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Why NSE is worried
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, November 6, 2024. This is Nelson John, let’s get started. The NSE is likely to see a drop in its trading activity. This is because the market regulator, Sebi, has decided that starting November 20th, the exchange can only offer one type of weekly trading option, focusing on the Nifty series instead of the more popular Bank Nifty series. Ram Sahgal reports on the decision which is part of Sebi’s efforts to calm down trading activities and reduce losses for individual investors. Ashishkumar Chauhan, MD and CEO of NSE, said on Tuesday that this change might lead to a decrease in trading volumes, and some of the activity that used to happen every week might just vanish as traders adjust to the new rules. Data from RBI has revealed that state-owned banks have been raising their deposit interest rates to the highest levels in almost eight years, trying to attract more people to save money with them. This increase, reaching 7% in September for public sector banks, is in response to their high credit-deposit ratios, indicating a high use of deposits for lending. The push by PSBs to offer more competitive rates aims to attract more deposits as their loan growth outpaces deposit accumulation. Shayan Ghosh spoke to top public bankers who suggest that deposit rates may have peaked, which could help stabilize their margins. Last month saw a sudden rise in hoax calls that targeted airlines and hotels. These hoax calls were usually bomb threats made by anonymous people on the internet. Shouvik Das writes that these are the latest form of scam calls that use virtual networks and VPNs to hide the caller's digital footprint. India experiences an average of 5 million scam and hoax calls a day. Cyber security experts are investigating the incidents, but have to work through the sophisticated techniques used by perpetrators. Additionally, cross-border regulations complicate matters further. Tracing calls to foreign origins requires cooperation from other nations, and substantial evidence isn't always available. Consumer and e-commerce firms faced subdued sales during the festive season. This could affect year-end bonuses for employees, who could see a potential 15% reduction. Companies typically pay bonuses during the festive season and at the fiscal year's end, with additional performance-linked payouts, Sowmya Ramasbramanian, Shouvik Das and Devina Sengupta report. However, due to less spending by consumers who are cautious due to high prices and relying more on EMIs, overall sales haven't met expectations. This downturn in sales means bonuses tied to sales targets and company performance could be lower. While some sectors, like quick commerce, saw decent festive sales, overall, the scenario remains challenging, impacting how much companies can afford in terms of bonuses this year. India's mattress market has long had stalwarts like Kurlon and Sleepwell. A few years ago, some startups came and disrupted this space. One of them was Wakefit. Fuelled by a steady stream of venture capital funding, Wakefit has increased its revenue by 12x over the last five years. This revenue in excess of ₹1,000 crore has already exceeded that of Kurlon. Samiksha Goel writes about Wakefit's journey and strategy to set itself apart in India's mattress market by using cheaper pricing and strategies such as a 100 day trial period.That’s all for today.
04:4406/11/2024
Why smaller hospitals are more appealing for investors
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, November 5, 2024. This is Nelson John, let’s get started. Recent earnings reports from big consumer companies like Nestle India, HUL, and Maruti Suzuki highlight a sharp slowdown in urban consumption, posing a potential threat to India's economic growth. This quarter, the fast-moving consumer goods sector saw growth shrink from 10.1% to just 2.8%. The slowdown isn't just due to a heavy monsoon; deeper issues like stagnant urban incomes and high food inflation are tightening consumer purse strings, particularly affecting the middle class. The IT sector's slowdown in hiring and modest wage increases only add to the problem. This consumption dip could severely impact India's economic growth since private consumption is a key growth driver. N Madhavan explains the reasons behind this slowdown in today’s Primer. The "Big Five" of Indian IT—TCS, Cognizant, Infosys, HCL, and Wipro—are facing a predicament as investors seem more captivated by smaller firms despite their varied performance metrics. Over the last four years, smaller IT companies like Persistent Systems and Coforge have seen their valuations skyrocket, far outpacing their giant counterparts. This shift is driven by the belief that these nimble players are better positioned to adapt to disruptions from generative AI technologies, which lessen the importance of scale in traditional IT operations. Varun Sood writes that despite achieving solid revenue growth, the big players haven't seen the same enthusiasm from investors, who are concerned about declining profitability and leadership changes. Leading manufacturers like steel and cement companies are increasingly tapping into renewable energy. Nehal Chaliawala reports on how this is proving to be a smart move financially. By signing long-term green power purchase agreements at lower rates than traditional coal-powered electricity, these firms are seeing significant reductions in energy costs. For instance, Ambuja Cement reported a 27% reduction in power and fuel costs this quarter, driven by a shift to renewable sources which now make up 25% of its energy mix. Similarly, ACC and Ultratech Cement have made strides in integrating renewables, with substantial cost savings. Ramco Group from Tamil Nadu is restructuring its corporate framework to eliminate cross-holdings and attract foreign investors. Anirudh Laskar and Satish John report that Ramco Cements has sold its 16.23% promoter stake in Ramco Industries to other promoter entities. Ramco is looking to remove cross-holdings that might not be appealing to foreign investors. It plans to divest from assets worth at least ₹1,000 crore to reduce its debt. Multi-speciality hospitals are now passe — private equity investors now want single-specialty medicare centres. Soumya Gupta writes that this is because patients are typically seeking higher standards of service, and such specialised hospitals are started by well-regarded doctors. Since 2022, private investors have increasingly favored single-speciality hospitals, leading to significant funding and acquisitions. Last year, 20% of the $5.5 billion in hospital funding in India went to such facilities. As for investors, these smaller hospitals offer more scalable options compared to larger counterparts.
04:3505/11/2024
Weddings to get costlier this season
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, November 4, 2024. This is Nelson John, let’s get started. Tata Motors is gearing up for a big change, planning to split into two separate entities for its commercial and passenger vehicle operations. This move is expected to wrap up in the next 12-15 months, pending regulatory nods. Alisha Sachdev reports that the man tipped to steer this transition is Tata Group’s CFO, P.B. Balaji, who might take on a significant role as non-executive chairman or vice-chairman for both new companies. His track record of strong fiscal management and strategic decisions at Tata Motors makes him a prime candidate for this role, although final confirmations are still pending. Sebi is working to introduce a framework regulating digital platforms as Specified Digital Platforms or SDPs. An SDP is a digital platform that has mechanisms in place to prevent and address misuse, ensuring compliance with Sebi’s strict guidelines. This framework will impact platforms like Rigi.Club, Qoohoo, Cosmofeed, and Moneyyapp, which aid content creators, particularly those involved in securities-related content, Neha Joshi reports. These platforms will need to integrate advanced technologies like AI and ML to monitor and report securities-related activities effectively. Although this could lead to significant compliance costs, especially for smaller platforms, it's seen as a crucial step to maintain market integrity and protect investors from misinformation. India's wedding season is set to hit its peak from November to March, and it's shaping up to be a blockbuster. Last year, weddings raked in a whopping ₹4.25 trillion on just 23 auspicious days, according to the Confederation of All India Traders. This time around, we're looking at an expected ₹25 trillion from about 3.5 million weddings. Prices for venues and catering are skyrocketing due to high demand. For instance, hotel catering charges have surged by up to 30% compared to last year, now costing between ₹6,000 and ₹8,500 per plate. Varuni Khosla spoke to couples who are finding that even less popular dates are pricey, with potential costs reaching around ₹30 lakh for a modest ceremony. On the other hand, the hospitality industry is buzzing with optimism, with weddings being a major driver for growth.The 160-year-old Shapoorji Pallonji Group, known for iconic constructions like the RBI headquarters, is now ramping up its real estate game. While giants like DLF and Godrej dominate with sales around ₹73,000 crore, Shapoorji's real estate arm is playing catch-up, aiming to boost its bookings from ₹5,000 crore to over ₹18,000 crore in the next four years. Taking a cue from the late Cyrus Mistry, the group merged its various real estate activities—from residential to office spaces—under Shapoorji Pallonji Real Estate (SPRE). With this move, SPRE now controls significant ongoing projects and is prepping for a massive expansion with a land bank ready to support around 140 million sq. ft of development. This could potentially generate ₹2 trillion in revenue, indicating a major growth trajectory for the firm. Madhurima Nandy takes a deep dive into the group’s real estate plans in today’s Long Story. Content creators are now pitching fully packaged projects to streaming platforms, securing key talents and finalizing production details upfront to expedite the greenlighting process. Lata Jha spoke to industry insiders who told her that this strategy strengthens pitches by attaching reputable industry names early, boosting platforms' confidence in the projects. This shift helps streamline approval processes, clarifying the project's vision and speeding up budget and timeline decisions. Fully packaged pitches with attached talent and detailed budgets are now essential, not just beneficial, explained another studio executive. They expedite platform decisions on budgeting and scheduling, enhancing a project's marketability and profitability. Show notes: PB Balaji could unify Tata’s new auto businesses under Tata Sons Sebi's framework raises compliance concerns for smaller digital platforms Wedding industry looks at rebound from dull H1 this seasonOTT platforms favour pre-packaged projects to cut risks in content selectionReal estate: Deconstructing Shapoorji Pallonji Group’s housing ambitions
05:1004/11/2024
What's in store for Samvat 2081?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, October 31, 2024. This is Nelson John, wishing you a very happy Diwali. As we step into Samvat 2081, speculation is rife about whether the Sensex can breach the 100,000 mark by March 2025. A Mint survey, reported by Mayur Bhalerao, reveals a split verdict among analysts: about half expect it to reach the milestone, driven by robust corporate earnings and steady foreign inflows, while others remain cautious, citing global uncertainties. Market volatility is now the new normal, with most experts anticipating a turbulent stretch ahead—marked by a potential correction followed by a gradual recovery toward the year-end. All eyes are on the US Federal Reserve, with many expecting a rate cut in December, which could provide a timely lift to Indian markets. Diwali brings a unique tradition to India's stock market with Muhurat Trading, where the National Stock Exchange and the BSE will light up for a special one-hour session from 6-7 pm this Friday. This auspicious hour marks the start of the Hindu calendar year, Samvat 2081. Since last Diwali, the Nifty 50 has surged 25%, buoyed by strong GDP growth, robust corporate earnings, and plentiful liquidity. Which sectors have beaten the benchmark, which stocks have been the winners and laggards, and what can investors expect in the medium term? Abhinaba Saha brings a recap of Samvat 2080. Europe’s largest paint maker is planning to exit its India business. Anirudh Laskar reports that Akzo Nobel is eyeing a ₹25,000 crore valuation for the sale, with Citigroup managing the transaction. Among the potential bidders are Adani, Aditya Birla, JSW, and Asian Paints. While Asian Paints already owns a 4% stake in Akzo Nobel’s Indian arm, any acquisition bid may attract regulatory scrutiny, given its dominant position in the market. India is positioning itself as the next hub for artificial intelligence. Major players like Nvidia and Meta have already set up operations and are optimistic about India’s role in shaping the AI landscape. However, the government's push for indigenous development presents both challenges and opportunities for global firms. Leslie D'monte writes that initiatives like Viksit Bharat offer tech giants a platform to collaborate with local companies, fostering research and job creation. High-profile visits from tech leaders reflect this growing momentum, while Indian firms are also making strides with localised AI models. In India, where privacy is a coveted luxury, the hotel industry is evolving to cater to the ultra-wealthy. A prime example is Arq by The Leela—a collection of exclusive villas that debuted in Udaipur this month, offering unparalleled seclusion. Despite its premium pricing, demand for these opulent stays remains strong. The luxury travel sector has seen a robust post-pandemic revival, with India's spending on luxury travel hitting $10 billion in 2022. High-end properties are driving this growth, with 39% of the country’s branded hotel rooms classified as upscale or luxury, reports Varuni Khosla.
04:0931/10/2024
Biggest winners from Swiggy's IPO
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, October 30, 2024. My name is Nelson John. Let's get started. As Sebi comes down hard on futures and options trading, the National Stock Exchange is seeing fewer trades. Turnover and trades on the NSE have hit a six-month low. Ram Sahgal writes that average daily turnover fell nearly 12% to ₹1.07 trillion in October, with only 734.3 million trades taking place. Market experts said that Sebi's incoming clampdown on F&O trading is the main reason for the decline. Additionally, increased selling by foreign investors has contributed to a pessimistic market sentiment. Swiggy is gearing up to “deliver” an IPO in early November. The quick commerce company is eyeing a valuation of $11.3 billion with a price band of ₹371-390 p er share. The IPO spells huge gains for Swiggy’s early backers like Accel, Apoletto, and Elevation Capital, with returns possibly soaring up to 35 times their initial investments, reports Priyamvada C. The IPO will be a mix of ₹4,499 crore in fresh issues and a secondary sale of 175.1 million shares. Swiggy is looking to expand its quick commerce arm, Instamart, and scale up its network of dark stores. As Swiggy steps into the public market, it's set against the backdrop of its rival Zomato's recent profitability and booming market cap. Bharti Airtel recently announced a unique CEO transition plan with a 14-month wait before the new chief takes the helm on January 1, 2026. This prolonged handover period raises questions: What’s the ideal CEO transition time? Shelley Singh tackles that question in today’s Primer. Traditionally, CEO transitions can vary. For instance, Starbucks and Boeing witnessed rapid transitions due to performance crises, with new CEOs stepping in within a month. However, planned transitions generally allow six months to a year for a new CEO to settle in, providing clarity on a company’s direction to investors and employees. India and Canada are at loggerheads. Diplomatic tensions between the two nations have affected geopolitics and harmed their trade. Previously on an upward trajectory, trade has dropped from last year's total to $3.38 billion in the first five months of this fiscal year. India's imports from Canada and exports both saw minor reductions, contributing to a widening trade deficit, reports Rhik Kundu. This slowdown in trade comes at a time when global trade is generally muted due to economic slowdowns in major economies and geopolitical tensions. It's tough to grow out of your parent company's shadow. Peak XV (pronounced fifteen) Partners is experiencing just that. The venture capital firm is experiencing a decline in brand value since it was hived off from global brand Sequoia last year. Shelley Singh writes that despite inheriting assets worth $9.2 billion, Peak XV recently announced a reduction of 16% in its growth fund. It also reduced its management fees, reflecting a diminished brand prestige. Its leaders assert that such a move is necessary to remain competitive, and maintain that the firm's image and economics are still unparalleled.
04:0230/10/2024
How big conglomerates survived in India
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, October 29, 2024. My name is Nelson John, wishing all our listeners a very happy Dhanteras. Let's get started. Inflation, no more? That's what the International Monetary Fund, or IMF, thinks. In a recent economic review, the IMF declared that the global battle against inflation has "largely been won". That means that most countries across the globe have either met or are very close to their inflation targets. N. Madhavan explains that despite that, growth forecasts remain low. Projections for global economic growth have stabilised at 3.2% in 2024, slightly down from 3.3% in 2023. With a growth rate of 7%, India fares well in this aspect. However, global risks such as geopolitical conflicts, trade protectionism, and potential economic slowdowns remain significant — hence the low growth projections. When the Indian government liberalised the economy in 1991, domestic conglomerates were worried: a sudden change challenged their collective dominance. That was 30 years ago. Safe to say, the dominance of empires like Reliance, Tata, Adani, and Kotak, among others has assuaged those fears. Our partners at How India Lives . com write that corporate India had a resurgence in the late 2010s, led by a huge influx of cash. As banks ran out of credible entities to loan money to, India Inc. stepped up — and never looked back. Ultimately, they conclude that conglomerates aren't going anywhere, anytime soon, while the medium-sized ones might have to reconsider their positions, or perish. RBI is set to boost its digital security measures by introducing an AI-driven early warning system. This system will be designed to alert users to potential financial fraud during transactions. The initiative aims to tackle emerging threats in the digital finance space by leveraging AI to analyze data, identify high-risk platforms, and notify users of suspicious activities in real time. Subhash Naryan reports that this system will build on existing technologies like the MuleHunter AI, which detects mule accounts used in fraud schemes. The government is planning to shift its strategy for PSUs. Instead of rushing to sell them off, the government now wants to work on their operational efficiency and governance, reports Gulveen Aulakh. The plan, sources told Gulveen, focuses on transforming these PSUs into professionally managed entities capable of yielding substantial dividends and potentially achieving higher market valuations through future public listings. In recent initiatives, specific PSUs like Rashtriya Ispat Nigam Ltd and Mahanagar Telephone Nigam Ltd are receiving targeted interventions to address their financial and operational challenges, with plans ranging from restructuring packages to debt resolution strategies. The Open Network for Digital Commerce is launching an initiative to deliver groceries and other items within 30 minutes to two hours. The government-backed e-commerce network is looking to tap into the growing popularity of quick commerce in India, Sowmya Ramasubramanian reports. This move will involve collaborations with ElasticRun, Ola, and PhonePe’s buyer app Pincode, utilizing their dark stores and delivery networks to enable rapid delivery services.
