Author: Staff Writer

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Sensex, Nifty Extend Losses as Pharma, IT and PSU Banks Drag Markets

Indian equity benchmarks continued to face selling pressure for a sixth consecutive session on Friday, with heavy losses in IT, pharma, and PSU bank stocks weighing on sentiment.

By early afternoon, the Sensex was trading 310 points, or 0.38 percent lower, at 80,849, while the Nifty slipped 120 points, or 0.48 percent, to 24,771. Market breadth was negative, with 2,695 stocks declining compared with 918 advancing and 122 remaining unchanged.

Among the laggards, Sun Pharmaceutical Industries, Mahindra & Mahindra, and IndusInd Bank fell as much as 3 percent, while Larsen & Toubro and Tata Motors bucked the trend, gaining up to 4 percent. Over the past six sessions, the Sensex has dropped 2.73 percent and the Nifty 2.52 percent, positioning the indices for their steepest weekly fall since early April.

Sectorally, pharma, IT, metal, and PSU bank indices were the worst performers. Major IT stocks declined following a cautious outlook from Accenture, which analysts said dampened sentiment across the sector. Additional concerns about rising costs also impacted the industry, as the U.S. introduced a new fee of approximately ₹88 lakh on certain H-1B visas.

Pharmaceutical shares were particularly hard hit after U.S. President Donald Trump announced plans to impose a 100 percent tariff on branded and patented drug imports starting October 1, unless firms establish local manufacturing facilities.

Trump posted on Truth Social: “Starting October 1, 2025, we will be imposing a 100 percent tariff on any branded or patented pharmaceutical product, unless a company is building their pharmaceutical manufacturing plant in America.” He added that companies already under construction would be exempt.

Foreign Institutional Investors (FIIs) also continued their selling streak, offloading equities worth ₹4,995 crore on Thursday. The sustained FII selling may keep the market under pressure,” said V K Vijayakumar, experts believe. 

In the broader market, the Nifty Smallcap100 and Midcap100 indices extended their declines for the fifth consecutive session. The midcap index lost 3.2 percent over this period, while the smallcap gauge declined around 4 percent.

Pharma stocks led losses in the smallcap space, with Neuland Laboratories and Natco Pharma falling up to 4 percent. Only 13 of the 100 constituents in the Nifty Smallcap index managed gains. Among midcaps, Waaree Energies dropped as much as 6 percent after U.S. customs authorities announced an investigation into possible tariff evasion.

Also Read: Amazon to Pay $2.5 Billion to Settle FTC Accusations

 

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Corporate

Amazon to Pay $2.5 Billion to Settle FTC Accusations

Amazon has agreed to pay $2.5 billion to settle claims by the U.S. Federal Trade Commission (FTC) that it misled consumers into signing up for Amazon Prime memberships and made it unduly difficult for them to cancel. Under the settlement, Amazon will pay $1 billion in civil penalties and allocate $1.5 billion to reimburse affected consumers.

The FTC alleged in the complaint that Amazon employed “dark patterns”—user interface designs intended to mislead users—and used confusing or insufficient disclosures to enroll consumers into Prime without their full awareness. The agency also asserted that the cancellation process was overly burdensome, with internal discussions at Amazon referencing a cancellation process code-named “Iliad.”

Amazon did not admit wrongdoing as part of the settlement. But besides the monetary penalties, it must implement structural changes: the company is required to provide a “clear and conspicuous” option to decline Prime during checkout, fully disclose all material subscription terms at the point of enrollment, simplify cancellation—allowing users to cancel via the same method they enrolled—and submit to oversight by an independent third-party monitor to enforce compliance.

The settlement terms cover subscribers who joined Prime between June 23, 2019, and June 23, 2025. Consumers who enrolled via the challenged flows—such as certain checkout or signup pages—and who used fewer than three Prime benefits during a 12-month period will receive automatic refunds of up to $51. Others may file claims if, for example, they attempted unsuccessfully to cancel or enrolled via ambiguous flows and used up to 10 benefits.

