India Q2 GDP Data updates: Disappointing but not alarming, says CEA Nageswaran on GDP data

DLF Ltd’s wholly owned subsidiary DLF Info City Developers (Kolkata) Ltd has signed a definitive agreement to sell and transfer its Kolkata Tech Park 1 to RDB Primarc Techno Park LLP (an affiliate of Primarc & RDB group), on a slump sale basis for an aggregate consideration of Rs 637 crore, the real estate firm said in a statement on November 29. Read more

Domestic institutional investors (DIIs) net bought shares worth Rs 5,723 crore, while on the other hand, foreign institutional investors (FIIs) net sold shares worth Rs 4,384 crore, provisional data from NSE showed. This comes a day after FIIs net sold shares worth nearly Rs 11,000 crore, the third highest single-day selling by FIIs this year. Read more

On November 26, the Ministry of Coal proposed amendments in the Coal Bearing Areas (Acquisition and Development) Amendment Bill, 2024, allowing the use of mined-out or de-coaled land for public utility such as setting up a nuclear power plant. A similar plan is also afoot for utilising thermal power plants that have completed their lives. Read more

The amount raised through debt issue dropped by 40 percent month-on-month in October, according to a SEBI bulletin released on Friday. Read more

The initial public offering of Apex Ecotech saw robust demand from investors, subscribing 420.73 times on the final day of bidding, November 29, while Abha Power and Steel's public issue closed with 16.66 times subscription. Read more

Three promoters of Home First Finance, namely True North, Orange Clove and Aether Fund are set to sell 14.7 percent stake in the housing finance company through block deals, CNBC-TV18 reported on November 29. Read more

Tamil Nadu: Drone visuals of high tide and waves from the shores of Mahabalipuram. Fishermen are advised not to venture into the sea as Cyclone Fengal is to make landfall tomorrow evening as per IMD.

CEA: Deregulation among local governments will be important to boost growth

CEA: GDP Q2 growth disappointing but we can use it to double down on Deregulation and increase state capacity for public investment. Hope to ramp up capex in remaining months.

CEA: Can do better in labour incomes but onus is on Private sector

CEA: Geopolitical conditions will be a risk factor

CEA: Capital flows may be impacted with trade tariffs

CEA: Should be realistic about global scenario in 2025 and exports face greater uncertainty

CEA: Concern about capital formation in Q2 data

CEA: Acknowledge that capital formation is critical

CEA: Should be realistic about growth in global context

CEA: Kharif production has been high. Pickup in agri sector is expected to continue in H2 FY25

CEA: Uptick in eway bill generation is encouraging. Tractor sales at all time high

CEA: Inflation apart from food category and metals, it's on lower side

CEA: Coal, natural gas, crude oil which constitute 50% of mining sector have been tepid in Q2

CEA: Spike in trade uncertainties due to presidential elections in US

CEA: Higher than expected decline in growth in Q2. Global developments showed up, export orders moderated. Spillover of global factors on domestic manufacturing

CEA: Bulk of slowdown is from supply side attributable to manufacturing, mining

CEA: Services sector growth has been steady. Gross fixed capital formation recovery is continuing

CEA V Anantha Nageswaran: Real GDP growth in Q2 is on lower side. It is disappointing but its not an alarming situation. There are some bright spots.

Days after US prosecutors charged industrialist Gautam Adani and some others with bribery and fraud, India on Friday said it is a legal matter involving private firms and certain individuals and the US Department of Justice.

Ministry of External Affairs (MEA) spokesperson Randhir Jaiswal said the Indian government was not informed about the issue in advance.

"This is a legal matter involving private firms and individuals and the US Department of Justice. There are established procedures and legal avenues in such cases, which we believe would be followed," he said.

Shares of nine of the 11 listed Adani Group firms ended higher on Friday, with Adani Green Energy surging almost 22 per cent and Adani Energy climbing nearly 16 per cent.

The stock of Adani Green Energy zoomed 21.72 per cent, Adani Energy Solutions surged 15.56 per cent, Ambuja Cements jumped 3.73 per cent, Adani Ports climbed 1.94 per cent, ACC went up 1.59 per cent, Adani Total Gas (1.03 per cent), Adani Enterprises (1.02 per cent), NDTV (0.60 per cent) and Adani Wilmar (0.05 per cent) on the BSE.