04:2529/10/2024
Why Ratan Tata’s biography didn’t have his final sanction
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, October 28, 2024. My name is Nelson John. Let's get started.The recent India visits of AI’s godfather Yann LeCun, Nvidia's Jensen Huang, and inventor Mustafa Suleyman have put the country in an interesting position when it comes to the tech landscape, especially AI. Following the Global Partnership on AI Summit and India's push to co-create tech IPs, these visits highlight India's strategic importance in tech. Historically, India attracted global tech leaders due to its skilled, cost-effective workforce and proactive government policies, dating back to Bill Gates in 1997 and Google's founders in 2004. So what do these visits by tech CEOs actually mean for India? Shouvik Das explains. The Adani Group is planning to construct its first greenfield cement factory in Odisha. The conglomerate is aiming to complement its string of recent acquisitions with new builds. The proposed facility, expected to cost between ₹3,000-3,500 crore, will have a capacity of 4 million tonnes per annum and is projected to be operational within two to three years, reports Anirudh Laskar. This development is part of a broader strategy by Adani, which also includes a new clinker grinding unit in Bihar, to expand its cement manufacturing capabilities across eastern India. With substantial internal funds, the Adani group is well-positioned to continue its aggressive expansion in the cement sector.The rise of quick commerce is reshaping India's retail landscape. Quick commerce is challenging both traditional and modern retail outlets as fast deliveries become increasingly popular. FMCG companies are witnessing a surge in their quick commerce sales, with significant shifts in consumer purchasing patterns. Adani Wilmar reported a 36% growth in quick commerce sales in the September quarter, while Nestlé stated that quick commerce accounts for half of its e-commerce revenue. Suneera Tandon reports that this shift is leading to changes in inventory management across traditional retail channels. Companies are now adapting by offering channel-specific products and streamlining inventory to better align with the quick commerce model.The biography 'Ratan Tata—A Life' stirred up some controversy as it hit the shelves recently without Ratan Tata's blessing. He had distanced himself from the project due to the overly flattering content, a move that came after the manuscript review last year. Released just weeks after Tata’s death on October 9, the book has been published by HarperCollins and remains in the present tense, a choice made before it was finalized. The author, Thomas Mathew, a retired bureaucrat, initiated this project in 2018 but faced setbacks as Tata withdrew his support, leading to delayed releases. While the book touches on some controversial decisions during Tata's tenure, like the appointment of Cyrus Mistry and the choice of West Bengal for the Nano plant, it remains unendorsed by Tata’s family, Varun Sood and Satish John report. Delhi, once celebrated for its distinct winter charm, now grapples with toxic air quality that overshadows its historical and seasonal allure. Now that winters are at the doorstep, Delhi and its toxic air is likely to dominate news cycles till at least January. Despite long-standing efforts to improve air quality, including vehicle and industrial emission controls and reduced stubble burning, Delhi remains the world's most polluted city, according to the 2023 World Air Quality report. This persistent issue is compounded by seasonal activities like stubble burning and the use of biomass for heating, exacerbated by geographical and meteorological conditions that trap pollutants. Sayantan Bera examines the factors behind Delhi’s poisonous winter air. Show notes:Why Ratan Tata’s biography didn’t have his final sanctionMint Primer: Why top tech executives are heading for IndiaAdani plans greenfield Odisha cement factoryFMCG firms embrace quick commerce amid shift in urban consumer preferences‘Severe’ air is coming. Here’s the X-factor behind Delhi’s winter poison
04:4828/10/2024
Why finance pros at PE, VC funds are flunking Sebi exam
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, October 25, 2024. My name is Nelson John. Let's get started.Qatar's Nebras Power was supposed to acquire up to a 49 per cent stake in Aditya Birla Group’s renewable energy business for about $400 million, but the deal has been put on hold due to a valuation mismatch. Utpal Bhaskar reports that challenges such as competitive returns and execution risks in the Indian market continue to be concerns for investors. The Aditya Birla Group company is still seeing interest from Alberta Investment Management and BlackRock's Global Infrastructure Partners.India's startups aren't complying with certain rules. The Central Consumer Protection Authority has issued notices to 11 e-commerce companies including Blinkit, Zepto, Swiggy and Meesho for violating declaration rules. These violations include failing to display product manufacturing and expiry dates, among other packaging and labelling norms. Soumya Gupta writes that the CCPA took this action after users complained about receiving perishable items close to or after their expiry dates.After a long and contentious battle, the Insurance Regulatory & Development Authority of India has approved the Burman family's proposed acquisition of Religare, reports Anirudh Laskar. This nod marks a significant step towards the Burmans’ takeover of Religare. Only approvals from the banking and market regulators are now pending. Despite initial resistance from Religare's management, the Burman family, which owns Dabur India, aims to solidify its ownership through an open offer of more than 3,400 crore rupees.In a surprising turn of events, 60 out of 100 private equity and venture capital executives in India failed a mandatory exam set by the National Institute of Securities Management (NISM), under directives from SEBI. This exam, which is crucial for maintaining registration, has stirred concerns within the sector. Critics argue that the exam's content, which spans various fund types—venture capital, private equity and public markets—is disproportionately focused on public markets, and does not reflect the practical differences between these fund categories. Sneha Shah and Ranjani Raghavan report on the embarrassing situation India’s PE and VC sector is staring at. Last year, Ecom Express found itself at a crossroads, searching for new leadership after the health-related departure of its co-founder and CEO, T.A. Krishnan. With growth stalling, the company turned to Ajay Chitkara, a veteran of the telecom industry, to inject new life into its operations. Chitkara, known for his successful stint at Airtel, took the reins at a tough time and now faces a daunting task: steering Ecom Express towards profitability and a successful IPO. The company has reduced its losses, but sustaining growth remains a challenge, especially with new players such as Valmo shaking up the logistics market. Mint’s startups editor Ranjani Raghavan tackles the question of whether Ecom Express’s IPO can succeed when Delhivery’s stock has failed to deliver. SUBJECT/Title: Why finance pros at PE, VC funds are flunking Sebi exam Pre-head: IRDA approves Burmans’ Religare takeover; CCPA issues notice to quick commerce startups Qatar's Nebras deal with Aditya Birla Group's green arm on holdWhy are e-tailers on notice for legal metrology?IRDA gives Burman family green signal for Religaree takeover Can Ecom Express’s IPO succeed when Delhivery’s stock has failed to deliver?Why finance pros at PE, VC funds are flunking Sebi exam
04:0025/10/2024
What the border pact means for India and China
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, October 24, 2024. My name is Nelson John. Let's get started.It was another quiet day for Indian markets as the initial rally in IT stocks, which powered the indices upward, was quickly offset by a sharp downturn in the financial and auto pack, resulting in a flat close for both the Nifty 50 and Sensex on Wednesday.The Sensex and Nifty have fallen more than 5 percent in the last month. One thing is for certain: foreign portfolio investors are pulling out money from Indian markets. But where is this money going? Dipti Sharma writes that while China is the biggest beneficiary, other Asian countries like South Korea, Japan, and Indonesia are also seeing inflows. The shift has also happened partly due to profit-taking in India after a strong market rally. Analysts told Dipti that investors feel the potential for returns is higher in other markets, especially like Indonesia and South Korea where the valuations are more moderate.India and China have announced that they have reached an agreement on patrolling their common border. This marks a significant step towards mending the strained relationship between the two countries since the clash in Galwan in 2020. N. Madhavan writes that despite some unresolved issues, bilateral trade has in fact grown between India and China. China became India's largest trading partner this year. However, given the vast restrictions, Chinese investment in Indian companies remains scarce. Madhavan writes that India stands to gain a lot by easing these restrictions, especially in the manufacturing sector.India is rethinking its approach to highway development, shifting focus from the ambitious long-term Vision 2047 plan to prioritizing shorter-term projects. The decision comes as the complexities and delays of lengthy projects prove challenging. While Vision 2047 aimed to guide development up to India’s centennial in 2047, the government now favours projects that can be quickly approved and completed. Ongoing projects under the earlier Bharatmala program will continue, with possible individual approvals for those yet to start. This strategic pivot is about efficiency—getting roads built faster and making them useful sooner, reports Subhash Narayan.Two years ago, HDFC Bank announced a huge merger with its parent company, HDFC Ltd, marking India's biggest-ever M&A deal. The merger aimed to boost synergies and enhance the housing sector and the overall economy. However, despite the initial excitement, which saw the bank's stock jump 10% on announcement day, the performance has been somewhat disappointing. Over two-and-a-half years, the stock has only seen a modest 4.7% increase, underperforming compared to market benchmarks. Market sceptics have pointed to the difficulties of maintaining growth momentum and managing financial metrics like net interest margins and the loan-to-deposit ratio on such a large balance sheet. Abhishek Mukherjee writes on how the bank’s investors can learn a lesson or two on persistence from none other than the Master Blaster Sachin Tendulkar himself. Yann LeCun, Meta Platforms Inc.'s chief AI scientist, decided to visit India for a third time after an encounter with Infosys co-founder Nandan Nilekani at the World Economic Forum in Davos. Inspired by Nilekani's introduction to India's vibrant tech ecosystem, LeCun attended Meta's first 'Build with AI Summit' in Bengaluru, he told Leslie D’Monte. LeCun talked about witnessing the impressive adoption of Meta AI tools across major platforms like WhatsApp and Messenger, noting that India has the largest user community globally. FIIs pulling out of India is not a surprise. But where is their money going?What the border pact means for India and ChinaCentre shifts to short-term goals to build highwaysPatience vs Payoff: What HDFC Bank’s investors can learn from Sachin Tendulkar‘Godfather of AI’ is impressed by India’s AI prowess but found something lacking
04:3224/10/2024
Coming Soon: A New Noida
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, October 23, 2024. My name is Nelson John. Let's get started.A strong wave of selloffs engulfed the Indian stock market on Tuesday, dragging the Sensex and Nifty down by more than one per cent each.The International Monetary Fund kept its global growth forecast for 2024 and 2025 unchanged at 3.2 per cent. It also maintained its India growth projections at 7 per cent for FY25 and 6.5 per cent for FY26 in its October 2024 World Economic Outlook. While global growth is stable, there are changes beneath the surface, IMF said. The US economy saw an upgrade, but European countries faced downgrades. India and Russia boosted growth projections for emerging markets, driven by strong demand for technology. The Vizhinjam International Transhipment Deepwater Multipurpose Seaport near Thiruvananthapuram in Kerala has finally kicked off operations after numerous delays. Managed by Adani Ports and Logistics, this critical development positions it as India's deepest natural port and its sole container shipment hub. However, a significant hiccup remains—the port's poor road connectivity, with improvements not expected for another 12 to 18 months. Kerala faces a broader economic crunch, battling slow growth and steep debt as expenditures overshadow revenues. Demographic shifts, including an ageing population and evolving migration patterns, have obstructed remittance flows. N Madhavan delves deep into Kerala’s economic issues and God’s own country’s efforts to revive its economy. IPOs aren't only for the big boys: smaller startups are also heading to the public markets. Venture capital investors are nudging their early- to mid-stage portfolio companies towards IPOs amid a bullish stock market. Priyamvada C and Mansi Verma write that startups such as IntrCity, BHive, and Leverage Edu P are gearing up for listings soon. India's more lenient IPO requirements compared to the US are encouraging such moves, they add. Another reason investors are pushing for this move is that many funds are now reaching the end of their life cycles and have to return money to their limited partners. Ambuja Cement has bought more than 46 percent of Orient Cement, marking yet another landmark deal for the Adani-owned cement company. This is the Adani Group's fourth major transaction to bolster Ambuja's prowess in less than a year. Nehal Chaliawala writes that this acquisition marks the latest round in the cement war between Ultratech and Ambuja. Small players continue to be either bought or squeezed out as the two giants look at consolidating a huge chunk of the industry. Did you know that Noida is an acronym? It stands for New Okhla Industrial Development Authority. Now, there’s a new one on the way – the Uttar Pradesh government has greenlit the development of New Noida near Greater Noida. This new city, planned over 15 years in the Dadri-Noida-Ghaziabad region, will unfold in four phases, with the first set to be ready in four years. It's expected to accommodate 600,000 residents and include a mix of industrial hubs, residential areas, commercial spaces and healthcare facilities. Notably, the city plans also feature specialised industrial hubs such as a 'Korean City', a 'Japanese City', and an ‘Olympic City’. Madhurima Nandy explains more in today’s Primer. IMF keeps India’s FY25 growth forecast unchanged at 7%Kerala’s 500 days challenge: Can ‘God’s own country’ become a Gujarat?No startup’s too small to IPO in a bull marketAmbuja's Orient buy steps up cement warNew Noida city: Will it spur NCR realty market?
04:1723/10/2024
Bank Nifty>Nifty50?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, October 22, 2024. My name is Nelson John. Let's get started. When you don't agree with the outcome, just don't release the data: that's the approach Indian carmakers have taken of late. The release of a crucial carbon emissions compliance report has been delayed because companies like Hyundai, Kia, and Mahindra failed to meet norms. Alisha Sachdev reports that the automakers want a five-year period to bring down their emissions, while the government has already issued steep fines. If the companies publish their below par numbers, the fines will increase — leading to this stalemate. Indian emission norms are still better than their European counterparts, but carmakers don't seem like they want to budge as of now. The Edelweiss Group is set to unleash a sea of IPOs into the market soon. In an interview with Mint, the group's founder and chairman Rashesh Shah said that the company is hoping to list seven subsidiaries soon. The group intends to begin with the IPO of its mutual fund arm and its alternative asset management subsidiary, each valued at 1 billion dollars. Shah admitted that initially, the financial services company chased growth above everything else, which backfired later. The group also plans to pay off debt worth 6,000 crore rupees by the end of this year to prepare for a clean slate as the IPOs approach. After being a laggard for much of 2024, the Bank Nifty has finally turned a corner, led by HDFC and Axis Banks. Other stocks like Kotak Mahindra have provided mixed results. Ram Sahgal writes that the banks have had to adopt new strategies to adjust their loan books and attract more deposits. Ram also spoke to analysts, who said that the Bank Nifty could now outperform the Nifty50. HDFC's stock performance will be crucial to the Bank Nifty's growth, they added. Last week, fintech Navi got a huge jolt as it was barred by the Reserve Bank of India from disbursing any more loans. The RBI had banned Navi for charging high interest rates for its loans. Gopika Gopakumar reports that Navi and its founder Sachin Bansal assured its lenders in an unscheduled meeting that the company was well-prepared to manage any fallout until March 2026. Navi outlined a plan to cover 3,027 crore rupees in debt repayments due in the next six months, with expected customer collections touching 4,000 crore rupees. The company also has a liquidity buffer of 1,500 crore rupees, Bansal outlined. Navi focuses on personal loans of up to 20 lakh rupees, disbursed through its app. We told you yesterday about how gold prices in India are hitting record highs. The prices are peaking over 78,000 rupees per 10 grams, influenced by a mix of global and domestic factors. Initially, a cut in import duty led to a temporary drop in prices, spurring a spike in demand. However, global uncertainties have driven prices back up. Soumya Gupta explains that despite this volatility, Indian consumers aren't necessarily reducing their gold purchases. Sales of lighter and more affordable jewellery pieces have increased during the festive season, with jewellers responding quickly to cater to this demand.
03:5622/10/2024
Behind Noel Tata's first decision as Tata chairman
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, October 21, 2024. My name is Nelson John. Let's get started. Noel Tata's first move at the helm of Tata Sons has been a small but significant one. The philanthropic arm of the Tata group has moved away from having fixed terms, and instead now has permanent members. Varun Sood and Satish John report that this move aims to ensure continuity and stability within the Trusts that collectively hold a majority in Tata Sons. The Tata Trusts are pivotal in the governance of Tata Sons, and have a key say in the conglomerate's strategic direction. The second-quarter results for India's IT stocks weren't all that great. The four leading companies: TCS, Infosys, Wipro, and HCL Tech—all saw some declines. Jas Bardia reports that TCS saw a significant drop in large deal bookings. It attributed this decline to the lack of mega deals, but remained optimistic about its order value range. Infosys also witnessed a decrease in large deal values but saw an increase in smaller deals. Wipro was able to buck the trend and sign more large deals, as it opted for a consulting-led approach and offered more AI services. It's never a bad time to buy gold, but the recent surge in prices has put off buyers for now. Gold now costs around 80,000 rupees per 10 grams. Such high prices have led to a dent in demand during the festive and wedding season between October and December. Ram Sahgal writes that the increase in prices is due to uncertainties like the US elections, potential geopolitical tensions, and changes in US policy rate. Demand for the precious metal has dropped by around 10 to 12 percent. Some retailers are seeing a rise in exchanges. They are maintaining sales volumes as some consumers continue to buy more gold, worried about even higher prices. India's rubber production is prone to volatility. Climate change and low volatility have threatened what was once a thriving industry. Despite these hurdles, the demand for rubber has surged in India. George Skaria writes that India's rubber production slightly increased from 8.4 lakh tonnes to 8.6 lakh tonnes from 2022 to 2023, but consumption outpaced supply. That led to a shortage worth 5.5 lakh tonnes. This scenario has impacted tyre manufacturers, who now rely on imports to meet demand. George's story outlines the entire rubber trade in India, and the vast complications that adversely affect both manufacturers as well as consumers. Since the 1990s, Photoshop has been a staple in photo editing. You would think that the emergence of generative AI would replace Photoshop, but that hasn't been the case. Shouvik Das writes that rather than replacing it, AI is instead augmenting the process of editing images. Tools like Autodesk’s Pixlr and Canva have also embraced AI to expand their user base beyond professional designers.
