Menu

BusinessNews

Avantel Soars 6% with ₹25 Crore DRDO Deal!
Market News - June 10, 2025

Big Ticket Win Powers Kalpataru Projects’ Stock Upswing

Big Ticket Win Powers Kalpataru Projects’ Stock Upswing

Engineering giant’s shares hit five-month high as it clinches its largest-ever buildings contract and expands global reach

A Landmark Order for Kalpataru Projects
Kalpataru Projects International Ltd., a leader in the EPC sector, announced on June 9, 2025, that it, along with its global subsidiaries, secured new orders totaling ₹3,789 crore. Kalpataru Projects has secured a landmark contract in the Buildings & Factories (B&F) segment, covering the design and construction of more than 12 million square feet of residential space and related infrastructure across India. This marks the biggest standalone contract secured by KPIL’s B&F division to date, highlighting a significant boost to its project pipeline.
In addition to the domestic B&F contract, KPIL has also bagged new T&D orders in international markets, reinforcing its global presence and expertise in delivering complex infrastructure projects.

Share Price Surge and Market Reaction
The announcement triggered a sharp rally in KPIL’s stock. Shares soared as much as 7.32% intraday, reaching ₹1,234 apiece—the highest since January 2025—before settling around 5% higher by midday trading. The surge reflects investor confidence in KPIL’s ability to secure and execute large-scale projects, as well as optimism about the company’s growth trajectory.
This rally comes on the back of a strong performance in the previous quarter, where KPIL reported a 37.2% jump in consolidated net profit to ₹225.41 crore and an 18.3% increase in revenue to ₹7,066.77 crore. The company’s EBITDA also grew nearly 19% year-on-year, highlighting operational efficiency and robust financial health.

Strategic Significance of the New Orders
Largest-Ever B&F Contract:
The latest B&F contract, spanning more than 12 million square feet of residential development, underscores KPIL’s strengthened EPC expertise and growing edge in India’s construction industry. The design-build nature of the contract underscores KPIL’s ability to deliver integrated solutions for large-scale, complex projects.
International Expansion:
The overseas T&D contracts further cement KPIL’s status as a global EPC player. With operations in over 30 countries and a footprint spanning 75 nations, these new wins bolster KPIL’s international order book and diversify its revenue streams.
Leadership Perspective:
Manish Mohnot, MD & CEO of KPIL, attributed this milestone to years of dedicated work in enhancing execution strength and sharpening the company’s competitive edge. He expressed confidence that the company’s strategic investments and operational excellence would continue to yield similar opportunities in the future.

Analyst Outlook and Industry Impact
Market analysts remain bullish on KPIL, with the majority maintaining a ‘buy’ rating and projecting further upside potentia. The company’s ability to consistently secure large contracts, both domestically and internationally, positions it favorably amid rising infrastructure demand in India and abroad.
KPIL’s diverse portfolio—spanning power transmission, buildings, water supply, railways, oil and gas pipelines, urban mobility, highways, and airports—offers resilience and growth opportunities across economic cycles.

Conclusion
Kalpataru Projects’ record ₹3,789 crore order win is a defining moment for the company, reflecting its leadership in the EPC sector and its growing prowess in both domestic and international markets. The resultant surge in share price underscores strong investor faith in KPIL’s future. With a robust project pipeline, solid financials, and a proven track record, KPIL is well-positioned to capitalize on the next wave of infrastructure growth.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Tata Motors Targets 40% Market Share in CV by 2027!

, , , , , , , , 0 Comment
Read More
Waaree Energies Surges Over 11% on FTSE Index Inclusion Buzz
Market News - June 5, 2025

Reliance Infrastructure Stock Soars After NCLAT Halts Insolvency Proceedings

Reliance Infrastructure Stock Soars After NCLAT Halts Insolvency Proceedings

Legal reprieve sparks a remarkable rally in Reliance Infra shares, highlighting the interplay between regulatory decisions and market sentiment.

Background: The Insolvency Saga
The recent rally in Reliance Infrastructure’s (RInfra) stock is closely linked to a protracted legal battle over alleged payment defaults.
In 2022, IDBI Trusteeship Services Ltd., representing Dhursar Solar Power Pvt. Ltd. (DSPPL), filed an application with the Mumbai bench of the National Company Law Tribunal (NCLT) to initiate corporate insolvency proceedings against Reliance Infrastructure (RInfra), citing a purported non-payment of ₹88.68 crore.
The dispute stemmed from ten unpaid invoices issued between 2017 and 2018 for solar energy supplied by DSPPL.
On May 30, 2025, the NCLT accepted the plea, sparking concerns about RInfra’s financial stability and creating doubts regarding the continuity of its business operations.
However, RInfra swiftly contested the order, asserting that it had already settled the full outstanding amount—₹92.68 crore—to DSPPL, rendering the insolvency proceedings moot.