However, shares of Adani Power declined 1.01 per cent and Sanghi Industries dipped 0.45 per cent.

The BSE benchmark Sensex jumped 759.05 points, or 0.96 per cent, to settle at 79,802.79 and the NSE Nifty climbed 216.95 points, or 0.91 per cent, to 24,131.10.

India's Aster DM Healthcare will merge with Blackstone-backed hospitals operator Quality Care India, the companies said on Friday, bringing Aster closer to its larger rivals Apollo Hospitals and Manipal Hospitals.

This is Aster's first major deal since selling its Gulf business. The company will get access to Quality's 5,500 beds, taking the merged entity's total bed count to more than 10,000.

The acquisition will bring Aster's domestic capacity close to that of market leader Apollo Hospitals and the privately-held Manipal Hospitals, making it one of the top three hospital chains in the country.

India's infrastructure output grew 3.1% year-on-year in October, backed by coal and refinery products output, government data showed on Friday.

Infrastructure output, which makes up 40% of India's industrial production and tracks activity across eight sectors, grew at a revised 2.4% in September.

Last month, coal production increased 7.8% year-on-year compared to a 2.6% increase in September, while output of refinery products grew 5.2%, compared with a rise of 5.8% in September.

Steel production grew 4.2%, against a revised 1.6% increase a month earlier. Cement output climbed 3.3% year-on-year, compared with September's revised 7.2% increase, and fertiliser production rose 0.4%, against a 1.9% rise in the previous month.

Electricity generation was up 0.6% from a revised 0.5% rise in the previous month.

However, crude oil production decreased 4.8% compared with a 3.9% fall in September. Natural gas output fell 1.2% from a 1.3% decline a month ago.

India's economy slowed much more than expected in July-September, expanding by only 5.4% year-on-year, data showed on Friday, weighed down by weak urban consumption following a rise in food prices.

A Reuters poll had predicted a 6.5% expansion in gross domestic product for the quarter ending Sept. 30.

COMMENTARY

ADITI NAYAR, ECONOMIST AT ICRA, GURUGRAM

In light of the recent spike in CPI inflation, we anticipate a status quo from the RBI's monetary policy meeting next week.

However, with the GDP growth sharply undershooting the Committee's expectations, a February 2025 rate cut may be on the table if the next two inflation prints recede.

GAURA SEN GUPTA, INDIA ECONOMIST AT IDFC FIRST BANK, MUMBAI

This (GDP print) reflects a sharp slowdown in listed company profits in the second quarter. From the expenditure side, capex growth slowed, reflecting a slowdown in government capex especially state government.

Private capex has remained muted due to lack of visibility on consumption demand. Private consumption growth slowdown is led by urban demand weakness as income growth slowed.

Post today's print, there is a high probability of an RBI rate cut in December.

India’s core sector growth rose further to 3.1 percent in October as compared with 2.4 percent in September.

-October marks the second consecutive month of rise in core sector growth, the eight core industries, which also represent India’s infrastructure output.

-The performance of eight core industries was lower at 4.2 percent in the first half of the current fiscal year compared with the 8.2 percent growth witnessed in H1FY24.

-The index of eight core industries forms the basis of index of industrial production as it contributes 40 percent to India’s industrial index.

-Industrial growth showed signs of a rebound in September as well, growing 3.1 percent in the month after contracting to a 22-month low of 0.1 percent in the previous month.