03:4221/10/2024
Byju Raveendran plots an edtech comeback
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, October 18, 2024. My name is Nelson John. Let's get started.Indian stock market benchmarks—the Sensex and Nifty 50—extended their losing streak for a third straight session on Thursday. The Sensex slipped 0.61 per cent, while the Nifty 50 declined 0.89 per cent by the close.It's raining bomb scares, with over 22 hoax threats reported in recent days. In response, the civil aviation ministry is engaging with international bodies to devise strategies for managing such incidents. Mihir Mishra reports that proposed measures include imposing flight bans on offenders. The ministry is also in talks with VPN operators to trace the origins of these hoaxes.Over 400,000 Indian students are currently enrolled in Canadian universities, but this figure could shrink by 100,000 next year driven by diplomatic tensions and stricter student visa rules. Amid a housing crisis, Canada has introduced a two-year cap on new student permits, with a significant reduction expected by 2025. The financial proof requirement for living expenses has also doubled, prompting students from regions like Punjab and Haryana to explore alternatives in Australia and Europe. The potential drop in Indian enrollments is raising alarms at Canadian universities, where they form a crucial part of the international student community. Devina Sengupta explores the impact of diplomatic strains on the future of Indian students in Canada.Bajaj Auto's stock price plummeted by 11 per cent on Thursday, after the company announced its Q2 results. The automaker posted a bleak domestic demand outlook for two-wheelers this festive season. Despite a 24 percent increase in year-on-year ebidta, Bajaj's results were well below analyst expectations. Abhinaba Saha writes that this massive selloff casts a huge shadow on not just Bajaj, but the entire two-wheeler industry at large. Entry level products, in particular, have been poor as the market moves to more premium options.Not long ago, Northern India's political scene would periodically erupt with sugarcane farmers' protests, disrupting traffic and even threatening the capital's water supply due to the notorious "sugar cycle." However, this cycle has been broken thanks to the ethanol blending programme, which has turned excess sugar production into ethanol, stabilizing the industry and benefiting farmers. This shift has not only aided farmers but has also significantly contributed to India's energy security goals. Yet, challenges persist. Grain-based ethanol producers are grappling with rising feedstock costs for rice and maize, raising concerns of financial losses and potential loan defaults. Additionally, diverting maize to ethanol production has inflated poultry feed prices. Sayantan Bera unpacks the successes and hurdles of India’s ethanol blending programme in today’s Long Story.Byju Raveendran, founder of Byju’s, addressed the challenges facing his company during a candid virtual press conference on Thursday. Amid investor backlash and a bankruptcy filing, Raveendran dismissed rumours of fleeing India, clarifying that his move to Dubai was for his father’s medical treatment and reaffirming his commitment to return and steer the edtech company forward. He defended his leadership, pointing out that the very investors who once backed Byju’s rapid expansion are now retreating as the company grapples with financial troubles. Raveendran also recounted that top investors, including Sofina and Prosus, had sought his ouster, holding him accountable for mismanagement. Despite the setbacks, he emphasized that subsidiaries like Aakash Educational Services remain profitable, contributing to ₹5,500 crore in annual recurring revenue. However, he acknowledged that Byju’s core business has stalled, no longer generating revenue—a stark decline from its peak in 2021. Govt mulls banning hoax threat culprits from flights, examines global practicesIndia-Canada row: It’s failing Indian studentsBajaj Auto investors get a demand reality checkEthanol blending: The good, the bad and the googliesRaveendran blames investors, eyes new edtech avatar, says $533 mn used u
04:3518/10/2024
How much lower can the rupee go?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, October 17, 2024. My name is Nelson John. Let's get started.Indian stock markets declined for the second straight session on Wednesday, with the benchmark Sensex shedding 319 points, or 0.39 per cent, and the Nifty 50 slipping 86 points, or 0.34 per cent.In the past three months, several films have been re-released in theatres, driving higher footfalls and occupancy rates for PVR Inox, India's largest cinema chain. Abhinaba Saha reports that re-releases now account for 6 per cent of the chain’s total footfalls. PVR Inox plans to continue this strategy in the coming quarters, with upcoming blockbusters like Singham Again and Pushpa 2 expected to further boost its business and, consequently, its stock performance.Over the past two decades, Bandra Kurla Complex (BKC) has emerged as Mumbai’s premier business hub, housing giants like the National Stock Exchange, Sebi, ICICI Bank, and Facebook. However, available office space in BKC is now scarce, with vacancy rates hovering at just 3-4%. Khushi Malhotra reports that the intense demand for office space has driven businesses to explore nearby areas such as Kalina, Kurla, Worli, and Lower Parel. Yet, with many projects in these locations still years from completion, companies seeking grade-A offices face a prolonged wait.How much does bhujia cost? According to Haldiram’s, about 10 billion dollars. The leading snack maker initially explored a majority sale, but is now eyeing a smaller stake sale, Sneha Shah reports. Despite the shift, investors like Bain Capital, Blackstone, and Temasek Holdings remain interested, eager to tap into India’s booming snacks market, which is projected to double by 2032. With its status as a profitable market leader and a potential IPO candidate, Haldiram's presents a compelling investment opportunity, Sneha adds.The Indian rupee hit a record low of 84.07 against the US dollar this week, marking a depreciation of over 9% since April 2022—far exceeding the typical 3% annual decline. The slide is attributed to foreign institutional investors pulling out around $8 billion this month, dampening demand for the rupee. With global markets in flux and geopolitical tensions—such as the Israel-Iran conflict and the ongoing Russia-Ukraine war—adding pressure, experts anticipate further depreciation, possibly touching 84.20. Sumant Banerji breaks down how the weakening rupee impacts both you and the broader economy.Pratilipi, the platform for long-form regional stories, hit a major milestone in July 2024 by turning cash-flow positive. Founded in 2014, with backing from big names like Tencent and Nexus Ventures, Pratilipi saw its revenue jump 66% to ₹58 crore last year, while it managed to slash its losses by 62%. In a market where many content platforms have struggled or shut down, Pratilipi’s focus on in-depth storytelling in Indian languages has set it apart. While others chased short videos and social media trends, Pratilipi remained true to its core—delivering engaging narratives across 12 regional languages. The platform’s success comes from its loyal reader base, mostly women aged 18-35, and a commitment to its authors, offering workshops and fellowships to support their work. Shadma Shaikh delves into how the platform scripted a rare hit. PVR Inox re-release bet pays off in Q2, more in the pipeline With BKC packed, Mumbai hunts for its new business districtHaldiram deal turns into a minority stake saleMint Primer | Rupee's big fall: How much lower can it go?How storytelling platform Pratilipi scripted a rare hit
04:2817/10/2024
The escalating India-Canada rift explained
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, October 16, 2024. My name is Nelson John. Let's get started.The Sensex fell 153 points, or 0.19 per cent, while the Nifty 50 closed 71 points, or 0.28 per cent, lower.The country's biggest listed company presented its quarterly earnings report yesterday. Investors didn't like it too much: Reliance Industries' share price dropped by 2 percent on Tuesday. Its oils to chemicals business remains its biggest pain point: ebidta has fallen 19 percent year on year. But Jio made up for this, Manish Joshi writes. There is significant upside for Jio for the coming quarter, while Reliance's retail business is trending upwards too. Investors might not be too happy with the latest results, but future quarters might be much better for RIL.Urban India constantly uses quick commerce apps to order groceries and other household items. This comes at the expense of traditional FMCG players. Dipti Shah writes that this growing trend will affect FMCG stocks negatively. This is also evident from their modest returns, compared to the significant gains seen in shares of companies like Zomato and Trent. Even FMCG giants have acknowledged the rising contribution of quick commerce to their sales, signaling a transformative shift.After a brief break, startups are finally hiring CXOs again. Over two-dozen top-level executives were recruited in the last three months, report Sneha Shah and Devina Sengupta. According to industry insiders, this surge in hiring for roles like chief executives and business heads is a response to more funding coming in. They are also a strategic move by startups to strengthen their leadership teams in preparation for future growth, including IPOs. Such hires are receiving significant stock options as part of their packages, report Sneha and Devina.This week, relations between India and Canada soured further as each country expelled six of the other’s diplomats. This escalation follows Canada's allegations of the Indian government’s involvement in the assassination of Hardeep Singh Nijjar, a Sikh activist, in British Columbia in June 2023. Canada's Prime Minister Justin Trudeau cited non-cooperation from India in the investigation as a reason for the expulsion, intensifying tensions amid Canadian political dynamics as Trudeau faces decreasing popularity ahead of the election in 2025. Economic ties between India and Canada, characterised by substantial trade and investment, remain strong despite the diplomatic rift. Elizabeth Roche, associate professor at Jindal Global University, explains the fresh turn in the ongoing tensions. The Adani Group has its fingers in many pies — from power to ports to even pulses. Now, it is eyeing a new sector: semiconductors. Anirudh Laskar reports that the conglomerate is looking to invest 3 billion dollars with two Israeli tech firms to set up a factory. The total investment in this unit could increase up to 8 billion dollars. The Group hopes to count on the government's help with the setting up of this facility, as they have been bullish on chip manufacturing hubs. Show notes: RIL investors wait for oil-to-chemicals business profitability to bottom out Investors shy away from FMCG stocks but embrace quick commerce platforms: Why? The great startup CXO hunt: companies beef up top deck as funding winter thaws Mint Primer | The escalating India-Canada rift and its implications for IndiaAdani plans $3 billion outlay to launch semicon biz
04:0016/10/2024
How Surya Kumar Yadav’s endorsement fee is touching the SKY
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, October 15, 2024. My name is Nelson John. Let's get started. Thanks to gains in shares of select banking and IT heavyweights, including HDFC Bank and Infosys, Indian stock market benchmarks- the Sensex and the Nifty 50- resumed their upward march on Monday. The Sensex rose 0.73 per cent, while the Nifty 50 settled 10.66 per cent, higher. Vinay Dube, previously at the helm during tumultuous times at Jet Airways and Go First, now leads Akasa Air, facing similar challenges with its fleet of Boeing 737 Max aircraft. Akasa Air, aiming to carve a niche in India's aviation market, heavily relies on this model, notorious for its operational issues, despite its economic purchase price. The airline, commanding a modest 4.5% market share, seeks to establish itself against the dominating duo of IndiGo and Air India, which together control over 90% of the market. Akasa's strategy involves mirroring successful practices from industry leaders like IndiGo, which thrived on a sale and leaseback model that Dube intends to replicate. Nehal Chaliawala and Mihir Mishra write on Vinay Dube’s plans to take on the Indigo-Air India duopoly in India’s aviation market. Class actions are gaining momentum in India, with recent cases against Ola Electric and Jindal Poly Films showcasing their rising prominence. A class action allows people with similar grievances to file a single lawsuit, making it a powerful tool for addressing collective issues. The rise in class actions is largely due to growing awareness among consumers and shareholders, facilitated by technology and easy access to information. More people are now using these legal options to hold companies accountable. The digital age has also amplified opportunities for collective grievances, especially with the collection of vast amounts of personal data. Mint’s Krishna Yadav explains the rise of class actions in India. Becoming a cricketer in India can lead to vast riches. For Suryakumar Yadav, the money doesn't stop rolling in. Gaurav Laghate writes about how leading India to a recent T20 series win against Bangladesh has bettered Yadav’s financial prospects. Yadav's endorsement fee has jumped by a whopping 350 per cent, with deals worth 2 crore rupees each. Among companies shelling out this money for him are ICICI Prudential Life Insurance, Reebok, and Lenskart. Sky, as he is fondly called, is now rubbing shoulders with Virat Kohli and Rohit Sharma, the other scions of cricket endorsement deals. In September, India witnessed a sharp rise in inflation to a nine-month high of 5.49 per cent, surpassing the expected 5.1 per cent. This increase was largely driven by a significant hike in vegetable prices, which surged due to a dissipating base effect and unfavorable weather conditions. This unexpected jump underscores the Reserve Bank of India's cautious stance on not cutting the repo rate. With this spike, the inflation rate for the July-September quarter settled at 4.2 per cent, slightly above RBI's projection of 4.1 per cent, suggesting that rate cuts might be postponed to 2025. Payal Bhattacharya reports on how September’s inflation surge proves RBI was right to delay a rate cut. Rocket science is generally hard, which is why any achievements made in this vast and expensive field should be celebrated. Elon Musk's SpaceX has innovated space travel by using mechanical 'chopsticks' to catch one of its rocket boosters mid air so it can be reused for other rockets. Leslie D'monte writes that this would reduce the costs and turnaround time of future rocket launches. Moreover, this achievement could boost Musk's financial and strategic positions by lowering launch costs and speeding up operations. Primer: How Musk catches rockets with ‘chopsticks’Suryakumar Yadav: India’s Mr 360 is changing the game for brand endorsementsMint Explainer: Why Class Action Suits in India Are on the RiseHow Akasa Air’s Vinay Dube is taking on the IndiGo-Air India duopolyIn charts: September inflation proves why RBI was right to delay a rate cut
04:3815/10/2024
How Zomato’s District could be a blockbuster
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, October 14, 2024. My name is Nelson John. Let's get started. The upcoming festive period is usually a fruitful time for India's retail industry. As the sales increase, so does the advertising. However, companies are scaling back on traditional media spending. Instead, the industry is spending much more on digital ads, as well as those on e-commerce platforms. Varuni Khosla and Gaurav Laghate writes that FMCG and the auto sectors are likely to see good spending through such channels, but not on your TV or billboards. In 2021, amid a booming market for startup IPOs in India, Zomato was an exception in the landscape, focusing heavily on fresh share issuances rather than facilitating investor exits. Unlike Zomato, which issued new shares worth Rs 9,000 crore, the trend among other startups was to use IPOs as a primary exit strategy for existing investors. In that fiscal year, 48% of total startup IPO shares were sold through offers-for-sale, slightly less than the broader market's 63.3%. This increased to 64% by FY25, indicating a growing preference among startup investors to liquidate their stakes, reports Priyamvada C. While this trend means startups raise less capital for growth during their IPOs, it opens opportunities for new investors to engage with the startup sector as it rides a wave of market highs. In another case of poor trade practices, the Competition Commission of India has found WhatsApp and its parent company Meta Inc. guilty of breaching competition laws. The 3-year investigation concluded that WhatsApp violated competition rules by abusing its market dominance with a policy update. Gireesh Chandra Prasad writes that this update was deemed "exploitative and exclusionary" by CCI's investigation. The penalties could go up to 10 percent of Meta's global revenue. The latest data on India's industrial production, which showed a slight contraction in August for the first time in 21 months, raises concerns about a potential slowdown in the economy. The Index of Industrial Production dipped by 0.1% compared to a significant 10.9% growth in the same month last year. N Madhavan explains how this drop can be attributed to extraordinary rainfall impacting mining and electricity generation, alongside a high base effect from last year's strong performance. Despite this hiccup, experts suggest this is a one-off event, expecting a rebound in industrial activities starting September, buoyed by government infrastructure spending and other high-frequency indicators. Zomato evolved from food delivery to include quick commerce and most recently an events business by purchasing Paytm’s subsidiaries Insider and TicketNew. This expansion into live events and dining with the newly dubbed District app aims to integrate Zomato's dining expertise with large-scale events. But the journey isn't straightforward. The events business, like those of old and new competitors, is notoriously tough to monetize, especially with the slim profit margins seen in pure ticket sales, as shown by the industry leader, BookMyShow. Zomato's real bet is on producing and hosting live events, which promise greater returns but also carry higher risks and investments. Sowmya Gupta dives deeper into Zomato’s latest acquisition strategy and how it can do wonders for the company. Advertising sentiment remains subdued during festive quarterStartup IPOs: Investors rush for exits as new capital takes a backseat CCI finds WhatsApp, Meta Inc. in breach of competition law; penalty order soonIs the economy slowing down?Not just a cold play: How Zomato can make District a blockbuster
04:1414/10/2024
Farewell, RNT
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, October 11, 2024. My name is Nelson John. Let's get started. A stalwart of India’s corporate world passed away on Wednesday night. We'll bring you some stories on his legacy and work over the decades. After retiring as the chair of Tata Sons in 2012, Ratan Tata shifted his focus to supporting startups through his investment vehicle, RNT Associates. By 2019, he was actively engaging with budding entrepreneurs on Instagram. However, he was clear that getting funded didn't guarantee success. Tata’s investments, though modest, were a mark of credibility in the startup community, especially when capital was hard to come by. His approach wasn't just about writing checks; he invested in mentoring the founders, focusing on their long-term vision and passion rather than immediate financial metrics. Mint’s startups editor Ranjani Raghavan takes a look at the former Tata group chairman’s vision for Indian startups. Ratan Tata, the visionary driving force behind Tata Motors, transformed it from a local truck maker into a global automotive powerhouse. During his tenure, the Tata Nano, the world's cheapest car, was launched, aimed at democratizing car ownership in India. Though it didn't hit commercial targets, the Nano exemplified Tata's visionary approach. Under his leadership in 1998, Tata Motors introduced the Indica, India's first indigenously developed passenger car. A landmark moment came in 2008 when Tata Motors acquired the iconic British brands Jaguar and Land Rover for 2.3 billion dollars from Ford. This was a stunning reversal of fortune, as Ford had previously considered buying Tata's car division. Tata turned these struggling brands into profitable entities, significantly enhancing Tata Motors' stature and revenues. Alisha Sachdev writes about Ratan Tata’s legacy at one of India’s biggest automobile companies. For over a century, the Tata group has been a cornerstone of the Indian industry, spanning multiple sectors. While JRD Tata was at the helm for 51 long years, his son Ratan was the one who did the heavy lifting. He took over right as India was on the cusp of opening up its economy. An opportunity, for sure — but it also would have led to a lot of challenges. Sundeep Khanna writes about the leadership at the Tata group, from JRD to RNT to now, N. Chandrasekaran, and how it has shaped not only the conglomerate, but also corporate India as a whole. He takes a retrospective look at its progress, pitfalls, and even some controversies over the years. The Indian equity market's rally has paused, with the Nifty50 index down 3% in the first seven trading sessions of October. India's volatility index rose 13%, indicating heightened risk aversion. Harsha Jethmalani writes that foreign investors are showing renewed interest in China, following the announcement of a stimulus package. That has led to investors pulling money out of Indian markets. This further raises the possibility of India's equities underperforming against the broader Asia markets, according to a Nomura report from 7 October. India's commercial office sector is set for a record-breaking year, signalling a strong bounce back from the pandemic lows. The sector is expected to surpass its previous high, with anticipated leases reaching over 70 million square feet across major cities by the end of 2024. This surge is largely driven by the return of multinational corporations to physical offices and a significant increase in demand from global capability centres and flexible office operators. Bengaluru is leading the charge in space absorption, followed by Delhi-NCR and Hyderabad, with tech companies, financial services and manufacturers actively snapping up office space. Madhurima Nandy explains how this leasing boom is not just good news for real estate but also a positive sign for the economy.
04:3111/10/2024
Is your real estate agent a social media influencer?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, October 10, 2024. My name is Nelson John. Let's get started. Yesterday, the Reserve Bank of India left key policy rates unchanged, maintaining the repo rate at 6.5 percent. The RBI’s decision comes amid rate cuts by central banks worldwide, notably the US Federal Reserve, Bank of Japan, and Bank of England. The RBI remains wary of inflation, and thus doesn't want to cut rates just yet. Gopika Gopakumar writes that the decision still leaves room for a rate cut at the monetary policy committee's meeting in December. Faced with cost pressures, companies are keen on retaining their employees. Some plan to disburse more than 90 percent of variable pay since raises are expected to be modest this year. Key sectors such as manufacturing, auto, and IT are likely to pay bonuses in full, while the retail and consumer sectors will be more cautious. Anandorup Ghose from Deloitte India tells Devina Sengupta that while bonus payouts are typically within 90-110 percent of the target, variable pay differs by seniority. Roopank Chaudhary of consulting firm Aon notes that though some sectors have seen improvements, overall bonus projections for 2025 are similar to last year's, at about 13.6 percent of fixed pay. Salary hikes are expected to be around 9.5 percent next year, a slight increase from 9.3 percent this year. India is pumping 25 billion dollars into its semiconductor sector as it looks to get at least four more chipmakers to set up fabs. The focus is on legacy chips, which are essential in industries such as auto, aerospace and defence. These older chips are cheaper to make and maintain than the most advanced ones, such as those used in iPhones. The Tata-PSMC facility, the only commercial fab in India right now, is set to make chips ranging from 28 nanometers to 90 nanometers. While these are more advanced than typical legacy chips, the plant will also churn out the older variety to meet domestic needs and reduce imports, boosting India's revenue in the process. Shouvik Das takes a closer look at India’s big gamble on legacy chips. The Kalyanis, known for their substantial holdings in India’s industrial sector, including Bharat Forge, are embroiled in a contentious legal battle over the family’s wealth. Gaurishankar Kalyani, the youngest brother of Bharat Forge chief Baba Kalyani, has challenged a 2012 will of their late mother Sulochana Kalyani. He claims a newer will from December 2022 names him as the main heir, but Gaurishankar accuses him of coercing their mother into sidelining him. Priyanka Gawande explains the legal battle for control over multibillion-dollar assets. Is your real estate agent a social media influencer as well? Madhurima Nandy writes about such agents, who earn nearly 2 crore rupees a year from brokerage and influencer marketing fees. But they also offer other services: advice on what to avoid, whom to trust, and a rundown of real estate basics. As younger generations start buying property, social media has become fertile ground to attract such clients. Madhurima writes that real estate developers are getting into this as well, partnering with influencers to build hype around their projects. After fashion, beauty, food and finance, it looks like influencers have a new sector to sink their teeth into.
