for a consideration of ₹12,000 crores. After being shut down for almost three years, operations at the NINL unit were started by Tata Steel in October 2023.

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Biocon Biologics launches biosimilar adalimumab in US

Biocon’s subsidiary Biocon Biologics has launched a biosimilar version of AbbVie’s top-selling biologic Humira in the US market under the brand HULIO. Adalimumab is used to treat certain inflammatory diseases like rheumatoid arthritis. Humira contributed $21.2 billion in sales to AbbVie for 2022, making it the world’s top-selling non-COVID prescription drug until recently.

Read more here.

Hero MotoCorp commences Harley-Davidson X440 bookings

Hero MotoCorp has started bookings for the Harley-Davidson X440 motorcycle across the country with deliveries expected to commence from October onwards. The 440-cc bike is being manufactured by Hero MotoCorp at its Neemrana plant. X440 is the smallest and most affordable Harley-Davidson bike to come to India ever since the Street 750. 

Read more here.

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Amara Raja Batteries to Invest in Europe-based InoBat Auto – Top Indian Market News

Amara Raja Batteries to invest in Europe-based InoBat Auto

Amara Raja Batteries Ltd (ARBL) plans to invest in InoBat Auto, a European technology developer and manufacturer of batteries for e-mobility. The initiative would entail a total investment of €10 million (~Rs 84.35 crore), which includes a subscription of 0.04% stake and convertible loan in InoBat Auto AS, Norway. The initial investment will give ARBL a key foothold in the thriving European EV ecosystem, where multiple battery gigafactories are being set up to support the region’s determined EV push.

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NTPC receives Rs 135 crore interim dividend from JV firm

NTPC Limited has received around Rs 135 crore as interim dividend from a joint venture company. The power giant said this is the second interim dividend paid by NTPC Tamil Nadu Energy Company Ltd (NTECL) in the current financial year (FY22). The total interim dividend NTECL paid to its promoters for FY22 is Rs 488 crore. NTECL is a 50:50 JV of NTPC and Tamil Nadu Generation & Distribution Corporation Ltd.

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Bajaj Auto to set up Rs 300 crore EV manufacturing facility in Pune

Bajaj Auto Ltd will set up an electric vehicle (EV) manufacturing facility at Akurdi in Pune with an investment of Rs 300 crore. The facility will have the capacity to produce 5 lakh EVs per annum and cater to both domestic and exports markets. The first vehicle from the new unit is expected to be rolled out by June 2022. It will employ around 800 personnel.

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Ola installs hypercharges at BPCL pumps

Ride-hailing firm Ola has begun rolling out hyperchargers at Bharat Petroleum Corporation Limited (BPCL) pumps and residential complexes across India. The hyperchargers will be made operational in 6-8 weeks. It will be free for use for all customers till the end of June 2022. The development comes days after Ola started rolling out its e-scooters S1 and S1 Pro.

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BASF India to divest its production site in Quincy, Florida to Clariant for $60 million

BASF India-led holding company, BASF SE-Germany, has reached an agreement to divest its manufacturing site in Quincy, Florida, for $60 million (~Rs 447 crore) to Clariant. The transaction is expected to close in 2022, subject to the approval of the relevant Competition Commission or Anti-trust Authorities. BASF will also enter into a long-term supply agreement for its attapulgite business with Clariant.

Govt begins inviting applications from investors under PLI scheme for speciality steel

The Ministry of Steel has started inviting applications from investors looking to invest under the production-linked incentive (PLI) scheme for speciality steel. March 29, 2022, has been fixed as the last date to submit the applications. On July 22, the Union Cabinet had approved a Rs 6,322 crore PLI scheme to boost the production of speciality steel in India. It will attract an additional investment of ~Rs 40,000 crore and generate fresh job opportunities for 5.25 lakh people.

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Specialty chemical company Aether Industries files for IPO

Speciality chemicals manufacturer Aether Industries Ltd has filed its draft red herring prospectus (DRHP) with markets regulator SEBI to raise Rs 1,000 crore through an initial public offering (IPO). The public issue consists of a fresh issue of shares aggregating to Rs 757 crore and an offer for sale of up to 27.51 lakh shares. Aether is one of the fastest-growing specialty chemical companies in India, growing at a CAGR of ~60% between FY18 and FY21.

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Apollo Hospitals signs pact with J&K Govt to set up multi-specialty hospital

Jammu and Kashmir administration has signed a Memorandum of Understanding (MoU) with Apollo Hospitals to set up a multi-specialty hospital in Jammu. Lt. Governor Manoj Sinha announced that more healthcare projects and MoUs are in the pipeline to ensure that the best healthcare is within the reach of every citizen of the Union Territory (UT). In the first phase, Apollo Hospitals will set up a 250-bed hospital in the region.

