Imarticus Learning To File DRHP With SEBI In Upcoming Months For IPO

As per news reports, Imarticus Learning will file a Draft Red Herring Prospectus (DRHP) with SEBI in the next 4-5 months. Facilitated by IIFL, the company plans to obtain SEBI’s approval by September 2025 and get publicly listed by early FY 2027.

Organisations like Simplilearn, Classplus, and PhysicsWallah have already launched IPOs in the previous year.

IPO Details

Imarticus Learning expects to raise at least ₹750 crore to fund its initiatives for business expansion. It aims to strengthen its position in the edtech industry by acquiring more companies and diversifying its existing range of courses. As per news reports, the offer size will include a secondary share sale worth ₹500 crore and a primary issuance of ₹250 crore.

Imarticus’ Early Investors

Some of the early investors of the company include Caspian, Global Ivy Ventures, and BLinC Invest. In 2023, the company had raised US$11.7 million in a Series C round of funding. Currently, industry experts have valued it at around US$123 million.

Imarticus Learning Is A L&D company

Imarticus Learning perceives itself as an education company and hence will not position itself as an edtech company with SEBI. Its DRHP will exclude the word “edtech”. It is the leading provider of finance courses in India. It initially started with a small centre in Mumbai in 2012 and gradually expanded its presence to other cities like Bengaluru, Pune, and Hyderabad.

Overview of Digital Education Companies in India

India’s tech enablement industry comprises over 17,000 companies. This includes over 1,00,000 companies that have collectively raised roughly US$14 billion in private equity and venture capital. Of these, nearly 7 companies are now unicorns and 324 are Series A+ funded.

Conclusion

Despite facing market volatility, India’s edtech sector is focusing on future growth plans by merging with other companies and introducing industry-relevant courses. Imarticus Learning’s IPO issue is expected to attract new investors confident of investing in the nation’s edtech industry.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

India’s Real Estate Boom: Land Acquisitions and Project Development Skyrocket

The Indian real estate sector is experiencing rapid growth due to rising demand for commercial, residential, and mixed-use developments. According to a JLL India study, companies spent ₹62,328 crore on developing new projects in 2024-25. In the coming years, the RBI’s reduction in policy rates and the introduction of new fiscal incentives for the middle class are expected to drive continuous demand.

Expansion of Housing Projects

In FY 2024-25, real estate developers secured nearly 2,335 acres of land across 23 cities in 134 transactions. This is expected to yield 194 million sq. ft of new real estate projects this year. With the expansion of the urban middle-class population, developers have earmarked nearly 81% of the land for developing residential projects.

Major real estate companies have acquired 1,673 acres of land in India’s top 7 metropolitan cities. This includes prime urban centres such as Mumbai, Bengaluru, Delhi, Hyderabad, Chennai, Ahmedabad, and Kolkata. Based on industrial estimates, these will account for nearly 91% of overall capital requirements for real estate companies in the future.

Office Space Dominates

Office construction is expected to lead the growth of the real estate sector in the coming years. Based on industry reports, the India office sector recorded 89 million square feet (MSF) of gross leasing volume (GLV) across the top 8 cities. This has reinforced its position as the “office of the world”.

Based on city-wise analysis, Bengaluru witnessed the greatest office development (25.93 MSF) and accounted for nearly 29% of India’s GLV. It was followed by Mumbai (17.84 MSF) at 20% and Delhi-NCR (13.14 MSF) at 15%. Pune and Hyderabad accounted for a share of 10% (8.47 MSF) and 14% (12.31 MSF) respectively.

Conclusion

The continuous expansion of expressways, metro networks, and commercial corridors has propelled the growth of land banking. During 2022-24, the cost of 1 acre of land rose from ₹11 crore to ₹17 crore. This, in turn, has created exciting opportunities for private credit and alternative investment funds.

In the coming years, the Indian real estate sector is expected to witness sustained growth. This will be driven by rising consumer confidence in India’s economic growth and increased credit availability for common consumers.

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Financial Burden of Kidney Treatment and the Importance of Health Insurance

World Kidney Day calls for rising societal awareness for prevention, early detection, and better management of chronic kidney diseases. Based on news reports, the incidence of chronic kidney diseases in India rose by 16.38% during 2018-23. If you know someone who is suffering from kidney-related health problems, read on.

