The share price of Macrotech Developers Ltd, the second-largest real estate developer in India, garnered attention on January 23, 2025, as it recovered from the day’s low to trade near the day’s high. By mid-morning, the stock was up by 0.90%. However, the focus was not solely on its stock performance but also on an intensifying trademark dispute within the Lodha family, involving a ₹5,000 crore lawsuit filed by Macrotech Developers.

Trademark Lawsuit: A ₹5,000 Crore Legal Battle

Macrotech Developers, led by Abhishek Lodha, initiated legal proceedings against Abhinandan Lodha in the Bombay High Court, citing trademark infringement. The lawsuit alleges that Abhinandan’s companies have unlawfully used the ‘Lodha’ and ‘Lodha Group’ brand names, which are closely associated with Macrotech Developers’ real estate ventures marketed under the Lodha brand.

This case is seen as the culmination of a long-standing rivalry between the brothers, fuelled by disputes over the use of the Lodha brand and lingering tensions from their shared history in the family business.

Family Disputes and the Roots of the Conflict

The disagreement traces back to 2017 when Abhinandan Lodha left the family business to establish his own ventures, including The House of Abhinandan Lodha (HoABL). A family settlement agreement that same year reportedly granted him ₹1,000 crore and a non-compete clause, restricting him from using the Lodha name in real estate or entering competing businesses.

However, accounts differ. Abhinandan’s representatives claim the settlement was for ₹500 crore, including some apartments, and have accused Macrotech Developers of spreading misleading information.

Impact on Macrotech Developers’ Share Price

The legal battle has undoubtedly drawn investor attention. As of January 23, 2025, Macrotech Developers’ stock showed resilience, recovering from the day’s low to trade near its high. 

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.

Nandan Denim Limited (NDL), a prominent name in India’s textile sector, has seen significant growth recently. The company’s share price advanced by 1% today and has gained over 70% in the past year. As the market awaits its earnings announcement on January 28, 2025, NDL continues to capture investor attention.

Earnings Announcement Ahead

The Board of Directors is scheduled to meet on January 28, 2025, to review and approve the unaudited financial results for the quarter and 9 months ending 31 December 2024. This announcement is expected to provide insights into the company’s performance amidst its ongoing growth trajectory.

A Brief History of Nandan Denim Limited

Incorporated in August 1994 by Mr Vedprakash Chiripal and Mr Brijmohan Chiripal, Nandan Denim Limited began as a private entity focused on trading and exporting textile products. The company transitioned into a public limited entity in 2004 and entered the manufacturing domain by establishing a denim fabric weaving capacity of 20 million metres per annum (MMPA). Over time, this capacity expanded to 110 MMPA, and in 2014, NDL diversified into shirting fabric with a capacity of 10 MMPA.

With two manufacturing facilities in Ahmedabad, Gujarat, and a 15-MW solar power plant meeting its energy requirements, NDL has built a sustainable and efficient operational framework.

Financial Performance: A Steady Ascent

NDL’s financial health improved significantly in FY24, marked by a reduction in debt and improved profitability. Key highlights include:

• Capital Structure Improvements
  The company’s debt-to-equity ratios improved markedly as of March 31, 2024:
  • Long-term debt-equity ratio: 0.26x (vs 0.42x in FY23)
  • Overall gearing ratio: 0.56x (vs 0.86x in FY23)
  • TOL/TNW: 1.02x (vs 1.35x in FY23)

This improvement is attributed to profit accretion in reserves and a significant reduction in debt levels.

• Profitability Growth
  NDL’s profitability saw a remarkable turnaround:
  • Profit Before Tax (PBT): ₹65.12 crore (vs ₹5.14 crore in FY23)
  • Profit After Tax (PAT): ₹44.97 crore (vs ₹0.53 crore in FY23)

This growth stemmed from reduced production costs and operational efficiencies, with PBT and PAT margins improving to 3.18% and 2.20%, respectively, in FY24, compared to 0.25% and 0.03% in FY23.

Sustainability Initiatives

NDL’s commitment to sustainability is evident in its use of renewable energy. The 15-MW solar power plant within its premises highlights the company’s focus on eco-friendly manufacturing, reducing its carbon footprint while ensuring cost efficiencies.

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.

