Business news October 24 highlights: Govt approves Rs 1,000 crore venture capital fund for space sector startups

• IBM shares fell about 5% in premarket trading on Thursday, as reduced enterprise spending on non-GenAI projects pressured its consulting segment, clouding software unit strength.
• If losses hold, its nearly $214 billion market valuation could drop by over $10 billion.
• An uncertain economic outlook pushed IBM's customers to reduce discretionary spending and prioritize GenAI projects, impacting growth in its consulting services.
• "Infrastructure, which had been strong YTD, slowed ahead of the FY/25 refresh cycle while consulting continued to see headwinds around discretionary spend reflected in declining signings," RBC Capital Markets analysts said. (Reuters)

The Indian Railways will run 7,000 special trains for Diwali and Chhath Puja this year to facilitate two lakh extra passengers daily, Railway Minister Ashwini Vaishnaw said at a press briefing here on Thursday. According to railway officials, 4,500 special trains were run during Diwali and Chhath Puja last year to cater to the festive rush. Considering the increase in passengers' footfall, the ministry has decided to enhance the services this year, the officials said. (PTI)

• The fund will focus on startups with proof of concept and commercialisation potential, says Ashwini Vaishnaw
• The indicative investment range will be from Rs 10-60 cr. The government expects a mulitplier effect with private fund co-investments. Private investors may also get opportunity to invest in the fund itself, says Ashwini Vaishnaw
• The VC fund is expected to drive innovation in satellite tech, launch vehicles and space application, says Ashwini Vaishnaw

• The Centre has approved Rs 1,000 crore venture capital fund for space sector startups, says Ashwini Vaishnaw
• The fund will be operated by professional fund manager. The fund will focus on startups with proof of concept and commercialisation potential, he added

"The projects are result of PM-Gati Shakti National Master Plan for multi-modal connectivity which have been possible through integrated planning and will provide seamless connectivity for movement of people, goods and services," says Unio Minister

The project cost is estimated at Rs 4,553 crore, says Ashwini Vaishnaw

• The government has approved doubling of 256 km of rail line for strategic connectivity of Bihar with North-East, says Ashwini Vaishnaw
• The project will generate 87 lakh human days employment. It will save 162 cr kg carbon emissions, Ashwini Vaishnaw says as he announces key plan for Bihar
• It will become a major transport corridor along the Nepal border

• The Centre has approved the Amaravati railway line at cost of Rs 2,245 crore, says Ashwini Vaishnaw.
• It will have a 3 km bridge across river Krishna. It will have direct rail connectivity of Amravati with Hyderabad, Chennai and Kolkata. It will improve connectivity of central and northern India with Southern India, says Ashwini Vaishnaw
• It will create 19 lakh human days employment. It will save 6 cr kg carbon emissions, says the Union Minister

Union Minister Ashwini Vaishnaw to address media shortly

The allotment for Deepak Builders' IPO is expected to occur today, following an impressive 41.54 times subscription on the final day of the initial share offering.

• EU Court of Justice, Europe's top court, ruled in favour of Intel, ending a nearly two decade-long fight between the U.S. chipmaker and EU regulators who had said it had tried to thwart a rival.
• The European Commission had fined Intel for giving rebates to computer makers Dell, Hewlett-Packard Co, NEC and Lenovo, for buying most of their chips from Intel, which regulators said was an attempt to block Advanced Micro Devices. (Reuters)

Australia's WiseTech Global said on Thursday its chief executive, Richard White, will step down with immediate effect, just two days after local media reported the settlement of a lawsuit between him and a woman reported to be his former lover. (Reuters)

Zomato confirms increasing platform fee to Rs 10 across certain cities

Sebi boss Madhabi Puri Buch seeks exemption from appearing before PAC, reports CNBC-TV18. Citing sources, CNBC-TV 18 reported that Madhabi Puri Buch will not be attending the PAC meeting today due to 'personal reasons.' (Read More)

• Adani Power Ltd has announced that its board will consider raising up to Rs 5,000 crore through the issuance of non-convertible debentures (NCDs). The company said in a late evening stock exchange filing that the fundraising plan would be discussed during the upcoming board meeting on October 28, 2024.
• The proposed funds may be raised through public issues or private placements, in one or more tranches, subject to the required regulatory and other approvals. The company did not provide further details on the specific use of the proceeds or the timing of the tranches. (Read More)

India’s business activity rises 58.6 in October, says HSBC Flash PMI

• India’s second largest automobile company Mahindra and Mahindra may acquire a 50 percent stake in Skoda Auto Volkswagen’s India operations. The two sides are at an advanced stage of discussion and a deal is likely in a few weeks, according to sources.
• It is learnt that the German auto major is expected to be valued at $1 billion for the purpose of the stake sale. Even as the finer contours of the deal, including the corporate structure for the transaction, are still in the works, it is understood that it may entail a mix of shares and cash as consideration to Skoda Auto. (Read More)

The PAC's agenda for Thursday also includes testimony from representatives of the communications ministry and the Telecom Regulatory Authority of India.

The PAC's decision to include the performance review of regulatory bodies established by Acts of Parliament received unanimous approval. However, Venugopal's request to summon Buch raised concerns among BJP members, as she has been at the center of a political controversy following Hindenburg's allegations against her.

The agenda for Thursday's meeting includes testimony from representatives of the Finance Ministry and Sebi, as part of the committee's decision to conduct a "performance review of regulatory bodies established by Acts of Parliament."

Sebi chairperson Madhabi Puri Buch will appear before the Public Accounts Committee (PAC) of Parliament on Thursday, as reported by news agency PTI.