An in-line ICICI Bank result for the quarter ended March 31, 2024, has led to analysts raising target price and earnings per share (EPS) forecast on the stock. ICICI Bank, they said, appeared least vulnerable to regulatory action on its digital offerings or for risk monitoring lapses.
The total number of private equity transactions so far in 2012 is 23, marginally lower when compared to same period last year.
Ahead of its Rs 18,000 crore further public offer (FPO), Vodafone Idea on Monday said it expects to roll out 5G services in select pockets within 6-9 months of raising fresh capital. Its chief executive Akshaya Moondra said rollout of the modern 5G telecom services is one of the objectives of raising the capital from the public and once the funding comes, it will start work on the rollout. "With this round of funding, we believe we will be able to (come) back to participate in the industry growth which has not been possible," he said.
The reported buyback of Temasek's 20 per cent stake in Tata Play by Tata Sons will be the third instance of Tata Group providing an exit to a foreign partner in recent years. In 2018, Tata Sons paid $1.27 billion to DoCoMo to buy back 26 per cent of the group's telecommunication venture, Tata Teleservices. This was followed by Tata Sons acquiring AirAsia Berhad's 49 per cent stake in AirAsia India in two tranches to make it a wholly owned subsidiary.
With regulatory uncertainties clouding the future of online pharmacies, deals in the space are showing signs of slowdown, as also fresh investment from private-equity (PE) firms and venture capitalists (VCs). The data from Venture Intelligence shows so far in 2023 (as of June 13) there has been one deal with PE-VC funding. In 2022 there were four, a sharp fall from the 12, totalling $1,520 million, the sector had attracted in 2021.
Despite markets turning volatile, share sale activity at India Inc has surged to its highest level in five months. So far in March, promoters, strategic investors and other large shareholders have been able to offload shares worth more than Rs 33,000 crore-the most since November-defying uncertain market conditions. Both the Sensex and the Nifty are on course to post their fourth straight monthly loss amid headwinds, such as interest rate tightening by the US Federal Reserve and the global banking crisis.
Bharti Infratel plans to raise Rs 4,500 cr through its IPO.
A group of 219 employees of Air India along with a private financial institution have submitted an expression of interest (EOI) for the national carrier.
Private equity majors interested in buyouts have started initial discussions with promoter Vijay Mallya.
Sectors which attracted big-ticket investments were real estate, energy, banking and start-ups
Information technology, financials, industrials, consumer discretionary and utilities were the top five sectors to attract significant private equity capital during the quarter.
Actis was earlier negotiating with other private equity players, but changed its strategy after the government opened retail sector to foreign companies.
After a sharp fall in the share prices of HDFC Bank and other private sector lenders in the past three days, the BFSI (banking, financial services and insurance) sector weighting in the Nifty50 has slipped to a seven-year low of 32.03 per cent, down from nearly 36.6 per cent at the end of March 2023 and 34.5 per cent at the end of December 2023.
Mortgage finance remains a structural growth opportunity in India with a policy focus on affordable housing, housing shortages, low mortgage penetration, and rising incomes as drivers. Affordable Housing Finance Companies (AHFCs) serve the mass market, low-income segments, which is the least-serviced category, and to operate in this segment, the mortgage provider needs good assessment skills. AHFCs and HFCs have also been increasing exposure in other mortgage segments (loan against property, developer loans among others).
The new partnership on the block doesn't exactly boast novices. Sunish Sharma, managing director at General Atlantic, and another PE veteranManish Kejriwalthe Indian head of the Singapore government-owned Temasek Holdings (who is also married into the super rich Bajaj family) have come together to raise an independent private equity fund.
Cash-strapped Lilliput, the country's largest kidswear brand, may soon get a luxury makeover.
Temasek is exiting by selling its 10 per cent stake while Network Digital Distribution Services will pare part of its 30 per cent stake.
Private equity investments during January-March stood at $3.18 billion.
The trend is expected to remain bullish in 2015, global consultancy Grant Thornton said
Till the second quarter of 2011, the food sector has attracted more than $100 million investments through PEs," according to the 'Food Franchising Report 2011' brought out by Franchise India and Ficci.
New business premium (NBP) growth of life insurers in March is expected to be weak owing to the high base effect in the year-ago period due to revision in taxation norms for high-value policies, insurers said. In the Budget, Finance Minister Nirmala Sitharaman proposed that insurance policies (excluding unit-linked insurance plans or Ulips) with an aggregate premium exceeding Rs 5 lakh would be taxed. This rule came into effect on April 1, 2023. In March 2023, the NBP of life insurance companies witnessed a strong growth after the tax announcement. Premiums rose by 14.45 per cent year-on-year (Y-o-Y) to Rs 59,608.83 crore in March 2023 from Rs 52,081.12 crore.