Dr Reddy’s Laboratories (DRL), a global pharmaceutical company, has found itself entangled in a series of lawsuits filed between 2023 and 2024. These legal disputes revolve around allegations that the company, alongside others, delayed the market entry of generic versions of the drug Revlimid®. Here’s a breakdown of the developments surrounding these cases.

The share price of Dr Reddy’s Laboratories was trading lower by 0.52% as of 9:39 AM on January 23, 2025. Earlier in the day, the stock hit a fresh 1-month low of ₹1,282.95 on the NSE.

Background of the Case

The lawsuits primarily challenge the patent settlement agreements involving DRL, Celgene, and Bristol-Myers Squibb (BMS). According to the plaintiffs, these agreements allegedly violated antitrust and consumer protection laws by delaying the availability of affordable generic versions of Revlimid® until 2022 and subsequently restricting competition until 2026.

The claims against DRL mirror those against other pharmaceutical companies like Celgene, BMS, Natco, and Teva, asserting a collective effort to limit competition.

Court Proceedings So Far

1. June 2024 Ruling:
   The court dismissed key claims from similar lawsuits against other defendants, including challenges to the patent settlement agreements. Plaintiffs were allowed to amend their complaints.
2. August 2024 Amendments:
   Plaintiffs filed amended complaints, some of which added DRL as a defendant for the first time.
3. October 2024 Motions to Dismiss:
   DRL and other defendants filed motions to dismiss the amended complaints. These motions remain pending, and discovery has been stayed.
4. December 2024 Standalone Actions:
   Several plaintiffs filed additional complaints under sealed cover, targeting DRL, Natco, Teva, and AbbVie. DRL has requested permission to file motions to dismiss these standalone cases, citing reasons similar to the earlier filings.

Current Status

As of January 2025, the legal proceedings are ongoing. The court is reviewing motions to dismiss filed by DRL and other defendants in both the primary and standalone actions. No discovery has been initiated, leaving the outcome uncertain at this stage.

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.

Hindustan Unilever Limited acquired a 90.5% stake in Uprising Science Private Limited, the parent company of Minimalist for ₹2,670 crore. This strategic move aims to leverage HUL’s wide distribution network to make Minimalist products more easily available across India and help the brand grow in international markets.

Board approves the acquisition 

The company’s Board of Directors has approved the purchase of a majority stake in Uprising Science Private Limited. As part of this decision, a Share Purchase and Subscription Agreement (SPSA) has been signed to acquire 90.5% ownership for ₹2,670 crores. This is based on an enterprise valuation of ₹2,955 crores with some adjustments to be made as per the agreement.  

Additional Investment in Uprising

Along with the acquisition, the company will make an additional investment of ₹45 crores in Uprising Science Private Limited. This move aims to strengthen the company’s position in the market and drive future growth. The remaining 9.5% shares will be acquired later under the terms of the agreement.  

About USPL

Uprising Science Private Limited (USPL) is the parent company of Minimalist, an evidence-based, consumer-focused skin and hair care brand that emphasises high-quality, science-backed solutions prioritising efficacy and transparency

About HUL 

Hindustan Unilever Limited (HUL) has been through the merger of three companies and is India’s largest fast-moving consumer goods (FMCG) company. It offers a wide range of products like soaps, detergents, shampoos, skincare, toothpaste and packaged foods with popular brands like Lux, Lifebuoy, Surf Excel and Lakme. Committed to sustainable living, HUL focuses on empowering youth, improving sanitation and promoting diversity & inclusion which reaffirms it as a top employer in India.

HUL’s Share Performance 

As of January 23, 2025, at 12:25 PM, HUL’s shares are trading at ₹2,326.55 per share, down 0.70% from yesterday’s closing price. Over the last month, the stock has fallen by 0.53% and over the past year, it has seen a splurge of 0.19%. The stock has a 52-week high and 52-week low of ₹3,035 per share and ₹2,172 per share respectively.

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.

Hindustan Unilever Ltd. (HUL) has announced plans to list its demerged ice cream business as a separate entity within a year. The move is aimed at unlocking value for shareholders and enhancing operational focus for the ice cream segment.