Refunds must be disbursed within 90 days for automatically eligible consumers. For those needing to file claims, Amazon must issue a claims form within 30 days after automatic refunds are completed and allow up to 180 days for submission. Amazon will have 30 days to adjudicate claims.

FTC Chair Andrew N. Ferguson characterized the resolution as “historic,” saying the settlement “put billions of dollars back into Americans’ pockets” and eliminated misleading subscription practices.

The case originated from a 2023 FTC lawsuit that accused Amazon of enrolling customers without proper consent and hindering cancellation. That legal action was part of broader scrutiny by U.S. regulators of large tech firms’ consumer practices.

Some legal experts view the settlement as one of the most significant FTC enforcement outcomes in recent years, both because of its size and the systemic reforms it mandates. Others will observe closely whether Amazon’s changes withstand ongoing regulatory and judicial scrutiny, especially in light of other pending antitrust litigation against the company.

Amazon said in a statement that it “works incredibly hard to make it clear and simple for customers to both sign up or cancel their Prime membership” and welcomed the resolution as a path forward.

This settlement marks what the FTC describes as the largest civil penalty it has ever imposed under a rule violation and the second-largest consumer reimbursement fund in its history.

Also Read: At $57.6 Billion, Maruti Overtakes Ford, GM, Volkswagen in Valuation

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Corporate

Supreme Court Approves JSW Steel’s Takeover of Bhushan Power & Steel

The Supreme Court of India has overturned its earlier May 2025 ruling and approved JSW Steel’s ₹19,700 crore resolution plan for Bhushan Power & Steel Ltd (BPSL).

The decision marks a significant development in one of the country’s most protracted insolvency cases under the Insolvency and Bankruptcy Code (IBC).

A bench led by Chief Justice of India BR Gavai re-heard the appeal after recalling the May judgment, which had rejected the resolution plan and directed BPSL’s liquidation.

The court dismissed objections raised by BPSL’s former promoters and certain creditors, including claims for a share in the company’s earnings before interest, taxes, depreciation, and amortization (EBITDA).

The bench emphasized that the successful resolution applicant (SRA) cannot be compelled to address claims not part of the Request for Resolution Plan (RfRP) or the approved resolution plan.

The court also noted that the delays in implementing the resolution plan were not attributable to JSW Steel or the committee of creditors (CoC), citing legal challenges and property attachments as contributing factors. JSW Steel had invested heavily in modernizing BPSL, nearly doubling its production capacity from 2.3 million tonnes per annum in 2017 to 4.5 million tonnes per annum in 2025. The court observed that the purpose of the IBC—to transform a loss-making entity into a profit-making one—had been achieved.

The approval of JSW Steel’s resolution plan effectively concludes a six-year-long insolvency process that began in 2017 when Punjab National Bank initiated proceedings against BPSL. The plan had been approved by the CoC and the National Company Law Tribunal (NCLT) in 2019, and upheld by the National Company Law Appellate Tribunal (NCLAT) in 2020. However, dissenting creditors and former promoters challenged the plan in the Supreme Court, leading to the May 2025 ruling that quashed the plan and ordered liquidation. The court’s latest decision overturns that ruling, allowing JSW Steel to proceed with its acquisition of BPSL.

Following the Supreme Court’s approval, JSW Steel’s shares traded 1.23% lower at ₹1,134.40 apiece as of 12:55 p.m. on September 26.

The resolution plan had been a significant point of contention, with various stakeholders raising concerns over its terms and implementation. The court’s decision underscores the importance of adhering to the IBC’s framework and the finality of decisions made by the CoC and approved by the NCLT and NCLAT.

Also Read: Amazon to Pay $2.5 Billion to Settle FTC Accusations

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Leaders

Amit Shah Urges Indian Banks to Scale Up and Prioritize MSME Funding

Union Home and Cooperation Minister Amit Shah has called on Indian banks to elevate their ambitions, aiming to position themselves among the world’s top ten financial institutions.

Speaking at the Financial Express Best Banks Awards in Mumbai on September 25, Shah emphasized the critical role of banks in supporting micro, small, and medium enterprises (MSMEs), which he identified as the backbone of India’s economic growth.