04:0710/10/2024
Goodbye zero brokerage fee apps
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, October 9, 2024. My name is Nelson John. Let's get started. Do you use a zero-brokerage app? That won't last too long. Soon, brokers such as Zerodha, Groww and AngelOne have to overhaul their business, as the market regulator has barred them from pocketing exchange fee waivers. It will force these brokers to raise their fees to make money. Dipti Sharma writes that these new-age brokers will now either charge a flat fee or a percentage of the order—much like their traditional counterparts. Sebi believes this will bring a balance in the market. Agricultural employment in India is rising. A recent survey showed that 46.1 percent of Indians now work in the farm sector, as opposed to 42.5 percent before the 2020 covid-19 outbreak. The primary drivers are the lack of better-paying jobs and more participation from women. Sayantan Bera writes that this raises concerns about productivity and disguised unemployment. Meanwhile, the political pressure for more state support due to agriculture's uncertain income continues to increase. He makes sense of the survey and proposes some solutions to counter this worrying trend. Bigger TVs are about to get cheaper! Televisions and ACs are in for a boost, thanks to some new government perks. The Ministry of Electronics and Information Technology plans to scrap import duties on TV panel open cells, Shouvik Das and Mihir Mishra report. This cut could make big-screen TVs cheaper in the country and is part of a bigger plan to crank up domestic TV production from 28 to 45 percent. The government is also looking at dropping customs duties on some TV parts and reducing the GST on local production of display panels from 28 to 18 percent. The Centre is also considering setting up local factories to boost domestic manufacturing of display components. Why does this matter? Well, the cost of display panels and open cells can make up half the price of a TV. Currently, most of these parts are imported, meaning a lot of the money from TV sales ends up outside India. But with these changes, we could see more of this cash staying in the country. India's renewable energy sector is seeing an unusual trend—companies are trading grid connectivity, with some aiming to profit quickly. Nehal Chaliawala spoke to executives who revealed that up to 10 gigawatts of the capacity to transfer renewable energy to the grid is up for grabs, priced between Rs 15-25 lakh per megawatt. In FY24, India ramped up its renewable capacity by 18.5 gigawatts to a total of 153 gigawatts. However, the infrastructure needed to connect these new green power sources to the Inter-State Transmission System hasn't kept pace. This mismatch has opened a door for middlemen and opportunists. The sellers range from companies altering their business strategies to opportunistic entities looking to cash in. Some engineering and construction firms even secure connectivity to resell it, tying it to contracts for building renewable projects. For more than two decades, India's domestic hockey leagues have struggled to maintain any continuity. Seven years after its last season, the Hockey India League is back with its latest stint, this time featuring both men and women. Last week's announcement comes on the heels of back-to-back bronze medal finishes over the last two Olympics. We invited Venkat Ananth to write about this year's edition, its financials, and the possible marketing plans to make hockey a widely-watched sport.
04:2009/10/2024
What's in store for IT stocks?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, October 8, 2024. My name is Nelson John. Let's get started. Over the previous quarter, the Nifty IT index rose around 14%, while the Nifty50 increased by around half that number. Harsha Jethmalani writes that this happened after the US Federal Reserve cut its interest rates by half a percent. That spurred BFSI clients to increase their IT spending. However, this money will only be seen on the books in the quarter next year. Harsha adds that recent comments from Accenture suggest a continued focus on cost-optimisation by clients, but the overall outlook does look better than it did a few months ago. Maldives President Mohamed Muizzu is in India, aiming to patch up strained ties and get Indian tourists heading back to his country’s stunning islands. Even though overall tourist numbers in the Maldives are up by 10 per cent this year, the number of Indian visitors has plummeted. Politics and international relations have nudged Indian travellers toward other destinations, which is a real hit to the Maldives where tourism isn't just big business—it's essential, contributing about 30% directly to its GDP. Back in 2023, Indian tourists made up 12 per cent of all visitors to the Maldives, but this year, that's halved to just 6 per cent. N Madhavan explains how Muizzu is planning to mend his country’s relationship with its biggest and most important neighbour - India. Hero Motocorp has dominated the two-wheeler sector for more than three decades. However, its former partner Honda now threatens to overtake this lead. This is the first time in years that the automative market has seen any sort of competitive action to this extent. The two companies were partners from 1984 to 2010. After their split, Hero and Honda ruled the motorcycle and scooter markets respectively. Sumant Banerji writes that both companies are making significant inroads into each other's strongholds. Sumant writes about the segment battles in detail, and outlines who is winning what — including the up and coming EV market. India's Ministry of Law and Justice is considering updates to the Civil Procedure Code to streamline civil lawsuits and reduce court backlogs. Inspired by the effective Commercial Courts Act, the proposed reforms aim to incorporate mandatory timelines and mediation efforts to expedite legal processes. This initiative is part of broader judicial reforms, including recent revisions to major criminal laws, aimed at speeding up justice. With over 5.6 million pending civil cases, these reforms are crucial for enhancing the efficiency of India's judicial system. The goal is to modernise the CPC, established in 1908, and ensure it meets contemporary legal needs more effectively, reports Manas Pimpalkhare. The festive season is here, and so is the season of festive foods. The joy of Hilsa, a favourite among fish enthusiasts, is marred this year by skyrocketing prices and scarce supplies. In Kolkata, the cost of a 1.5 kg Hilsa has surged by 600 rupees compared to last year, now fetching 2,000-2,200 rupees at wholesale and even more at retail. In Delhi's C.R. Park, daily arrivals have plummeted from up to four quintals in previous years to just one quintal. With Durga Puja around the corner, demand is spiking, and prices are expected to climb even higher, potentially increasing by 400-500 rupees per kg. Puja Das reports on the root of the problem, which lies in the dwindling catch—down over 70% since the 1980s—and a reduced import window from Bangladesh.
04:1708/10/2024
How will your portfolio react to a World War 3?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, October 7, 2024. My name is Nelson John. Let's get started. Last week was a bit of a disaster for the markets: the Nifty fell 5% over the previous four trading sessions. This selling-heavy trend was in contrast to a bullish market from the prior week, which saw Nifty hitting a record high. Ram Sahgal writes that foreign investors sold heavily, booking profits. Meanwhile, a stimulus by the Chinese government into its economy too attracted investors. Ram analyses the current trends, and speaks to market experts on when a bounceback is expected. As tensions in West Asia escalate, you might be worried about your portfolio. But despite historical volatility, stock markets have shown resilience in the face of geopolitical tensions. Notably, the US stock market has, on average, only dipped 5% during major events since World War II — and recovered quickly. Abhishek Mukherjee writes that the pattern is similar for Indian markets. The NSE Nifty in India quickly rebounded after initial losses following the Russia-Ukraine conflict, as well as the tensions in Gaza. However, for India, the primary concern amid such conflicts remains the impact on oil prices. India has a significant dependence on oil imports, which are crucial to its macroeconomic stability. If any war-related tensions lead to prices of oil rising, the markets may not take to it very kindly. India’s shipping ministry is setting new guidelines that could significantly benefit domestic shipping companies. They're proposing that international container lines operating in Indian waters reserve at least 5% of their cargo space for local operators. This initiative is designed to bolster Indian container lines and non-vessel operating common carriers — companies that arrange shipments but don't own the vessels themselves, reports Subhash Narayan. Currently, Indian entities handle less than 1% of the nation’s trade, a figure this policy aims to increase by enhancing their access to global markets. This policy also supports the domestic shipbuilding industry and lessens India’s dependency on foreign shipping services, which often leads to high freight charges during global disruptions. RP Sanjiv Goenka Group’s music label Saregama India is eyeing a big move into the film industry by potentially snagging a majority stake in Karan Johar’s Dharma Productions. This isn't a done deal yet—sources told Lata Jha that the deal is still up in the air. This follows its acquisition of digital entertainment player Pocket Aces Pictures. Why the interest in Dharma Productions? Well, Dharma’s been feeling the heat from the unpredictable box office, pricey star fees, and shrinking revenue from traditional rights deals. These challenges are pushing it to find a financial lifeline to keep up its operations. Indians eager to travel abroad face a mixed bag of options, with the Indian passport ranking 81st globally. It offers visa-free access to 29 countries and visa-on-arrival in 28 others. However, the rise of e-visas and Electronic Travel Authorizations brings both convenience and potential pitfalls. For a smoother experience, e-visas are increasingly popular among Indian tourists. These allow you to apply from home without visiting an embassy. But remember, these come with variable processing times and fees. Common pitfalls include documentation errors leading to application rejections. It's critical to ensure your application details match your documents perfectly and to apply well in advance of your travel. Read this piece by Mint Money’s Jash Kriplani if you want to streamline your international travel by using e-visas.
04:2407/10/2024
Bloodbath on D-street as hot money races to China
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, October 4, 2024. My name is Nelson John. Let's get started. The festive season usually brings a buzz to India's stock markets, but this year it's been anything but cheerful. Over July and August, investors saw their wealth shrink by a whopping Rs 11 trillion due to a record exodus of foreign investors, a bounce in Chinese stocks, and brewing tensions in the Middle East – not to mention steep valuations of Indian stocks. Here's the kicker: all this drama synced up with the weekly Nifty expiry on Thursday, known for causing wild swings, so the Nifty and Sensex dropped more than 2%. This was the steepest in two months, driven by a record single-day sale of shares worth more than 15,000 crore rupees by foreign institutional investors. While domestic institutional investors did step up with purchases worth nearly 13,000 crore, it wasn't enough to prevent the dip. Catch Ram Sahgal’s report chronicling the bloodbath on D-street in the show notes. Direct-to-consumer fem-tech startups are gaining traction in India. This trend is driven by increased female employment, higher disposable incomes, and savvy social media marketing. Sowmya Ramasubramanian and Suneera Tandon write that despite capturing less than 10% of the market, these startups are already worrying major players. There are obvious challenges, such as cultural stigmas and affordability, especially in rural areas. However, the sector has seen modest investments so far. It's placement season for engineering colleges. Last year was rough, with many companies backing out as they faced financial crunches. Devina Sengupta reports this year looks much the same, unfortunately, with recruiters staying cautious. Global economic uncertainties, including wars, inflation, and the US presidential election's potential impact on offshoring policies are to blame. Devina explains how colleges are responding to this problem, and the salaries graduates can expect in such a job market. Japan's Mitsubishi UFJ Financial Group has ended up as the sole candidate to pick up a majority stake in Yes Bank, after other potential buyers Sumitomo Mitsui Banking Corp. and Emirates NBD backed out due to India’s strict caps on voting rights, Anirudh Laskar and Gopika Gopakumar report. MUFG sees big potential in India's financial sector and has begun conducting due diligence with help from JP Morgan. The road hasn’t been smooth, though. Yes Bank has been looking for a new owner for more than six months, but India's rules limiting voting rights in private banks to 26% have turned many away. Despite the restrictions, MUFG is exploring ways to buy more than 26% of Yes Bank. India's goods exports have grown marginally in the first five months of the fiscal year, rising only 1.1% year-on-year. The post-covid surge in goods exports appears to have subsided. But, the real story is the boom in services exports, which shot up by about 11% during the same period. In August alone, services exports jumped to $30.7 billion, inching closer to goods exports at $34.7 billion. If this trend holds, services could outpace goods exports soon, marking a major shift that’s been brewing for over two decades. Our partners at HowIndiaLives.com delve deeper into the changing landscape of Indian exports. A decade ago, services exports were just a third of India’s total exports, but this July they accounted for 47%. Since 1993, services exports have grown by an average of 14% a year, outpacing the 10.7% annual growth rate of goods exports. India is now the world’s 7th-largest services exporter, up from 24th in 2001. Show notes:Bloodbath on D-street as hot money races to ChinaMenstrual hygiene products are stuck in time. These startups want to change thatIIT hiring: Will it be a rocky one for the batch of ‘25?MUFG: Last man standing in Yes Bank saleThe silver lining in India’s exports basket
04:2104/10/2024
What’s next in the Israel-Iran conflict
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, October 3, 2024. My name is Nelson John. Let's get started. We might be on the verge of world war three, as Iran's recent airstrikes on Israel underscore Tehran's readiness to confront any perceived threat. Shweta Singh explains why the situation could escalate, and how the US is involved in the mess. Shweta also explains the implications of this development on India, including how it could affect trade, and helps you understand the complex geopolitical dynamics at play. In a move to slash legal costs, the Indian government is setting the stage for a new national litigation policy, targeting cases where government entities end up suing each other. With this step, the law ministry aims to curb the financial drain caused by such disputes, particularly among public sector undertakings, Dhirendra Kumar reports. The initiative targets disputes like tender disagreements between PSUs, which not only incur substantial legal costs but also burden the judiciary. With over 50 million pending cases nationwide, such disputes exacerbate the backlog and strain on the legal system. The policy aims to streamline processes and reduce unnecessary legal confrontations. If you qualify as ultra-rich, chances are you’re tired of five-star hotels. Varuni Khosla writes that super-rich travellers are increasingly drawn to boutique resorts, which offer an intimate and luxurious experience accompanied by meals by high-profile chefs. These resorts are typically in remote locations and cater to the demand for unique and personalised vacations. Affluent millennials are spending more than 25,000 rupees a night to stay at such resorts. Google's in a bit of a spot in India. The tech giant has decided to settle an antitrust case after the Competition Commission of India flagged its deals with smart TV makers as a no-go under the competition laws. This is a big deal because it's the first time a company is testing India's new settlement process, writes Gireesh Chandra Prasad. Introduced last year, the process could get Google a 15% reduction on the penalty. The CCI initiated the probe in 2021, based on allegations that Google violated competition laws in the Android TV market, specifically through its restrictive agreements with smart TV manufacturers. These agreements allegedly limited the manufacturers' ability to use or develop alternative Android systems.Indian IT services are gearing up for their September quarter results, with Infosys expected to lead in revenue growth among the top five firms. Analyst forecasts suggest Infosys could achieve revenue growth exceeding 3%, driven by the ramp-up of previously secured deals and the integration of the newly acquired In-tech, Jas Bardia reports. TCS is also expected to grow, though at a more modest 1.5% to 2.4%, supported by its substantial 4G network deployment deal with BSNL. As for the others, HCL Technologies could see growth of up to 1.9%, while Wipro's projections indicate a slight increase or even a minor decline in revenue. TCS will release its results on the 10th, followed by other major firms. Show notes: Mint Primer | Iran strikes Israel: What next?Government’s new litigation policy to target costly PSU disputesBoutique resorts with celebrity chefs: For the uber-rich bored with luxury staysGoogle offers to settle anti-trust case in smart TV probeInfosys to lead Indian IT pack this festive season
04:0203/10/2024
GST: Anti-profiteering regime to end soon
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, October 2, 2024. My name is Nelson John. Let's get started. The Indian stock market closed the volatile trading session on a flat note on Tuesday, October 1, amid mixed global signals and uncertain economic indicators. The Nifty 50 closed the session 0.05% lower while the Sensex ended with a slight decline of 0.04%.. The Goods and Services Tax has undergone a series of amendments since it was introduced in 2017. Yesterday the Central Board of Indirect Taxes and Customs announced yet another important change: an end to the anti-profiteering regime. This had been put in place to ensure that businesses passed on the benefits of GST rate cuts to consumers. Gireesh Chandra Prasad reports that with its removal, businesses will have more freedom to set prices. This change is part of a broader effort to simplify GST compliance, Gireesh adds. The Leela group of hotels filed papers for a 5,000 crore rupee IPO last month, reflecting a growing appetite for both luxury tourism and luxury hotel stocks. Experts told Abhinaba Saha they expect healthy demand for Leela’s IPO, the largest in the hospitality segment to date, as luxury tourism is just getting started in India. Luxury hotel chain operator Ventive Hospitality announced an IPO worth at least Rs 2,000 crore just a few weeks ago, while Juniper Hotels and Apeejay Surrendra Park Hotels were listed in February. Ever seen ads for music CDs and glass tumblers? They are all over billboards and TV sets, but you’d be hard pressed to find the actual products on sale. That’s because they’re surrogate ads for products such as alcohol. Liquor manufacturers aren't allowed to advertise their products, so resort to such tactics. However, Dhirendra Kumar reports that the Central Consumer Protection Authority is now cracking down on companies that use surrogate advertising and could fine repeat violators 50 lakh rupees. When Ranveer Allahbadia's YouTube account – which has 17.33 million subscribers – was hacked on September 25th, it highlighted a growing concern about cybersecurity among content creators. Allahbadia's experience served as a stark reminder that no one is immune to cyber threats. Pratishtha Bagai writes about a recent Kaspersky study that revealed 20% of Indian internet users were victims of cyber threats in the first half of 2024 alone. Influencers are now increasingly using two-factor authentication (2FA) and limiting device access to their accounts. Yet, many creators rely on platform support after the fact, rather than taking proactive steps to secure their accounts. Industry experts suggest that influencers, like businesses, should seek professional cyber protection services.In India's film industry, big-budget spectacles such as Baahubali and Pathaan rake in massive sums at the box office but often see modest profits owing to high production costs. Conversely, mid-budget films have delivered impressive returns. Stree 2, which cost around ₹60 crore to make, grossed more than ₹600 crore. Such films manage to appeal to both urban and regional audiences, often without major stars, and thus have a better return on investment, writes Lata Jha. Sequels such as Gadar 2 and Stree 2 continue to attract audiences by leveraging the success of their predecessors, maintaining interest without the hefty marketing budgets that larger films typically require. GST-related anti-profiteering regime to end in March next year, marking shift towards free pricingLeela's IPO is a bet that luxury tourism in India is just getting startedLiquor makers in crosshairs over surrogate ads, CCPA calls for punitive actionAre social media influencers equipped to dodge cyber attacks?The curious case of mid-budget breakout hits
04:1502/10/2024
What way will Haryana vote this time?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, October 1, 2024. My name is Nelson John. Let's get started.Nearly 300 stocks, including JSW Steel and NTPC, reached one-year highs on the BSE, despite the Sensex and Nifty 50 dropping over one per cent amid weak global cues.Last week, the government of China infused 143 billion dollars into its economy to try and revive it out of a slump. This led the Chinese public markets to experience their best week in more than 16 years. Initiatives also included a 2 trillion yuan bond, easing rules for buying homes, and revival of consumer spending. N. Madhavan explains this stimulus package, and how it might affect the Indian economy.Investors always wondered when Swiggy would list on the public markets. After its rival Zomato touched record highs this year, that intrigue turned into a fertile ground for Swiggy to have its IPO. This has also led Swiggy's shares being sold and re-sold all over at sky-high prices in the grey market. While Swiggy's current market cap is around 80 to 90,000 crore rupees, investors are hoping that this amount at least doubles to reach the vicinity of Zomato's 2.5 trillion rupee valuation. Neil Borate and Anil Poste speak to Swiggy's investors, and outline the current situation in the grey markets.Infamous Shark Tank judge and co-founder of BharatPe Ashneer Grover reached a settlement with the fintech unicorn yesterday. He officially ended all associations with the company. Mansi Verma writes that as part of the agreement, some of Grover's shares will be transferred to the Resilient Growth Trust, while the remainder will be managed by his family trust. All ongoing legal cases between the parties will be dropped.Placement teams at India's top tech schools, notably the IITs, are getting proactive. They're reaching out to potential recruiters early this year, hoping to avoid last year’s job placement struggles. Devina Sengupta however reports that companies from IT, manufacturing, and banking sectors are still on the fence about how many grads they’ll hire from the 2025 batch. The older IITs, like those in Madras, Bombay, and Delhi, typically start their placement season in December, while the newer ones begin as early as August to get a head start. Last year didn’t end well for many grads who remained unplaced due to a cautious hiring climate amid economic uncertainties. Some early recruiters like Samsung, Accenture, and Larsen & Toubro have already shown interest, and companies like Godrej Properties are looking to increase their hires from these institutes. IITs are also targeting startups and quick commerce platforms, with companies like Meesho planning to significantly increase their campus hires from last year.In Haryana, despite its economic prowess, life isn't as rosy for everyone. The state, boasting a per capita income much above the national average, hides a different reality in its villages, which make up about 65% of its population. As the state gears up for elections, this stark contrast between the prosperous urban areas like Gurgaon and the struggling rural regions like Kulana is shaping the political battleground. This year, the fight is straightforward, boiling down to a direct clash between the BJP, holding the fort for two terms, and the Congress. The real issues fueling this face-off aren't just economic stats but real-world problems affecting daily lives—agricultural distress, contentious army recruitment policies, and a heavy reliance on unreliable migrant labour. Sayantan Bera takes a deep dive into the issues, challenges, and problems faced by Haryana voters as the state goes to polls this coming Saturday.
