Author: Supriya Jena

  • EQT Partners to Boost Investments in India’s Thriving Market!

    EQT Partners to Boost Investments in India’s Thriving Market!

    EQT Partners, a big private equity firm from Sweden, is on the lookout for more companies to buy in India in 2025. Jean Eric Salata, a top EQT executive, shared that over the past year and a half, they have invested $6 billion in India—way more than they expected. They believe India is a fantastic place for international investments.

    In these 18 months, EQT made seven investments in areas like financial services, tech services, and healthcare, and they expect the market for buyouts in India to grow from $10 billion now to $50 billion by the end of the decade.

    Recently, EQT merged with Baring PE Asia, making it their Asian branch. They currently manage assets worth over $250 billion and are keen on boosting investments in infrastructure, real estate, and industrial technology, like electric vehicle manufacturing.

    In their healthcare space, EQT is learning to use new technologies like artificial intelligence (AI). Companies in their portfolio are adapting to AI, improving their services. For instance, Sagility, one of their healthcare companies, has acquired an AI firm to bring advanced solutions to the market.

    Over the last 25 years, EQT has invested about $8 billion in more than 30 Indian companies, including names like Indira IVF and O2 Power.

    Salata believes that India’s stock market is doing great compared to others globally, making it appealing for investors. However, he mentioned that finding the right price for assets can be a challenge. They also pay close attention to corporate governance, which means they carefully check how companies are run.

  • Hama’s Capture Puts Pressure on Assad: Latest in Syrian Conflict

    Hama’s Capture Puts Pressure on Assad: Latest in Syrian Conflict

    The Syrian army has pulled back from the city of Hama after rebels managed to break through its defenses. This is a significant setback for President Bashar Assad. The army reported that they moved their troops outside the city to keep civilians safe. Hama, which is Syria’s fourth-largest city, is one of the few cities that still remained fully under government control during the ongoing conflict that started in March 2011 after a popular uprising.

    Rebels, including the group Hayat Tahrir al-Sham and the Turkish-backed Syrian National Army, have been pushing an offensive to take control of more territory. Recently, they also captured much of Aleppo, the largest city in Syria, which marked a major win for Assad’s opponents. Fighting in Hama had been ongoing for three days before the rebels announced they had entered the city early Thursday.

    The Syrian army admitted that several soldiers were killed during the fighting and blamed the rebels for using suicide attacks to breach their defenses. If the rebels fully take over Hama, it could signal a serious decline in Assad’s power. The next target for the insurgents may likely be Homs, the third-largest city in Syria, which is located about 40 kilometers south of Hama.

    Hama is important because it connects Syria’s center with its north, east, and west. It is also close to the coastal region of Latakia, where Assad has strong support. The city is remembered for a tragic event in 1982 when thousands were killed by security forces to destroy a rebel uprising.

    With tensions escalating once again in Syria’s long civil war, many people have had to flee their homes since the renewed violence began. Rebel commanders have claimed that their forces have entered Hama and are moving towards the center.

  • Sebi’s Game-Changer: New Method for Stock Closing Prices!

    Sebi’s Game-Changer: New Method for Stock Closing Prices!

    On Thursday, India’s markets regulator, Sebi, suggested a new way to decide the closing prices of stocks in the equity cash market. Currently, the closing price is figured out using the Volume Weighted Average Price (VWAP) over the last 30 minutes of trading. This method helps find a fair price but doesn’t let investors buy or sell stocks at that exact closing price.

    The new idea, called the Close Auction Session (CAS), aims to make prices more stable during the busy closing moments of the market, especially on important days like index rebalancing and when derivatives expire. It will help big investors complete their trades at the closing price and make tracking indices easier for passive funds, which are investment funds that follow the performance of an index.

    Sebi pointed out that as more Indian stocks join big international indices, investors face challenges in keeping track of these stocks. The current method of using the last half-hour’s average price can lead to differences that hurt investors.

    To solve this, Sebi wants to replace VWAP with CAS as a call-auction system, similar to what many countries already use. The new method would be gradually introduced, starting with stocks that have derivatives available.

    Sebi suggests that this auction session should take 15 minutes, from 3:30 PM to 3:45 PM, and split into different parts. These include figuring out a reference price, accepting orders, a no-cancellation period, and finally confirming and matching trades. Alternatively, Sebi could also hold it in three parts, without a no-cancellation phase, similar to how pre-open sessions work.