Shah noted that many of India’s largest conglomerates, including Reliance Industries, Adani Group, and Torrent Group, began as MSMEs. He stressed that neglecting this sector would impede the nation’s economic progress.

The government has introduced various initiatives to support MSMEs, such as the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE), which provides collateral-free credit to these businesses.

“Over the years, we have strongly enforced ease of doing business where 40,000 compliances have been removed. Efforts have been taken to tackle criminalisation and corruption which was rampant in the past through introducing penalty and action. We are shortly moving forward to Jan Vishwas Bill 2 with zero criminal economy,” he said.

Highlighting the government’s commitment to financial inclusion, Shah pointed out that over 530 million bank accounts have been opened since 2014, providing access to banking services for previously underserved populations. He also mentioned that approximately 86 key reforms have been implemented to strengthen the banking sector, making it more resilient and robust.

Shah’s remarks underscore the government’s vision of transforming India into a global economic leader by 2047. He urged banks to align with this vision by scaling up their operations and focusing on inclusive growth.

Also Read: US to Probe Waaree Energies Over Alleged Solar Tariff Evasion

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Leaders

Firoz Mistry, Son of Cyrus Mistry, joins Afcons Infrastructure Board

Firoz Mistry, the elder son of the late Cyrus Mistry, has been appointed as a non-executive director on the board of Afcons Infrastructure, the flagship infrastructure arm of the Shapoorji Pallonji Group. This move marks a significant step in the involvement of the next generation of the Mistry family in the group’s operations.

At 29, Firoz Mistry brings a fresh perspective to the company. He holds positions on the boards of SC Finance and Investments Pvt Ltd and Cyrus Investments Pvt Ltd, and serves as a designated partner in CPM Nexgen Ventures LLP and Mistry Ventures LLP. His appointment to Afcons’ board follows the recent induction of his cousin, Pallon S. Mistry, indicating a broader integration of the Mistry family’s younger members into the group’s leadership.

Afcons Infrastructure has also appointed veteran banker Santosh Balachandran Nayar as an independent director. Nayar’s extensive experience in project finance and banking is expected to complement the strategic direction of the company.

These appointments come shortly after Shapoorji Mistry, the previous chairman of Afcons, stepped down and was named Chairman Emeritus. Krishnamurthy Subramanian has since been appointed as the Executive Chairman, further indicating a structured succession plan within the Shapoorji Pallonji Group.

Also Read: Adani Energy Solutions Achieves Zero-Waste-to-Landfill Status Across All Sites

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Corporate

Priya Nair Takes the Helm as HUL Overhauls Leadership

Hindustan Unilever (HUL) has initiated a significant internal restructuring in tandem with the elevation of Priya Nair as its new Managing Director and Chief Executive Officer, in a move aimed at revitalising performance in its domestic market. The changes, effective August 1, reposition HUL’s governance to grant Nair exclusive oversight of local operations and streamline decision-making.

Nair succeeds Rohit Jawa, who steps down after a tenure of just over two years. Her appointment marks the first time a woman will lead HUL in its history. In announcing the change, HUL underscored that the reorganisation is intended to give more autonomy to the Indian arm, enabling faster response to local market conditions and sharper execution on strategy.

Nair’s career spans three decades at Unilever and HUL. She joined HUL in 1995 and has held multiple leadership roles across home care, personal care, beauty & wellbeing, and marketing functions. Prior to her new role, she was President of Unilever’s global Beauty & Wellbeing business. Unilever’s global CEO, Fernando Fernandez, described her as bringing a “view of the world” that combines domestic understanding with international experience, and positioned her appointment as part of a decisive leadership shift to energise growth in India.

The leadership reshuffle coincides with efforts by HUL’s parent company to bolster India as a central growth market. India is Unilever’s second-largest revenue base, and the company has flagged that its future global growth trajectory will include India as a key pillar. As part of the structural changes, HUL has also tapped leaders from external organisations, including hiring senior executives from leading homegrown companies to lead food and financial functions.