NCLAT’s Intervention: A Turning Point
On June 4, 2025, the NCLAT delivered a significant reprieve by suspending the NCLT’s order and halting the insolvency process pending further hearings. The appellate tribunal’s decision was based on RInfra’s argument that the disputed payment had been fully cleared, making the continuation of insolvency proceedings unnecessary.
This legal victory was immediately reflected in the markets. RInfra’s shares surged as much as 13% in intraday trading, closing over 11% higher at ₹380 on the National Stock Exchange. The stock’s rally was further fueled by the perception that the company had overcome a major financial hurdle, restoring investor confidence.

Financial Performance and Strategic Moves
The legal developments coincided with a period of strong financial performance for RInfra. The company reported a remarkable turnaround in its January–March 2025 quarter, posting a profit after tax (PAT) of ₹4,387 crore, reversing a previous net loss of ₹3,298 crore. Its consolidated EBITDA, adjusted for exceptional income, soared to ₹8,876 crore in Q4 FY25, a staggering 681% sequential increas.
Beyond financials, RInfra has been actively expanding its footprint in the defense sector. Its subsidiary, Reliance Defence Ltd, recently forged a strategic partnership with Germany’s Rheinmetall AG for ammunition manufacturing. This follows earlier collaborations with Dassault Aviation and Thales Group, positioning RInfra as a key player in India’s defense modernization drive.
The company also made headlines by becoming the first private Indian firm to design and develop four types of new-generation 155mm artillery ammunition, a move expected to boost domestic self-reliance and open up significant export opportunities.

Market Reaction: Volatility Amid Optimism
The National Company Law Appellate Tribunal’s (NCLAT) decision to pause the insolvency process sparked strong investor optimism, propelling RInfra’s shares to their highest level in nearly seven years.
The stock has gained over 46% in the past month and more than 140% from its 52-week low. However, the sharp rally also led to some profit-taking, with the share price dipping by 4.4% the day after the surge.
Analysts remain divided on the stock’s immediate trajectory. While some recommend booking profits at current levels, citing technical resistance around ₹380 and support in the ₹320–₹329 range, others point to the company’s improving fundamentals and strategic initiatives as reasons for optimism.

Broader Implications: What This Means for Investors
The Reliance Infrastructure episode underscores the profound impact that regulatory and legal decisions can have on market sentiment and stock performance. The swift reversal of the insolvency order not only averted a potential crisis for the company but also highlighted the importance of timely dispute resolution and transparent corporate communication.
For investors, the case serves as a reminder to closely monitor both legal and operational developments in companies with complex financial histories. RInfra’s ability to resolve its dispute and deliver strong financial results has, at least for now, restored market confidence and opened the door for further growth, particularly in high-potential sectors like defense and infrastructure.

Conclusion
Reliance Infrastructure’s recent stock rally is a testament to the dynamic interplay between legal outcomes, financial performance, and investor sentiment. The NCLAT’s suspension of insolvency proceedings provided immediate relief, while the company’s robust earnings and strategic partnerships have laid the groundwork for a more optimistic future. As the legal process continues and new business opportunities unfold, RInfra’s journey will remain closely watched by market participants.

 

 

The image added is for representation purposes only

Musk’s xAI Launches $5 Billion Debt Offering to Fuel AI Ambitions

, , , , , , , , 0 Comment
Read More
Ericsson Divests ₹428 Crore Stake in Vodafone Idea
Market News - June 4, 2025

Ericsson Divests ₹428 Crore Stake in Vodafone Idea

Ericsson Divests ₹428 Crore Stake in Vodafone Idea

Telecom Giant Sells Shares Through Bulk Deal Amid Strategic Shift

In a notable development within India’s telecom sector, *Ericsson India Pvt Ltd* has sold a portion of its stake in *Vodafone Idea, amounting to **₹428 crore, via a **bulk deal* on the stock market. The transaction reflects a tactical realignment in Ericsson’s India portfolio and has stirred investor attention across financial markets.

Transaction Overview

The bulk deal saw Ericsson offload approximately 63.37 crore shares of Vodafone Idea at a rate of ₹6.76 per share, representing about 0.6% of the company’s equity. This significant stake reduction took place on the National Stock Exchange (NSE), though the purchasers have not been publicly identified. The sale marks a strategic move by Ericsson to lessen its investment in the Indian telecom operator.

This transaction follows Ericsson’s earlier equity acquisition in Vodafone Idea, which was part of a debt settlement strategy where the telecom operator issued shares to vendors including Ericsson and Nokia.

Context Behind the Sale

Earlier in 2024, Vodafone Idea approved a *preferential share issue* to clear part of its long-standing dues to its equipment vendors. As part of that arrangement, *Ericsson received shares worth approximately ₹938 crore*, giving it a small but notable equity presence in the company.

This partial exit through the bulk deal likely represents Ericsson’s effort to *recover capital and minimize risk exposure*, given Vodafone Idea’s ongoing struggle with heavy debt and delayed government payments. Although Vi has made progress in raising funds, including recent rights issues and vendor settlements, concerns about long-term viability remain in investor circles.

