- Saturday, July 27, 2024
By: Shubham Ghosh
HERE are news in brief on Indian economy and business for Monday, May 27, 2024:
Indian prime minister Narendra Modi’s return to power for a rare third straight term will boost shares of defence, infrastructure, railway and capital goods companies, the chief of Indian brokerage Motilal Oswal Financial Services said.
“These were areas where the government has focussed on, invested money. High probability that the ruling government will continue. If they return… they’ll go (with) much more vigor,” Raamdeo Agrawal, chairman and co-founder of the brokerage, said recently, Reuters reported. “In the next 5 years, you’ll see major action from the government, powering these sectors.”
India’s weeks-long general elections end on Saturday, with the ballots set to be counted on June 4.
UltraTech Cement of Indian conglomerate Aditya Birla Group on Monday said it has made an offer to acquire a 31.6 per cent stake in UAE-based RAK Cement Co for White Cement and Construction Materials PSC (RAKWCT). This would be done by UltraTech Cement Middle East Investments Ltd (UCMEIL), a wholly-owned subsidiary of the Indian cement maker in the UAE. On April 15, UltraTech had informed that UCMEIL will invest in 29.39 per cent equity share capital of ‘Ras al Khaimah Co. for White Cement and Construction Materials PSC’ (RAKWCT), a company listed on the Abu Dhabi stock exchange.
FSN E-Commerce Ventures, which owns India’s beauty and fashion platform Nykaa, announced the appointment of Santosh Desai as an Independent Director on its board, effective July 15, 2024. The appointment is subject to shareholders’ nod, according to a release. “FSN E-Commerce Ventures (NYKAA) has announced the appointment of Santosh Desai as an Independent Director on its Board, effective 15th July 2024, for a period of three years, subject to the approval of shareholders,” the release said. An IIM-Ahmedabad graduate, Desai has served as the CEO of Future Brands for nearly 17 years. He has also served as the president of McCann, one of India’s premier advertising agencies.
Sensex scaled the 76,000 level for the first time while Nifty hit a new lifetime peak before closing marginally down on Monday as investors booked profits at record levels amid high volatility ahead of the results of Lok Sabha polls. The 30-share BSE Sensex closed lower by 19.89 points or 0.03 per cent lower at 75,390.50. Intra-day, the barometer climbed 599.29 points or 0.79 per cent to an all-time peak of 76,009.68 following gains in select banking, financial and IT shares. However, investors preferred to book profits at record levels and the index declined around 835 points from the day’s high to hit a low of 75,175.27.
A Delhi court on Monday convicted a Maharashtra-based company and two of its directors for cheating and criminal conspiracy in a case related to irregularities in the allocation of a coal block in the state. This was the 16th case related to the alleged coal scam in which the court pronounced its judgment. Special Judge Sanjay Bansal held the accused — B S Ispat Ltd, Mohan Agrawal and Rakesh Agrawal — guilty under sections 420 (cheating) and 120-B (criminal conspiracy) of the IPC, noting that the prosecution had proved the case beyond any reasonable doubt. The case pertains to irregularities in the allocation of ‘Marki Mangli-I’ coal block situated in Maharashtra in favour of the company.
The board of Adani Energy Solutions on Monday approved a proposal to raise up to Rs 12,500 crore (£1.17 billion) through issue of equity shares on qualified institutional placement basis or other modes. The company will seek the approval of the shareholders at the ensuing annual general meeting scheduled to be held on June 25, according to a regulatory filing. The board of directors has approved the raising of funds by way of issuance of such number of equity shares having a face value of Rs 10 each (£0.09) and/or other eligible securities or any combination thereof, for an aggregate amount not exceeding Rs 12,500 crore by way of qualified institutional placement or other permissible mode in accordance with the applicable laws, in one or more tranches, the filing said.
(With agencies)