Details of the Demerger Plan

On Wednesday, HUL’s board approved the demerger of its ice cream business, which includes well-known brands such as Kwality Wall’s, Cornetto, and Magnum. Shareholders of HUL will receive one share in the newly formed company, tentatively named KWIL, in proportion to their current holdings.

The company expects to complete the required regulatory and shareholder approvals, with the demerged entity proposed to be listed on the National Stock Exchange and the Bombay Stock Exchange by the March quarter of fiscal 2026. HUL’s ice cream business accounted for ₹1,595 crore in turnover at the end of FY24, representing 2.7% of its total standalone turnover.

A Focused Growth Strategy

The demerger decision aligns with parent company Unilever’s strategic directive to separate its ice cream division. HUL constituted an independent committee in September to evaluate the prospects of this business, following which the board approved the separation in October.

HUL stated that the move would allow KWIL to focus exclusively on its ice cream operations, enabling greater flexibility to implement strategies tailored to market dynamics. With its demerger, HUL aims to provide the new entity with the tools to realise its full potential as a standalone company.

HUL Share Performance

As of January 23, 2025, at 12:55 PM, With a market capitalisation of ₹5,50,497 crores, HUL shares are trading at ₹2,331.35 per share, down 0.51% from yesterday’s closing price. Over the last month, the stock has declined by 0.2% and over the past year, it has dropped by 4.84%

Conclusion

HUL’s decision to demerge its ice cream business reflects a strategic step towards optimising growth opportunities for both HUL and KWIL. The transition to a listed entity is set to be completed by fiscal 2026, marking a significant shift in HUL’s operational focus.

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.

Sanofi India Limited has been issued a transfer pricing order by the Office of the Joint Commissioner of Income Tax, Transfer Pricing, for the assessment year 2022-23. The order, dated January 21, 2025, imposes a tax liability of ₹26.50 crore.

Transfer Pricing Adjustments

The tax liability was triggered by adjustments related to disallowed international transactions flagged during the transfer pricing assessment. These transactions were reviewed and disallowed by the assessing authority, leading to the demand for additional taxes.

Regulatory Filing

On January 22, 2025, Sanofi India informed stock exchanges through a regulatory filing under Regulation 30 of the SEBI (LODR) Regulations. The filing included details of the tax order, the quantum of claims, and the company’s response. Sanofi stated that it is awaiting the completion of draft assessment proceedings and plans to appeal the order before higher tax authorities.

No Impact on Operations

Despite the tax adjustment, the company clarified in its disclosure that the order does not have any material impact on its financial, operational, or other activities. Operations remain unaffected, according to Sanofi India’s statement.

Appeal Process to Follow

Once the draft assessment proceedings are finalized, Sanofi India intends to apply with higher tax authorities to challenge the order. The company has not provided a timeline for the appeal but has indicated its intent to contest the adjustments.

Share Price 

As of 11:27 AM today, on January 23, shares of Sanofi India Ltd were trading at ₹5,346.55, down ₹48.35 (0.90%) for the day, marking a 12.17% decline year-to-date and a 35.78% drop over the past year.

Sanofi India has stated that further updates on the matter will be provided after the draft assessment proceedings are finalized. The case showcases an issue in the pharmaceutical industry around transfer pricing regulations and international transactions in the country, an area that has seen increased regulatory oversight in recent 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

Laurus Generics Inc. (LGI), the wholly-owned US subsidiary of Laurus Labs Ltd., recently underwent a Post-Marketing Adverse Drug Experience (PADE) inspection by the United States Food and Drug Administration (US FDA). The inspection, conducted over 4days between January 13 and January 21, 2025, focused on the company’s processes for reporting adverse events related to its marketed pharmaceutical products worldwide.

Issuance of Form 483

Following the inspection, the US FDA issued a Form 483 to Laurus Generics Inc., citing one observation. The Form 483 is a document that talks about specific issues identified during inspections but does not represent a final determination of the company’s compliance with regulations. Laurus Labs stated that it would address the observation within the prescribed timelines.

Details from Regulatory Filing

In a regulatory filing with the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE), Laurus Labs disclosed the inspection outcome. The filing clarified that the company is taking the necessary steps to address the observation and ensure compliance with US FDA guidelines.

What is a Form 483?