04:1001/10/2024
Stockbrokers raise alarm against fake WhatsApp groups
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, September 30, 2024. My name is Nelson John. Let's get started.WhatsApp groups are full of people pretending to be legitimate advisors offering stock market advice. These groups promise unrealistic returns and insider information, and have caught the attention of market regulators. Stockbrokers are also raising alarms to such practices. The scams have not only duped investors, but also posed significant reputation risks to the impersonated firms. Dipti Sharma, Neha Joshi, and Shayan Ghosh bring you the details of how the authorities are fighting back to regain the public's trust.The subsidies provided by the Indian government keep dwindling. Now, the focus has shifted towards incentivising players to set up their manufacturing facilities in India. Alisha Sachdev reports that from next April, manufacturers will be required to locally source even the smallest components, otherwise known as child parts. The new phased manufacturing plan also outlines detailed processes for each component to ensure that key steps are performed domestically.Accenture's recent earnings report has sparked optimism within the 260 billion dollar Indian IT sector. Accenture has forecasted a better financial year moving head, especially in the Generative AI-related space. Shelley Singh writes that the Indian IT sector is using Accenture's report as a bellwether and hoping for better revenues moving forward. In particular, there are hopes that banking and the financial sector at large are likely to also spend more towards IT.In November 2010, then-Gujarat Chief Minister Narendra Modi visited Chennai to invite Tamil Nadu textile entrepreneurs to set up spinning units in Gujarat. In a state where cotton was plentiful, and power was reliable, this invitation meant big savings on transport and energy. Despite his compelling argument, Tamil Nadu's textile industry, with its robust workforce and deep-rooted infrastructure, chose to stay put. Over a decade later, the textile industry in Tamil Nadu faces even greater challenges, from heavy reliance on migrant labour to increased operational costs. N Madhavan examines how this has prompted some units to consider relocation to states like Madhya Pradesh and Odisha for better proximity to labour and lower wages. Despite Tamil Nadu resolving its power issues, the textile sector's future in the state remains uncertain due to these compounded challenges.IBM and Accenture are making significant strides in the generative AI sector. IBM has reported over $2 billion in GenAI bookings and sales, with Accenture close behind at $3 billion for the fiscal year. Both companies attribute much of their success to their robust consulting services, a strategy not fully embraced by India’s top IT firms like Tata Consultancy Services, Infosys, and HCL Technologies, which do not report their AI or consulting revenues separately. This approach isn't just about leveraging AI technology; it's integral to their business development strategies. Jas Bardia reports on how both firms are proactive in integrating AI into their client engagement processes, often starting with proof of concepts at early sales stages. Stockbrokers raise alarm against fake WhatsApp groupsIndia's local sourcing rules for EV subsidies to tighten Will Accenture’s gain have a ripple effect on Indian IT? Why texpreneurs are unable to capitalize on the shift from China & BangladeshLessons for Indian IT services firms as Accenture, IBM lead GenAI charge
04:0930/09/2024
Another telecom revolution brewing?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, September 27, 2024. My name is Nelson John. Let's get started.Online brokerage firm Zerodha generated over ₹8,000 crore in revenue last fiscal year, with profits reaching ₹4,700 crore, according to founder Nithin Kamath. However, Kamath cautioned that the coming year might not be as bright, with a significant revenue drop on the horizon. Recent regulatory changes, aimed at protecting retail investors, are expected to hit brokerages hard. Abhinaba Saha delves into these new rules and their potential impact on both brokerages and retail investors.India's National Medical Commission (NMC), responsible for overseeing medical education, is grappling with internal conflicts among its four autonomous boards. Poor coordination has led to the cancellation of several public notices, prompting the NMC to seek intervention from the Union health ministry, sources told Mint’s Priyanka Sharma. The issue came to light when the boards issued conflicting decisions while reviewing applications from medical colleges. In one instance, a college was penalized by one board while another approved an increase in its seat capacity. This inconsistency is raising alarm, especially in the wake of recent controversies, such as the NEET exam paper leak.Radisson Hotel Group is rapidly expanding its footprint in India, capitalizing on opportunities in both major cities and growing smaller towns. Nikhil Sharma, Radisson’s managing director for India, told Varuni Khosla that while the country has 200,000 branded hotel rooms, there's still a significant gap between supply and demand. This imbalance is driving Radisson’s aggressive growth strategy, which includes tapping into religious tourism markets with new properties in Ayodhya and Vrindavan. This move is part of a larger strategy that has already placed Radisson ahead of competitors like IHG and Hilton in India, with its 115 hotels generating around ₹4,000 crore in revenue. The group, which manages brands like Radisson Blu and Park Inn, has 80 more hotels under development as part of its broader expansion plan.The telecom department is exploring a major policy shift by potentially waiving the requirement for telcos to deposit bank guarantees for spectrum acquired before 2022. The move is part of the broader reforms in the telecom sector. Starting in 2024, companies will no longer need to provide these guarantees under the new rules. The potential waiver is backed by precedents set in 2017, when the government extended the payment period for spectrum purchases from 10 to 16 years and reduced interest on penalties.The recent wave of harassment allegations in the movie industry reveals that little has changed in Hindi, Bengali, and Malayalam cinema. Lata Jha highlights that this misconduct manifests in various ways, including demands for sexual favours, unwarranted attention on and off sets, unequal pay, and inadequate facilities for women's hygiene. The Hema committee report reinforced what many in the industry already knew—widespread misbehaviour and misconduct remain pervasive. In this piece, Lata delves into the industry’s culture, the allegations, and the persistent lack of accountability within the system.
03:5827/09/2024
How much will it cost to watch Coldplay in Abu Dhabi?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, September 26, 2024. My name is Nelson John. Let's get started.Were you one of the thousands of Coldplay fans stuck to their screens, trying to score a ticket? The rush for Coldplay tickets turned intense on September 22, with 13 million fans chasing just 150,000 spots for their Navi Mumbai concert next January. The original ticket price was 6,450 rupees, but now resellers are listing them for upwards of 36,000 rupees! Given the high resale prices, some fans are thinking outside the box by considering a trip to Abu Dhabi for Coldplay's January 11 concert, where tickets start at a more reasonable ₹4,411. After crunching the numbers, Sashind Ningthoukjam writes that flying to Abu Dhabi could end up cheaper than snagging a resale ticket for the Navi Mumbai show. A round trip from Mumbai, a couple of nights’ stay, and a short-term visa totals about ₹30,000. That's a savings tip and a mini-vacation rolled into one for die-hard Coldplay enthusiasts!India is setting its sights on becoming a major global maritime player by 2047. It currently holds less than 1% of the global market share in shipping. Spearheaded by Minister for Ports and Shipping Sarbananda Sonowal, the government’s new strategy aims to revolutionize maritime activities through twelve targeted missions. These include enhancing shipbuilding, reducing dependency on foreign vessels, and launching a ₹25,000 crore Maritime Development Fund to fuel these ambitions, Subhash Narayan reports. On top of boosting local shipbuilding and repair capacities, India is also stepping up its game in maritime arbitration with the new Indian International Maritime Dispute Resolution Centre, aligning with the "Resolve in India" mantra.Mahindra & Mahindra and the Volkswagen Group are in advanced talks to intensify their partnership. The two companies are aiming to leverage shared investments in future technologies rather than engaging in cash transactions. Sources told Alisha Sachdev that Mahindra might make significant investments in platforms and technologies to acquire a sizeable stake in Volkswagen's India operations, with a formal agreement potentially being finalized by early 2024. The focus of this collaboration is on utilizing Volkswagen's underutilized Pune plant, which has a substantial expansion capacity. After a long and successful run, home sales and project launches have gone tepid. All eyes are now on the coming festive season, which is traditionally considered as the best-performing period for the property sector. This could revive the momentum in sales and launches. Madhurima Nandy explains what's at stake for the real estate market this Diwali season.After a huge rise in the disbursal of small-ticket loans, borrowers are defaulting. The volume of credit card dues where repayments are delayed by over 90 days has increased 17 basis points year-on-year, reports Shayan Ghosh. Analysts said this might be happening because a section of borrowers are exhausting their credit limits but are unable to repay. We hope you’re up to date with your outstanding bills!
03:4426/09/2024
Why does LTIMindtree continue to struggle?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, September 25, 2024. My name is Nelson John. Let's get started.Anura Dissanayake became Sri Lanka's new president this week. Leading a socialist alliance, he won on the back of an anti-corruption campaign. We invited Shweta Singh, an associate professor in the department of international relations at the South Asian University, to explain the implication of his win. A massive focus on economic reforms is expected to be Dissanayake's first move as president. Shweta also explains the ramifications of the election result on relations between India and Sri Lanka, as well as China's growing influence in India’s southern neighbour.Boutique investment banks are expanding their roles in the startup ecosystem by not only advising on fundraising but also investing directly. Sprout Capital, Merisis Advisors, and Dexter Ventures have established micro-venture capital funds to tap into diverse revenue streams and capitalize on the potential of various stages of startup growth. These banks are particularly interested in unique investment opportunities, such as buying secondary blocks from ESOP holders and early angel investors looking for liquidity, Priyamvada C reports for Mint. This approach provides a solution for founders who want to avoid wealth firms//what’s that?// but need to create liquidity. For instance, IndigoEdge is setting up a $40-50 million fund to invest in late-stage startups, focusing on small, less attractive investment blocks that do not interest larger investors.India is ramping up its aviation game by planning 29 new airports in small towns over the next two decades, aiming to transform these areas into aviation hubs. The plan, spearheaded by the Airports Authority of India, targets states like Gujarat, Karnataka, Madhya Pradesh, and Jharkhand, with Gujarat getting the lion's share—nine airports. Mihir Mishra reports on the move, which is part of a broader initiative that includes a five-year strategy to upgrade 50 existing airports and develop additional ones in major cities to handle growing passenger numbers. These future airports, geared to accommodate large aircraft, are part of an effort to ensure long-term growth and connectivity, especially to international destinations. While the ambitious plan promises to enhance regional air travel and boost economies, experts advise that these expansions be driven by genuine passenger demand rather than political agendas.Foreign streaming giants are treading cautiously in India, a market notorious for its tough competition and price sensitivity. Companies like Warner Bros have delayed launching their own apps, opting instead to license content to local platforms like JioCinema. Similarly, Apple has partnered with Bharti Airtel to offer Apple TV+ without creating local originals. The hesitation stems from modest ad and subscription revenues, driven by the niche appeal of their content. Experts who spoke to Mint’s media and entertainment correspondent, Lata Jha, suggest that to win in India, global streamers must tailor their strategies to align with the unique preferences of Indian viewers, such as offering affordable subscription plans and ad-supported models.It's been two years since Larsen and Toubro and Mindtree had their giant merger to create a new IT company. However, till today, the cultural differences between the two entities have not subsided: some 20-odd senior leaders have quit. Over the last two years, LTIMindtree has only been able to record 700 million dollars worth of revenue. Shelley Singh writes about how the falling profits are emblematic of the lack of successes in India's IT sector, outlined by LTIMindtree's merger.
04:2925/09/2024
Cheaper diamonds are here
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, September 24, 2024. My name is Nelson John. Let's get started.Banks are finding creative ways to attract new customers amid a deposit crunch. Smaller banks in particular are spicing up their offerings to stand out. They're partnering with fintechs and rolling out products such as standalone fixed deposits and secured loan-linked deposits. Anshika Kayastha reports on how this shift is helping banks compete with mutual funds and insurance options which have been drawing in more household savings. Banks are also teaming up with platforms such as PhonePe and Mobikwik to offer FDs without the need for a bank account, aiming to make banking as convenient as online shopping. As the festive season approaches, online sellers of refurbished electronics such as smartphones and laptops are gearing up for a sales boost. ReFit Global and Cashify, leaders in the refurbished market, are expecting significant increases in sales figures during the festive months, which is traditionally a high point for electronics purchases. Despite the availability of newer devices at competitive prices, refurbished models continue to attract consumers looking for cost-effective alternatives, reports Sowmya Ramasubramanian. These are particularly popular in tier-2 and tier-3 cities, where budget-conscious consumers can access premium brands at reduced prices. Moreover, the convenience of monthly payment options and the increased presence of these products on major e-commerce platforms enhance their appeal. Speaking of smartphones, let's talk about Samsung. A workers' union is protesting against low wages at the company's plant in Chennai. Talks with Samsung’s management have not progressed and the protests are in their third week. Sumant Banerji and N Madhavan teamed up to bring you an on-ground report of this stalemate. The workers have three main demands: recognising the labour union, increasing wages and improving working conditions. For now, Samsung has hired contractual workers to ensure that its production isn't halted for too long. But who will blink first? The union doesn't seem like it will budge, while Samsung has faced a slew of issues that has reduced its market share. JSW Group is moving its massive 40,000 crore rupee EV and battery project from Odisha to Maharashtra, chasing political stability and new opportunities. Initially planned for Cuttack and Paradip, they're now eyeing Aurangabad and Nagpur, Alisha Sachdev reports. This switch follows Maharashtra's welcoming of big-ticket projects such as JSW Energy's 25,000 crore rupee lithium battery venture in Nagpur and a 27,200 crore rupee electric vehicle plant in Chhatrapati Sambhaji Nagar. This isn't the first time a big name has shifted a plant because of regional politics—remember Tata’s Nano move to Gujarat in 2008? Similarly, JSW’s pivot aligns with its strategy to enhance supply chains and secure a stable setup. If you've been in the market for diamonds in the past couple of years, you may have been tempted to buy lab-grown ones, which are nearly indistinguishable from their natural counterparts. Varuni Khosla and Suneera Tandon report that as the festive season approaches, customers are likely to find great deals as the diamond market is seeing a massive correction in prices. Real diamonds are about 20 percent cheaper, while lab-grown diamonds have seen a whopping 100 percent drop in prices. This is also an important development for India, as roughly 90 percent of the world's diamonds are polished here.