• Apr-Oct Fiscal Deficit 46.5% Of Rs 16.13 lakh crore target for FY25
• Apr-Oct fiscal deficit Rs 7.51 lakh crore vs Rs 8.04 lakh crore (YoY)
• Apr-Oct total expenditure Rs 24.74 lakh crore vs Rs 23.94 lakh crore (YoY)
• Apr-Oct total receipts Rs 17.23 lakh crore vs Rs 15.91 lakh crore (YoY)
• Apr-Oct capital expenditure Rs 4.67 lakh crore vs Rs 5.47 lakh crore (YoY)
• Apr-Oct Gross Tax Revenue Rs 20.33 lakh crore vs Rs 18.35 lakh crore (YoY)

Upasna Bhardwaj, Chief Economist, Kotak Mahindra Bank said, “The sharply lower than expected GDP figures reflects the highly disappointing corporate earnings data. The manufacturing sector appears to have taken the maximum beating. The high frequency data suggests that festive linked revival in activity may provide a marginally better 2H growth figure but overall GDP growth for FY25 is going to be around 100bps lower than RBI’s estimate of 7.2%. Despite the sharp slowdown in GDP growth we maintain our view of a pause by the RBI next week given elevated inflation and uncertain global environment.”

• Real GDP Growth:
• Q2 of FY 2024-25: 5.4% growth compared to 8.1% in Q2 of FY 2023-24.
• H1 (April–September): Real GVA grew by 6.2%.
• Sectoral Performance:
• Manufacturing: Sluggish growth of 2.2% in Q2 of FY 2024-25.Mining & Quarrying: Decline of -0.1% in Q2 of FY 2024-25.Agriculture & Allied: Recovered to 3.5% growth in Q2 after subdued growth (0.4%–2.0%) over the last four quarters.Construction: Growth of 7.7% in Q2 and 9.1% in H1, supported by robust domestic consumption of finished steel.Tertiary Sector:
• Q2 FY 2024-25: 7.1% growth compared to 6.0% in Q2 FY 2023-24.
• Trade, Hotels, Transport, Communication & Broadcasting Services: 6.0% growth compared to 4.5% in Q2 of FY 2023-24.
• Nominal GVA Growth:
• Q2 FY 2024-25: 8.1% compared to 9.3% in Q2 of FY 2023-24.
• Consumption Trends:
• Private Final Consumption Expenditure (PFCE):
• Q2 FY 2024-25: 6.0% growth compared to 2.6% in Q2 FY 2023-24.H1 FY 2024-25: 6.7% growth compared to 4.0% in H1 FY 2023-24.
• Government Final Consumption Expenditure (GFCE):
• Q2 FY 2024-25: 4.4% growth after negative or low growth over the last three quarters.

• India GDP Q2 FY25 Live News: Real GDP has been estimated to grow by 5.4% in Q2 of FY 2024-25
• Real GVA has grown by 5.6% in Q2 of FY 2024-25
• Tertiary sector has observed a growth rate of 7.1% in Q2 of FY 2024-25, as compared to the growth rate of 6.0% in Q2 of the previous financial year

India GDP Q2 FY25 Live News: The National Statistics Office announced the Q2 GDP data. As per the government data, the GDP stands at 5.4 percent. MC Poll estimate had projected GDP at 6.5% for the September quarter. The Reserve Bank of India had maintained its GDP growth forecast for the fiscal year at 7.2%, other private economists had lowered their projections.

• Market regains Thursday’s losses, Nifty back above 24,100
• Broader markets relatively underperform benchmarks
• Midcap index ends flat against Nifty’s gain of nearly 1%
• Sensex rises 759 points to 79,803 & Nifty 217 points to 24,131

India GDP Q2 FY25 Live News: Trend growth remains on track, while there are dents in the cyclical armour. Idiosyncratic developments, delayed start to the public capex spending, benign listed corporate earnings, and moderation in real purchasing power dented output in first half of the fiscal year. We are counting on a catch-up in momentum in second half to lift full-year growth to 6.7%: Radhika Rao, DBS

India GDP Q2 FY25 Live News: “There has been a slowdown in urban wage growth since H2FY24 and the impact on urban demand is visible in H1FY25. Given the slowdown in companies profit growth, the moderation in urban wage growth and inturn urban demand is likely to persist in H2FY25. The drag from net merchandise imports has risen with relatively stronger rise in imports v/s exports. Export growth has been subdued in FY25, reflecting external demand weakness,” Gaura Sengupta, chief economist, IDFC First Bank