    Sebi is looking for public feedback on these proposals until December 26.

  • Crores for Green Initiatives on Delhi-Mumbai Expressway

    Crores for Green Initiatives on Delhi-Mumbai Expressway

    New Delhi: The National Highways Authority of India (NHAI) announced that its special company, DME Development Ltd (DMEDL), will raise ₹1,000 crores through green bonds. This money will help make climate-friendly improvements on the Delhi-Mumbai Expressway.

    DMEDL plans to collect this money in two parts: an initial amount of ₹500 crores and a chance to raise another ₹500 crores if there is a lot of interest from investors. The bonds are set to launch in December 2024.

    The money from these bonds will be used for several eco-friendly projects, including planting trees along the road, building safe passages for animals, creating natural drainage systems, installing solar-powered streetlights, recycling waste, and harvesting rainwater.

    NHAI Chairman Santosh Kumar Yadav mentioned that these green bonds will encourage more investment in projects that help the environment, particularly in the roads and highways sector. They will also help save money in the long run by using less energy and reducing harmful vehicle emissions.

    By issuing these bonds, DMEDL aims to improve its financial standing, lower borrowing costs, and attract investors who care about environmental and social issues. DMEDL has asked Care Edge Analytics to review and confirm its green projects.

    Founded in August 2020, DMEDL is a company set up by NHAI to finance, build, and operate the new Delhi-Mumbai expressway. It has received an AAA rating from agencies like CRISIL, CARE, and India Rating. DMEDL has plans to raise around ₹48,000 crores through loans and bonds from banks and has already secured about ₹42,000 crores.

  • BJP Alleges Rahul Gandhi is Working with Foreign Forces Against India

    BJP Alleges Rahul Gandhi is Working with Foreign Forces Against India

    On Thursday, the Bharatiya Janata Party (BJP) made serious claims against Congress leader Rahul Gandhi. They accused him of teaming up with foreign groups and media that they say want to create trouble in India. This happened during a lively Lok Sabha session, which had to be stopped because of loud disagreements from both the BJP and Congress.

    BJP leaders K. Laxman and Sambit Patra used a report from a French media site called Mediapart to back up their accusations. Patra claimed that wealthy businessman George Soros and some US agencies are working with Gandhi to bring instability to India. He stated, “I have no hesitation in saying he (Gandhi) is a traitor of the highest order.”

    Patra also pointed to a report about Brazil stopping a $324 million order for Covaxin, a COVID-19 vaccine. He said Gandhi used old information to blame the government unfairly. He also connected Gandhi’s criticism of the government regarding the Pegasus spyware to the reports by OCCRP, suggesting that it was a planned effort to hurt India’s reputation.

    Additionally, Patra talked about the National Herald case, noting that OCCRP portrayed the legal issues faced by Gandhi and Sonia Gandhi as politically motivated, fitting into a larger anti-India theme. He claimed Gandhi does not want India to progress and aims to cause disruptions in Parliament.

    BJP MP K. Laxman added that Congress and its partners are working with anti-India groups to push their own agendas. Congress has not responded in detail yet, but they have previously described similar accusations as tricks to divert attention.

    These claims are part of the growing conflict between the BJP and Congress, which is heating up as the 2024 general elections approach. The BJP’s statements could impact how the public views these issues, especially as the government repeats its stance against foreign interference in domestic affairs.

  • Nifty Set to Rise: Market Insights and Stock Picks You Need to Know

    Nifty Set to Rise: Market Insights and Stock Picks You Need to Know

    Rahul Sharma, a director at JM Financial Services, has positive news about the stock market. He believes it’s a good time to buy stocks after a little drop, and that we might see the Nifty index reach 24,800 points soon. The Nifty has recently crossed 24,500 points, which is a good sign.

    After gaining around 500-600 points in a few days, the market is now seeing some corrections—a slight drop is normal after such rises. Sharma suggests that during this dip, investors should consider buying stocks. He points out that bank stocks, especially private banks like ICICI and HDFC, are currently looking strong and likely to lead the market in the next week or two.

