Just in: Decision on 18% GST for transactions under Rs 2,000 delayed, referred to fitment committee

One quick thing: ONDC's growth slows to 5% in August  

In today’s newsletter: 

• Binny Bansal, founders among sellers in Ather IPO
• InCred CFO, Kotak Bank president quit to start up
• Paralympians hit it off with brands

Was this newsletter forwarded to you? You can sign up for Tech3 here

Dalal Street is buzzing with back-to-back electric vehicle (EV) initial public offerings (IPOs), with Ather Energy now preparing for its highly anticipated IPO.

• The company filed its draft IPO papers with market regulator SEBI earlier in the day, which will include a fresh issue of shares worth Rs 3,100 crore and 2.2 crore equity shares as part of offer for sale (OFS)
  

While this might seem like a typical IPO scenario, there's a twist: Ather's largest shareholder is not selling any of its shares.

While Ather co-founders Tarun Sanjay Mehta and Swapnil Babanlal Jain, along with notable investors like Tiger Global and GIC Ventures, are set to divest some of their stakes, Ather's largest investor, Hero MotoCorp, is strategically holding onto its 37.2% share.

Industry sources suggest that Hero's decision to retain its stake could be motivated by several factors. 

• One potential reason is the company's long-term commitment to Ather and its desire to maintain a controlling interest post-IPO

Under the OFS, Mehta and Jain are said to offload around 1 million equity shares each.

• GIC Ventures will offload around 10.5 million equity shares, representing 47.8% of the total OFS
  
  
• Binny Bansal’s 3 States Ventures will offload 4.8 million shares, representing 2.18% 

• Tiger Global will offload around 4 million shares, representing 18% 

Find out more

Also read: Ather Energy records slump in customer additions driven by falling ad spends

Picture credit: Microsoft Copilot

The fintech-backed NBFC landscape is heating up as banking veterans from InCred and Kotak Mahindra Bank prepare to launch their own MSME-focused venture.

InCred’s Group CFO, Vivek Bansal, and Kotak Mahindra Bank’s President, Sunil Daga, are teaming up to launch Saarathi Finance, a fintech NBFC.

• The duo is engaging with private equity investors to raise Rs 600 crore in funding for the Mumbai-based venture
  
  
• A portion of the capital is expected to come from the duo

Saarathi Finance will focus on secured MSME loans and unsecured personal loans, leveraging a co-lending model with other financial institutions.

• The company aims to reach urban and semi-urban customers with a digital-first B2B2C super app, per pitch deck reviewed by us. 

It aims to position itself alongside traditional NBFC players as well as newer entrants such as Indifi, UGro, Lendingkart, and FlexiLoan.

Investor interest in NBFC fintechs is soaring as they tap into the underserved MSME and SMB credit market.

• The ongoing funding talks for ventures like Mintifi, Sarvagram, and FlexiLoan reflect increased confidence in the sector

India’s MSME credit gap is estimated at Rs 92 lakh crore as of FY23, with fewer than 10% of MSMEs having access to formal credit.

Dig deeper

Para athletes are gaining significant attention following their exceptional performance in Paris, which has attracted the interest of many brands.

The increasing medal count from 4 in Rio, 19 in Tokyo to 29 in Paris has triggered brand interest for para athletes. 

• The Tokyo Paralympics was the turning point, opening up new opportunities for brand partnerships 

• Beyond the dominance of cricket, many firms are seeking to stand out by joining hands with Paralympic and Olympic medalists

Before Tokyo, there was little to no interest among brands but para athletes on the field and off the field have beaten the odds. 

• Brand deal sizes have more than doubled compared to the previous year, following the record-breaking medal haul in Paris

Gold medalists like javelin thrower Sumit Antil, para badminton player Nitesh Kumar, and high jumper Nishad Kumar, who won a silver medal, are receiving inquiries from brands for potential campaigns.

Find out more

Are you a chai person or part of the coffee club? Well, despite some people thinking that chai is an uncool beverage, Swiggy’s food marketplace CEO Rohit Kapoor says it is the most popular drink in the country. 

• At any given point of day, chai orders are more than coffee orders by at least 15-20%, with the difference going up to 40-50% cent during evenings, Swiggy data shows
  
  
• Fresh variants like Boba tea and new chains like Chaayos are only creating a rage and strengthening the community, Kapoor says 

Read the full column

• South Korea hosted an international summit today to discuss the responsible use of AI in the military, with over 90 countries participating, but no binding agreement is expected.

• World Boxing president Boris van der Vorst is exploring the use of modern technology, including AI, to enhance the objectivity and transparency of the scoring system, pending official recognition from the IOC.

Hold onto your seats—Apple’s “It’s Glowtime” event is about to kick off! Tonight, Cupertino Park will transform into a tech wonderland as Apple reveals its latest and greatest. 

• What to expect? From the glossy new iPhone 16 lineup to the sleek Apple Watch Series 10

When and where to watch?

Time: 10:30 PM IST

Platforms: Apple's official website, YouTube channel, and Apple TV app

You can also tune in to Moneycontrol.com for all live updates from the event in our live blog!

Note: By subscribing to Tech3 you have already made the right choice. Top it up with a premium offering, the Moneycontrol Pro Panorama, a newsletter that gives you a sharp take on macros, markets, business and finance. Sign up for Pro from this link to get this newsletter in your inbox and also a host of content enjoyed by 700,000+ subscribers.