Category: Corporate

Benchmark indices Sensex and Nifty staged a sharp recovery on September 1, shaking off three straight sessions of losses. The Sensex rose about 0.43% to 80,155.78, while the Nifty 50 climbed 0.42% to 24,527.55 by mid-morning, marking a decisive shift in investor sentiment.

India delivered a stellar 7.8% GDP growth in Q1 (April–June), outperforming both the RBI's forecast of 6.5% and economists’ median estimate of 6.6%. This figure stands as the strongest in five consecutive quarters and beats both the previous quarter’s 7.4% and the year-ago figure of 6.5%, providing a powerful confidence boost to markets. Investor optimism also received another lift following a U.S. appeals court ruling declaring most of former President Donald Trump’s tariffs on Indian goods illegal—even though these remain effective until mid-October. The decision heightened hopes of a favorable Supreme Court outcome.

The rally extended across nearly all sectors, with 15 out of 16 sectoral indices trading in the green. Small-cap and mid-cap stocks surged around 1.1%, outperforming after periods of underperformance. Analysts highlighted that strong domestic economic momentum and stable global cues helped markets start the week on a firm note.

IT stocks were among the biggest gainers, climbing approximately 1.3%, with all 10 constituents of the Nifty IT index in positive territory. Mphasis led gains after receiving an overweight rating from Morgan Stanley. Other individual stocks like Torrent Power and PG Electroplast also rose following major deals and investment announcements, while Sterlite Technologies slipped after a fine was imposed on its U.S. unit.

Investors are also watching the upcoming GST Council meeting scheduled for September 3–4, with discussions on simplifying GST rates expected to provide another market tailwind. However, analysts remain cautious as September has historically been a volatile month for equities, with tariff developments, GST outcomes, and foreign institutional investor flows likely to shape the coming weeks.

BHEL has signed a License Agreement for Transfer of Technology (LAToT) with DRDO’s Defence Metallurgical Research Laboratory (DMRL) in Hyderabad, empowering the state-run firm to manufacture fused silica radar domes domestically. These radar domes are critical for seeker-based missile guidance systems and are to be made using Cold Isostatic Pressing and Sintering techniques—previously deployed only by foreign suppliers.

The announcement sparked a favorable market reaction: BHEL shares climbed over 2%, trading as high as ₹213 on the BSE. Despite a prior slide—falling 9% year-to-date and 27% over the past year—this new technology deal appears to have restored investor optimism.

Axiscades Bags Major Orders Fueling Indigenous Electronics Surge

Meanwhile, Axiscades Technologies, through its defence subsidiary Mistral Solutions Pvt. Ltd., revealed a flurry of deals worth approximately ₹600 crore, spanning airborne, naval, and radar systems development and production. The contracts—awarded by DRDO, Bharat Electronics Limited (BEL), and other defence agencies—focus on critical components for India’s self-reliance in defence technology.

Notably, a DRDO subsidiary, LRDE, entrusted Axiscades with a development and follow-on production contract totaling ₹124 crore for the Exciter and Receiver unit of the Virupaksh Radar, which is used in the Su-30MKI fighter jet upgrade.

Additional high-value orders include a ₹150 crore production deal under BEL’s KUSHA project for Digital Beam Forming Units in Long Range Battle Management Radar, a ₹200 crore production contract for Digital Transmit and Receive Modules in surveillance radars, and a ₹150 crore production order for S-Band Octal Transmit/Receive Modules. The company also secured a ₹60 crore naval SONAR subsystem production contract for submarine platforms.

These contracts, spanning development through multi-year production, highlight Axiscades’ growing role in bolstering domestic electronics and defence manufacturing. Adding to its defence portfolio, Axiscades has also secured a ₹223.95 crore deal from the Indian Army to supply 212 advanced 50-ton tank transporter trailers under the ‘Buy (Indian-IDDM)’ initiative.

Mumbai: Reliance Industries Ltd (RIL), India’s most valuable company, on Friday unveiled a series of major announcements at its 48th annual general meeting (AGM), including plans to take Reliance Jio Infocomm Ltd public by the first half of 2026, the launch of a dedicated artificial intelligence subsidiary, and high-profile partnerships with global technology leaders.

RIL Chairman Mukesh Ambani confirmed that the telecom giant, which has over 500 million subscribers, is preparing to file for its initial public offering (IPO), unlocking significant value for RIL’s 4.4 million shareholders. “We are aiming to list Jio by the first half of 2026, subject to all necessary approvals,” Ambani said. The IPO would mark a milestone for Jio, which launched commercially in 2016 and has since transformed India’s telecom sector through affordable data and free voice services, fuelling the growth of digital payments and startups.