Comprehensive Cost Breakup Of Dialysis

Dialysis is the most common treatment for patients suffering from kidney failure. Here is a breakdown of the average costs of hemodialysis (performed at healthcare centers) and peritoneal dialysis (performed at home):

Breakup Hemodialysis
Per Session ₹1,500 to ₹4,000
Monthly ₹18,000 to ₹40,000
Annually ₹2,16,000 to ₹4,80,000
Breakup Peritoneal Dialysis
Set Up Cost ₹60,000 to ₹1,00,000
Monthly Consumables ₹30,000 to ₹50,000
Annually ₹3,60,000 to ₹6,00,000

Additional Costs Associated With Dialysis Treatment

This breakup does not cover the entire cost of treatment. Individuals may have to incur additional costs of laboratory tests (₹500 to ₹2,000 per consultation) and medications such as erythropoietin injections (₹2,000 to ₹5,000) per month. Average hospitalisation costs can range from ₹50,000 to ₹2,00,000 for complications or emergencies.

Rising Healthcare Costs and the Need for Proper Health Insurance Coverage

The recurring nature of kidney treatment, combined with the increasing costs of professional expertise, consumables, and equipment can make it a major financial burden for poor and middle-class families.

Though the Indian government provides coverage of up to ₹5 lakh for eligible families, it is crucial to note that medical healthcare costs in India are rising by 14% annually. Thus, you need to choose the right health insurance policy for yourself which will protect you and your family financially in case of adversity.

How To Select The Right Insurance Policy For Yourself?

  1. Choose a policy that provides coverage for kidney transplants and end-stage renal failures. Most importantly, check if the insurer covers medical costs for hemodialysis, as it is generally recommended by doctors.
  2. A good healthcare policy should cover miscellaneous expenses (such as medicines, unforeseen costs of hospitalisation, and syringes) of kidney treatment. This is essential, otherwise you may have to pay a heavy bill out-of-pocket.
  3. If you reside in a Tier-I city, you can easily avail a cashless claim facility with your insurer’s in-network hospitals. This reduces hassle at a critical time and allows you to focus more on your loved one.
  4. Some insurers provide kidney patients additional benefits. This includes benefits for organ donors and an annual health check-up. Moreover, they also provide coverage for alternative treatments and consulting another doctor.
  5. Critical illness insurance plans typically provide coverage for the insuree’s dependents. It is always better to compare and choose one that provides adequate protection to your family.

By choosing the appropriate healthcare coverage for yourself, you can secure your financial future. Always clarify ambiguous clauses in the insurance agreement and choose a company that aligns with your needs.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

8th Pay Commission: What to Expect?

This year, on January 17, the Indian government announced its decision to implement the recommendations of the 8th pay commission from January 2026. The commission is expected to revise the compensation for 6.8 million pensioners and 4.5 million government employees. This underscores its continuous commitment to empowering its workforce and establishing a fair pay system. The 8th Pay Commission will come into effect from January 1, 2026.

What To Expect From The 8th Pay Commission?

As per news reports, the 8th pay commission is expected to raise salaries by 25%-30% for government employees based on a fitment factor of 2.6-2.85. That way, the basic minimum pay for lower-level employees can potentially rise to ₹40,000, along with performance pay, allowances, and additional perks.

Let us see an example.

With the implementation of new changes, a central government employee earning roughly ₹40,000 could earn up to ₹91,200. This is calculated based on a fitment factor of 2.28.

The changes are expected to be implemented via the Central Civil Services (Revised Pay) Rules, 2025. They will positively impact employee pensions and other retiral benefits including EPF, and Gratuity, among others.

How Were Salaries Calculated in the 7th Pay Commission?

The recommendations of the 7th Pay Commission were implemented on January 1, 2016. It introduced a simplified pay matrix for pensioners and central government employees to enhance transparency. It also revised the minimum basic pay for low-level employees from ₹7,000 to ₹18,000.

The commission applied a fitment factor of 2.57 to ensure a uniform hike in salaries across different levels. House Rent Allowance (HRA) was revised on the basis of city classification, thereby bringing further relief for government employees. Pay commissions are generally established once in 10 years to stimulate economic consumption.

Why Are Salary Structure Revisions Important?

The 8th pay commission is expected to alleviate numerous concerns among government employees. This includes worries about rising living costs, increasing inflation rates, and the widening bridge between private and public sector remuneration. Beyond providing just financial benefits, periodic revisions are expected to fuel economic consumption.

