Category: News

In a major shakeup for the solar power sector, the government has axed a key provision allowing duty-free imports for solar power generation. Starting December 17, solar modules brought into India will no longer benefit from the Manufacturing and Other Operations in Warehouse Regulations (MOOWR), which previously enabled businesses to import and store goods without immediate customs duty payments. The MOOWR scheme, introduced in 1996 and overhauled in 2019, allowed companies to operate customs-bonded warehouses, where imported goods could be processed, manufactured, or even exported—all without paying customs duty upfront. For solar modules, this meant avoiding a hefty 40% basic customs duty on modules and 25% on cells. But that’s history now, following the latest notification from the Central Board of Indirect Taxes and Customs (CBIC). For solar plants operating under Power Purchase Agreements (PPAs) that don’t account for tariff adjustments due to regulatory changes, the financial burden could be severe. These operators might see profitability dwindle as cash flows tighten and project costs escalate.

Mamata Machinery Limited is stealing the spotlight ahead of its public issue, raking in ₹53.55 crore from anchor investors. The company has sealed the deal with 22.04 lakh equity shares at ₹243 each, according to its latest exchange filing. Big names like 3P India Equity Fund, Authum Investment, and Subhkam Ventures headline the anchor investor lineup, with allocations that hint at strong institutional confidence. With a grey market premium (GMP) at ₹150 per share, up from ₹111 just a day ago, Mamata Machinery’s shares are expected to debut on Dalal Street at ₹393—an eye-popping 61.73% premium over the upper price band. With a post-issue market cap of ₹5,979 million, a P/E of 16.6x, and a robust 27.4% return on net worth, the IPO looks competitively priced against peers. In simple terms, Mamata Machinery’s IPO isn’t just another listing—it’s shaping up to be a standout play for investors looking to ride the momentum. Whether you’re into numbers or market sentiment, this one’s got something for everyone.

Varun Beverages, PepsiCo’s bottling partner, saw its shares climb 1.7%, hitting an intraday high of Rs 657 on the BSE, after the company completed its acquisition of a 39.93% stake in Lunarmech Technologies. In a filing to the exchanges, Varun Beverages confirmed that the transaction was finalized on December 16, 2024. The move follows the company’s earlier announcement, when it revealed its board had approved the acquisition for a total consideration of Rs 200 crore. Lunarmech, which is now fully under Varun Beverages’ control, adds a new dimension to the company’s business strategy. The acquisition is part of a broader push to expand its operations, as Varun Beverages continues to show strong growth. In its latest earnings report, the company posted a 22.3% YoY jump in net profit, reaching Rs 628.83 crore, while revenues surged by 24.1% YoY to Rs 4,804.68 crore. Over the past year, Varun Beverages’ stock has surged by 48%, underscoring investor confidence in the company’s strong performance and strategic moves.

TARC shares nosedived 10% on Tuesday, closing at ₹189.55 on the BSE, after SEBI ordered a forensic audit of the company’s financials for FY21 to FY23. This dramatic drop came hot on the heels of TARC’s exchange filing, where it disclosed receiving SEBI’s letter on Monday. The market regulator suspects that TARC’s handling of financial disclosures and transactions might have been detrimental to investors or the securities markets. TARC responded by pledging full cooperation with the audit and expressed confidence that the findings wouldn’t derail its growth trajectory or long-term value. In the latest quarter, TARC reported a staggering net loss of ₹67.36 crore, a stark reversal from the ₹1.06 crore profit in the same period last year. Despite these setbacks, TARC has delivered significant returns over the long term—up 42% in the past year.

India’s office leasing market is cruising towards a record-breaking year in 2024, with gross leasing volumes (GLV) expected to hit an impressive 83–85 million sq ft—a 13% surge from 2023’s peak. While 2025’s GLV might taper to 74–76 million sq ft, it’s still forecasted to soar past the 70-million-sq-ft mark for the fourth consecutive year. Only about 48 million sq ft of new office space is expected to roll out in 2024, tightening vacancy rates in major markets. While supply is projected to rebound in 2025, prime sub-markets will likely continue seeing squeezed vacancy rates. Notably, the country is expected to account for nearly 70% of the Asia-Pacific region’s net office space absorption—a staggering indicator of its regional dominance. Fresh leasing activity remains the market’s backbone, driven by new GCC entrants and domestic firms expanding operations. Pre-commitments have tripled compared to last year, with over 70% focused on prime sub-markets, signaling that premium locations are the gold standard for occupiers.

