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Rupee trades in narrow range against dollar in early trade-Telangana Today

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Forex traders said the strong US dollar and high crude oil prices weighed on the local unit, limiting its gains.

Published Date – 26 June 2024, 12:00 PM


Rupee trades in narrow range against dollar in early trade


Mumbai: The rupee witnessed range-bound trading against the US dollar in early trade on Wednesday and fell 3 paise amid a negative trend in domestic equities.

Forex traders said the strength of the American currency in the overseas market and elevated crude oil prices also weighed on the local unit and restricted the upmove.

At the interbank foreign exchange market, the local unit opened at 83.45 and lost further ground to trade at 83.46 against the greenback in initial deals, registering a decrease of 3 paise from its previous closing level.

On Tuesday, the rupee appreciated 4 paise and settled at 83.46 against the greenback.

“The Indian rupee closed higher on Tuesday and opened flat with most Asian currencies range-bound to weaker. Rupee is expected to remain in a range of 83.35 to 83.55 with dips to be bought by importers,” said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading marginally higher by 0.05 per cent at 105.66.

Brent crude futures, the global oil benchmark, were trading 0.42 per cent higher at USD 85.37 per barrel.

In the domestic equity market, the 30-share BSE Sensex declined 81.42 points, or 0.10 per cent, to 77,972.10 points. The broader NSE Nifty fell 36.05 points, or 0.15 per cent, to 23,685.25 points.

Foreign Institutional Investors (FIIs) were net buyers in the capital markets on Tuesday, as they purchased shares worth Rs 1,175.91 crore, according to exchange data.

Meanwhile, Reserve Bank Governor Shaktikanta Das on Tuesday asserted that the high interest rates are not impeding growth, and made it clear that the monetary policy will “unambiguously” focus on getting down inflation going forward.

The country is at the threshold of a “major structural shift” in its growth trajectory and is moving towards a path where 8 per cent real GDP growth can be sustained on a yearly basis, Das said addressing an event by Bombay Chamber of Commerce and Industry.

Business

SpaceX bags $843 mn NASA contract, to deorbit International Space Station-Telangana Today

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SpaceX will develop and deliver the US Deorbit Vehicle that will provide the capability to deorbit ISS and ensure avoidance of risk to populated areas

Published Date – 27 June 2024, 10:32 AM


SpaceX bags $843 mn NASA contract, to deorbit International Space Station

International Space Station

New Delhi: Elon Musk‘s SpaceX has won a $843 million NASA contract to prepare for the safe and responsible deorbit of the International Space Station (ISS) in a controlled manner after the end of its operational life in 2030.

As part of the contract, SpaceX will develop and deliver the US Deorbit Vehicle that will provide the capability to deorbit the space station and ensure avoidance of risk to populated areas.

“Selecting a US Deorbit Vehicle for the International Space Station will help NASA and its international partners ensure a safe and responsible transition in low Earth orbit at the end of station operations,” said Ken Bowersox, associate administrator for Space Operations Mission Directorate at NASA Headquarters in Washington.

While SpaceX will make the deorbit spacecraft, NASA will operate it throughout its mission. In addition to the space station, it is expected to destructively break up as part of the re-entry process.

The ISS has seen astronauts from CSA (Canadian Space Agency), ESA (European Space Agency), JAXA (Japan Aerospace Exploration Agency), NASA (National Aeronautics and Space Administration), and State Space Corporation Roscosmos, since 1998. Each agency was responsible for managing and controlling the hardware it provided.

While the US, Japan, Canada, and the participating countries of ESA have committed to operating the station through 2030, Russia has committed to continued station operations through at least 2028.

The ISS is currently in its 24th year of continuous crewed operations, and more than 3,300 experiments have, to date, been conducted in microgravity.

Business

UltraTech Cement to acquire 23% in India Cements for around Rs 1,885 cr-Telangana Today

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To buy 7.06 crore equity shares of India Cements at a price of up to Rs 267 per share

Published Date – 27 June 2024, 12:18 PM


UltraTech Cement to acquire 23% in India Cements for around Rs 1,885 cr


New Delhi: The country’s leading cement maker UltraTech on Thursday said it will acquire a 23 per cent stake in its Chennai-based rival India Cements Ltd, in a deal estimated to be around Rs 1,885 crore.

As part of the transaction, UltraTech Cement will acquire 7.06 crore equity shares of India Cements at a price of up to Rs 267 per share, according to a regulatory filing from the Aditya Birla Group flagship firm.

The Board of company at its meeting held on Thursday approved “making a financial investment to purchase up to 7.06 crores equity shares of India Cements Ltd,” the filing said.

Calculated on the basis of Rs 267 per share, the transaction value of the acquisition stood at Rs 1,885 crore.

“This non-controlling financial investment constitutes around 23 per cent of the equity share capital of India Cements,” said UltraTech.

UltraTech, with an installed capacity of 152.7 million tonnes per annum (MTPA) of grey cement, is in expansion mode. On April 20 announced the acquisition of a grinding unit from India Cements in Maharashtra for a consideration of Rs 315 crore.