India GDP Q2 FY25 Live News: “Q2 FY2025 saw tailwinds in terms of a pick-up in capex after the Parliamentary Elections as well as healthy expansion in sowing of major kharif crops. Several sectors faced headwinds on account of heavy rainfall, which affected mining activity, electricity demand and retail footfalls, and a contraction in merchandise exports. Further, margins appear to have weakened for corporates in a variety of sectors in this quarter. As a result, we project a slight dip in India’s GVA and GDP growth in Q2 FY2025 to 6.6% and 6.5%, respectively,” Aditi Nayar, chief economist, Icra

India GDP Q2 FY25 Live News: We expect the GDP to grow by 6.3% yoy, a 6-quarter low, with growing divergence within the subcomponents of growth. GVA growth is expected to be 6.3% yoy as well. The projection of 6.3% is below RBI’s projection (7.0%), and if it materializes, will pose downside risks to our FY25 GDP projections of 6.8%, and to RBI’s projections of 7.2% as well: Rahul Bajoria, Head of India and ASEAN Economic Research at BofA Securities India

Rupee At Close | Rupee ends at 84.48/$ against Thursday’s close of 84.49/$

India GDP Q2 FY25 Live News: Growth has slowed in recent months with moderation in high frequency urban activity indicators, while rural activity has held up, and we expect Q3 CY24 (Q2 FY25) real GDP growth at 6.4% yoy (vs. 6.7% yoy in Q2 CY24): Goldman Sachs

India GDP Q2 FY25 Live News: Staples have largely defied the consumption slowdown. So far, we have seen double-digit growth in volume sales. Unlike in previous downturns, consumers are maintaining spending on daily household items. This trend offers scope of recovery.

India GDP Q2 FY25 Live News: Earlier this month, Union Commerce Minister Piyush Goyal on November 14 said the Reserve Bank of India (RBI) should cut interest rates and give an impetus to growth. Using food inflation, which restricted the RBI from any rate action for two years in the rate setting is a "flawed theory", the chartered accountant-turned-politician said at an event hosted by CNBC TV18.

• India GDP Q2 FY25 Live News: Indian government bond yields remained largely steady in early trading on Friday as market participants awaited the release of fresh debt supply and crucial economic growth data, both of which could serve as significant market drivers.
• As of 9:45 a.m. IST, the benchmark 10-year bond yield stood at 6.8024%, slightly lower than the previous close of 6.8039% on Thursday.
• “Demand at the debt auction is expected to be stable, but the primary focus remains on the upcoming growth figures,” said a trader at a primary dealership.

•  India GDP Q2 FY25 Live News: India's gross domestic product (GDP), the hallmark of the world's fastest-growing major economy, was projected to grow 6.5% year-on-year in the July-September quarter, slightly lower than the 6.7% growth recorded in the previous three months. This forecast, based on a Nov. 18-25 survey of 54 economists, ranged from estimates of 6.0% to 7.1%.
• If realized, it would represent the slowest growth in six quarters and the third consecutive quarter of deceleration. Meanwhile, gross value added (GVA), a key measure of economic activity, was expected to post a more moderate expansion of 6.3%.

The Indian economy likely to have decelerated to a six-quarter low of 6.5 percent in the second quarter of this fiscal (FY25), compared with 6.7 percent in the previous quarter, according to a Moneycontrol poll of 11 economists. (Read More)

• India GDP Q2 FY25 Live News: Government officials and some economists anticipate that the economy could gain momentum in the second half of the fiscal year, driven by increased state spending following recent elections and higher rural demand supported by a strong harvest.
• "We foresee a recovery in growth during the second half," noted Axis Capital Economic Research in a report.

• Toshi Jain, an economist at JP Morgan, said recent months have seen a slowdown in high-frequency indicators such as industrial output, fuel consumption and bank credit growth, along with weak corporate earnings, affecting growth momentum.
• "(Though) government spending has re-accelerated in the July-September quarter that has not prevented a slowing in high frequency data, suggesting underlying private sector momentum has softened," she said in note earlier this week.
• Jain expects GDP growth of 6.3% to 6.5% in September quarter.

The National Statistics Office is due to announce GDP figures for July-September quarter on Friday at 4:00 PM today.