    Even though today saw some corrections, blue-chip stocks like Infosys, Reliance, and TCS are driving the market higher. Sharma predicts the Bank Nifty could hit 54,000-54,500 in the near future, and the Fin Nifty could reach 25,000-25,200.

    When it comes to private vs. public sector banks, Sharma favors private banks for quick gains. However, he sees potential in public banks too for long-term investments.

    Sharma also recommends several stocks related to financial markets like CDSL, BSE, and Angel One. CDSL and BSE have done well recently, but he advises booking profits in those, while Angel One may continue to rise.

    For pharmaceutical stocks, Divi’s Laboratories is performing well, and he suggests buying it around ₹6,000 with hopes it could rise to ₹6,500.

    Finally, Sharma suggests investing in companies that could benefit from increased spending on infrastructure, like Larsen & Toubro and NTPC, which could provide a return over the next three months as the country’s economy improves.

  • Megan Schutt’s Five-Wicket Haul Shatters India in First Women’s ODI!

    Megan Schutt’s Five-Wicket Haul Shatters India in First Women’s ODI!

    On Thursday, Australian bowler Megan Schutt had an incredible game, taking her first five-wicket haul as India Women were bowled out for just 100 runs in the first match of their three-game series. Schutt’s amazing bowling performance, with impressive figures of 5 wickets for just 19 runs, left the Indian batting lineup struggling.

    India decided to bat first but found it tough going, losing their openers early in the match. Priya Punia, who came back into the team in place of Shafali Verma, scored only 3 runs off 17 balls before being dismissed by Schutt. Smriti Mandhana managed just 8 runs off 9 balls before edging a wide ball to the wicketkeeper.

    Captain Harmanpreet Kaur tried to hold the team together with 23 runs off 42 balls but was out lbw thanks to Annabel Sutherland. Jemimah Rodrigues, who was the top scorer with 23 runs off 42 balls, showed some talent but got bowled by Kim Garth while trying to play the ball to the other side.

    India fell apart quickly, going from 62 runs for 3 wickets to being all out for 100 runs in just over 34 overs, with their last three batters getting out in no time. Schutt finished her fantastic bowling by bowling Priya Mishra and completing her five wickets, leading Australia to a strong position.

    Overall, India’s batting performance was weak, with no player able to stand up against the strong Australian team.

    Brief Scores:
    India Women: 100 all out in 34.2 overs (Top scorer: Jemimah Rodrigues 23 runs; Megan Schutt 5 wickets for 19 runs).

    Teams:
    India Women: Priya Punia, Smriti Mandhana, Harleen Deol, Harmanpreet Kaur (c), Jemimah Rodrigues, Richa Ghosh (w), Deepti Sharma, Titas Sadhu, Priya Mishra, Saima Thakor, Renuka Thakur Singh.

    Australia Women: Phoebe Litchfield, Georgia Voll, Ellyse Perry, Beth Mooney (w), Annabel Sutherland, Ashleigh Gardner, Tahlia McGrath (c), Georgia Wareham, Alana King, Kim Garth, Megan Schutt.

  • Today’s Sugar Stocks: Gains and Losses Explained Simply”

    Today’s Sugar Stocks: Gains and Losses Explained Simply”

    On Thursday morning, sugar company shares were mostly down when the stock market opened. However, some companies did see small increases. Here are a few details:

    – Top Gainers:
    – Triveni Engineering & Industries Ltd.: up 4.74%
    – Avadh Sugar & Energy Ltd.: up 0.77%
    – Shree Renuka Sugars Ltd.: up 0.35%
    – Other winners included Dhampur Sugar Mills Ltd, Ponni Sugars (Erode) Ltd, and Kothari Sugars & Chemicals Ltd., with small gains.

    – Top Losers:
    – EID Parry (India) Ltd.: down 1.15%
    – Magadh Sugar & Energy Ltd.: down 1.14%
    – Dwarikesh Sugar Industries Ltd.: down 0.74%
    – Other companies like Bajaj Hindusthan Sugar Ltd and Ugar Sugar Works Ltd also fell a bit.

    Meanwhile, the overall stock market was not doing well. The NSE Nifty50 index dropped by 118.46 points, sitting at 24,349.0. The 30-share BSE Sensex fell by 315.33 points, now at 80,641.0.