04:0924/09/2024
Time to work from Dubai?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, September 23, 2024. My name is Nelson John. Let's get started.Aswath Damodaran is known as the "dean of valuation". In a free-wheeling conversation with Abhishek Mukherjee, Damodaran talks about how he assesses companies — especially family-run ones, as well as the current dynamics of the Indian stock market, and how to read the corporate life cycle. Retail investors should not miss out on his answers about Zomato's stock price valuation, which is up more than 130 percent year to date.The Competition Commission of India is nearing the end of its four-year antitrust investigation into Amazon and Flipkart. They've been asked to hand over financials which could determine hefty fines based on global sales if found guilty of anti-competitive practices like favoring certain sellers and pushing aggressive discounts. This move comes as the CCI looks to ensure fair play in India’s rapidly growing digital market. With the law now requiring a thorough hearing before a final decision, all parties involved will get a chance to present their case, making sure the process is transparent and just. Gireesh Chandra Prasad reports on the antitrust body’s push for a level playing field where small businesses can compete fairly against the big e-commerce platforms.Brands are tweaking their influencer strategies to maximize their marketing spend. The growth in influencer marketing in India is strong, but figuring out the actual return on investment is tricky. Pratishtha Bagai reports on how new-age companies are cutting down on influencer marketing budgets. For instance, beauty brand Plum slashed its influencer budget to half after seeing the real numbers. Similarly, Libas, an ethnic wear brand, is honing in on affiliate links and coupon codes to directly track sales from specific influencers, paying them based on performance. Smaller brands are also eyeing nano influencers—those with fewer than 10,000 followers—since they engage more and cost less, despite not always getting the spotlight from big agencies. Some brands even bypass agencies altogether, managing influencer relations themselves to ensure a better fit and efficiency.Netflix and other streaming platforms are on edge after a recent controversy over a Netflix series prompted calls for stricter content regulation. Already cautious under the 2021 IT Rules, these platforms are worried that the outcry might lead to tighter controls. A senior streaming executive told Lata Jha that companies are closely monitoring social media reactions to avoid potential legal battles. The fear is that any new regulatory body could slow content approval processes, akin to the current film censorship board, stifling creative expression. This anxiety comes as streaming services see stagnating subscription growth in India, despite a broad viewer base. Controversies not only threaten to derail individual shows but could tarnish the entire industry's image. Ever since Covid, an ever-growing number of Indian professionals have moved to Dubai to work. The Gulf city offers a year-long working visa for Indians. Moreover, you can avail of facilities like banking and housing rather seamlessly. The catch? You need to earn a minimum of 3,500 us dollars a month, roughly 3 lakh rupees. You would also need adequate health insurance with coverage in the entirety of UAE. Jash Kriplani brings you the details of such a move, which would still make you liable to pay taxes in India.
04:1123/09/2024
Adani readies $7 billion war chest
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, September 20, 2024. My name is Nelson John. Let's get started. On Thursday, Indian equity markets hit another record high following the US Federal Reserve's decision to cut interest rates by 50 basis points—double the expected 25-point reduction. Harsha Jethmalani notes that Indian markets are anticipating further rate cuts ahead. While the European Central Bank has already reduced rates, Harsha points out that the RBI may refrain from doing the same due to persistent inflationary pressures.This week, dozens were injured and some killed across Lebanon and Syria after pagers exploded. Hezbollah had been using these low-tech devices to communicate, fearing smartphones could be tracked. These pagers, which only receive messages via radio frequencies and aren't connected to any network, offer a lower-tech alternative. Leslie D'Monte reports that despite their perceived redundancy, pagers and walkie-talkies are still widely sold. He also notes that cellphones and smartphones, equipped with GPS tracking, are even more vulnerable to such attacks.The Adani Group is on a shopping spree. The budget? Around 7 billion dollars. Anirudh Laskar reports that this amount would be spread across cement, airports, defence, ports, and FMCG. The deals are supposed to be concluded in the current financial year. While the conglomerate has completed over 60 acquisitions in recent years, activity paused following the Hindenburg Research report in early 2023. Anirudh notes that in its three-decade history, the company has never embarked on such an aggressive expansion plan.In the pre-pandemic era, Indian startups and their investors were fixated on one key metric: Gross Merchandise Value (GMV), which measures total sales without accounting for discounts or operational costs. This focus drove rapid growth, backed by abundant investment. However, the pandemic shifted attention towards unit economics, pushing investors to scrutinize profitability per rupee spent as startup losses mounted. This transition marked a shift from celebrating growth at any cost to prioritizing financial sustainability. Priyamvada C reports that many Indian startups are now adopting this more sustainable approach, with a renewed focus on improving their unit economics.Goa’s picturesque beaches and vibrant nightlife have long been a magnet for tourists, but in recent years, the region has also emerged as a hotbed for real estate development. Spurred by the pandemic, demand for 'second homes' in Goa has surged, with luxury homes and premium plots reaching record prices. Property portals like 99acres.com and Housing.com now list residential plots in Goa for up to ₹5 crore, highlighting the intense interest in the market. However, this boom is not without challenges, writes Madhurima Nandy. The rapid transformation has raised local concerns about the sustainability of such growth and the preservation of Goa’s cultural and environmental heritage. Markets want Fed to go fast and furious on rate cutsPager bombs: Are low-tech devices sitting ducks?Adani’s resurgence: A $5-7 bn war chest for cement, ports, defence acquisitionsFrom growth at all costs to sustainable growth: the maturing of Indian startupsLiving in paradise: The great Goa realty rush
03:3920/09/2024
Be aware of the bull market’s investing myths
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, September 19, 2024. My name is Nelson John. Let's get started. India’s frontline equity indices traded within a narrow range on Wednesday amid market volatility, as investors remained cautious ahead of a crucial US Federal Reserve meeting. The Nifty ended the session down 0.16 percent, while the Sensex also slipped 0.16 percent from its previous close. As the festive season approaches, online shoppers might find it harder to return fashion, accessories, home decor, and kidswear. Sowmya Ramasubramanian reports that companies like Flipkart and Amazon are setting tougher return policies to boost profits and cut logistics costs. Typically, returns jump 30% during festival sales, but this year, firms might shorten return periods, charge fees, or offer store credit only, particularly for serial returners. While loyal customers might enjoy some leniency, the aim is to curb the costly trend of impulse buys and returns that surge during sales. This strategy includes not just the major e-commerce players but also direct-to-consumer brands, all navigating the trade-offs between customer service and profitability. With the festival season in full swing, Indians are shopping in bulk, and metro cities are witnessing a shift in large purchases—more people now prefer home delivery. This spells good business for e-commerce and quick commerce firms. However, as demand surges, these companies will need additional manpower to manage and deliver orders. Sowmya Ramasubramanian, Suneera Tandon, and Devina Sengupta report that these firms are expected to increase their workforce by up to 20 per cent between August and December. To meet the rising demand, logistics firms are offering gig workers both monetary and non-monetary incentives. Many investors place all their bets on equities, driven by their bullish outlook on the Indian stock market and the hope of reaping windfall gains as their portfolios rise. The broader market supports this optimism, with Nifty and Sensex both up over 20 percent in the past year. Finfluencers often advocate for a strong equity-focused approach as well. However, through a fun narrative, Vivek Kaul explains why it’s still wise to consider less thrilling assets like fixed deposits or PPF to maximize your returns. Singapore's Temasek Holdings is set to acquire an 18-20 percent stake in Cloudnine Hospitals from Peak XV for approximately $125 million. This move comes as Cloudnine, a specialist in mother and baby care, prepares for a public listing next year, with the deal valuing the company at around $600 million, reports Sneha Shah. Peak XV is making its exit after more than a decade, securing a substantial return on its 2013 investment. The transaction is part of a broader cap table realignment for Cloudnine, which also raised funds earlier this year to support its expansion across India's major cities.India is reassessing parts of its new criminal laws after feedback and judicial observations flagged the risk of potential misuse. The focus is on Sections 85 and 86 of the Bharatiya Nyay Sanhita (BNS), which address domestic violence against women. These sections mirror the old IPC's Section 498A, which was designed to protect women from dowry-related abuse but faced criticism for being misused against husbands and their families. Concerns raised by the Supreme Court over the lack of safeguards have spurred this reevaluation, reports Manas Pimpalkhare. Simultaneously, the law ministry is advocating for arbitration to help address the massive backlog of over 50 million cases in Indian courts, promoting alternative dispute resolution to expedite justice and reduce the burden on the judiciary. E-commerce orders may be harder to return this festive seasonConsumer firms shower gig workers with festive incentivesInvest 100% in stocks? Be aware of the bull market’s investing mythsTemasek set to buy PeakXV’s 20% stake in CloudnineSection 498A: Centre may review the domestic violence law
04:2619/09/2024
Adani’s semiconductor play
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, 18 September 2024. My name is Nelson John. Let's get started.Indian benchmark indices, the Nifty and the Sensex, saw a marginal rise on Tuesday as traders remained cautious ahead of US Fed’s policy decision. The Nifty ended the session with a 0.14% gain while the Sensex ended with a 0.11% rise.On Tuesday, we wrote about Brookfield's plans to venture into the semiconductor fabrication sector. The sector is hot — today, Gulveen Aulakh and Shouvik Das report that the Adani Group wants a piece of this pie too. It's planning a joint venture with Israel-based company “Tower Semiconductor”. The JV will be based in Maharashtra's Raigad district. While the chips to come out of this factory will meet the Adani Group's requirements, they will also cater to foreign demand.Millions of investors are trying to make a small fortune in IPOs. Every new listing, irrespective of its size, is oversubscribed dozens of times at least. Why? Cases like Bajaj Housing Finance, which doubled when it debuted on Dalal Street on Monday. Listing day gains aren't a new concept, but it's incredibly difficult to secure an allotment for a new IPO. Sashind Ningthoukhongjam writes about strategies one could adopt if they want better chances at securing allotment. You can apply via the shareholder quota, or the small high net investor quota as well. This is a good read for you if you've missed out on some of the blockbuster IPOs we've had this year.Urban Company's early investors, Steadview Capital, Elevation Capital, and Accel, are eyeing a partial exit, planning to sell off stakes worth $100-150 million. This move is part of a broader trend where early backers cash out before a company hits the public markets, and Urban Company is preparing for an IPO next year. These secondary sales let old investors liquidate at a valuation slightly under Urban Company's estimated $2.6 billion—a strategic move as they near the end of their fund cycles. Mint’s Sneha Shah and Priyamvada C report on the secondary share sale at Urban Company - something that reflects a broader trend in the Indian startup scene.What's your portfolio mix?.... Most savvy investors would say stocks, mutual funds, gold and real estate. But there's a new player in town: “Rare Collectibles”. Dipti Sharma writes that Indian investors are diversifying into luxury items like art, vintage cars and luxury watches. Rare Japanese whiskeys are part of such investments too, as the market now has both buyers and sellers. Some experts believe that these collectibles will turn into a key asset class. What rich Indians once bought for personal enjoyments, are now treated as investments that could give you decent returns.Back in 2013, India launched a plan to strengthen small farmers by creating Farmer Producer Companies or FPCs, giving them the power to negotiate better deals and manage resources collectively, similar to successful dairy co-ops like Amul. Farmers buy shares in these FPCs, which then operate under the Companies Act—this shields them from political and bureaucratic hassles and allows them to tap into government grants. Fast forward to today, and there are over 9,000 FPCs with more than 2 million members, about 28% of whom are women, writes Sayantan Bera. These FPCs have broadened their reach, securing licences to sell everything from seeds to processed foods, helping farmers get better prices and market access. However, it's not all smooth sailing. Many FPCs struggle with getting enough working capital; high interest rates from loans make growth tough. Is Adani's semiconductor play a long term game?Struggling with IPO allotments? Tips to boost your chancesUrban Company’s early backers Steadview, Elevation, Accel to sell partial stakeFrom pink dogs to fine wine, India’s wealthy diversify into rare collectiblesMicro Amul: Are farmer-run companies the next big idea in Indian agriculture?
04:2018/09/2024
Govt boost for drone industry
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, September 17, 2024. My name is Nelson John. Let's get started. Indian frontline indices ended Monday's trading session with modest gains despite hitting fresh record highs intraday. The Nifty 50 ended the session 0.11 per cent higher, while the BSE Sensex ended with a 0.12 per cent gain. After delaying hikes last year, Wipro is likely to give a raise to its staff on time this year. Jas Bardia reports that India's fourth-largest IT company is doling out hikes to its 2 lakh employees just in time for the festive season. The hikes will be around three to eight percent on average. The company had rolled out smaller increments in December last year, as opposed to the usual cycle of September or October. Slowly, but surely, India's IT sector is getting back on track. Millions of soft drink bottles are sold today in India. While glass bottles ruled the sales, plastic bottles are more common today. One thing's clear: it's a good time to be a bottler in India. Coca Cola is considering listing its subsidiary in India. Priyamvada C writes that this move allows the popular soft drink company to cash in on its investment. The parent company can also reduce its exposure risk to seasonal problems. Moreover, FMCGs might consider spinning off their subsidiaries to optimise their balance sheets — much like Coca Cola hopes to do, if the IPO goes through. The Reserve Bank of India's tightening grip on unsecured loans has fintechs pivoting to secured loans, using assets like stocks and mutual funds as collateral. Companies like PhonePe and Mobikwik are teaming up with non-bank lenders to offer these digital loans, appealing to a tech-savvy crowd that prefers to skip bank visits. Mint’s Anshika Kayastha spoke to fintech insiders who shared that leveraging their digital prowess can reshape secured lending, making it more accessible and efficient. This shift comes as unsecured loan growth cools off, thanks to stricter regulations. The central government's production-linked incentive schemes have been successful in invigorating certain sectors: solar energy, mobile phone components, semiconductors, and automobiles. Soon, drones too might get such a financial incentive, report Shouvik Das and Mihir Mishra. At 165 crore rupees, the government already has a tiny purse for developing drones. Shouvik and Mihir report that this kitty might go up to 3,000 crore rupees to facilitate better research and local manufacturing of components. As India gears up for the festive season, starting in October and stretching until Holi next year, OTT platforms like Netflix, Amazon Prime Video, and ZEE5 are queuing up major releases. They're timing big releases like Netflix’s "CTRL" starring Ananya Pandey and Amazon’s spy series "Citadel: Honey Bunny" with Varun Dhawan, to coincide with holidays and long weekends, aiming to capture the festive binge-watching crowd. During this season, platforms typically see a spike in viewership, writes Lata Jha. While new subscriptions might not jump dramatically, renewals keep steady thanks to special festive offers and campaigns that keep existing viewers hooked. Wipro to hand out an average 8% salary hike to its top performers this yearMint Explainer: Inside the lucrative world of soft-drink bottling manufacturersLoans against stocks, MFs, FDs on fintech radar amid regulator’s scrutinyCentre plans ₹3,000-cr PLI scheme to indigenise domestic drone ecosystemStreaming platforms line up big releases for festive season engagement
03:4717/09/2024
Will this leap of ‘faith’ pay off?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, September 16, 2024. My name is Nelson John. Let's get started.India’s antitrust watchdog, the Competition Commission of India, just made it easier for companies to get their hands on up to 25% of another company's shares without asking for permission first. This tweak in the merger and acquisition rules is a big deal, especially for those looking at hostile takeovers. Before, you'd have to pause and get a nod from the CCI before buying shares off the market, which wasn't exactly speedy. Now, as long as you're not trying to take control right away, you can go ahead without waiting on that green light. This change means businesses can move faster during the initial buying phases without getting tangled up in red tape, Gireesh Chandra Prasad reports. It’s all part of a bigger push to cut down on the hassle and make doing business a bit smoother in India.In India, where tradition meets tech, there’s a rising star sector: faith-tech. It’s catching the eye of big-time investors like PeakXV Partners, Blume Ventures, and Matrix Partners. Just recently, AppsForBharat bagged $18 million in a round led by Fundamentum, highlighting the surge in interest. This year alone, the faith-tech sector saw its funding leap to more than $50 million from just $4.3 million last year. This booming sector offers everything from virtual pilgrimages to digital pooja bookings and astrological services, targeting both young Indians and the global diaspora craving a slice of home. However, the sector is not without its challenges. The seasonal nature of religious activities and the necessity to establish trusted partnerships with religious institutions are hurdles these companies continue to navigate. Samiksha Goel takes a deep dive into a sector which is possibly unique to India and has carved a niche for itself.Family businesses are usually well-oiled machines, as there is a clear hierarchy and established workflows. But when it comes to succession, things get murky. That's exactly what happened with Bharat Forge and its promoter family. A dispute between the managing director Baba Kalyani and his sister Sugandha Hiremath ended up in court after the brother refused to transfer shares to another pharma company. Now, a new court affidavit has come to light that might rule the verdict in favour of Sugandha. Priyanka Gawande and Anirudh Laskar report that this affidavit goes against the claims made by Baba Kalyani, who has allegedly diverted significant assets away from his father. The Reserve Bank of India has been cautioning the Indian banking industry about the ever-growing amount of loans being disbursed. Finally, the banks are listening: the gap between the credit and deposits is finally narrowing, reports Shayan Ghosh. RBI now wants banks to get innovative in its ways to hold more deposits. It has also come down hard on unsecured loans, fearing a fracture in India's vast financial systems. Crude oil prices have been crashing, and currently cost around 70 to 75 US dollars. Naturally, expectations of a cut in the price of petrol and diesel have risen. These rates were last revised prior to the general election. Sumant Banerji explains why crude prices have fallen, the various factors involved in making such a decision, and how likely a price cut is. That’s all for today. Thank you for listening. We're eagerly looking forward to our next Top of the Morning episode, which will be packed with fresh business news. Until then, have a great day!CCI greenlights secondary share purchases, opens the door for hostile takeoversBigger than food delivery? Investors rush to bless faith-tech startupsKalyani family feud could take a fresh turn as a crucial will surfacesCredit, deposit rates converging on the back of RBI cautionGlobal crude prices at 3-year low. Will petrol prices see a cut?