'We like certain stocks from banking, insurance, retail, hospitals and capital goods.' 'Though some of these stocks may seem expensive, they will compound well over the long term, thus justifying their current multiples.'
The deal was inked at an enterprise value of 42.9 million euros and will be financed by the Capgemini Group's net cash, it said in a statement here. The contract was signed with conditional approval from the Italian anti-trust authorities.
Foreign portfolio investors' (FPIs') shareholding in NSE-listed companies fell 51 basis points sequentially to 17.68 per cent in the quarter ended March 31, 2024, according to data compiled by PRIME Database. This is the lowest FPI shareholding since December 2012. From the recent peak of 21.21 per cent at the end of December 2020, FPI shareholding is down 353 basis points.
'If the majority falls short of expectations, it may prompt initial adjustments in investor sentiment.'
Stretched valuations and slowdown in DII flows are some of the reasons why Goldman Sachs cut its India rating to 'market-weight'
Corporate India's deal activity in the period between January till March this year was better than last year.
Private equity investments in the January-March quarter of the 2011 calendar year were about 57 per cent higher than the $ 2.1 billion worth of PE investment registered in the year ago period and more than double October-December's $1.5 billion, according to data provider Venture Intelligence.
Lenders have postponed the second auction to sell bankrupt Reliance Capital's assets by a week to April 11, even as the Torrent group, the highest bidder in the first round, pursues litigation in the Supreme Court. Lenders are expecting the Hinduja group and Torrent to participate in the second auction and maximise the value of the assets. American financial services major, Oakteee may also join the race, said a source.
The venture capital/private equity industry needs to be encouraged as such investments create jobs and help establish companies in new sectors. There is also a strong case for incentives for investors in these funds, says Saurabh Srivastava, chairman of the Indian Venture Capital and Private Equity Association.
This marks the second billion-dollar investment by Silver Lake in a Reliance subsidiary after the $1.35 billion investment in Jio Platforms.
Matthew M Smith, managing director, Abbott Capital, says that Indian general partners (GPs) are more willing to talk portfolios, both good and bad, in the initial meetings.
Blackstone on Monday said funds managed by the private equity firm will acquire a majority stake in IT firm Mphasis Ltd, triggering an open offer for acquisition of up to 26 per cent stake for about Rs 8,262 crore. A wholly-owned subsidiary of the Abu Dhabi Investment Authority (ADIA), UC Investments (Office of the Chief Investment Officer of The Regents, University of California) and others will co-invest along with Blackstone, a statement said. Based on the open offer subscription, the blended purchase price will vary between Rs 1,452 to Rs 1,497 per share (12-16 per cent premium to 12-month average price and 3-6 per cent discount to 6-month average price) and the purchase consideration will vary between Rs 15,200 crore to Rs 21,000 crore (approximately$2-2.8 billion), the statement said.
Vijay Mallya-owned Kingfisher Airlines, which plans to raise $400 million from private equity investors, may have to settle for structured finance such as sale and leaseback or securitisation of receivables, say private equity experts in Mumbai.
For Billie Jean King, her leading role in the foundation of the WTA half a century ago ranks above the many successes she enjoyed on court.
Global private equity majors - Standard Chartered Private Equity and London-headquartered 3i - are understood to have shown keen interest to invest in the litigation-prone Rs 4,000 crore (Rs 40 billion) Bangalore-Mysore expressway being developed by Nandi Infrastructure Corridor Enterprise Limited (NICE).
Its first and only investment in India out of its Asia-dedicated fund has gone bad.
UBS, Credit Suisse see emerging markets doing well next year, but expect India to underperform, given its rich valuations.
India's largest cement firm, Ultratech Cement, has joined the race to acquire the Holcim stake in Ambuja Cements and its subsidiary, ACC. UltraTech - part of the Aditya Birla Group - submitted a non-binding bid on Wednesday. Swiss multinational Holcim, which manufactures building material, is exiting India by selling its 63.19% stake in Ambuja Cements. According to banking sources, UltraTech has submitted a plan to Holcim, outlining divestiture details that would meet the norms set by anti-trust body Competition Commission of India.
'Valuations of midcaps and smallcaps have reached very high levels, and hence to that extent leave little margin of safety.'