Conclusion

Indians are excitedly awaiting the recommendations of the 8th pay commission. It promises to be a major relief for government employees facing rising economic pressures. Its implementation is also expected to increase enthusiasm among students appearing for government exams. Here are some other related stories:

  1. 8th Pay Commission: Will Level 10 Employees Get Over ₹1.6 Lakh?
  2. 8th Pay Commission: Key Updates and What’s Next for Employees.
  3. What Are the Potential Benefits Under the 8th Pay Commission?

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Mid-Day Top Gainers and Losers on March 13, 2025: Bharat Electronics and ONGC Led Gainers

On March 13, 2025, as of 12:59 PM, the BSE Sensex was down 0.02% at 74,042.14, while the Nifty 50 was down 0.07% at 22,455.55. The mid-day top gainers and losers for the day are:

Mid-Day Top Gainers 

 

Symbol Open High Low LTP %Chng
BEL 283 285.8 279.42 283.12 2.27
ONGC 228.15 230.4 224.87 226.52 0.94
SBIN 725.9 731.45 724.5 729 0.82
LT 3,202.25 3,233.15 3,183.75 3215.75 0.69
ICICIBANK 1,251.05 1,255.60 1,245.30 1251.4 0.6

 

Bharat Electronics Limited

BEL’s stock opened at ₹283, and saw a high of ₹285.8. As of 12.28 PM, it was trading 2.27% above the previous close.

ONGC

ONGC’s stock opened at ₹228.15 and reached a high of ₹230.4. As of 12.28 PM, it was trading with a 0.94% gain.

State Bank of India

SBIN’s stock opened at ₹725.9 and peaked at ₹731.45.  As of 12.28 PM, it was trading with a 0.82% rise.

Larsen & Toubro

LT’s stock opened at ₹3,202.25 and hit a high of ₹3,233.15. As of 12.28 PM, it was trading at a 0.69% gain.

ICICI Bank

ICICIBANK’s stock opened at ₹1,251.05 and reached a high og ₹1,255.60. As of 12.28 PM, it was trading at a gain of 0.6%.

Mid-Day Top Losers

 

Symbol Open High Low LTP %Chng
SHRIRAMFIN 638 644 619.5 620.9 -2.52
HINDALCO 690.2 692.95 673.25 675.95 -2.01
TATAMOTORS 670.65 671.85 654 657.5 -1.62
WIPRO 268.55 271.1 264.2 264.95 -1.34
HEROMOTOCO 3,625.00 3,625.55 3,560.50 3566 -1.23

 

Shriram Finance 

SHRIRAMFIN’s stock opened at ₹638 and dropped to ₹619.5. As of 12.28 PM, it was being traded at a 2.52% loss.

Hindalco

Hindalco’s stock opened at ₹690.2 and fell to ₹673.25. As of 12.28 PM, it was trading at a decline of 2.01%.

Tata Motors

TATAMOTORS’ stock opened at ₹670.65 and dropped to ₹654. As of 12.28 PM, it was trading at a loss of 1.62%.

Wipro

WIPRO’s stock opened at ₹268.55 and hit a high of ₹264.2. As of 12.28 PM, it was trading at a loss of 1.34%.

Hero Motor Company

HEROMOTOCO’s stock opened at ₹3,625, and dropped to ₹3,560.50. As of 12.28 PM, it was trading at a loss of 1.23%.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Boosting Fisheries Sector: India Launches ₹6,000 Crore PM-MKSSY Scheme

The Indian government has launched a new initiative to bolster the fisheries industry with the introduction of the Pradhan Mantri Matsya Kisan Samridhi Sah-Yojana (PM-MKSSY). This is a Central Sector Sub-scheme which operated under the prevailing Pradhan Mantri Matsya Sampada Yojana (PMMSY). 

PM-MKSSY has an estimated budget of ₹6,000 crore will run for 4 years from FY 2023-24 to FY 2026-27. It is designed to resolve key challenges in the fisheries industry through 4 core components.

Component 1-A: Formalisation and Financial Access 

Component 1-A focuses on facilitating access to government programs for fisheries microenterprises. By resolving their working capital requirements, the government aims to bring smaller players into the formal economy.

Component 1-B: Aquaculture Insurance

Component 1-B aims to encourage farmers to adopt aquaculture insurance. By recognising aquaculture risks, the scheme provides 2 types of insurance products for farmers. This includes a basic insurance plan covering yield losses caused by non-preventable perils (including natural calamities). It also includes a comprehensive insurance plan for diseases. 

