JSW group will acquire a 35% stake in MG Motor India, a unit of China's SAIC. Jindal had been eyeing the auto industry for several years and chose MG Motor India as the Chinese company faced difficulties due to fund-raising restrictions. Jindal is expected to gain a majority 51% stake over the next few years as MG Motor goes for an IPO and new financial investors enter. The deal will provide Jindal with access to a range of automotive technologies and allow MG Motor to expand in India and pursue acquisitions.from Business News: Latest News on Business, Stock Markets, Financial News, India Business & World Business News https://ift.tt/iAMdl96
The average long-term US mortgage rate fell for the fifth week in a row, benefiting prospective homebuyers in an unaffordable housing market. According to Freddie Mac, the average rate on a 30-year mortgage decreased to 7.22%, the lowest in 10 weeks. The decline in rates is encouraging for potential buyers, with purchase application activity rising. However, rates remain significantly higher than two years ago, limiting affordability for many Americans.
The Union cabinet has recommended setting up of the 16th Finance Commission to decide on sharing of taxes between the Centre and the states, setting off speculation on the chairman and members of the Constitutionally mandated panel, whose award would be effective for five years, starting April 2026. The panel, which will be constituted by the President over the next few days, is proposed to be given a simple mandate, instead of expanding it to include issues, such as, GST or ease of doing business, as was the case in the past.
The unemployment rate in urban areas for 15 years and above slowed in the July-September quarter compared to the same year ago period but remained at the same level as in the previous April-June quarter, data showed on Wednesday. Data released by the ministry of statistics and programme implementation showed the joblessness rate slowed to 6.6% in the three months to July-September, lower than the 7.2% recorded in the same year earlier period. In the April-June quarter of the current fiscal year it was at 6.6%
After gold prices rallied to a six-month high in the international market, analysts are looking at a similar run in the price of yellow metal here at home. On Tuesday, gold on the New York Commodity Exchange rallied nearly 1% to trade at $2,028/Oz as US government bond yield was showing a sliding trend and dollar was also weakening against most major currencies. In domestic market, however, price of yellow metal didn't go up as much and was trading in range of Rs 61,100 to Rs 61,200/10gm - barely changed from the level it was at late last week.
The government is considering deploying a series of measures to curb the growing menace of cyber frauds in the financial sector, including blocking the IMEI, the unique number of mobile devices, and restricting withdrawals from suspicious accounts to prevent its use in future incidents. Besides, a proposal to "whitelist" digital lending apps was among options discussed at a meeting in the finance ministry, amid an unprecedented rise in cyber frauds.
Foxconn plans to expand its footprint in India with another $1.6 billion investment for construction projects. The announcement, made in an exchange filing in Taiwan late Monday, didn't give any further details, saying only that the investment was for "operational needs." A spokesperson for the company declined to say where the new facilities would be or what they would build. The news comes as Hon Hai and other Taiwanese electronics manufacturers continue to diversify their businesses outside of China as tensions rise between Washington and Beijing.
Top level exits at troubled edtech startup Byju's continue. The firm's chief technology officer (CTO) Anil Goel is leaving the company after three years, amid a broad restructuring process that India CEO Arjun Mohan is spearheading. In a statement on Monday, the firm said Jiny Thattil has been elevated as the new CTO. Thattil had been serving as the senior vice-president, engineering at Byju's and has also worked with companies like Amazon, InMobi and GE Healthcare in the past.
Bengaluru's Jawaharlal Nehru Centre for Advanced Scientific Research (JNCASR) is setting up India's first plant to convert CO2 into methanol at a power plant in Telangana. The plant, commissioned by the Central Mine Planning & Design Institute Limited (CMPDI) with a recommendation from Coal India Limited, is expected to be completed in 2024. The technology, developed by JNCASR's startup Breathe Applied Sciences, will help control environmental pollution by converting CO2 into methanol, reducing the need for imports from China.
The Insolvency & Bankruptcy Board of India (IBBI) will finalize amendments to regulations next month, including those for home buyers, personal and companies' insolvency proceedings, and liquidation. The government may not introduce these amendments in the upcoming parliamentary session. The proposed changes draw upon recommendations from an expert committee, including the registration of property during insolvency proceedings and allowing resolution professionals to break up a company into projects. The IBBI also proposes changes to deal with the insolvency of personal guarantors.
Deregulation of domestic crude appears to have tipped the balance in favour of producers as green shoots of a free market emerge. In term deals signed after getting marketing freedom, state-run producer ONGC is commanding a premium over global benchmark Brent for Mumbai offshore oil in spite of attempts by buyers, also from the public sector, to beat down prices by leveraging discounts on Russian supplies. ONGC produces 13-14 million tonnes per annum of crude oil from its fields in the Arabian Sea, off the Mumbai coast.
The think-tank GTRI suggests that India should study its bilateral free trade agreements with Singapore and Thailand while reviewing its trade pact with the Asean bloc. GTRI also recommends a similar exercise with Thailand. The report highlights that India has separate free trade agreements with both Singapore and Thailand, and suggests studying them together. Additionally, the report emphasizes the need for India to focus on using local coal and cutting imports of inferior palm oil..