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REC’s arm hands over Kallam Transmission SPV to IndiGrid firm’s consortium

REC Power Development & Consultancy Ltd (RECPDCL) has handed over special purpose vehicle (SPV) Kallam Transmission Ltd to a consortium of infrastructure investment trust IndiGrid firms. The SPV has been set up for the construction of a transmission system for evacuating power from renewable energy projects in Osmanabad area in Maharashtra. RECPDCL is a wholly-owned subsidiary of REC Ltd.

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Market News Top 10 News

IndiGo Signs Codeshare Pact With Air France-KLM – Top Indian Market News

IndiGo signs codeshare agreement with Air France-KLM

InterGlobe Aviation Ltd (IndiGo) has signed an extensive codeshare agreement with Air France-KLM. With this partnership, Air France and KLM will offer their customers access to 25 new Indian destinations. Meanwhile, customers of IndiGo will get access to over 250 global destinations offered by Air France and KLM. The codeshare agreement is subject to government approval and is expected to start in February 2022.

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Macrotech Developers, Morgan Stanley to build warehouse project at Rs 600 crore investment

Macrotech Developers Ltd has partnered with Morgan Stanley Real Estate Investing (MSREI) to develop a premium warehousing project with an investment of Rs 600 crore. The logistics park will be spread over 72 acres at Palava Industria & Logistics Park (PILP) near Mumbai. As per the agreement, Macrotech Developers would act as the development manager for the project, responsible for leasing, project development, and asset management.

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SJVN, DVC to harness 2,000 MW floating solar energy projects

SJVN Ltd and Damodar Valley Corporation (DVC) have signed a Memorandum of Understanding (MoU) for harnessing 2,000 megawatts (MW) floating solar energy projects. Both entities will jointly identify suitable water bodies and available land under the SJVN and DVC command areas for setting up renewable power projects. This initiative is in line with the renewable energy target set by the Centre and would enable SJVN to expand its footprint across India.

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Havells starts operations at washing machine manufacturing unit in Rajasthan

Havells India Ltd has commenced operations at its washing machine manufacturing unit at Ghiloth, Rajasthan. Spread across 50 acres, the unit will significantly strengthen the washing machine production capacity of Lloyd (a Havells brand) with a targeted output of 3 lakh units annually. The Ghiloth facility also houses a manufacturing unit for Lloyd air conditioners with a capacity of 10 lakh units per year.

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Man Industries secures pipe manufacturing orders worth Rs 225 crore

Man Industries (India) Ltd has secured orders worth Rs 225 crore for manufacturing pipes. With this new order, the company’s order book has reached Rs 1,700 crore. The projects are to be executed in the next 6-7 months. Man Industries is a manufacturer and exporter of large diameter carbon steel line pipes for various high-pressure transmission applications such as gas, crude oil, petrochemical products, and potable water.

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REC signs pact with KfW Development Bank to finance power sector, renewable energy projects

REC Limited has signed an agreement with KfW Development Bank to avail official development assistance (ODA) term loan of $169.5 million to finance the power sector and renewable energy projects. The proceeds from the ODA loan will be deployed for part-financing of innovative solar PV technology-based power generation projects. REC Ltd (formerly Rural Electrification Corporation Ltd) is a public infrastructure finance company in India’s power sector.

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Hero MotoCorp to raise prices of vehicles by up to Rs 2,000

Hero MotoCorp Ltd will make an upward revision in the ex-showroom prices of its motorcycles and scooters, with effect from January 4, 2022. The prices will be raised by up to Rs 2,000. This move is to partially offset the impact of steadily increasing commodity prices. It would mark the third hike in Hero MotoCorp’s two-wheeler prices within a span of six months. 

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Dixon Tech to invest Rs 127 crore to set up tab, laptop production facility

Dixon Technologies Ltd has announced plans to invest Rs 127 crore to set up a facility at the Kopparty YSR Electronics Manufacturing Cluster (EMC) in Kadapa district, Andhra Pradesh. The firm will produce security surveillance systems, digital video recorders, laptops, and tablets at the new facility. The unit would get two lakh sq ft of space spread across four sheds. Dixon Tech aims to create employment opportunities for 1,800 people at the facility.

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Ami Organics to transfer production operations of speciality chemical biz at Ankleshwar to Jhagadia facility

Ami Organics Ltd will transfer the current production operations of specialty chemical business at Ankleshwar facility (acquired from Gujarat Organics Ltd) to a single location at the Jhagadia facility. This move is part of the company’s capacity and production rationalization exercise. The transfer will help the firm achieve better utilization of the plant and improve operational efficiency. Ami Organics is a research and development (R&D) driven pharmaceutical company based in Gujarat.

Indian Oil to invest Rs 9,028 cr to build new crude oil pipeline

Indian Oil Corp (IOC) will invest Rs 9,028 crore to build a new crude oil pipeline between Mundra in Gujarat and Panipat in Haryana. The pipeline will have a capacity of 17.5 million metric tonnes per annum (MTPA). IOC will also build nine crude oil tanks of 60,000 kilolitres each at Mundra. The company aims to raise the capacity of the Panipat refinery from 15 MTPA to 25 MTPA by the second quarter of 2024-25.