The scheme has set an incentive amount at 40% of the premium paid by farmers. This includes a ceiling of ₹1 lakh for 4 hectares of Water Spread Area or ₹25,000 per hectare per farmer. For intensive aquaculture systems, the incentive remains at 40% of the premium, with a ceiling of ₹1 lakh per farmer for an 1800 m3. 

Notably, women beneficiaries and Scheduled Tribe/Scheduled Caste will receive an additional incentive of 10%, thereby promoting financial inclusivity.

Component 2: Value Chain Enhancement 

Component 2 aims to support microenterprises in improving value chain efficiencies. By enhancing post-harvest management practices, the fisheries industry can substantially reduce  their waste generation. By implementing effective processing and marketing strategies, they can also enhance their profitability.

Component 3: Safety and Quality Assurance

Component 3 emphasises the expansion and adoption of product safety and quality assurance systems in the fisheries industry. This is important to ensure consumer safety and enhance the competitiveness of Indian fisheries products in international markets.

A Digital Revolution: National Fisheries Digital Platform (NFDP)

In September 2024, the Indian government launched the National Fisheries Digital Platform (NFDP). It aims to create a comprehensive database for all industrial stakeholders by establishing a work-based digital identity for aquaculture farmers. It will offer institutional credit facilities, strengthen fisheries cooperatives, and incentivise aquaculture insurance. 

Impact and Future Outlook

The PM-MKSSY is poised to transform India’s fisheries sector by addressing numerous challenges pertaining to financial access, insurance, and quality assurance, among others. The scheme can enhance the livelihood of millions of Indian fish farmers and enhance the industrial growth rate. 

The growing focus on adopting digital solutions through the NFDP will streamline processes, promote greater efficiency, and ensure better transparency. The additional incentives for women and SC/ST beneficiaries highlight the government’s continuous commitment to ensuring inclusive growth.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

UltraTech Cement to Enter Wires and Cables Industry with ₹1,800 Crore Investment

UltraTech Cement has announced its plans to enter the wires and cables industry with a capex of around ₹1,800 crore over 2025-27. It is renowned as a flagship cement company of the Aditya Birla Group. Previously, it has forayed into the paints and coatings business in 2024. 

UltraTech Seeks Growth in Cables

During 2019-2024, the revenues of India’s wires and cables industry grew at a CAGR of 13%. Rapid formalisation of the industry has created new opportunities for Ultratech Cement to expand its operations. It is expected to compete with Sterlite Technologies, Finolex Cables, Polycab India, and other such companies. 

UltraTech to Launch Cables Plant in Gujarat

UltraTech plans to commission a new cables and wires manufacturing plant in Gujarat by December 2026. By leveraging its large-scale manufacturing expertise and robust distribution network, it will deliver high-end wires and cables to end consumers. 

UltraTech’s Kesoram Acquisition to Strengthen South India Presence

Last year, the National Company Law Tribunal had approved UltraTech’s acquisition of Kesoram Industries Ltd for ₹7,600 crore. The implementation of this demerger scheme is ongoing from March 1, 2025. This initiative is expected to enhance UltraTech Cement’s presence in South India considerably. 

Under the scheme, the company will issue 1 equity share of ₹10 each for Kesoram’s shareholders holding 52 equity shares of ₹10 each. The company had earlier set the record date as March 10, 2025.

Moreover, in exchange for 90,00,000 5% cumulative NCRP shares of ₹100 each, Kesoram’s preference shareholders will receive 54,86,608 fully paid-up 7.3% non-convertible redeemable preference (NCRP) shares of ₹100 each.

Additionally, in exchange 19,19,277 optionally convertible redeemable preference shares of ₹100 each, Kesoram’s shareholders will get 8,64,275 fully paid-up 7.3% NCRP shares of ₹100 each.

Share Price Movement

As of March 12, 2025, UltraTech Cement share price opened at ₹10,480 and reached an all-day high of ₹10,549.80. It also recorded an all-day low of 10,362.00.

Conclusion

Despite ongoing business expansion plans, Kumar Mangalam Birla has stated the company will continue to focus on its core business. In FY 2025-26, the company is expected to set a record of producing over 175 metric tons of cement. This can potentially make it the world’s largest cement company. 