ONGC signs term contracts to sell crude oil from Mumbai offshore fields at a premium to Brent crude oil price; Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) buy 4.5 million tonne each; ONGC produces 13-14 million tonne per annum from Arabian Sea fields; Auctions of Mumbai High and Panna/Mukta fields oil; Refiners argue for discounts due to losses on petrol and diesel sales; ONGC resists discounts due to windfall profit tax; ONGC sells smaller volumes to subsidiary MRPL; Uran cargoes sold at lower premium due to local taxes.
State-owned oil and gas giants IndianOil, ONGC, BPCL, HPCL, Oil India Ltd, and Engineers India Ltd have been fined for the second quarter in a row for not having the requisite number of independent directors on board. The fines were imposed by the BSE and NSE, but the companies stated that the appointment of directors is done by the government and they have no role in it. Listing norms require companies to have independent directors and at least one woman director on the board. The companies have requested a waiver of the fines.
The board of Sebi on Saturday relaxed some of the guidelines for small not-for-profit organisations (NPOs) and non-government organisations (NGOs) to tap the social stock exchanges (SSEs) to raise funds, including halving the minimum fund-raising size to Rs 50 lakh. The board also approved a regulatory framework for index providers “with the objective of fostering transparency and accountability in governance and administration of financial benchmarks in the securities market,” the market regulator said in a release.
The Supreme Court on Friday appeared unpersuaded by lawyer Prashant Bhushan, appearing for a third-year law student, who attempted to punch holes in Sebi's probe into 24 cases of irregularities relating to alleged stock market manipulations by the Adani Group and argued that the regulator had failed to take note of "credible information" provided in the Hindenburg report. Bhushan said Hindenburg had received information about alleged stock market manipulations by the Adani Group from Mauritius authorities.
RBI deputy governor M Rajeshwar Rao has cautioned about 'dark patterns' in mis-selling of digital loans where customers are deceived into availing high-cost loans. The deputy governor has also said that RBI will relook at risk management framework for lenders on liquidity and market risk. According to Rao, mis-selling has taken on a digital form known as 'dark patterns'. These design interfaces and tactics are intended to deceive users into specific behaviours, such as obtaining high-cost, short-term consumer credit under the guise of an instant loan.
In a landmark collaboration, national mapping agency Survey of India (SoI) and Genesys International, a leading Indian mapping company, on Wednesday announced a strategic tie-up for a three-dimensional (3D) digital twin-mapping programme in India. Genesys thus becomes the first company to have a first public-private agreement with SoI for digital twin-mapping. Genesys, which specialises in advanced mapping, survey and digital twin creation and has a global presence, is “going to announce certain international projects next week”, the CMD said.
The Supreme Court in India has warned Patanjali Ayurved, a popular Ayurvedic products company, against making false claims in their advertisements about curing diseases. Petition filed by IMA. The court has threatened to impose heavy costs on the company for such practices. The court also instructed the government to consult and propose recommendations to tackle misleading advertisements. Patanjali Ayurved has been facing legal cases for spreading false information about allopathic medicines during the Covid-19 pandemic.
Sony has been ordered to face a £6.3 billion ($7.9 billion) lawsuit in the UK over claims that the company abused its dominant position, resulting in unfair prices for customers. The case, brought on behalf of nearly nine million people who purchased digital games or add-on content through Sony's PlayStation Store, alleges that the company's requirement for exclusive sales through its platform led to higher prices. Sony's lawyers argued that the case should be dismissed, but the Competition Appeal Tribunal ruled that it could proceed.
The US government has reportedly reached a settlement with cryptocurrency exchange Binance, amounting to over $4 billion. The settlement comes after Binance was accused of operating as an unregistered securities exchange and violating US securities laws. The charges against Binance were similar to those faced by the now-collapsed cryptocurrency exchange FTX. Binance's CEO, Changpeng Zhao, has also faced allegations of diverting customer funds and concealing assets.
Anne Richards has stepped down as the CEO of Fidelity International after five years and will assume the position of vice chair at the company. With over 30 years of experience in asset management, Richards, who previously led M&G Investments and served as CIO at Aberdeen Asset Management, oversaw significant growth during her tenure, with Fidelity's assets reaching $714.3 billion. In her new role as vice chair, Richards will focus on external relationships and strategic partnerships.
The BIS wants wooden tables to be able to bear 60 kg and beds to bear 110 kg, along with passing stability, strength, and durability tests. However, industry bodies argue that QCO is burdensome and should align with international standards. The government plans to bring wooden furniture under QCO from 2025. BIS argues that user behavior in India differs from other parts of the world. The BIS and industry will continue discussions to find a solution.