A Form 483 is issued by FDA inspectors when they observe practices or conditions that may violate regulatory requirements during an inspection. It serves as a preliminary finding, and companies are expected to respond within 15 days with details on corrective actions they will take to address the concerns raised.

Additional Observations 

Such inspections are part of routine regulatory processes as a part of compliance with Good Manufacturing Practices (GMP). The outcome of this process will determine whether additional regulatory actions are required.

Stock Performance

On January 22, 2025, the day of the announcement, the stock closed at ₹571.45, showing a drop of ₹5.45 or 0.94%. However, Laurus Labs Ltd is currently trading at ₹577.50, up ₹6.65 (1.16%) as of 11:38 AM today, on January 23, 2025, indicating a 34.16% increase over the past six months and a 44.75% rise over the past year.

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

Bharat Petroleum Corporation Ltd. (BPCL) announced that its board has approved a $121 million development plan for the Nunukan Block in Indonesia. The project will be executed through Bharat PetroResources Limited (BPRL), BPCL’s wholly-owned subsidiary, and its step-down subsidiary, BPRL Ventures Indonesia BV.

Details of the Nunukan Block Project

The Nunukan Block, located in Indonesia, holds oil and gas reserves. BPRL Ventures Indonesia BV has a 16.23% participating interest in the block, while Pertamina Hulu Energi Nunukan Inc., a subsidiary of Pertamina, is the operator. The development plan is subject to approval from the Indonesian regulator, and the investment will only proceed after meeting specified conditions.

The development plan for the Nunukan Block has been submitted to the Indonesian regulator. Once approved and conditions are met, BPCL will move forward with the project.

Joint Venture for CBG Plants

In addition to its international ventures, BPCL’s board approved a joint venture with Praj Industries Ltd. to set up compressed bio-gas (CBG) plants across India. This is part of the company’s diversification. The plan is subject to regulatory clearances and board approval from Praj Industries.

BPCL’s Financial Performance

BPCL reported its financial performance for the October-December quarter. Net profit rose 94% quarter-on-quarter (QoQ) to ₹4,649 crore, up from ₹2,397 crore in the previous quarter. Revenue increased by 10% QoQ to ₹1.13 lakh crore from ₹1.03 lakh crore. The company’s EBITDA for the quarter stood at ₹7,581 crore, marking a 67% increase from ₹4,546 crore in the September quarter. The EBITDA margin went to 6.7% from 4.4% in the preceding quarter.

Share Price 

As of 11:17 AM today, on January 23, Bharat Petroleum Corporation Ltd’s share price stands at ₹273.55, down 1.46% for the day, showing a 10.60% decline over the past six months but an 18.15% gain over the past year.

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.

LTIMindtree has renewed its partnership with the Association of American Medical Colleges (AAMC), a nonprofit organization headquartered in Washington, D.C. The focus of the extended collaboration is to boost the AAMC’s technology systems, improve how applications are developed and maintained, and streamline processes.

Focus Areas of the Partnership

The partnership is focused on helping the AAMC modernise its technology infrastructure. Some of the major goals include reducing project delivery timelines, increasing operational efficiency, and embedding security practices throughout development and other processes. These changes are expected to make the AAMC’s systems more reliable.

Planned Outcomes

LTIMindtree’s role in the partnership includes supporting the AAMC’s ongoing efforts to improve decision-making and overall productivity. By updating systems and optimising workflows, the partnership aims to ensure smoother operations and quicker delivery of projects.

Overview of the AAMC

Founded in 1876, the AAMC represents 159 U.S. medical schools, 14 Canadian medical schools, nearly 500 teaching hospitals and health systems, and multiple academic societies. Its network includes faculty members, medical students, resident physicians, graduate students and researchers in biomedical sciences. The organization works to upgrade medical education, healthcare, and research.

About LTIMindtree

LTIMindtree is a technology consulting company that provides digital solutions for businesses across industries. Part of the Larsen & Toubro Group, it operates in over 40 countries with a workforce of professionals. The company focuses on addressing business challenges through technology-driven solutions.

As of 12:07 PM today, on January 23, LTIMindtree Ltd shares are trading at ₹6,049.45, up 3.41% from the previous close. Over the past six months, the stock has risen by 6.35%, with a yearly growth of 7.30% and an all-time increase of 37.45%.

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.