Namaste! Aaj ka news roundup, Newswala style!

MARKETS

Markets: The market showed strength and gained over half a percent despite mixed cues. Indian benchmark indices ended positively, with Nifty closing above 22,100 after a gap-up start and gradual rise, although profit taking in the final hour limited the gains.

BUSINESS

BharatPe Records 77% Surge in February Merchant Onboarding

What happened

Fintech company BharatPe witnessed a significant surge in its operations following the Reserve Bank of India's (RBI) restrictions on Paytm's payments bank arm on January 31, 2024. In February 2024 alone, BharatPe reported a remarkable 77% increase in merchant onboarding compared to the previous month. The platform also noted a substantial rise of over 47% in website traffic for onboarding inquiries during the same period.

Why it matters

The noteworthy financial performance of BharatPe is a key factor in understanding its impact in the fintech sector. 

• In FY23, the company significantly narrowed its loss to ₹886 crore from ₹5,594 crore in FY22, showcasing a remarkable improvement. 
  
  

• Additionally, BharatPe saw a substantial growth of 129% in its merchant lending business, reaching ₹5,339 crore in revenue, with total loan disbursements amounting to approximately ₹12,400 crore. 
  
  

• Furthermore, BharatPe has secured over $583 million in equity from a diverse range of investors such as Peak XV Partners, Ribbit Capital, and Insight Partners. 

These financial achievements and investor backing are crucial indicators of BharatPe's significance and potential impact on the fintech landscape.

Zoom out

The recent shift in Kirana stores is significant, with over 42% of them moving to alternative platforms such as Mobikwik, BharatPe, PhonePe, and GooglePay. This change is due to uncertainty around Paytm, leading cautious merchants to prioritize uninterrupted UPI payments. Previously, Paytm dominated with a 69% market share in Kirana stores.

• BharatPe's growth is notable, with a 100% increase in merchant sign-ups in the first half of February. 
  
  

• This surge is particularly strong in metro cities (104% increase) and Tier-2 and 3 cities (95% surge), showcasing its appeal and adoption across diverse markets.

BIG MONEY MOVES

Sony secures $100 million media rights deal with New Zealand Cricket

Sony Pictures Networks India (SPNI) has clinched a significant media rights deal with New Zealand Cricket (NZC). The deal, valued between $90-$100 million, positions SPNI as the exclusive broadcaster of NZC matches in India from 2024 to 2031.

This strategic move by SPNI strengthens its sports portfolio, adding to its existing media rights for England and Sri Lanka cricket boards. The agreement encompasses broadcasting rights for two India tours to New Zealand, featuring a total of 24 matches across test matches, one-day internationals (ODIs), and T20 internationals.

Neumann makes $500 million bid to repurchase WeWork amid bankruptcy

Adam Neumann, co-founder of WeWork, has submitted an offer to purchase the bankrupt company for more than $500 million. This offer comes amidst ongoing discussions about WeWork's future and its emergence from Chapter 11 bankruptcy protection.

WeWork, in response, emphasised its focus on emerging from bankruptcy as a profitable entity in the second quarter. The company acknowledged receiving expressions of interest from third parties regularly and assured that its board would review such approaches in the long-term interests of the company.

BUSINESS

Wipro Announces $1 Billion Investment for MedTech Manufacturing and R&D

What happened

Wipro GE Healthcare has made waves in the healthcare industry with its announcement of a strategic investment exceeding $1 billion in local manufacturing and research and development (R&D) over the next five years. This massive investment underscores the company's commitment to expanding its manufacturing capabilities and addressing both domestic and international markets.

Why it matters

This significant investment by Wipro GE Healthcare marks a pivotal moment in the MedTech sector. The company's focus on bolstering its manufacturing footprint and enhancing supply chain resiliency reflects its determination to meet the growing demands of the healthcare market. 

• Exporting products to 15 countries further solidifies Wipro GE Healthcare's global presence and contribution to India's reputation as a MedTech innovation and manufacturing hub.
  
  

• Wipro GE Healthcare is among the first MedTech companies to 'Make in India - for India and the world' over the past three decades, with investments upwards of over $4 billion in R&D and manufacturing output in India since inception.

Zoom out

Wipro GE Healthcare's visionary investment strategy aligns with the evolving landscape of healthcare and MedTech. By focusing on 'Make in India' initiatives and leveraging India's talent and capabilities, the company aims to drive precision innovation globally and reinforce India's position as a leading MedTech innovation and manufacturing hub.

BIG PICTURE

🥛Amul Ventures into the US market with fresh milk launch

Amul's parent company, Gujarat Cooperative Milk Marketing Federation (GCMMF), is set to make its debut in the US market with the launch of fresh milk. GCMMF has announced the launch of four variants of fresh milk within a week, aiming to cater to diverse consumer preferences in the US market. 

GCMMF has strategically partnered with the Michigan Milk Producers Association (MMPA) to facilitate this entry. MMPA, with its extensive experience spanning over a century as a cooperative organization, brings valuable expertise to this collaboration. 

🥇GAIL to launch India's first green hydrogen project in April

India's leading natural gas company, GAIL (India) Ltd, is gearing up to unveil the nation's inaugural green hydrogen project at its Vijaipur complex in Madhya Pradesh next month.

The project features a state-of-the-art 10-megawatt proton exchange membrane electrolyser, imported from Canada specifically for green hydrogen production. This innovative technology is poised to revolutionize India's energy sector by generating approximately 4.3 metric tons of hydrogen daily, boasting an impressive purity level of 99.999% by volume.

BUSINESS

CDSL Shares Take a Dip as Standard Chartered Exits with 7.18% Stake

What happened

Central Depository Services Ltd (CDSL) experienced a 6.4% drop in its shares on Wednesday, reaching a day's low of ₹1,675 on the NSE. This decline followed reports of a substantial block deal where Standard Chartered Bank is believed to have sold its entire shareholding in CDSL. The deal, facilitated by JPMorgan, involved Standard Chartered offering its 7.18% stake at a floor price of ₹1,672 per share, totalling an estimated ₹1,250 crore.

Why it matters

The exit of Standard Chartered from CDSL marks a significant event in the financial market. CDSL, established in 1999 as a depository to facilitate electronic securities holding, plays a crucial role in India's financial infrastructure. Alongside the National Securities Depository Ltd, it forms the backbone of the country's depository system.

• Foreign portfolio investors in Category I hold a significant stake of over 10% in CDSL, indicating strong interest and confidence from institutional investors.
  
  

• Insurance companies have an 8% stake, while mutual funds hold nearly 13%, highlighting the diverse investor base and stability in ownership.
  
  

• The recent development coincides with CDSL's remarkable performance where its stock surged by 90.25% in a year.

CDSL's financial performance has shown notable growth, with a consolidated net profit of ₹107 crore for the quarter ended December, compared to ₹75 crore a year ago. This demonstrates the company's ability to generate substantial profits and maintain financial stability. 

Zoom out

In November last year, CDSL achieved a significant milestone by becoming the first depository to register 10 crore Demat accounts, showcasing its leadership in the industry and widespread adoption of its services among market participants. Standard Chartered's exit may change ownership, but CDSL's strength and market position will keep driving its long-term growth.

MIRCH MASALA

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❓️ Shami raises eyebrows over Hardik Pandya’s captaincy
🦁 Google's quirky animal facts grab the internet's attention
🛸 Officer reports multiple UFO sightings near nuclear installations in Tamil Nadu