India GDP Q2 FY25 Live News: A Reuters poll of economists projected GDP growth of 6.5% year-on-year for the three months through September, below the central bank's estimate of 7% and 6.7% in the previous quarter.

India GDP Q2 FY25 Live News:  India's economy is projected to have slowed in the July-September quarter, experiencing its slowest growth in 18 months. This slowdown is attributed to sluggish urban consumption, which was impacted by rising food prices, despite an increase in government spending.

• Current lag of 42 days in IIP print maybe reduced to 30 days, reports CNBC-Tv18
• IIP scheduled for release on December 12, will be for October
• Reducing lag between IIP prints will lead to change in release dates

• India GDP Q2 FY25 Live News: We are in the process of starting the next economic census, which will start from April 2025: Saurabh Garg, MoSPI secretary
• We are trying to collaborate with researchers to use alternative data, like night light data: Garg
• We are trying to get National Metadata Structure, so that we can get all data on similar platform and hence make it comparable: Garg
• New GDP series expected by February 2026, with 2022-23 base. New CPI series also by February 2026
• From January 2025, each of our survey will have district level estimates of surveys: Garg

• We are in the process of starting the next economic census, which will start from April 2025: Saurabh Garg, MoSPI secretary
• We are trying to collaborate with researchers to use alternative data, like night light data: Garg
• We are trying to get National Metadata Structure, so that we can get all data on similar platform and hence make it comparable: Garg

• India GDP Q2 FY25 Live News:  S&P Global Ratings on Monday lowered its economic growth projections for India for the next two financial years, citing the impact of high interest rates and reduced fiscal stimulus on urban demand.
• Revised Growth Estimates:
• GDP growth for FY26 (April 2025 to March 2026) is now projected at 6.7%, down from the earlier forecast of 6.9%.For FY27, growth is estimated at 6.8%, reduced from the previous projection of 7.0%.Context:
• The revised forecast is part of an updated economic outlook for Asia-Pacific economies following the U.S. election results.

• India GDP Q2 FY25 Live News:  Capital Expenditure Shortfall:
• Ind-Ra's Chief Economist and Head of Public Finance, Devendra Kumar Pant, stated that government capital expenditure is expected to be Rs 62,000 crore lower than the estimated Rs 11.11 lakh crore.
• Year-on-Year Growth:
• Despite the shortfall, government capital expenditure will still be 10.6% higher than the previous year, compared to the initially projected growth of 17.6%.
• Capex-to-GDP Ratio:
• The capex-to-GDP ratio for FY25 is estimated at 3.21%, marking a two-decade high, according to Ind-Ra.Election Impact on Capex Growth:
• The FY25 capex growth has been affected by the general elections scheduled for May 2024.In 1H FY25, capex contracted by 15.42% year-on-year.Challenges in Meeting Targets:
• To achieve the FY25 budget estimate, capex in 2H FY25 needs to grow by 52.04%, which the agency describes as a challenging goal.Ministry-Specific Performance:
• The railways and road, transport, and highways ministries are expected to exceed their FY25 capex allocations.

India GDP Q2 FY25 Live News: India Ratings and Research says that the government is likely to achieve a fiscal deficit of 4.75 percent for FY25, which is 0.19 percent lower than the budgeted target, thanks to measures to curb expenditure. The agency also noted that revenue expenditure, excluding subsidies, will be 0.12 percent of GDP, which is lower than the budget estimate.

India GDP Q2 FY25 Live News:  DEA Secretary Ajay Seth stated on November 20 that while there may be some "under-shooting" of the capex target of Rs 11.11 lakh crore set in the Union Budget, it will still represent a "significant increase" compared to last year's capex of Rs 9.5 lakh crore. (Read More)

India GDP Q2 FY25 Live News: Reaffirming the strength of India's economic growth, the Reserve Bank of India's October Bulletin projected real GDP growth at 7.2% for the fiscal year 2024-25. The Bulletin highlighted that strong momentum in consumption and investment demand continues to drive growth, with Q2 growth forecast at 7%, and Q3 and Q4 both expected to grow at 7.4%. (Read More)