FMCG and ayurvedic products maker Dabur is planning to establish a new factory in South India within a year to meet the growing demand in the region. The company is focusing on customizing products for the South Indian market and aims to increase its business in the region, which currently contributes 20% of its domestic sales. Dabur is also expanding its manufacturing activities in international markets, particularly in the Middle East and Europe.
November is set to be a busy month for IPOs in India, with five companies, including Tata Technologies and Indian Renewable Energy Development Agency Ltd, planning to raise over Rs 7,300 crore collectively. The IPOs of Fedbank Financial Services, Flair Writing Industries, and Gandhar Oil Refinery India are also expected to open in November. This surge in IPO activity is attributed to factors such as strong post-listing returns and favorable market conditions.
India can become the biggest market for South Korean auto major Hyundai globally in the near future with demand for automobiles expected to remain strong, Hyundai Motor India Ltd (HMIL) MD and CEO Unsoo Kim said on Friday. HMIL accounts for 18.6 per cent (in the January-September period) of the South Korean automaker's global volumes. It expects to breach the 20 per cent mark in the next 2-3 years. It is in the third position after the US and South Korean markets.
AstraZeneca Pharma will exit manufacturing at its only plant based in Bangalore, as part of a ``global strategic review’’. The company with revenues of over Rs 1000 crore, feels that it can derive more value for its shareholders by transferring core manufacturing to a contract manufacturer. As a part of AstraZeneca's ongoing strategic review of its global manufacturing and supply network, the company intends to exit the manufacturing site in Bangalore, in due course, it said in a stock exchange filing.
The 'Significant Beneficial Owners' (SBO) rules recently issued by the ministry of corporate affairs for Limited Liability Partnerships (LLPs) will bring more transparency to investment structures. The rules require LLPs to identify and report on ultimate owners, strengthening disclosure frameworks. Previously, this requirement only applied to companies under the Companies Act. LLPs gaining popularity as investment vehicles in India necessitated regulations to ensure transparency and curb illicit financing. The challenge lies in obtaining data from beneficial owners residing outside India.
Krafton, the Korean gaming company behind Battlegrounds Mobile India, plans to double its investments in India despite the government's decision to increase GST to 28%. The company will bring in Rs 1,200 crore ($150 million) over the next two-to-three years to support gaming and AI-focused companies. Krafton has already invested in various Indian start-ups and aims to contribute to the gaming ecosystem. The company is not concerned about the impact of the increased GST on its games, as it primarily relies on in-app purchases rather than real-money gaming.
Commerce and industry minister Piyush Goyal announced that Tesla will double its import of components from India and engage with the government to discuss plans for manufacturing and selling in the country. Goyal expressed his delight in seeing Indian professionals contributing to Tesla's journey and the growing importance of Indian auto component suppliers in Tesla's supply chain. The government has been engaged with Tesla for some time, and the company's interest in India has increased. Tesla's sourcing from India could rise from $1 billion last year.
Commerce and Industry Minister Piyush Goyal has announced that Tesla will double its imports of components from India and is in discussions with the government to manufacture and sell in the country. Goyal expressed his delight at the growing presence of Indian professionals at Tesla and the increasing importance of auto component suppliers from India in the company's supply chain. The government has been engaged with Tesla for some time, but the company's interest in India seems to have increased recently. Goyal also met with investors in the US, promoting India as an investment destination.
Coca-Cola India is experiencing faster growth in rural markets compared to urban regions, thanks to factors such as electrification coverage, higher incomes, and increased government spending. The adoption of UPI in these areas has also made it easier for consumers to make small payments. The company is focusing on expanding its presence in rural areas, while also tapping into urban markets to drive premiumization. Currently, Coca-Cola India reaches only about 41% of urban households and 32% of rural households, leaving ample room for growth.
State-run ONGC will start pumping crude from its $5-billion project off the Andhra coast in the next fortnight, bringing on stream the delayed project that is pivotal for reversing the company’s declining fortunes as a result of maturing fields. Output from the KG-DWN 98/2, the second deep sea project in the east coast after RIL-BP’s KG-D6 acreage, will give a fillip to domestic oil production at a time when dependence on imports is rising on the back of expanding oil demand.
The Securities and Exchange Board of India (Sebi) has given approval to four companies to raise funds through initial public offerings (IPOs). Fedbank Financial Services, Indian Renewable Energy Development Agency, EPACK Durable, and Suraj Estate Developers received observation letters from Sebi. The IPO of Fedbank Financial Services consists of a fresh issue of equity shares and an offer for sale by the promoter and existing shareholder. The equity shares of these companies will be listed on the BSE and NSE.
Indian manufacturing has accelerated through the second quarter of 2023-24 and is likely to continue for the subsequent quarters of the financial year 2023-24, notwithstanding the slowdown in developed nations, industry body FICCI's latest quarterly survey revealed. The existing average capacity utilization in the Indian manufacturing sector is around 74 per cent, slightly higher than the 73 per cent recorded during the previous quarters. It sought responses from over 380 manufacturing units from both the large and SME segments with a combined annual turnover of over Rs 4.88 lakh crores.