04:0716/09/2024
Why did the markets hit record highs yesterday?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, September 13, 2024. My name is Nelson John. Let's get started. The Indian stock markets set new record highs yesterday. Nifty was up by 1.9 percent, while Sensex rose by 1.8 percent. But this time it wasn't just benchmark indices that were setting records — even midcaps joined the party. Dipti Sharma explains that Thursday's rally involved a lot of hopes of rate cuts – in China, Europe, and the US. Dipti also answers a crucial question for investors: will the uptrend continue or will investors look to book profits? Imagine buying a cake but not being allowed to eat it. Confused? Me too. But that's exactly what the Reserve Bank of India wants from a Japanese bank. The Sumitomo Mitsui Bank wants to buy 51 percent of Yes Bank. Fair enough — RBI has been looking for a majority buyer since it intervened to prevent a collapse. But the banking authority wants to cap Sumitomo's voting rights at just 26 percent. The RBI doesn't want the Japanese bank to have the power to veto any big policy decisions, yet is fine with it bankrolling the entire operation. Anirudh Laskar and Gopika Gopakumar bring you the inside details of this rather confusing development. Lately, several venture-capital insiders have been leaving their jobs at big firms to start their own funds. However, they’re hitting a wall when it comes to drumming up investor interest. It turns out investors are currently more captivated by the juicier returns of the public markets. For example, while some public stocks are offering returns of around 25%, private ventures are lagging behind at about 15%, making them a harder sell as they are also riskier and less liquid. Mansi Verma and Priyamvada report on these new VC firms that are finding it hard to raise funds, especially as limited partners prefer to stick with established managers they trust. Sashind Ningthoukhongjam's sister has been pestering him with questions about the best mutual funds to invest in. To help her, and you, Sashind took a deep dive into thematic and sectoral funds, which have been growing by leaps and bounds of late, owing to stellar returns. But here’s the catch. Every year, a different new sector does well. By the time most investors catch on to the trend, the returns start petering out and a new sector takes the top spot. This can lead to excessive churn and more tax. If you’ve been thinking about investing in thematic or sector funds, you can’t afford to miss this story. The Central Consumer Protection Authority is finalising new guidelines to prevent misleading practices by IAS coaching institutes. Under these guidelines, coaching centres will no longer be able to require UPSC aspirants to sign agreements upon enrollment, allowing the use of their personal details for advertising. Soon, those who pass the exam will be able to choose whether or not to sign such agreements. The new rules clarify that any promotional content featuring former students must be based on explicit consent, helping potential candidates better assess the advertised claims. This policy change is a big win for transparency and protects young aspirants who may not grasp the full implications of signing such agreements when they join an institute, writes Dhirendra Kumar.
03:5913/09/2024
What's wrong with a millet burger bun?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, September 12, 2024. My name is Nelson John. Let's get started.Bigbasket's quick commerce game is going strong — not just in big cities, but also in smaller towns. Customers from these cities are spending upwards of 500 rupees per order, Bigbasket CEO Hari Menon told Priyamvada C in an interview. This success points to a wider trend where quick commerce is catching on fast, thanks to the ease of ordering through platforms like Zomato and Swiggy. As Bigbasket pushes its quick commerce branch, BB Now, it’s also bulking up its offerings. It is adding up to 25,000 different products and setting up more dark stores, Menon said. Influencers who partner with multiple brands will now need to pick just one. Companies want influencers to exclusively promote their products on long-term contracts. Pratishtha Bagai reports that such deals have a wide-ranging impact on the influencer marketing industry that's currently worth 1,900 crore rupees. Pratishtha spoke to companies and influencers, who might soon be at loggerheads due to such conditions. The Competition Commission of India is gearing up to potentially hit Amazon with a hefty fine, reports Gireesh Chandra Prasad. This development occurs following an investigation that confirmed the e-commerce giant's anti-competitive behaviour. Amazon is at fault under the new competition laws that could see it facing penalties up to 10% of its global turnover. The case stems from a complaint by a Delhi-based trade association in January 2020, which led to a detailed probe into Amazon’s business practices. The report said that Amazon indulged in preferential treatment and exclusive product strategies of certain sellers. The market for wearable tech products like smartwatches, earphones, and rings has exploded in India over the past few years. They might not serve much utility outside of tracking your sleep, but they've become a fashion accessory, almost. Four Indian startups — Boat, Noise, Boult, and Fire Bolt are powering this industry. The scale of opportunity in India is so large that these companies turned into global leaders in the wearables category just a couple of years after starting operations. However, the demand has finally tapered off. Sumant Banerji explains the perils of these companies, who are now left holding massive inventory and muted demand in both India and around the world. Last week, during National Nutrition Week, McDonald’s introduced a multi-millet burger bun in its South and Western India outlets. It was an attempt to offer a healthier alternative to the regular refined flour bun. This new bun comprises around 22% millets like Jowar, Bajra, and Ragi. However, the move has sparked controversy among nutritionists who argue that partnering a government-funded research institute with a fast-food giant like McDonald's could undermine public health objectives. They point out that despite the inclusion of millets, the buns are still processed foods with additives and preservatives. Mint’s Sayantan Bera explains the controversy around McD’s millet bun in today’s primer.
03:4512/09/2024
Apple's new iPhone expected to sell well in India
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, September 11, 2024. My name is Nelson John. Let's get started.The Indian equities markets rose for a second consecutive trading session yesterday. Both the Sensex and the Nifty rose by around 0.4 percent on Tuesday.After a lull the previous two years, startup IPOs are back. 10 such new age companies have gone public so far this year. The market is now conducive for such listings, and investors continue to pour in more money than ever. But this isn't just an IPO momentum: investors have held on to their shares well after a bumper listing. But in his detailed story, Abhishek Mukherjee advises some caution. He writes that even the most promising startup will have to beat incredible odds to emerge as a market leader. This process takes many years, if not decades. In a bull market, every stock seems like the next best thing — investors would do well to keep a long-term outlook in mind.On Monday, Apple's Tim Cook unveiled the latest iPhones. While other companies like Google and Samsung have dipped their toes into AI-driven phones, Apple’s global reach—boasting about 1.3 billion active users—means it has the clout to push AI into the mainstream. Apple's track record of transforming industries, like it did with music through the iPod and iTunes, suggests it could do the same with AI technology, writes Shouvik Das. However, there's some debate about how essential AI is in smartphones right now. While previous Apple innovations like the touchscreen became indispensable, AI features are seen more as helpful extras rather than must-haves at this stage. Shouvik also spoke to analysts and retailers, who expect Apple's new phones to make a significant dent in India. A sales boost of nearly 20 percent is expected in the next three months, as the launch coincides with the festive period in India. The average price of the new iphone is likely to be 75,000 rupees, up from 69,000 for the previous model. However, analysts expect a rise in demand due to the new AI features. Get ready to see a host of people with shiny new iphones soon.India's retail inflation for August is anticipated to remain stable at 3.5%, buoyed by a favourable statistical base effect, according to a survey by Mint of 27 economists. This level is comfortably below RBI’s medium-term target of 4%, suggesting inflation is under control for the second consecutive month. While this might seem like good news, experts who spoke to Mint’s Payal Bhattacharya and Manjul Paul, advised not to jump to conclusions about long-term trends just yet. The stability in August's inflation is partly due to expected declines in food prices, which make up nearly 40% of the inflation basket, but again, this too would be because of a favourable base effect. The real test will be the impact of September's rainfall on food inflation, as adverse weather could disrupt this positive trend. Biryani has truly become India's favourite go-to food, not just at festive gatherings but as an everyday meal. Thanks to food delivery giants like Zomato and Swiggy, grabbing a plate of biryani is now as easy as ordering a pizza. Swiggy, in fact, saw a whopping 250 biryani orders per minute during last year's India-Pakistan world cup match! This biryani boom is also spurring a surge in basmati rice sales, especially in bulk. Ayush Gupta from KRBL, a rice processing company, told Mint’s Suneera Tandon that their bulk rice sales have skyrocketed, growing 20-25% each year post-COVID, particularly in the South where biryani is a staple. But the craze isn't just a southern phenomenon anymore; it's nationwide. Recognizing this trend, rice companies are getting creative, rolling out biryani mixes and kits for easy home cooking, aiming to replicate the restaurant experience in your kitchen. Whether it's a match day or any day, it seems like biryani is on everyone's menu.
04:4711/09/2024
From pennies to billionaire, thanks to Adani
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, September 10, 2024. My name is Nelson John. Let's get started.Indian equity markets rose on Monday. Nifty was up by 0.34 percent, while Sensex increased by 0.46 percent.India Inc is tightening its employment contracts and policies to eliminate any ambiguity around remote working. Firms are now clearly stating who is eligible to work from home and the specific hours employees must be available, ensuring remote work isn't seen as an automatic entitlement. Mint’s Neha Joshi and Devina Sengupta spoke to industry insiders who highlighted that this shift helps manage expectations and prevent habitual absenteeism, reflecting a broader move to formalize work-from-home setups. Moreover, to cater to a diverse workforce, companies are expanding their leave categories, including options like pet-parenting leave and marriage preparation leave, which accommodate various personal needs. Just two years after climbing out of bankruptcy, Diamond Power Infrastructure Ltd., based in Ahmedabad and known for its electric cables and transmission towers, has seen its fortunes soar to nearly a one billion dollar market cap. A big part of this turnaround? A steady stream of business from the Adani conglomerate, led by Gautam Adani, who happens to be the brother-in-law of Diamond Power's chairman, Rakesh Ramanlal Shah. Although a hefty chunk of Diamond Power’s orders come from Adani companies, these aren’t flagged as related-party transactions in their reports, sparking debate among experts about whether regulations need tightening. Varun Sood reports on how a company on the brink of bankruptcy is now worth almost a billion dollars, thanks to a push from the Adani Group. It seems that whatever Vodafone Idea does to get its act together, investors remain unimpressed. Last Friday, its share price sank by 14 percent, after receiving a sell rating by Goldman Sachs. Gulveen Aulakh writes that the report was surprising, given that Vodafone has been desperately trying to raise funds to fill its coffers. It raised 18,000 crore rupees in April, and is in talks with banks to raise nearly 35,000 crore rupees more. It has also taken care of some long-standing debt on its books. However, Vodafone continues to lose market share to Airtel and Jio. Gulveen analyses the company, and writes about its potential in India's deeply worrying telecom sector. The central government wants everyone to sell EVs. And if the companies don't want to, they might still be forced to. Union road transport minister Nitin Gadkari said automakers that are not manufacturing EVs will be forced to make the shift, due to the competitive nature of the market. Manas Pimpalkhare wrote about Gadkari's speech, where he reiterated that the the government does not feel the need to provide subsidies for EVs any more. He expects the price of I-C-E and EV cars to achieve parity in a couple of years. Movie theatres are getting savvy with their strategies for re-releasing classic films, seeing a golden opportunity as new releases often get delayed. Films like "Rockstar" and "Mohabbatein" are making a comeback, drawing crowds who are either revisiting old favourites or discovering them for the first time. Devang Sampat from Cinepolis told Mint’s Lata Jha that their marketing isn't just about digital ads anymore; they're also hosting special events and collaborating with influencers to hype these re-releases. They are even roping in original stars like Shah Rukh Khan to help spread the word on social media. Will you be going for a re-released movie?
04:0810/09/2024
Why are Indians buying fewer cars?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, September 9, 2024. My name is Nelson John. Let's get started.The Indian government is exploring the creation of its first sovereign wealth fund by pooling shares it owns in publicly traded companies. This proposed fund could control assets worth around 50 trillion rupees, sources told Mint’s Mihir Mishra. The government would maintain control by possibly issuing non-voting shares and exploring a "golden share" concept, which grants specific rights without affecting voting power. Globally, about 40 countries have sovereign wealth funds, using them to secure critical assets and improve infrastructure. This new fund could also enhance public sector efficiency by encouraging mergers or reorganizations.Are you planning on buying an electric vehicle soon? You might want to hurry up, otherwise you’d be forced to upload selfies with your new car to qualify for a subsidy. Alisha Sachdev reports that the central government plans to issue digital certificates to EV buyers under the third phase of its flagship FAME scheme. These certificates will note the subsidy provided by the government. This initiative seeks to vocalise the government’s role in popularising EVs for the masses, but might rub some buyers the wrong way. Just ahead of the festive season, India's passenger vehicle sales have taken a hit, dropping for two months straight, with dealers facing a glut of unsold cars. Over 7.8 lakh units worth close to 78,000 crore rupees remain unsold. This year started strong, with sales initially surpassing pre-pandemic levels, but recent figures show a decline of 2.5% and 1.4% in July and August, with a similar trend in retail sales. The current dip in demand is attributed to a high base effect from previous growth spurts and dwindling pandemic-era demand, despite improved production rates due to resolved semiconductor shortages. Sumant Banerji explains why the sale of passenger cars has slowed down in today’s Primer. Sundaram Finance controls nearly 6,000 crore rupees worth of deposits. Its loyal customer base has unwaveringly placed its support, despite the company being a non banking financial company. However, Sundaram Finance lags behind peers like Bajaj Finance due to its conservative approach focused on serving the underserved, resulting in slower growth. The Reserve Bank of India wants NBFCs like Sundaram to turn into full fledged banks. Will Shriram Finance take the bait and march towards growth? N. Madhavan tries to answer.IThe UAE's Golden Visa program is catching the eye of wealthy Indians, with about 4,300 people expected to relocate to the Emirate in 2024. The top choice? Dubai. A 10-year renewable residency that can be yours with a minimum real estate investment of around 4.57 crore rupees. Once you've invested, you'll snag a six-month multi-entry visa to start, then head to the UAE for your ID and medical checks. It takes a couple of months to process, but it’s a straightforward path to planting roots in Dubai. This visa isn’t just a ticket to the UAE; it's a gateway to tax benefits and global connectivity. In this piece, Mint Money’s Jash Kriplani takes you through the process of applying for a golden visa. Head to the show notes to read the stories featured in today’s podcast.
03:5609/09/2024
The looming threat of a US recession
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, September 6, 2024. My name is Nelson John. Let's get started. Indian equity markets fell for a second consecutive day on Thursday. The benchmark Nifty index was down 0.21 percent, while Sensex dropped 0.18 percent. Concerns are growing over the possibility of a US recession, with rising unemployment rates and inflation serving as key indicators. However, as N. Madhavan points out, the US GDP growth remains strong despite these warning signs. Some economists suggest a potential soft landing, where inflation is controlled without leading to a full-blown recession. In his primer, Madhavan explores these scenarios and their potential impact on India.The market has seen a frenzy of SME IPOs, with many getting oversubscribed by over a thousand times, despite warnings from regulators about potential malpractices. Some of these could soon become penny stocks. Aprajita Sharma highlights the warning signs investors should be mindful of, noting that SME stocks, with their relatively low market cap, are more susceptible to manipulation. In her story, she emphasizes the importance of thorough research to avoid falling victim to promoters looking to offload their holdings at inflated prices.Change is indeed afoot in Bollywood, with actors becoming more selective about projects they take on. Many are opting out of films that may not resonate with today’s post-pandemic audience, industry insiders told Lata Jha. Biopics and dramas, once staples of the big screen, are now increasingly seen as better suited for streaming platforms. A notable example is Ayushmann Khurrana stepping away from a Sourav Ganguly biopic. So, what’s driving this shift? While the rise of the OTT industry plays a major role, the evolving dynamics of the film industry run deeper. Audiences have raised their expectations, and stars are adjusting by being more cautious about their choices.This year is proving highly lucrative for lawyers as India's top law firms engage in an intense competition for talent. With retention and discretionary bonuses, faster paths to partnership, and larger salary hikes on offer, firms are pulling out all the stops to retain their best employees. Leading law firms are even bringing in consultants to overhaul their compensation structures. Neha Joshi and Devina Sengupta spoke to insiders who revealed that firms are incentivizing talent primarily through two strategies: offering a quicker path to partnership and enhancing performance-linked incentives. Law firms typically have two types of partners—equity partners, who generate business and receive a share of the firm's revenue, and non-equity partners, who are paid a fixed salary with bonuses. The latter group is now the main focus of these efforts.Diageo, the world’s largest spirits company, plans to invest $100 million in the Indian market over the next three years, aiming to expand its portfolio of premium spirits. Over the past decade, Diageo has already poured around $3.5 billion into India, focusing on expansion, acquisitions, and investments in cricket properties such as the Indian Premier League. Varuni Khosla and Suneera Tandon report that the company now plans to introduce "craft spirits" for both domestic and international markets, seeking to further boost its dominant market share. Show notes:Mint Primer: The chances of a US recession and its impact on IndiaSME IPO frenzy: The red flags that investors shouldn't ignoreTalent War in Legal Sector: Firms Boost Pay and Partnership OpportunitiesBollywood sees flight to safety as moviegoers raise the barDiageo to invest $100 mn to craft new products in India, says top boss
04:0506/09/2024
Mamata Banerjee faces her biggest challenge yet
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, September 5, 2024. My name is Nelson John. Let's get started. Indian equity markets fell on Wednesday. The benchmark Nifty50 index was down by 0.32 percent, while the Sensex dropped 0.25 percent. Just a few years ago, dining out was a special occasion—something you did to celebrate or treat yourself. Then the pandemic hit, and if you didn’t feel like cooking, ordering in became the only option. This shift fundamentally changed consumer behaviour, particularly for fast-food diners. Suneera Tandon and Varuni Khosla report that quick-service restaurants like Domino’s, McDonald’s, and Pizza Hut are now struggling to draw customers back to their outlets. Dine-in sales remain under pressure, while competition in the delivery space has intensified. To entice customers off their couches, these chains are offering discounts and promotions to boost in-store demand. Tata Motors launched its popular EV, the Nexon, in 2020. Early buyers may now be considering selling their first-generation green cars. Alisha Sachdev brings encouraging news: the resale value of Indian EVs is outperforming their global counterparts. However, EVs still depreciate faster than petrol and diesel vehicles. Despite this, Alisha notes that as the EV market continues to mature and the availability of used electric vehicles grows, this depreciation gap is likely to shrink, potentially making electric mobility more accessible and appealing to a wider range of consumers.India’s festival season, kicking off in early September and culminating with Diwali sometime in November, is a critical period for e-commerce players. It's traditionally marked by a surge in offers as consumers' buying appetite increases. This year, India’s quick commerce sector is taking on e-commerce head-on during this busy time. Zomato is expanding its "dark stores" and introducing more consumer electronics categories to meet festive demand, while Tata-owned Big Basket has ventured into selling large appliances. Sowmya Ramasubramanian and Suneera Tandon report on the trend.Pharmaceutical companies have long been criticized for their aggressive marketing tactics aimed at doctors. A prime example is Dolo-650, which became the most prescribed drug during the pandemic in 2020. By 2022, however, Dolo’s manufacturer, Micro Labs, was facing scrutiny from the tax department for allegedly offering ₹1,000 crore in freebies to doctors to promote the pain and fever reliever. Now, the government is tightening its focus on such ethically questionable practices, writes Priyanka Sharma. The Department of Pharmaceuticals, under the Ministry of Chemicals and Fertilizers, has mandated that companies disclose details of their spending on free samples, conferences, workshops, and other promotional activities, including specifics on sample distribution, event expenses, and recipient information.The brutal rape and murder of a junior doctor at Kolkata’s RG Kar Medical College on 9 August shocked the entire nation. The capital of West Bengal—currently the only state led by a woman chief minister—has since been gripped by protests and unrest following the horrific crime. Mamata Banerjee, who has led the West Bengal government for 13 years and been an active politician for over four decades, now faces perhaps the toughest test of her career. Despite a history of leading protests against the state’s previous Left regime, this tragedy has emerged as her most significant challenge yet. Mint's Romita Datta delves into how the Kolkata rape and murder has become a defining moment in Mamata Banerjee’s political journey. Eating at a fast-food outlet may be a better bargain than ordering in EV resale value improving in India—but still less attractive than ICE siblings It’s e-commerce versus quick commerce this festive season Govt targets drugmakers offering freebies to doctors to promote their medicines Bengal: Mamata Banerjee, who wrote the book on protests, faces her biggest test
04:2205/09/2024
Are our Paralympians better than able-bodied Olympians?