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Biocon initiates clinical study for Itolizumab in India after approval from DCGI

Biocon Biologics has initiated the clinical study for its drug Itolizumab in India after approval from the Drugs Controller General of India (DCGI). The clinical trial is to understand the possible use of Itolizumab to treat Lupus Nephritis, an autoimmune disease. The company’s partner, US-based Equillium Inc, has expanded its ‘EQUALISE’ study in Systemic Lupus Erythematosus (SLE) and Lupus Nephritis for Itolizumab to clinical centers in India.

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Editorial

What is the Indian Energy Exchange(IEX)? How Does it Work?

What is IEX?

The Indian Energy Exchange or IEX is an electronic power trading marketplace for electricity corporations and boards to trade contracts related to energy. In simple terms, just like how individuals can trade in the stock market to gain profit, electricity corporations can trade on the IEX to increase profitability and have better price discovery. It is a place where participants can buy and sell energy through a double-sided closed auction process. 

State Electricity Boards, power-producing companies, power transmission companies, and power traders that have a huge capital trade on IEX. IEX is one of the only two power exchanges apart from Power Exchange India Limited(PXIL).

The IEX started operations in 2008. It is regulated by the Central Electricity Regulation Commission, which regulates the IEX just like how SEBI regulates the NSE and BSE. 

How Does Trading Work On the IEX?

Say, for example, there is a shortage of power in Bangalore, which will increase the price of electricity and also eat into the profits of the electricity board. The electricity board will then log on to IEX and find out if another electricity board/transmission company/renewable energy company which offers a lower price. There will then be a bidding process for that segment. This way Bangalore’s electricity board will be able to procure electricity at a lower rate. At the same time, the entity which sold the electricity will be able to make profits.

Products on the IEX trade on a normal demand-supply basis. There are 4 major products traded on the IEX:

Renewable Energy Certificates(REC) – An REC certifies that the bearer owns one megawatt-hour (MWh) of electricity generated from a renewable energy resource. Companies need to meet requirements related to show that they are not causing pollution and are meeting the environmental requirements. A REC helps them achieve this compliance which can later translate into government grants, profits, or lower taxation. 

For example Ajay Renewables is a renewable energy company based out of Kochi, that sets up wind turbines, generates electricity, and then sells it to companies. The Government of India comes out with a subsidy plan where it gives Rs. 100 crores to any company that has generated more than 30 lakh megawatt-hours that year in green energy. Two months for year-end, Ajay Renewables has managed to generate only 29 lakh megawatt-hours that year. It does not have time to set up new wind turbines and meet the target. It approaches the IEX and buys 200,000 RECs in the spot market. This certifies that the company has produced 2 lakh megawatt-hours of power in renewable energy. Ajay Renewables ends up getting the Rs. 100 crores subsidy,

Energy Saving Certificates(ESCerts)– Energy Saving Certificates are similar to RECs, just that they represent one megawatt-hour (MWh) of energy saved from a project. These certificates can be bought and sold like normal certificates 

Both EScerts and RECs can be bought and sold on the exchange by companies. This means that even if a company might be causing a lot of pollution, yet it buys enough of these certificates, it gets a clean chit.

Day-Ahead-Market (DAM) – It is a physical electricity trading market where power is delivered within 24 hours of the next day starting from midnight. They are traded in 15 minute time blocks The prices and quantum of electricity closed the auction bidding process. 

Term-Ahead Market (TAM) – It provides a range of products allowing participants to buy/sell electricity on a term basis for a duration of up to 11 days ahead.

Real-Time Market (RTM) – In RTM, power is physically delivered within an hour of the bidding process.

Can I Trade on the IEX?

IEX isn’t a ground for retail traders. The exchanges involves physical delivery of electricity. An individual may trade on the exchange provided he/she owns an establishment that requires tons of loads of power. Apart from this, the individual requires the necessary clearance from the CERC to be able to trade on the platform. According to the exchange guidelines, a member or a client should have a capital of atleast Rs. 150 Lakhs to be able to transact on the platform.

Looking Ahead

Energy exchanges provide an economic as well as environmental benefit. It provides a fair price discovery on electricity, at the same time encouraging companies to use green energy. 

The IEX is listed on NSE and BSE. On average, 6000+ MW of power is traded daily on the exchange. The traded volume is growing at 32% CAGR. It has a consumer base of 4000+ Industries, 55+ Distribution companies, 100+ ESCert Entities, 500+ Generators, 1500+ renewable energy generators. 

Apart from being an energy exchange, IEX is also an interesting company with interesting financials. The company has strong fundamentals as of now and with the Electricity Amendment Bill around the corner, things seem bright for the energy sector. We will be covering more in a company analysis of IEX. Stay tuned.

To know more about functioning of the IEX, check out their FAQ page, click here.