Ambani outlined an ambitious roadmap for Jio, which has executed the world’s fastest 5G rollout. Plans include connecting every Indian household with broadband, expanding into smart homes, digitising enterprises and small businesses, and driving an “AI Everywhere for Everyone” mission.

To support this vision, Ambani announced the creation of a wholly owned subsidiary, Reliance Intelligence, which will focus on AI infrastructure, services, partnerships, and talent development. The company will build gigawatt-scale, AI-ready data centres in Jamnagar, powered by clean energy, and develop affordable AI solutions for key sectors such as education, healthcare, and agriculture.

RIL also revealed a new AI joint venture with Meta to deliver sovereign, enterprise-ready AI solutions tailored for India. Meta CEO Mark Zuckerberg said the partnership would help bring AI and, eventually, superintelligence to every corner of the country, empowering businesses from startups to large enterprises. Google CEO Sundar Pichai added that a dedicated Jamnagar Cloud region, powered by Reliance’s renewable energy, would accelerate AI adoption across Reliance’s businesses.

Reliance’s media arm also reported record-breaking growth. Akash Ambani, Chairman of Reliance Jio Infocomm, said JioHotstar had become the world’s second-largest streaming platform with 300 million paying subscribers, achieved entirely in India. The company also commands a 34% share of the TV market and is expanding JioStar, its integrated media and entertainment venture, globally. Disney CEO Bob Iger called India one of Disney’s most important markets, citing JioStar’s rapid rise.

Reliance Retail, led by Isha Ambani, reported a 15% rise in its registered customer base to 349 million and processed 1.4 billion transactions in FY25. She said the company is targeting 20% revenue contribution from online channels over the next three years.

These announcements reflect Reliance’s transformation from an oil-to-chemicals conglomerate into a technology-driven consumer powerhouse. Ambani said the moves will unlock value for shareholders and position Reliance as a global leader in AI, telecom, retail, and digital services.

India’s tablet market contracted sharply in the first half of 2025, with total shipments falling 32.2% every year to about 2.15 million units. The slump marks one of the steepest declines in recent years, driven largely by a drop in commercial demand.

The slowdown was more pronounced in the April–June quarter, which saw shipments plunge 42.1% compared to the same period last year. A key factor behind the decline was the scaling back of large government-funded education and public sector procurement programs that had previously driven bulk tablet orders.

Despite the overall downturn, the market showed contrasting trends across device types. Detachable tablets, which include hybrid devices with removable keyboards, grew 18.9%, supported by demand for flexible, productivity-focused tools. Meanwhile, traditional slate tablets suffered a steep 44.4% fall in shipments.

Samsung continued to dominate the market, capturing 41.3% share in the first half of the year. The company led both the commercial and consumer segments, driven by its presence in education initiatives and aggressive online distribution. Lenovo followed with a 12.3% share, while Apple ranked third at 11.8%. Xiaomi and Acer rounded out the top five.

While the commercial segment faltered, consumer demand held relatively steady. Online sales outpaced offline, boosted by new launches, cashback offers, and financing options. Features like larger screens, stylus support, and competitive pricing also helped sustain interest, particularly in mid-range devices.

“The consumer tablet market doubled between 2019 and 2021 and is expected to triple by the end of 2025,” said Bharath Shenoy, an industry analyst. “But weakening public sector demand could weigh on total growth going forward.

As India’s tablet market shifts from institutional to consumer-driven demand, manufacturers are likely to focus more on productivity-centric and affordable models. With the festive season approaching, the next few months may offer a modest recovery, driven by aggressive promotions and refreshed product line-ups. Still, without a revival in commercial spending, overall growth may remain subdued through the end of the year.

Silicon Valley: Google has cut around 35% of its managers overseeing small teams, part of a sweeping overhaul to flatten its hierarchy and improve efficiency.

The change was revealed at a recent all-hands meeting by Brian Welle, Vice President of People Analytics and Performance, who said the eliminated roles mainly involved managers with fewer than three direct reports. Instead of being laid off, many of these employees have been reassigned to individual contributor roles, allowing Google to retain talent while streamlining decision-making.

The cuts form part of CEO Sundar Pichai’s broader efficiency drive, which has already seen major layoffs across divisions since 2023, including the company’s largest-ever job cut affecting 12,000 employees. In 2025, additional reductions hit units like Google Cloud, Platforms & Devices, and the Global Business Group.

At the same time, the company has rolled out Voluntary Exit Programs (VEPs) across search, marketing, hardware, and people operations, with 3–5% of employees opting in, often for personal reasons.

Pichai has stressed the need for leaner leadership to reduce bureaucracy and speed up execution, telling staff that Google must “be more efficient as we scale up so we don’t solve everything with headcount.”

While the move is seen as a step toward agility and cost discipline, it has stirred unease among employees. Google has emphasized transparency, positioning the reshuffle as a chance for managers to continue contributing in different capacities rather than a pure downsizing exercise.