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, September 4, 2024. My name is Nelson John. Let's get started.Indian equity markets were little changed on Tuesday, with benchmark indices Sensex and Nifty moving less than 0.01 percent during the day.Seventeen-year-old Sheetal Devi, an armless Indian Paralympian archer, has captured the world's attention by scoring a perfect 10 earning a bronze medal at the Paris Paralympics 2024, using her foot, jaw, and shoulder with remarkable precision. Her achievement underscores a significant advancement in tech for Paralympians. Leslie D'Monte writes that Devi's success is part of a broader narrative of technological evolution in Paralympic sports. From rudimentary equipment to today's customised, high-tech aids like 3D-printed prosthetics, Paralympics have come a long way. This ensures fair competition, and showcases incredible human spirit and determination. India is currently at 15 medals in these Games — watch out for a better tally in the days to come.At R-I-L's annual general meeting last week, Mukesh Ambani formally announced the merger of JioCinema and Disney+ Hotstar. This deal has stirred unease among producers and content creators, who fear it could lead to a market monopoly. With one fewer player in the market, their bargaining power is diminished, and the commissioning of new shows and films may decline. Lata Jha reports that Disney+ Hotstar had already been slowing down on commissioning new content. Despite these concerns, some media experts see potential benefits in the merger.It turns out you can have your brownie and eat it too. The sale of Theobroma Foods is nearing its final stages, reports Ranjani Raghavan, drawing strong interest from private equity firms like Bain Capital, Carlyle Group, and Chrys Capital. The sale, initiated by its major private equity partner ICICI Venture, involves offloading a 42% stake. The patisserie brand is valued at ₹2,800 crore, with an asking price slightly higher by a few hundred crores.IT companies are making it clear they want employees back in the office. LTI Mindtree has revised its leave policy to deduct a quarter-day of leave for each day an employee misses office, reports Jas Bardia. This policy categorizes employees into three groups based on their work requirements: those required in the office full-time, those working at client locations as needed, and those on a hybrid model. Hybrid employees must come to the office at least two days per week, with total leave deductions capped at 1.5 days per month. Jas notes that employees are generally receptive to the change, viewing it as the formalization of previously understood expectations.Currently, the minimum limit for starting an SIP is ₹500. Sebi chief Madhavi Puri Buch has proposed reducing this to ₹250—a 'micro SIP,' if you will. The move aims to democratize wealth creation and cater to small investors, including rural residents and daily wage earners, writes Abhinaba Saha. However, mutual fund houses see micro SIPs more as charitable efforts, citing operational challenges and low profitability in managing numerous small transactions.
04:0504/09/2024
How to spot a "ghost job"
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Tuesday, September 3, 2024. My name is Nelson John. Let's get started.Indian equity markets set another record on Monday, with the Nifty rising by 0.17 percent and the Sensex gaining 0.24 percent. This marks the thirteenth consecutive trading session where the markets have closed in the green.Last week, the Securities and Exchange Board of India proposed a major regulatory change for stock brokers, requiring them to implement a payment mechanism that blocks funds for trading in the secondary market. Mint’s Neha Joshi explains that this type of block mechanism, where investors set aside money for transactions, enhances security while allowing them to earn interest on the funds held in their accounts.Ever encountered a "ghost job"? These are fake vacancies posted by companies to gather resumes for future use and test market interest. Additionally, they might also post such jobs to maintain their brand image or signal growth. Devina Sengupta reports that these postings are usually done by smaller companies. Read her primer on this trend, and find out how to avoid wasting your time by applying for a ghost job.Regulatory challenges for India Inc. have been steadily increasing, prompting companies to seek assistance from "crisis consultants" to navigate these issues. Recent incidents, such as the problems with IT systems at Kotak Mahindra Bank, highlight this sectoral shift. Shayan Ghosh and Devina Sengupta write that the emergence of crisis consulting as a sector is imminent. They also note that the use of artificial intelligence is significantly reducing resolution times from months and weeks to mere days.In July, SBI Card reported a rise in non-performing assets, attributing it to customers over-leveraging by securing multiple credit lines, which directly affected their repayment capacity. Our partners at How India Lives highlight that this trend reflects a broader issue of rising household debt in India, exacerbated by the pandemic. Soaring household debt is impacting savings and expenditure, raising concerns about the broader implications for economic growth and the urgent need for a rebound in household financial savings.In New Delhi, the renewable power sector is facing a challenge as nearly 30 gigawatts of capacity is struggling to find buyers. Potential buyers expect uniform tariffs and improved grid connectivity, both of which are missing. Rituraj Baruah reports that projects worth at least 15 gigawatt lacks Power Purchase Agreements, while around 14 gigwatts are awaiting Power Supply Agreements. India aims to significantly increase its green power project tendering to meet an ambitious goal of achieving 500 gigwatts of non-fossil-based energy capacity by 2030. Such a backlog by the authorities in approving projects is spooking investors
03:3703/09/2024
Adani’s FMCG expansion
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Monday, September 1, 2024. My name is Nelson John. Let's get started. The Adani Group plans to invest $1 billion in acquiring packaged consumer goods brands in southern and eastern India. Anirudh Laskar reports that the investment will be made through its subsidiary, Adani Wilmar. This move is part of the group's strategy to expand its presence in the fast-moving consumer goods segment. Adani Wilmar aims to make multiple acquisitions over the next few years and anticipates a surge in demand for its products. The Group has previously used this strategy in other sectors too, like renewable energy and the cements business. India's audit authority plans to close a loophole that lets companies escape scrutiny over fund misuse by making lead auditors of conglomerates more responsible. This addresses a gap in accounting standards that let main auditors depend on subsidiary auditors without accountability. Gireesh Chandra Prasad writes that the previous practice posed a potential risk and additional burden for auditors. The National Financial Reporting Authority aims to issue new, stricter guidelines to ensure lead auditors fully oversee and answer for the entire group's financial statements — this would be aligned more with global practices. In July, a massive digital attack on a popular cryptocurrency platform led to half the depositors losing their money. India's largest crypto platform WazirX saw a massive attack that led to a huge chunk of their user base of 42 lakh people lose some money. But since this is a decentralised currency, the government isn't safeguarding investors. Neil Borate and Anil Poste spoke to investors who lost their money in this attack, who have no redressal mechanisms so far. A lack of regulatory clarity and no action from WazirX has baffled those who used the platform to buy crypto currencies. Even though online betting is mostly illegal in India, global betting platforms are finding clever ways to sneak back into public view. They're popping up everywhere, from digital ads to sports jersey sponsorships, and they're using celebrities to grab attention. For instance, cricketer Dinesh Karthik and actor Jacqueline Fernandez are just a few of the faces you might see promoting brands like Parimatch and FairPlay India. These companies are cleverly leveraging the massive social media followings of these celebrities to reach millions, despite ongoing government crackdowns on such ads. Varuni Khosla reports on how betting apps in India are circumventing the legal hurdles with the help of surrogate advertising. Food prices in India have been persistently high, driven by a combination of climatic events and policy responses. According to RBI data, food inflation has been notably higher in recent years, averaging 6.3% from June 2020 to June 2024, compared to 2.9% in the previous four years. Consumers have felt the pinch of rising prices, but farmers haven't necessarily benefited proportionately. High market prices for crops like pulses and vegetables often result from reduced production due to climate impacts rather than increased farmer income. Rainfall plays a critical role in agricultural output and, consequently, in food prices. The India Meteorological Department's forecast of a wet September could affect the Kharif crops, with potential for both beneficial and adverse impacts depending on the timing and intensity of the rains. Sayantan Bera examines how a bountiful monsoon could result in a fall in prices of food crops. That’s all for today. Thank you for listening. We're eagerly looking forward to our next Top of the Morning episode, which will be packed with fresh business news. Until then, have a great day!
03:5902/09/2024
Reliance’s 47th annual general meeting
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Friday, 30 August 2024. My name is Nelson John. Let's get started. The Indian equity markets touched record highs on Thursday. The Sensex rose by 0.43 percent, while the Nifty was up by 0.33 percent. Messaging app Telegram's founder Pavel Durov was recently arrested in France. He is accused of not acting against harmful content on the app. Allegations include drug trafficking, fraud, cyberbullying, and generating fake images. Earlier, John McAfee and Julian Assange have been arrested on similar grounds. Shelley Singh explains the reasons for the arrest, which might have more to do with politics and diplomacy than crimes.Mukesh Ambani, Asia's richest man, announced ambitious plans for Reliance Industries during the company's 47th annual general meeting. He revealed a strategy to double the income of Reliance’s digital and retail branches under the brands Jio and Reliance Retail in the next 3-4 years. Ambani envisions RIL’s new energy venture to match the size of its oil-to-chemical business, which generated ₹5.64 trillion in FY24, in just five years. Ambani highlighted the transformative plans for Reliance Industries, detailing initiatives across five key business areas: O2C, retail, Jio, media, and green energy, Mint’s Anirudh Laskar reports. Ambani is betting big on a future where Reliance isn't just a heavyweight in traditional sectors but also leads in green energy and tech. The plan includes a massive green energy complex in Jamnagar, envisioned as a future global energy hub. Up until a few years ago, you could only take an international flight from one of India's major airports. Flying outside India meant you'd first have to go to either New Delhi, Mumbai, Chennai or Bengaluru to hail a long-distance flight. But that changed when many non-metro airports secured the rights to fly internationally. Anu Sharma reports that airports such as Amritsar, Bhubaneswar, Lucknow and Kozhikode are seeing robust growth in international travel. Travellers from these regions usually go to Southeast Asia and the Middle East, Anu writes. Millions of students pursue an engineering degree every year in hopes of getting a job offer from India’s top IT companies. Last year’s graduates were caught in the midst of a storm as many IT firms refused to go for campus placements. This year, Wipro has decided to come back for this exercise. A student might be excited to see that they have been placed in the “elite” category at Wipro, but the salary comes in at only 3.5 lakh rupees per annum. Jas Bardia reports that while Wipro will be going to recruit in a couple of weeks, they will only be rolling out their lowest packages to students. In previous hiring cycles, packages for freshers went as high as 10.5 lakh rupees. Last year’s struggles continue for IT sector aspirants. In India, companies are now required to have a certain number of women on their boards, but this often just ticks a box rather than ensuring their voices are truly heard in decision-making. Speaking to Mint’s Devina Sengupta, Aparna Mittal from the Samāna Centre for Gender, Policy and Law pointed out that it's not just about having women on boards but whether they're genuinely independent and their opinions valued. Despite this, there's a silver lining as pay for women directors has seen a significant boost, doubling over the last five years due to their increased responsibilities. Wipro to up fresher hiring, but at lowest pay grade of Rs 3.5 lakh per yearReliance to double Jio, retail biz in 3-4 yearsOverseas travel picks up at non-metrosWomen independent directors’ pay doubles in 5 yearsPavel Durov: Why tech and global geeks worry govts
04:0230/08/2024
ISRO plans to launch home-made space station by 2028
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Thursday, August 29, 2024. My name is Nelson John. Let's get started.India’s benchmark index Nifty 50 hit a new high on Wednesday, marking 10th straight day of gains. It ended the day 0.14 per cent above its previous close. BSE’s Sensex too edged into the green, surging 0.9 per cent.The Reserve Bank of India is gearing up to launch the Unified Lending Interface (ULI) nationwide, aiming to revolutionize the lending process much like the Unified Payments Interface, or UPI, transformed payments. So, what exactly is ULI? Mint’s banking editor Gopika Gopakumar explains. It's a digital hub that helps fast-track loan approvals by pulling together digital info like land records from various sources right to the lenders' fingertips. This could seriously cut down the time it takes to get a loan, especially for sectors craving credit like agriculture and small businesses. The Competition Commission of India has greenlit the merger of Disney Star and Reliance's Viacom18, setting the stage for a colossal shake-up in India's media landscape, creating an $8.5-billion behemoth. This merger, bringing under one roof entities like Reliance Industries, Viacom18 Media, and Star India, is set for completion following voluntary modifications agreed by the parties, reports Gaurav Laghate. The combined entity, to be primarily owned by Reliance and its affiliates, marks a significant consolidation in the media and entertainment sector. Post-merger, the landscape will see Disney Star and Viacom18 merging their considerable media assets, ranging from television channels to OTT platforms, potentially reaching over 750 million viewers. This move is poised to streamline operations and enhance content delivery but could lead to significant job redundancies, affecting around 1,000 employees. The integration process is expected to kick off by October.India's renewable energy scene is buzzing, but it's hitting a snag with regulatory grey areas, especially around Virtual Power Purchase Agreements. These aren't your typical energy deals; they let energy be sold at fixed prices on an exchange, not directly through the grid. This setup skirts around the traditional system and should be a game-changer, right? Well, there's a catch. The problem lies with the Securities Contracts (Regulation) Rules, which have made companies cautious of stepping into potential legal grey areas with these contracts, Nehal Chaliawal reports. Though the Supreme Court has clarified that physical electricity delivery falls under the Central Electricity Regulatory Commission, the industry is still treading carefully. Indians might lose over three years of life expectancy due to air pollution, reveals the University of Chicago's Air Quality Life Index report. Despite a 19.3% reduction in particulate levels from 2021 to 2022, persistent pollution levels still pose a severe health risk. Northern India is particularly affected, where residents could lose up to 5.4 years of life expectancy despite recent improvements, Mint’s Puja Das reports. Other heavily impacted areas include Maharashtra, Madhya Pradesh and Rajasthan, where residents could lose about 2.9 years on average. The report also noted a significant 18% decrease in air pollution across South Asia in 2022, influenced by factors like the La Niña-induced above-normal monsoon, which enhanced the effects of modest emission reductions from residential and transport sectors.An ISRO-made space station may soon be orbiting the earth. India is gearing up to launch its own space station, the Bharatiya Antariksha Station (BAS), by 2028 with operational goals set for 2035. This development comes as the International Space Station is expected to be decommissioned by the end of 2030. The BAS, entirely engineered domestically, aims to become a new hub for global research collaborations, especially as the West seeks alternatives post-ISS. The final engineering and cost plans are awaiting cabinet approval, with ISRO confirming progress in recent statements. The BAS will stand alongside China's Tiangong Space Station as one of the only nation-operated space stations globally, reports Mint’s Shouvik Das. However, the emergence of private space stations could pose competition, potentially limiting BAS's global impact. Despite these challenges, India's space station is seen as an opportunity to leverage geopolitical advantages and foster collaborations. Show notes: Mint Primer | Will ULI change the lending landscape?Competition watchdog CCI approves Disney, RIL-owned Viacom18’s $8.5-bn mergerIndia's renewable energy boom stunted by regulatory ambiguity over sales accordsIndians risk losing 3.4 years of life expectancy due to persistent air pollution, says reportIndia puts space station on priority eyeing geopolitical gains
05:2629/08/2024
It's easy to get a US visa — just spend ₹9 crore
Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, August 28, 2024. My name is Nelson John. Let's get started.The Indian equities markets edged just slightly upwards on Tuesday. Sensex increased by 0.03 percent, while Nifty was up by 0.02 percent.Getting a US visa seems to be getting more difficult by the day. But if you have some money in your bank account, the process might be easier. Neil Borate writes that the US investor visa programme, known as the EB-5, allows individuals to obtain a green card. The programme means that one needs to invest in a US-based project that leads directly to the creation of at least 10 jobs. Neil outlines this process and speaks to immigration experts to find out the fine print of this deal.For many kirana stores, quick commerce has proven to be a bit of a death knell. Foot traffic in these mom-and-pop shops has dwindled. Whatever customers that do walk in, rarely want big, heavy items. Suneera Tandon spoke to owners of small grocery stores, who reported dips of 20 percent in their business. Quick commerce players like Zepto, Dunzo, BlinkIt, and Instamart are now becoming direct distributors for major FMCG companies. While this phenomenon is restricted largely to major metro cities, smaller retail stores are increasingly feeling threatened, Suneera writes. Will the government intervene?After suffering through the effects of the Hindenburg Research report in early 2023, the Adani Group is focusing on improving its financial health. The Gautam Adani-led Group is reducing debt and contemplating selling stakes in certain entities. While it still has plans for expansion, the group is cautiously balancing its debt. Mayur Bhalerao and Niti Kiran report that debt growth slowed to 6 percent in 2023-24. That included a significant shift from domestic bank debt to bonds—from 86 percent to 15 percent.The Bureau of Indian Standards, or BIS, is an important body that ensures standardised products for the Indian consumer. BIS is used to certify items like children's toys, LPG cylinders, electronics, and even cement. Soon, it could be used to certify... artificial intelligence, reports Dhirendra Kumar. The Indian government has decided to start certifying, and to some extent standardising, generative AI. Gen AI finds usage in areas such as healthcare, finance, and education. Regulating it will help prevent unintended consequences that might have far-ranging impact, Dhirendra notes.In almost every sport, backups exist — those who can play in a pinch in case of an injury, usually. But that's not restricted to just sports: IT companies have their version of a substitute bench, too. These employees are on the sidelines, waiting to be deployed on a project. But need for continuity and poor interviews lead to many employees being on the bench for extended periods of time. Clients sometimes interview employees before choosing them for a project. Jas Bardia reports that IT companies are now culling those on the bench for more than a month or two. As demand for IT services is falling, growth slows as well, leading to IT companies taking such decisions.
03:5328/08/2024