Earlier this week, UltraTech Cement also announced a revision of its offer to acquire 25 per cent in UAE-based RAK Cement Co for White Cement and Construction Materials PSC (RAKWCT).
In the last 12 months, UltraTech has expanded its capacity by 18.7 MTPA.

“The ongoing expansion of 35.5 MTPA is actively being implemented across 16 locations. In addition, the company is in the process of closing the proposed acquisition of Kesoram Cement. This will further augment UltraTech’s grey cement capacity to 198.2 MTPA,” the company had said in a statement in April.

UltraTech in April this year had announced a capex of Rs 32,400 crore (nearly $4 billion) over the next three years.

Meanwhile, India Cements’ revenue from operations for the financial year ended on March 31, 2024 was down 8.84 per cent to Rs 5,112.24 crore. It has also reported widening of loss to Rs 227.34 crore, from Rs 126.89 crore in FY23.

India Cements is monetising some of its non-core assets to improve its liquidity and to meet its capital expenditure plans.

In September 2023, India Cements sold 73.75 acres of land at Kantakapalle and Chinnipalem villages in Vizianagaram district of Andhra Pradesh valued at Rs 70 crore to UltraTech Cement.

In October 2022, India Cements sold its entire shareholding held by it in Springway Mining Pvt Ltd (SMPL), for a consideration of Rs 476.87 crore to JSW Cement.

India Cements has a total Group capacity of 16 MTPA including 1.5 MTPA from its subsidiary, Trinetra Cement Ltd.

UltraTech has a consolidated capacity of 152.7 Million Tonnes Per Annum (MTPA) of grey cement. It has 24 integrated manufacturing units, 33 grinding units, one clinkerisation unit and eight bulk packaging terminals.

Its capacity over the past two decades, “has grown 11x, far outpacing the industry growth of 4x,” according to an earlier statement by the company.

“It took 36 years for the cement business of Aditya Birla Group, to get to a capacity of 100 MTPA. And UltraTech has subsequently added the next 50 mtpa in less than 5 years with an investment of around Rs 32,000 crore,” it said.

In the last AGM in 2023, its chairman Kumar Mangalam Birla had set a target for 200 MTPA, aiming to become one of the largest cement companies in the world.

The Aditya Birla Group firm is followed by billionaire Gautam Adani-owned Ambuja Cement in the cement industry, which along with its subsidiaries as ACC, Sanghi Industries, is sitting at 79 MTPA capacity.

Adani Group also has an ambition to have a capacity of 140 MTPA by 2028 and as part of that, it announced the acquisition of Hyderabad-based Penna Cement at an enterprise value of Rs 10,422 crore this month, which will add 14 MTPA, taking its capacity to 93 MTPA.

Shares of UltraTech Cement were trading at Rs 11440.35, higher by 2.61 per cent on the BSE, while shares of India Cements were trading at Rs 285.80 apiece, up 8.69 per cent on the BSE.

Business

Emcure Pharma to float IPO on July 3-Telangana Today

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Initial share sale to conclude on July 5, bidding for anchor investors to open for a day on July 2

Published Date – 27 June 2024, 12:52 PM


Emcure Pharma to float IPO on July 3

Representational photo

New Delhi: Bain Capital-backed Emcure Pharmaceuticals is set to launch its Initial Public Offering (IPO) on July 3.

The initial share sale will conclude on July 5 and the bidding for anchor investors will open for a day on July 2, according to the Red Herring Prospectus (RHP).

The IPO comprises fresh issuance of equity shares worth Rs 800 crore and an Offer of Sale (OFS) of 1.14 crore equity shares by promoters and existing shareholders.

Those selling shares in the OFS include promoter Satish Mehta and investor BC Investments IV Ltd, an affiliate of US-based private equity major Bain Capital.

Currently, Satish Mehta holds a 41.85 per cent stake in the company and BC Investments owns a 13.07 per cent stake.

Proceeds of the fresh issue will be used towards payment of debt and for general corporate purposes.

The Pune-based firm Emcure Pharmaceuticals is engaged in developing, manufacturing, and globally marketing a broad range of pharmaceutical products across several major therapeutic areas.

Earlier this month, the company received Sebi‘s go-ahead to float the initial share sale. Kotak Mahindra Capital Company, Jefferies India, Axis Capital, and JP Morgan India are the book-running lead managers to the issue.

The equity shares of the company are expected to list on the BSE and NSE on July 10.

Business

Rupee rises 8 paise to 83.49 against dollar in early trade-Telangana Today

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According to forex traders, the strength of the US currency in the global market and foreign fund outflows restrained the local unit from rising

Published Date – 27 June 2024, 01:40 PM


Rupee rises 8 paise to 83.49 against dollar in early trade


Mumbai: The rupee appreciated 8 paise to 83.49 against the US dollar in early trade on Thursday, as crude oil prices retreated from their elevated levels.

Forex traders said the strength of the American currency in the overseas market and foreign fund outflows weighed on the local unit and restricted the upmove.

At the interbank foreign exchange market, the local unit opened at 83.56 and gained further ground to trade at 83.49 against the greenback in initial deals, registering an increase of 8 paise from its previous closing level.