India GDP Q2 FY25 Live News: India's inflation is largely under control, despite occasional price spikes in certain vegetables, the Union finance ministry said. It also noted that the headline retail inflation rate may not fully reflect underlying demand trends, as it is influenced by price fluctuations in a limited number of food items. (Read More)

India GDP Q2 FY25 Live News: The fiscal deficit for the first six months of FY25 was significantly lower at 29.4%, compared to 39.3% during the same period last year, as capital expenditure (capex) spending by the central government remained subdued for another month, according to data released on October 30. (Read More)

India GDP Q2 FY25 Live News: Economists have stated that improved reservoir levels, the prospect of higher sowing, and a low base from the previous year are expected to drive higher agricultural growth and lower inflation in the coming months. (Read More)

India GDP Q2 FY25 Live News: Moody's Ratings, in its Global Macro Outlook released on November 15, forecasted that the Indian economy will continue to grow at a strong pace, with a projected growth rate of 7.2% in 2024, compared to 7.7% in the previous year. (Read More)

India GDP Q2 FY25 Live News: The Indian economy is expected to have slowed to a six-quarter low of 6.5% in the second quarter of FY25, down from 6.7% in the previous quarter, according to a Moneycontrol poll of 11 economists. Forecasts in the poll, conducted earlier this week, ranged from 6.2% to 6.8%. (Read More)

India GDP Q2 FY25 Live News: From all the action on D-Street, we turn our focus on the other major business news of the day - the GDP data announcement. The Centre will be releasing the GDP data for second quarter at 4:00 pm today. In run up to the major announcement, we take a look at big indicators, past trends and insights from economists and more.

• Japan’s biggest banks plan to maintain ties to billionaire Gautam Adani despite US bribery charges, even as other global firms including Barclays Plc are reassessing their exposure to the Indian conglomerate.
• Mizuho Financial Group Inc. expects the latest saga surrounding Adani won’t have a long-lasting impact and intends to continue supporting the group, according to people familiar with the matter. Sumitomo Mitsui Financial Group Inc. and Mitsubishi UFJ Financial Group Inc. also have no plans to pull back and will be open to fresh financing if needed later, people familiar with the matter said. (Read More)

• Maashitla Securities is the registrar for the Rajputana Biodiesel SME IPO.
• Investors can check the allotment status on the Maashitla Securities website.
• To check the allotment status, select "Rajputana Biodiesel" from the dropdown menu and enter ANY of the following details:
• PAN
• IPO Application Number (CAF Number)
• Beneficiary ID (NSDL or CDSL Demat Account Number)
• Note: Registrar websites may experience heavy traffic on allotment days, causing slow load times, so it's advisable to explore alternative options as well.

Investors can check the Rajputana Biodiesel IPO share allotment status on the official websites of the NSE and the issue registrar, Maashitla Securities Pvt. Ltd.

Shares of insurance companies continued to gain as the Ministry of Finance proposed increasing the foreign direct investment (FDI) limit in domestic insurers from 74% to 100%. Additionally, the ministry suggested permitting insurers to offer all types of insurance services. If approved, this change would enable insurers to provide life, general, and health insurance policies under a single entity. Currently, life insurers are restricted from selling health insurance, and vice versa. (Read More)

Non-Institutional Investors (NIIs) oversubscribed their category by an astonishing 1,345.96 times, bidding for 36,34,10,000 shares against the 2,70,000 shares allocated to them. Meanwhile, the retail portion of the IPO was subscribed 746.57 times, with retail investors applying for 46,95,92,000 shares compared to the 6,29,000 shares reserved for their category.

Investors across all categories placed bids for a staggering 89,41,99,000 shares, significantly surpassing the 12,44,000 shares available. According to market tracking site Chittorgarh, the NSE SME issue was oversubscribed by an impressive 718.81 times.

Rajputana Biodiesel Ltd.’s initial public offering (IPO) saw immense demand, closing successfully on its final bidding day, November 28. Investors are now anticipating the share allotment status, which is likely to be finalized on November 29.