The leadership change comes at a time when HUL is navigating a mix of headwinds and opportunities. In its latest quarterly results, HUL’s India unit reported an increase in profit driven by rural demand recovery and success from its refreshed brand portfolio. Revenue growth was moderate, and margin pressures persisted due to costs of raw materials, but the results were broadly viewed as showing resilience. The board has expressed confidence that under Nair’s leadership, the company can sharpen strategic focus and drive renewed performance.

Outgoing CEO Jawa, marking a 37-year career with Unilever, praised Nair’s capabilities and described her as “perfect casting” for the role. He noted that she melds deep India market experience with global leadership exposure, positioning her well to lead HUL through evolving consumer and competitive dynamics. The abrupt transition also reflects acknowledgement within the company of slowing momentum in value growth in recent quarters, and the need for sharper strategic direction in key segments such as beauty, wellness, and direct-to-consumer offerings.

With the new structure, Priya Nair will report directly to global leadership and exercise full control over the India operations rather than a shared accountability model.

The board and Unilever expect this configuration to accelerate decision cycles, align resource allocation more tightly with market priorities, and enable HUL to respond more nimbly to shifts in consumer behaviour. The industry will watch closely whether this leadership and structural reorientation leads to measurable improvements in growth, efficiency, and market positioning in India.

Also Read: At $57.6 Billion, Maruti Overtakes Ford, GM, Volkswagen in Valuation

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Beyond

India Rises to Third in Global Tech Startup Funding in 2025

India claimed the spot as the world’s third-highest funded market for technology startups in 2025, despite a marked downturn in investment volumes compared with the prior year. 

According to data compiled by market intelligence firm Tracxn, Indian tech startups raised $4.8 billion in the first half of 2025, down 25 percent from $6.4 billion raised in the same period in 2024. 

This figure also fell short of $5.9 billion recorded in the second half of 2024. India leapfrogged nations such as Germany and Israel to climb from the fourth to the third position globally.

The Tracxn report notes that the dip in funding was broad-based across stages. Seed funding plunged 44 percent to $452 million, early-stage rounds declined by 16 percent to $1.6 billion, and late-stage investments contracted by 27 percent to $2.7 billion. 

Despite the slowdown, five startups secured funding rounds exceeding $100 million, led by electric mobility firm Erisha E Mobility’s $1 billion raise, followed by GreenLine’s $275 million and Infra.Market’s $222 million. 

Other recipients included Spinny and Darwinbox.

Sectoral trends reveal that some domains bucked the overall decline. Transportation and logistics technology stood out, with investment rising by 104 percent from the previous half to nearly $1.6 billion, making it one of the fastest growing areas of investor interest. Meanwhile, the retail tech segment drew $1.2 billion even as its year-on-year performance weakened, and enterprise applications secured $1.1 billion.

The funding climate also reflected greater exit activity. The first half of 2025 saw 73 acquisitions, compared with 54 in the same period in 2024. Among the most significant deals were the $516 million acquisition of Magma General Insurance by the DS Group and Patanjali, and Hindustan Unilever’s purchase of skincare brand Minimalist for $350 million. These exit moves are being viewed as evidence of maturation in India’s startup ecosystem.

Geographically, Bengaluru led the funding tally, accounting for 26 percent of total capital, followed closely by Delhi at 25 percent. In terms of investor participation, Accel, AngelList, and SoftBank Vision Fund emerged as among the most active across funding stages. At the seed level, Venture Catalysts, 100X.VC, and Antler were prominent, while early-stage rounds were led by Peak XV Partners, Accel, and Lightspeed. Late-stage investment saw strong participation from Sofina and Premji Invest.

Some observers see the drop in funding levels as a signal of tighter investor sentiment globally, but note that India’s ascension in rankings underscores resilience in the domestic tech ecosystem. Tracxn cofounder Neha Singh commented that while volumes have declined, meaningful exits and growing unicorn creation reflect greater stability and growth potential.