Samvardhana Motherson International Ltd (SAMIL), a leading Indian auto components manufacturer, has announced the acquisition of an 81% stake in Japan's Yutaka Giken Co., Ltd. (YGCL) for approximately $184 million (₹1,610 crore). The deal, approved by SAMIL's board on August 29, 2025, is aimed at strengthening the company's global footprint and deepening its ties with Honda Motor Co., Ltd., which currently holds a 69.66% stake in Yutaka Giken. Post-transaction, Honda will retain a 19% voting rights stake in YGCL.

The acquisition will be executed through SAMIL's wholly-owned subsidiary, Motherson Global Investments B.V. (MGI BV). In addition to the YGCL stake, MGI BV will acquire an 11% stake in Shinnichi Kogyo Co., Ltd., a subsidiary of YGCL. SAMIL also plans to acquire 100% of Yutaka Autoparts India Pvt Ltd from YGCL, further enhancing its presence in the Indian market.

Yutaka Giken, listed on the Tokyo Stock Exchange, specializes in producing metal components and assemblies, including rotors, stator assemblies, drive systems, brake systems, and thermal management systems. With 13 manufacturing units and one R&D facility across nine countries, YGCL reported a turnover of approximately $1.2 billion for the fiscal year 2024–25.

The acquisition aligns with SAMIL's strategy to expand its share of business with Japanese Original Equipment Manufacturers (OEMs) and to cross-sell YGCL's product portfolio to other OEMs, particularly in emerging markets. The transaction is subject to regulatory approvals from merger control authorities in Japan, the United States, China, Brazil, and Mexico, with an expected completion timeline by the first quarter of fiscal year 2026–27.

Following the announcement, SAMIL's stock price experienced a positive movement, reflecting investor confidence in the company’s strategic expansion. Industry analysts say the acquisition positions Samvardhana Motherson as a stronger global player in automotive components, with an enhanced product portfolio and wider access to international OEMs.

Tata Motors on Friday launched its all-new 9-seater Tata Winger Plus, priced at ₹20.60 lakh (ex-showroom, New Delhi), targeting staff transportation and the expanding travel and tourism market.

Designed as a premium passenger mobility solution, the Winger Plus combines comfort, connectivity, and efficiency for both passengers and fleet operators. According to the company, the van delivers a spacious and comfortable travel experience while helping fleet owners reduce total cost of ownership and improve profitability.

Anand S, Vice President and Head of Commercial Passenger Vehicle Business at Tata Motors, said the Winger Plus “has been thoughtfully developed to offer passengers a premium ride while presenting fleet operators with a compelling value proposition. Its superior comfort, advanced features, and segment-leading efficiency are engineered to maximise profitability while keeping ownership costs low.”

The vehicle is built to cater to India’s evolving passenger mobility needs — from urban staff transport to growing demand in the tourism sector. “The Winger Plus sets new benchmarks in the commercial passenger vehicle segment, responding to the diverse requirements of modern fleet operators and travellers alike,” Anand added.

Equipped with Tata Motors’ Fleet Edge connected vehicle platform, the Winger Plus allows real-time vehicle tracking, diagnostics, and fleet optimisation, providing operators with tools to enhance operational efficiency.

With this launch, Tata Motors strengthens its commercial passenger vehicle portfolio, which spans 9-seater to 55-seater vehicles across various powertrains and configurations, serving multiple segments of India’s mass-mobility market.

Marking a major stride in India’s semiconductor ambitions, CG Semi, a unit of the Murugappa Group and CG Power, inaugurated a pilot line at its semiconductor packaging plant in Sanand on Thursday. The ₹7,600-crore project is backed by 50% funding from the Union government through the India Semiconductor Mission (ISM) and developed in collaboration with Renesas Electronics (U.S.) and Stars Microelectronics (Thailand).

Attending the inauguration, Union Minister of Electronics and IT, Ashwini Vaishnaw, confirmed that the G1 pilot line will soon produce India’s first ‘Made-in-India’ chip. “The initial chips will be used for customer qualification before full-scale production begins,” Vaishnaw said. Gujarat Chief Minister Bhupendra Patel was also present at the event.

The pilot line is designed to manufacture qualifying chips, which are tested by potential clients before ramping up to mass production, expected to reach millions of units per day. The G1 facility will have a peak capacity of 5 lakh chips daily, while the G2 facility, currently under construction, aims for 14.5 million units per day by the end of 2026.

These chips will serve a wide array of products, from home appliances and consumer electronics to automobiles and electric vehicles, highlighting the facility’s role in strengthening India’s tech ecosystem. The project is also expected to create over 5,000 direct and indirect jobs and cater to both domestic and international customers.