Overall, the company is poised to reap benefits from the demerger and enhance its scale in Gujarat. Backed by strong financial fundamentals, this will play a crucial role in enhancing India’s export potential and international competitiveness. 

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

Are Fixed Deposits Safe? Concerns Grow Amidst IndusInd Bank Saga

As multiple cases of financial irregularities are coming to light, RBI is strengthening its restrictions on banking companies. With the earlier discovery of irregularities in Maharashtra Cooperative Bank, and now IndusInd Bank, depositors are questioning whether fixed deposits remain a safe investment option. The question is- should you still invest in FDs? 

Choosing the Right Bank Amid Rising Concerns Over IndusInd Bank’s Financial Health

Fixed deposits are considered to be a safe investment instrument since they offer guaranteed returns, capital appreciation, and regulatory protection from the RBI. They are preferred due to 2 main reasons: 

  1. Fixed deposits remain unaffected by market corrections and offer a pre-determined return. Hence, they are suited for risk-averse investors. 
  2. FDs are comparatively more liquid than other stock market instruments. Though banks may charge a nominal fee for premature withdrawal, your money can still be withdrawn at any time. 

IndusInd Bank has reported that unrealised portfolio discrepancies can affect post-tax profits by 2.35%. This has caused panic among depositors. In September 2024, the bank’s non-performing assets surged from 1.92% to 2.24%. Moreover, its profits and capital adequacy ratios have been declining steadily. Thus, it is crucial to choose the right bank for your FDs. 

Distressing Events of the Past

In 2019, when RBI unearthed financial irregularities in the Maharashtra Co-Operative Bank, it imposed a withdrawal limit of ₹1000 on depositors. This caused significant disruption and panic among FD holders. By choosing a bank with strong fundamentals and a transparent government structure, you can ensure the long-term safety of your investments. 

Government Plans to Raise Bank Deposit Insurance Cover

Several news reports report that the Indian government is planning to double the insurance cover on all bank deposits from ₹5,00,000. If implemented, it can substantially strengthen depositor’s confidence in the banking industry. This includes vulnerable people such as senior citizens. 

However, this may also lead to a marginal increase in premiums charged by the Deposit Insurance and Credit Guarantee Corporation (DICGC).

Conclusion

Despite concerns over regulatory failures in financial institutions like Maharashtra Cooperative Bank and IndusInd, FDs largely remain a safe investment instrument. However, choosing the right bank with strong financial fundamentals is crucial. The government’s plan to increase deposit insurance coverage can further enhance depositor’s confidence and offer enhanced protection.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Mid-Day Top Gainers and Losers on March 12, 2025: IndusInd Bank and Kotak Bank Gainers

On March 12, 2025, as of 1.30 PM, the Nifty 50 was down 0.28% at 22,435.60, while the BSE Sensex was down 0.23% at 73,930.28. 

Here are the mid-day top gainers and losers as of 12:53 PM on March 12:

Mid-Day Top Gainers 

Symbol Open High Low LTP %chng
INDUSINDBK 630 694.7 606 683.9 4.26
KOTAKBANK 1,940.00 1,997.70 1,938.00 1982.45 2.44
TATAMOTORS 654.5 671.9 652.25 660.6 1.94
HDFCBANK 1,691.55 1,716.10 1,691.55 1711.55 1.55
SUNPHARMA 1,662.00 1,674.85 1,658.05 1671.05 0.95

IndusInd Bank 

IndusInd Bank opened at ₹630, reached a high of ₹694.7, a low of ₹606, and closed at ₹683.9, reflecting a 4.26% increase.

Kotak Bank

Kotak Mahindra Bank opened at ₹1,940.00, hit a high of ₹1,997.70, a low of ₹1,938.00, and closed at ₹1,982.45, up by 2.44%.

Tata Motors

Tata Motors started at ₹654.5, reached a high of ₹671.9, a low of ₹652.25, and ended at ₹660.6, showing a 1.94% increase.

HDFC Bank

HDFC Bank opened at ₹1,691.55, peaked at ₹1,716.10, a low of ₹1,691.55, and closed at ₹1,711.55, up by 1.55%.

Sun Pharmaceuticals

Sun Pharma opened at ₹1,662.00, touched a high of ₹1,674.85, a low of ₹1,658.05, and closed at ₹1,671.05, reflecting a 0.95% increase.