Beyond the numbers, the rise to third place is notable for its symbolic value. India’s tech founders, venture capital networks, and government policies supporting startups have been working to build a more mature, investable ecosystem. The classification brings heightened global attention, even as challenges such as capital access, profitability pressures, and infrastructure constraints remain.


Also Read: At $57.6 Billion, Maruti Overtakes Ford, GM, Volkswagen in Valuation

Categories
Corporate

At $57.6 Billion, Maruti Overtakes Ford, GM, Volkswagen in Valuation

Maruti Suzuki India has surged ahead in global automaker rankings after attaining a market capitalization of $57.6 billion, moving it into the eighth position worldwide and surpassing longstanding giants including Ford, General Motors, and Volkswagen. The new valuation places Maruti ahead of Ford (valued at about $46.3 billion), GM (around $57.1 billion), and Volkswagen (approximately $55.7 billion).

The firm’s meteoric rise is tied to a sharp increase in investor optimism. Since August, Maruti’s share price has climbed about 25.5 %, outpacing the broader Nifty Auto index, which has posted gains of around 11 % in the same period. Market observers attribute this rally in part to recent revisions in India’s tax regime, including GST reforms that came into effect starting September 22, which have eased cascading levies on automobiles and improved affordability.

Inside India, Maruti retains a dominant position in the compact and small-car segments, accounting for more than 60 % of its volume in those categories. The company has also reported strong booking activity since the tax realignment, with estimates of up to 15,000 bookings per day and a milestone of around 30,000 vehicle deliveries in a single day during the Navratri festival period.

The valuation benchmark data was compiled by the Economic Times Intelligence Group. The calculation reflects prevailing stock prices and does not necessarily imply parity in revenues, profits, scale, or global footprint with the larger automakers Maruti has eclipsed in market cap terms.

While Maruti has now overtaken its Japanese parent in market value, its current valuation still trails far behind global leaders like Tesla (with a market cap in the hundreds of billions) and Toyota (over $300 billion). Analysts caution that comparisons based purely on market capitalization can mask differences in scale, international exposure, product mix, and the challenges associated with the shift toward electric mobility.

Maruti’s strong showing in 2025 adds an Indian automaker to the global top ten by value — a rare achievement in the automotive industry. Yet, Maruti also faces headwinds: the global transition to electric vehicles, supply chain constraints, commodity cost pressures, and increased competition both domestically and abroad. The company’s ability to maintain momentum while addressing those challenges will be observed closely by the markets and industry watchers.

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Beyond

No End to US Tariffs: Trump Imposes 100% Tariff on Branded Drug Imports

United States President Donald Trump announced on Thursday that beginning October 1, the United States will levy a 100 % tariff on imports of branded or patented pharmaceutical products, unless the manufacturer is actively building a U.S.-based production facility. 

He also unveiled fresh tariffs of 50 % on kitchen cabinets and bathroom vanities, 25 % on heavy-duty trucks, and 30 % on upholstered furniture as part of a broader push to shield domestic industries from foreign competition.

In social media posts on Truth Social, Trump defined the exemption for drugmakers as applying to those that have “broken ground” or already are “under construction” in the United States. He framed the moves as efforts to support U.S. manufacturing and cited national security, though he did not provide detailed legal or economic justification in his announcements.

The decision marks a dramatic escalation in Trump’s tariff strategy, which has already included sweeping duties on steel, aluminum, autos, copper, and other goods during his second presidency. Observers note that the pharmaceutical tariffs could disrupt global supply chains, raise the cost of medicines in the U.S., and provoke retaliation from trading partners.

In response to the announcement, Indian pharmaceutical stocks tumbled. The U.S. is a major market for Indian drug exports, although much of India’s trade is in generics rather than branded pharmaceuticals — which the tariff targets do not explicitly address. Several Indian companies, including Sun Pharma, saw share price declines of over 3 %.

Trump’s truck and cabinetry tariffs also went beyond pharmaceuticals. The 25 % tariff on imported heavy trucks is intended to protect U.S. manufacturers such as Peterbilt, Kenworth, Freightliner, and Mack from “outside competition,” Trump said. The 50 % tariff on kitchen cabinets and bathroom vanities and 30 % on upholstered furniture reflect his administration’s claims that foreign imports are “flooding” the U.S. market.