• The rupee fell 2 paise to trade at 84.49 against the US dollar in early trade on Friday dragged down by significant foreign fund outflows and month-end dollar demand from importers.
• Forex traders said the rupee remains in a weakening mode due to dollar demand from importers and foreign banks.
• At the interbank foreign exchange, the rupee opened at 84.49 against the greenback, registering a fall of 2 paise over its previous close. (PTI)

Enviro Infra Engineers shares made a strong debut on the stock exchanges on November 29, listing at a premium of nearly 50 percent over the issue price. The company’s Rs 650-crore initial public offering (IPO) had garnered an overwhelming response, with a subscription of 89.90 times during its three-day bidding period. The IPO was priced in the range of Rs 140-148 per share. (Read More)

On November 28, the Securities and Exchange Board of India (SEBI) directed the two leading exchanges, NSE and BSE, to serve as alternative trading venues for each other to ensure business continuity. The mandate, issued through a circular, will take effect from April 1, 2025. (Read More)

Zee Entertainment Enterprises Ltd (ZEEL) announced on November 28 that shareholders rejected the proposal to reappoint Punit Goenka as Director and Chief Executive Officer during its annual general meeting. The reappointment was voted down with 50.4% opposing and 49.5% in favor, according to the company’s exchange filing. (Read More)

Food delivery aggregator Zomato has secured Rs 8,500 crore through a Qualified Institutional Placement (QIP), issuing 33.65 crore equity shares at Rs 252.62 per share. The issue price reflects a 5% discount to the floor price of Rs 265.91. (Read More)

KEI Industries announced on Thursday that it has successfully raised Rs 2,000 crore through a qualified institutional placement (QIP) of equity shares. The offering attracted strong interest from domestic mutual funds, with significant allocations to Kotak Mutual Fund, Motilal Oswal, and ICICI Prudential schemes. Conducted between November 25 and November 28, the QIP involved issuing 52.6 lakh equity shares at Rs 3,800 per share, reflecting a 2.1% discount to the floor price of Rs 3,880.54. Following the allotment, KEI Industries' paid-up equity share capital increased to Rs 191.1 crore, comprising 9.55 crore shares. (Read More)

According to data from Investorgain.com, the latest grey market premium (GMP) for the Enviro Infra Engineers IPO stands at Rs 57. With an upper price band of Rs 148, the estimated listing price is Rs 205 (cap price + current GMP), reflecting an expected gain of 38.51% per share.

The IPO, which garnered an impressive 89.90 times subscription, is trading at a grey market premium (GMP) of Rs 49, representing a 33.11% premium over its upper price band, according to Investorgain. Previously at around 38%, the GMP has experienced a slight dip.

Enviro Infra Engineers, a company focused on designing, constructing, operating, and maintaining water and wastewater treatment plants along with water supply scheme projects for government entities, had priced its Rs 650-crore IPO in the range of Rs 140-148 per share.

Narendra Solanki, Head of Fundamental Research-Investment Services at Anand Rathi Shares & Stock Brokers, highlighted that as of June 30, 2024, the company's order book comprises 21 WWTPs and WSSPs with a total value of ₹19,062.81 million. At the upper price band, the company is valued at a P/E of 30.72x, an EV/EBITDA of 15.8x, and a market capitalization of ₹25,996 million post-equity issuance, with a return on net worth of 37.83%. He recommended a "HOLD" stance on the IPO, emphasizing a long-term investment perspective.

Akriti Mehrotra, Research Analyst at StoxBox, shared similar views, suggesting a "hold" recommendation to leverage potential gains as the company enhances its market position.

Prashanth Tapse, Senior VP and Research Analyst at Mehta Equities, advised long-term investors to "hold for the long term," despite potential short-term market volatility and risks.

Shivani Nyati, Head of Wealth at Swastika Investmart Ltd., anticipates the stock to debut with a robust premium of approximately 35%. She noted, however, that the actual listing performance may be impacted by broader market conditions. "The company's long-term success will hinge on its ability to execute projects efficiently, control costs, and adapt to changing industry trends," she added.

The IPO, which closed with an impressive 89.90 times subscription, is trading at a grey market premium (GMP) of ₹49, reflecting a 33.11% premium over the upper price band, according to data from Investorgain. Although the GMP previously hovered around 38%, it has seen a slight decline.

Good morning and welcome to our live coverage of top business news today.