Mid-Day Top Losers

Symbol Open High Low LTP %chng
INFY 1,636.90 1,636.90 1,563.80 1569 -5.57
WIPRO 277.7 277.7 262.2 263.65 -5.08
TECHM 1,481.00 1,489.00 1,408.80 1420.5 -3.97
HCLTECH 1,556.00 1,565.00 1,507.10 1523.55 -2.83
AXISBANK 1,025.20 1,029.80 999.2 1001.05 -2.4

Infosys

The stock opened at ₹1,636.90, reached a high of ₹1,636.90, a low of ₹1,563.80, and closed at ₹1,569, reflecting a 5.57% decline. 

Wipro

Wipro opened at ₹277.70, peaked at ₹277.70, dropped to ₹262.20, and closed at ₹263.65, showing a 5.08% decrease.

Tech Mahindra

Tech Mahindra started at ₹1,481.00, hit a high of ₹1,489.00, a low of ₹1,408.80, and ended at ₹1,420.50, down by 3.97%.

HCL Tech

HCL Technologies opened at ₹1,556.00, reached a high of ₹1,565.00, a low of ₹1,507.10, and closed at ₹1,523.55, down 2.83%.

Axis Bank

Axis Bank opened at ₹1,025.20, peaked at ₹1,029.80, dropped to ₹999.20, and closed at ₹1,001.05, showing a 2.4% decline.

 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.

 

Adani Group to Revive US Investment Plans Following Suspension of FCPA Enforcement

News reports suggest that The Adani Group will revive its US investment plans after President Donald Trump has suspended the enforcement of the Foreign Corrupt Practices Act (FCPA). 

The ports-to-energy conglomerate had earlier pledged US$10 billion to numerous American infrastructure projects. 

However, it put its plans when the US Department of Justice (DOJ) indicted its founder Gautam Adani, and several associates of committing bribery. Based on industry reports, the recent Indian stock market crash caused a 20% decline in Gautam Adani’s net worth. This has further exacerbated challenges for the company. 

Legal challenges That Hindered the Group’s US Expansion

The court alleged that during 2020-2024, Adani and his co-defendants paid $265 million worth of bribes to several Indian government officials. His alleged objective was to secure important solar energy projects with a profit potential of over US$2 billion. The American authorities had also accused the Adani Group of misleading American investors by not disclosing these practices. 

The allegations forced Adani Green Energy to withdraw its projects from countries like Kenya. Thus, this news had wider repercussions for the company in foreign markets as well. TotalEnergies, a key investor, also paused new investments in the company.

This legal scrutiny had compounded the company’s challenges arising from the Hindenburg Research report. It had accused The Adani Group of corporate fraud and stock manipulation. This had severely impacted the company’s overall market valuation.  

India’s Solar Power Industry is Severely Challenged 

As per the International Energy Agency, India’s electricity demand is expected to grow at a rate of 6% annually in the coming years. By subsidising local manufacturers and restricting Chinese imports, the government increased its solar power production capacity by 6x during 2021-23. However, the growth of India’s solar power industry seems to be slowing down. 

The Indian government established the Solar Energy Corporation of India in 2011. Its objective was to enable state utility companies to manage their financial woes better. Howvever, American authorities allege that the SECI awarded 12GW solar energy project to the Adani Group after receiving a hefty bribe. 

Currently, solar power installation in India is 11GW. The country had aimed to create 40 GW by 2022. This puts it far behind countries like Australia and Brazil. 

About Adani Green Energy 

Adani Green Energy is India’s biggest renewable energy company. It is developing one of the globe’s largest clean energy projects in Gujarat’s salt deserts. Once completed, they will produce nearly 30 GW of electricity, thereby powering around 18 million homes.

AGEL aims to produce 50 GW of renewable energy by 2030. Currently, its projects are ongoing across 12 Indian states, with a total power generation capacity of 11.6 GW. Some of its popular projects include:

  1. Rewa Ultra Mega Solar Park (750 MW)
  2. Kamuthi Solar Power Project (648 MW)
  3. Pavagada Solar Park (2050 MW)

Conclusion

As the US government has frozen FCPA enforcement, The Adani Group is expected to revive its investments in the American economy. This is expected to have a favourable impact on its ongoing projects in countries like Sri Lanka and Kenya. As the company renews its projects in India, the solar industry is expected to revive itself and record sustained growth in the coming years. 

Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.

 

Investments in the securities market are subject to market risks, read all the related documents carefully before investing.