Trump’s announcement comes amid ongoing national security investigations under Section 232 of the Trade Expansion Act. Earlier in 2025, the Commerce Department launched probes into trucks, pharmaceuticals, and other imports to assess whether they threaten U.S. security. Some analysts suggest the tariff declarations may be a signal that these investigations are nearing completion.

Markets reacted swiftly. Pharmaceutical and furniture stocks in Asia declined, while U.S. sectors sensitive to construction and automotive supply chains also showed volatility. Critics warn that imposing such steep levies could exacerbate inflation, strain federal healthcare programs like Medicare and Medicaid, and destabilize bilateral trade relations. Proponents, however, argue the tariffs will incentivize reshoring of production and reduce reliance on foreign supply.

Trump’s sweeping tariff announcement is likely to dominate trade discourse in the coming weeks. The administration faces imminent pressure to define enforcement rules, determine which countries or products may receive exemptions, and respond to legal challenges as trading partners evaluate retaliation or concession strategies.

Also Read: Adani Energy Solutions Achieves Zero-Waste-to-Landfill Status Across All Sites

 

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Uncategorized

NCLT Greenlights Piramal Enterprises–Piramal Finance Merger

In a major corporate restructuring move, the National Company Law Tribunal (NCLT) has approved the merger of Piramal Enterprises Ltd (PEL) with its wholly-owned subsidiary, Piramal Finance Ltd (PFL), effective September 10.

As part of the deal, Anand Piramal, son of Piramal Group chairman Ajay Piramal, has been appointed chairman of the merged entity, Piramal Finance.

The scheme of amalgamation envisages a one-to-one share swap, with shareholders of Piramal Enterprises getting equity shares in Piramal Finance in the same ratio.

A record date of September 23 has been set, from which trading in PEL shares will be suspended. Shareholders of PEL registered by that date will be allotted shares in the newly merged Piramal Finance.

Anand Piramal has been leading the financial services vertical of the group since joining in 2019, overseeing a shift from wholesale real-estate lending toward a broader technology-led non-banking finance business.

Among his key achievements is the ₹34,250 crore acquisition of the erstwhile DHFL (Dewan Housing Finance Ltd), a significant transaction under India’s Insolvency and Bankruptcy Code. Under his guidance, the legacy structured real-estate book has also been substantially reduced.

Jairam Sridharan will continue in his current role as managing director and chief executive officer of the merged Piramal Finance. Sridharan, formerly MD of the subsidiary, has been credited with scaling the retail business dramatically, growing branches and workforce, and expanding the assets under management.

Ajay Piramal, meanwhile, will retain the leadership role of Chairman of the broader Piramal Group, which encompasses Piramal Finance, Piramal Pharma, Piramal Realty, and the Piramal Foundation.

Swati Piramal will continue as Vice-Chairperson of the group. The merger thus consolidates the group’s financial services under a single entity, aimed at improving capital efficiency and operational simplicity.

Analysts see multiple strategic advantages to the merger. By folding Piramal Enterprises into Piramal Finance, the group expects gains in regulatory efficiency, reduced duplication, and a unified balance sheet for its financial services business.

The move also appears designed to sharpen focus on retail and MSME lending, geographic expansion, and leveraging technology platforms.

As of end-June 2025, Piramal Finance (formerly the non-banking finance arm, inclusive of its DHFL acquisition) had achieved a broad scale, with a rapidly growing retail and MSME portfolio, and a significantly reduced exposure to legacy real-estate stress. Capital adequacy remains healthy, and precision in risk-management has been a stated priority.

The merger marks one of the more notable transitions in India’s NBFC sector in recent years, combining legacy strength, regulatory change, and generational leadership handover in one package.

With Anand Piramal now steering the merged entity, the group signals a deeper shift toward unified financial services operations, underpinned by the leadership and vision that have driven recent growth.

Also Read: Infosys Expands Partnership with Sunrise to Accelerate AI-Driven IT