On Wednesday, the rupee depreciated 14 paise against the US dollar and settled at 83.57.

“Stronger fundamentals such as stable inflation, accelerated economic growth, higher business activity, and a controlled Current Account Deficit offer a counterbalance supporting the rupee. Additionally, continuous RBI intervention has also helped prevent significant rupee depreciation,” CR Forex Advisors MD Amit Pabari said.

Meanwhile, the dollar index, which gauges the greenback’s strength against a basket of six currencies, was trading marginally lower by 0.10 per cent at 105.94.

Brent crude futures, the global oil benchmark, were trading 0.20 per cent lower at USD 85.08 per barrel.

Brent oil prices slid after US inventory build-up fuelled fears about a slow demand from the US. Worries about a potential expansion of Gaza Hostilities disrupting Middle East supplies capped the decline, said Anil Kumar Bhansali, Head of Treasury and Executive Director, Finrex Treasury Advisors LLP.

In the domestic equity market, the 30-share BSE Sensex declined 38.81 points, or 0.05 per cent, to 78,635.44 points. The broader NSE Nifty fell 15.20 points, or 0.06 per cent, to 23,853.60 points.

Foreign Institutional Investors (FIIs) were net sellers in the capital markets on Wednesday, as they offloaded shares worth Rs 3,535.43 crore, according to exchange data.

Business

Sensex hits historic high above 79,000; Nifty breaks 24,000 barrier-Telangana Today

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The Sensex surged 470.71 points to 79,159.89, with the Nifty climbing 164.10 points to 24,032.90

Published Date – 27 June 2024, 02:00 PM


Sensex hits historic high above 79,000; Nifty breaks 24,000 barrier

Sensex Falls After Record High; Nifty Dips Nearly 50 Points

Mumbai: Today marked a historic day for India’s stock markets as the BSE Sensex surged past the 79,000 mark and the NSE Nifty breached 24,000 for the first time, setting new records in mid-day trading.

The Sensex soared 470.71 points to reach 79,159.89, while the Nifty rose by 164.10 points to stand at 24,032.90.

The day began with a mild setback as the stock market opened flat, initially showing slight declines following a record-high close in the previous trading session.

The Sensex commenced trading 94.13 points lower at 78,580.12, while the Nifty opened at 23,849.55 after a drop of 19.25 points. The early market sentiment was tempered by weaker cues from Asian markets, influencing initial trading patterns.

Throughout the morning session, the market displayed a mixed performance among Nifty-listed companies, with 21 stocks witnessing gains and 29 experiencing declines.

Investors closely monitored sectors ranging from banking and finance to technology and healthcare, contributing to the overall market dynamics.

The surge past significant milestones by both the Sensex and Nifty reflects strong investor confidence amidst favorable domestic economic indicators and global market stability.

Analysts attribute today’s record-breaking performance to renewed optimism over corporate earnings, sustained foreign institutional investments (FIIs), and positive cues from global indices.

Market experts suggest that the ongoing bullish trend underscores India’s resilience in the face of global economic uncertainties, positioning the country as a robust investment destination. As trading progresses, market participants continue to monitor sector-specific developments and policy announcements for further insights into future market trends.

The record-breaking levels achieved by the Sensex and Nifty today mark a significant milestone in India’s financial markets, highlighting their role as key drivers of economic growth and investor sentiment.

Business

Hyderabad real estate losing charm?-Telangana Today

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Hyderabad appears to be dropping out of realty radar with a drastic drop in sales, which Anarock data puts at 23 per cent.

Published Date – 27 June 2024, 09:04 PM


Drop in sale of residential units: Hyderabad real estate losing charm?


Hyderabad: The charm for a slice of property in Hyderabad seems to have been impacted with the residential supplies and absorption slipping drastically in the second quarter of the year 2024.

In its latest research data, Anarock reveals that Hyderabad added just about 13,750 residential units in Q2 2024 as against around 22,960 units added in the first quarter. This drop in the number of residential units added translates to roughly about 40 per cent!

Not just new launches and absorption, Hyderabad also appears to be dropping out of realty radar with a drastic drop in sales, which Anarock data puts at 23 per cent. In the second quarter, the city recorded sales of approximate 15,085 as against 19,660 units sold in the previous quarter.

The data collated by Anarock in fact has Hyderabad being the biggest loser, with a 23 per cent drop in residential units sales, among the top seven cities of Kolkata (-18%), Chennai (-9%), Pune (-8%), Bengaluru (-8%), MMR (-3%) and NCR (6%).

The Anarock report states ‘the bull run in residential sales across the top 7 cities tamed down marginally in the second quarter of 2024, to the backdrop of increasing property prices and a high base record of the previous quarter (Q1 2024).’

The research data reveal that housing sales witnessed a quarterly drop of 8 per cent and stood at approximately 1,20,340 units in Q2 2024 across the top 7 cities, against approximately 1,30,170 units sold in Q1 2024.

The two western cities – MMR and Pune – accounted for over 52 per cent of the total sales in the top 7 cities with over 62,685 units sold altogether in these cities in Q2 2024. NCR is the only city to see a quarterly rise (of 6 %) in housing sales in the quarter against Q1 2024.