Stay ahead of the curve with today’s headlines roundup of crucial news stories shaping India’s financial and corporate landscape. From regulatory shifts in market settlements and options trading to significant investment decisions by corporate giants, here’s what you need to know to navigate the latest developments in India’s business world.
- Low Uptake for SEBI’s T+0 Settlement Cycle in Initial Phase: SEBI’s introduction of a same-day settlement cycle for 25 stocks has seen minimal participation, with a turnover of only Rs 5.7 lakh on NSE and less than Rs 3 lakh on BSE. The tepid response suggests a need for revised frameworks to enhance acceptance.
- SEBI Holds Firm on Options Fees Amid BSE’s Request: SEBI remains firm on imposing regulatory fees based on notional turnover rather than premium turnover for options. This decision significantly affects the Bombay Stock Exchange (BSE), which had requested a reconsideration to lower its regulatory costs.
- Tata Sons Pauses Investments in Digital Businesses: Tata Sons has halted fresh investments into its digital ventures like Tata Neu and Croma for the first time in eight years. This strategic pause aims to focus on operational efficiency and profitability before further capital infusion.
- Rising Investor Interest in Startup IPOs: India is witnessing a surge in startup IPOs, with 17 launches this year, up from six in the first half of 2023. This trend aligns with increased funding, totaling $4.1 billion so far this year, reflecting growing investor confidence in IPO-bound startups.
- Vedanta Resources Plans Block Sale to Repay Debt: Vedanta Resources is expected to sell a 2.5% stake in Vedanta through block deals, aiming to raise Rs 4,000 crore to repay upcoming debts. The sale, at a discount of 8-10%, aligns with Vedanta’s strategy to deleverage significantly in the coming years.
- Concerns Over Reliance Industries’ Board Appointment: About 40% of public shareholders opposed the reappointment of Yasir Al-Rumayyan, a top Aramco executive, as an independent director on Reliance Industries’ board due to frequent absences from meetings. Despite opposition, he was reappointed, sparking unusual dissent.
- Adani Green’s Ambitious Investment in Renewable Energy: Adani Green Energy plans to invest Rs 2 lakh crore to expand its renewable energy capacity from 10.9 GW to 50 GW by 2030, focusing 80% on solar energy. This massive investment underscores Adani Group’s commitment to renewable energy expansion.
- Joint Efforts to Combat Mule Accounts and Fraud: RBI, NPCI, and the home ministry are collaborating with financial institutions and technology firms to curb mule accounts used in fraud. The initiative aims to enhance security against fake websites and illicit fund transfers.
- GST Revision to Boost Aircraft Maintenance Sector: Revised GST rules proposing a uniform 5% tax on aircraft parts and equipment imports aim to bolster India’s aircraft maintenance and repair industry. This move supports India’s aspiration to become a global hub for aircraft maintenance.
- Decline in Crorepati Earners at Infosys and Wipro: Infosys and Wipro have seen a decrease in employees earning over Rs 1 crore amid a challenging business environment post-pandemic. The decline underscores ongoing adjustments in India’s software services sector amidst economic pressures.