    In other areas of the market, some big names like Bharti Airtel Ltd. (up 0.56%) and Tata Consultancy Services Ltd. (up 0.32%) had small gains. But companies like Bajaj Auto Ltd. (down 2.1%) and SBI Life Insurance Company Ltd. (down 2.05%) were not doing so well.

    Overall, it’s a mixed day for stocks, especially in the sugar sector!

  • ICICI Securities: Buy Hatsun Agro Products with a Target of Rs 1,250

    ICICI Securities: Buy Hatsun Agro Products with a Target of Rs 1,250

    ICICI Securities is telling investors to buy shares of Hatsun Agro Products. They believe the price will reach Rs 1,250, while the current price is Rs 1,131.

    Hatsun Agro was started in 1986 and is a medium-sized company in the FMCG (Fast-Moving Consumer Goods) sector, with a market value of Rs 25,147.17 crore. This company mainly sells milk and milk products.

    In the latest quarter ending September 30, 2024, Hatsun Agro made Rs 2,078.72 crore in total income, which is a decrease of 12.56% compared to the previous quarter but an increase of 8.29% from the same period last year, which was Rs 1,919.52 crore. They also made a net profit of Rs 64.32 crore during this quarter.

    Why Invest in Hatsun Agro?
    ICICI Securities thinks that Hatsun Agro’s ice cream business will make more profit over time. The reasons are:

    1. Better use of their Govindapur plant will help increase profits.
    2. They have lower selling costs than their competitors because they provide refrigeration and use their own delivery system called HAP Daily.
    3. They are launching new premium products.

    The brokerage predicts that Hatsun Agro will see a growth of 14.0% in revenue and 37.2% in profits each year until 2027. They calculated the target price to be Rs 1,250, which means a price-to-earnings ratio of 53 and 40 times their expected earnings in 2026 and 2027.

    Ownership
    As of September 30, 2024, promoters own 73.17% of Hatsun Agro, foreign institutional investors (FIIs) own 3.29%, and domestic institutional investors (DIIs) own 10.17%.

  • Swiggy’s Financial Outlook: Insights and Growth Projections

    Swiggy’s Financial Outlook: Insights and Growth Projections

    Motilal Oswal Financial Services recently shared their thoughts on Swiggy, giving it a “neutral” rating with a target price of Rs 475. Currently, Swiggy’s stock price stands at Rs 522.7.

    In the second quarter of FY25, Swiggy made Rs 36.1 billion, which is an 11.7% increase compared to the previous quarter and a whopping 30.4% compared to last year. In the food delivery section, Swiggy reported Rs 71.9 billion in goods ordered (GOV), marking an increase of 5.6% from the last quarter and 14.6% from a year ago. They expect food delivery to grow in the high teens for FY25.

    Swiggy’s grocery delivery service, Instamart, performed really well, racking up Rs 33.8 billion in GOV, which is a 75.5% increase from last year. To keep up with demand, Swiggy plans to double its dark stores (places where food is prepared and stored) by FY25 from 523 stores in FY24.

    In terms of earnings, Swiggy’s food delivery service had an adjusted EBITDA margin of 1.6%, which is an improvement, as well as a slightly better contribution margin of 6.6%. However, the overall adjusted EBITDA was a loss of Rs 3.41 billion. Instamart’s contribution margin is still negative at -1.9%, but it is improving.

    Swiggy reported a net loss of Rs 6.2 billion but noted a 4.7% decrease in losses compared to a year before. They believe they can reach breakeven in overall adjusted EBITDA by the third quarter of FY26.

    Swiggy has been a key player in food delivery and grocery delivery, but it’s losing ground to its main competitor, Blinkit. To grow, Swiggy needs to boost its sales and improve its business operations.

    According to Motilal Oswal, they expect food delivery orders to grow by 12.5% a year, along with a small growth in average order value (AOV). Quick commerce (Q-commerce) is expected to grow even faster at 23.6% a year.

    Swiggy is projected to have a profit margin of -16.1% in FY25, improving to -3.9% in FY26, and then turning positive at 1.8% in FY27.

    Despite some changes, Swiggy still faces challenges ahead. They maintain their DCF-based valuation at Rs 475, suggesting a 5% drop from the current price. Overall, the brokerage keeps a neutral rating on the stock.