Following the announcement, CG Power and Industrial Solutions’ shares rose 3.8% to ₹688.95 on the Bombay Stock Exchange, reflecting positive investor sentiment. Global brokerage Nomura projected a 26.5% upside for the stock, signaling strong confidence in the company’s strategic expansion into the semiconductor sector.

Launched in January 2022, the India Semiconductor Mission seeks to build a self-reliant semiconductor industry, reduce import dependency, and attract global investment. The Sanand pilot line is the first operational facility among 10 ISM-backed projects. Prime Minister Narendra Modi is scheduled to address the IT Ministry’s flagship semiconductor event, Semicon India, on September 2, underscoring government support for the sector.

Vaishnaw described the pilot line as a “critical milestone” in India’s journey toward semiconductor self-sufficiency and noted that Micron’s ATMP (assembly, test, marking, and packaging) facility in Sanand, also supported under ISM, is progressing quickly.

Bengaluru-based stock broking and wealth management platform Groww has received approval from the Securities and Exchange Board of India (SEBI) to go public, setting the stage for an initial public offering (IPO) that could rise to $1 billion, according to sources familiar with the matter. The offering is expected to value the fintech at $7–8 billion, marking a significant milestone in India’s startup and financial services ecosystem.

Groww is expected to file its updated Draft Red Herring Prospectus (DRHP) publicly in the coming weeks. The company had initially filed for an IPO confidentially under SEBI’s pre-filing mechanism on May 26, 2025, taking its first formal step toward a market debut. Earlier reports had indicated that Groww was preparing to file with SEBI while also exploring pre-IPO funding rounds with investors.

Reports mention that Groww is incorporated under Billionbrains Garage Ventures and formally submitted its DRHP with SEBI as part of the regulatory process.

The company plans to list its equity shares, with a face value of Rs 2 each, on both the NSE and BSE mainboards. Specific details regarding the issue size, the fresh issue component, and the offer-for-sale portion have yet to be disclosed. Sources suggest that Groww is likely to adopt a conservative valuation strategy in line with current market conditions, which could imply a 10–15% equity dilution and an IPO size in the range of $700 million to $ 920 million.

Founded in 2016, Groww has emerged as one of India’s leading wealthtech platforms, offering online discount broking, direct mutual fund investments, and a range of other financial products. It competes with players like Zerodha and Upstox, and counts Tiger Global, Peak XV Partners, and Ribbit Capital among its prominent backers.

The development comes amid market volatility, with leading discount brokers Groww and Zerodha together losing approximately 11 lakh active investors in the first half of 2025. Despite this, Groww has maintained robust financial performance, reporting revenue of Rs 4,056 crore and profit after tax of Rs 1,818 crore for FY25, tripling its net profit. year-after-year. Earlier this year, the company raised $200 million at a $7 billion valuation in a funding round led by Singapore’s GIC and Iconiq Capital.

Groww currently holds the largest market share in mutual fund SIP distribution and stock broking in India, with over 12.3 million active clients and a 26% share of NSE trading as of August 2025.

The Reserve Bank of India (RBI) will meet with industry stakeholders in September 2025 to assess the impact of the 50% tariffs recently imposed by the United States on Indian exports. The consultation aims to evaluate sectoral challenges and provide inputs for the upcoming monetary policy committee review. The tariffs affect around 55% of India’s $48 billion in annual shipments to the US, putting exporters at a 30–35% pricing disadvantage compared to competitors such as China, Vietnam, Cambodia, and the Philippines.

Labor-intensive sectors, including textiles and apparel, gems and jewellery, and marine products, are expected to bear the brunt of the levies. The RBI has indicated its readiness to mitigate adverse effects on these sectors and explore measures to cushion the broader economy. Discussions during the meetings are also expected to cover the India-UK Comprehensive Economic and Trade Agreement (CETA), highlighting the central bank’s proactive approach to global trade developments.

Despite the tariff-related challenges, the RBI has maintained India’s growth projection at 6.5% for the fiscal year 2025–26. Its August monetary policy review noted that while inflation expectations have moderated, persistent global trade uncertainties pose downside risks. Domestic industrial activity shows a mixed trend, with mining and electricity remaining subdued, whereas the manufacturing and services sectors continue to display momentum.

The central bank also highlighted a widening merchandise trade deficit of $27.3 billion in July 2025, up from $24.8 billion the previous year, driven primarily by higher oil imports. Equity markets have been affected by weak corporate earnings and tariff-related concerns, prompting foreign portfolio investors to turn net sellers, though inflows from domestic institutional investors have helped buffer the impact.

India’s recent sovereign rating upgrade by S&P, reinforced by steady economic expansion and sound fiscal policies, is expected to enhance investor confidence, lower financing costs, and encourage increased foreign capital inflows. The RBI’s planned consultations with industry players reaffirm its commitment to navigating global trade uncertainties and fostering resilient economic growth.