India’s first publicly listed real estate investment trust, Embassy Office Parks REIT, has locked in ₹1,000 crore through five-year non-convertible debentures (NCDs) carrying a 7.73% coupon. This marks another strategic move to streamline its debt profile, aiming to shave off 70 basis points in interest costs. The NCDs, secured against Embassy Express Towers in Mumbai and Embassy TechZone in Pune, garnered strong backing from heavyweights like Nippon MF, SBI Pension Fund, and HDFC Life. This offer received 55% of demand, which demonstrates investor’s confidence in Embassy REIT’s plan Embassy REIT’s expansive 51.1 million sq ft portfolio spans prime office markets like NCR, Chennai, Bengaluru, and housing 260 of the world’s top companies. This latest round of fundraising  positions Embassy REIT to capitalize on opportunities in India’s thriving office market while keeping its debt strategy razor-sharp.

A glowing report from JM Financial, initiated coverage with a “buy” rating and a ₹340 target price—a 36% upside from its previous close at ₹251. Piramal Pharma shares get a solid tailwind today, jumping 4.5% to ₹262.80 in early trade. JM Financial’s optimism stems from India’s booming CRDMO sector, where Piramal’s CDMO business is flexing its competitive muscle. The brokerage forecasts a 17% CAGR for the CDMO arm over the next three years, thanks to a CRO turnaround and high-potential assets, including one with a USD 100 million revenue projection. The global CRDMO industry is set to expand at a 9.1% CAGR, so JM Financial envisions a robust future for Piramal Pharma too: a 15% revenue CAGR, 23% EBITDA CAGR from FY 24-27, and free cash flows scaling to ₹4.8 billion by FY27. If the brokerage’s projections hold, Piramal Pharma’s ascent might just be getting started.

Nitco’s stock had a moment of glory in early Tuesday trading, surging 5% to touch ₹147.55 on the BSE after securing a hefty ₹105.40 crore order from Prestige Estates Projects. The deal spans six months and involves supplying tiles, marble, and mosaics—a boost that has the market buzzing about this small-cap multibagger. Nitco expects an additional ₹104 crore in orders from Prestige Estates, based on current projects. Despite the recent losses, Nitco has been on an impressive run. The stock hit its 52-week high of ₹148.50 on December 12, 2024, a far cry from its low of ₹27.14 a year ago. For morning, Nitco’s meteoric rise seems to have no ceiling, though it remains to be seen how sustainable this rally will be amid its ongoing financial challenges.

India’s banking system is grappling with its steepest liquidity deficit in nearly six months, and it’s not just a seasonal hiccup. According to IDFC First Bank, the RBI has been offloading dollars in the market since October, a strategy that inadvertently sucked liquidity out of the banking system. It hit a record low of ₹84.9337 per dollar on Tuesday, forcing the RBI to step in and potentially drain even more liquidity as it tries to prevent further currency slippage amidst a ballooning trade deficit and a surging greenback. Even after recent measures like a cash reserve ratio (CRR) cut and variable rate repo auctions, the outlook remains bleak. Add to that the usual end-of-year cash withdrawals for festive spending, and you’ve got a perfect storm of liquidity pressure. For now, banks are waiting for RBI to step in with fresh liquidity-boosting measures to decide whether the pressure eases or the squeeze gets tighter.

Vikas Lifecare Limited (VLL), a penny stock that often flies under the radar, is catching some attention with a 6% jump in its share price on December 16. The company has entered into a Technology Transfer Agreement with DRDO’s Advanced Systems Laboratory (ASL), focusing on the production of biodegradable granules that could replace traditional polyethylene bags. Despite a decline in net profit in Q2 FY25 (down 67.35% YoY), Vikas Lifecare saw a solid 16.25% growth in sales, hitting ₹134.88 crore—showing resilience even as profits took a hit. If the biodegradable plastics initiative pays off, it could position Vikas Lifecare as a serious player in the green tech space, a trend that could sustain its stock growth long term.