Market Impact and Stock Movement

The decline came as market participants reacted to the institutional sell-off, interpreting it as a sign of caution regarding the telco’s recovery trajectory.

Despite the stock fluctuation, market analysts pointed out that the deal also reflects *liquidity and investor interest* in Vodafone Idea’s shares, as such large volumes were successfully absorbed by the market.

Ericsson’s Strategic Intent

For Ericsson, the sale aligns with its broader strategy of *financial discipline and risk management*. While the company continues to operate and supply infrastructure solutions to Indian telecom operators, it appears to be reducing its equity exposure in financially stressed clients.

This sale does not impact Ericsson’s operational presence in India, but it does highlight the company’s *preference for business over balance-sheet entanglement* when it comes to partnerships in volatile markets.

Vodafone Idea’s Ongoing Financial Challenges

Vodafone Idea has been under financial pressure due to a combination of spectrum liabilities, adjusted gross revenue (AGR) dues, and intense competition in the Indian telecom sector. The telco has been attempting to raise funds through a mix of equity, debt, and vendor negotiations.

While government support and promoter infusion have helped stabilize short-term operations, the company still requires significant capital to invest in *5G rollout and network expansion*.

Outlook

The Ericsson share sale adds another chapter to the evolving story of Vodafone Idea’s turnaround efforts. For Ericsson, it provides liquidity and reduces exposure to uncertainty. For Vi, the move may be seen as both a market challenge and a liquidity test—but also as a reflection of its ability to *draw institutional interest* even amid tough conditions.

Summary

The move comes months after Ericsson received shares from Vi to settle dues, and signals a strategy to rebalance risk. While Vodafone Idea’s shares saw a slight dip, the transaction reflects strong market interest and continues to spotlight the telco’s capital needs.

The image added is for representation purposes only

Vedanta Floats ₹4,100 Crore Bond Issue to Boost Liquidity**

, , , , , , , , , , , 0 Comment
Read More
Raymond Realty to Make Its Debut on Stock Exchanges After Demerger in Q2
Market News - May 12, 2025

Raymond Realty Demerger Completed, Shareholders to Receive Shares on 1:1 Basis

Raymond Realty Demerger Completed, Shareholders to Receive Shares on 1:1 Basis

 

Raymond spins off its real estate arm, offering shareholders a 1:1 share allotment in the newly listed Raymond Realty Limited. Record date set for May 14, 2025, as the group sharpens its business focus.

Major Milestone: Demerger Becomes Effective

Earlier this year, the National Company Law Tribunal (NCLT) gave the green light to the long-awaited separation of Raymond’s real estate arm.
The demerger became operational on May 1, 2025, following the board’s resolution and regulatory filings. This marks a significant restructuring for Raymond, a brand synonymous with India’s lifestyle and textile sectors, as it continues to streamline its corporate structure for sharper business focus.

What the Demerger Means for Shareholders

According to the approved Scheme of Arrangement, shareholders of Raymond Limited (RL) will receive one share of Raymond Realty Limited (RRL) for each share they own in RL, based on a direct 1:1 exchange ratio.
There are no additional costs or actions required from shareholders. The record date to determine eligibility for this share allotment is Wednesday, May 14, 2025.
This implies that all investors owning Raymond shares at the end of that day will automatically receive an equivalent number of shares in the newly separated Raymond Realty.

Raymond Realty: A Standalone Growth Story

Raymond Realty, once a division within the parent company, is now a fully independent, listed entity. The move allows the real estate arm to pursue its own strategy, leadership, and capital allocation, much like recent demergers seen in other Indian conglomerates.
Raymond Realty has established a strong presence in Mumbai’s residential market, with luxury projects in Thane and joint development agreements in key city locations such as Bandra, Mahim, Sion, and Wadala. In the last financial year, the company reported revenues of ₹15.9 billion and an EBITDA of ₹3.7 billion, highlighting its operational strength and future potential.
The company’s aggressive expansion in the Mumbai Metropolitan Region, including six major joint development agreements, positions it as a significant player in India’s booming real estate sector.

Strategic Rationale: Focus, Agility, and Value Creation

This demerger is part of a broader trend among Indian corporates to unlock value by spinning off high-growth verticals into standalone companies. Through the separation of its real estate division, Raymond intends to:
• Enhance operational focus for both businesses
• Enable agile, sector-specific decision-making
• Attract targeted investment and strategic partnerships
• Maximize long-term shareholder value
The move follows Raymond’s earlier spin-off of its lifestyle and fashion business, which was also listed as a separate entity. The group’s restructuring strategy reflects a clear intent to sharpen its business focus and respond to evolving market opportunities.

What’s Next for Investors?

Shareholders should ensure their holdings are updated and dematerialized before the record date of May 14, 2025, to be eligible for the 1:1 share allotment in Raymond Realty. After the listing, investors will be able to trade Raymond Realty shares independently of Raymond Limited, providing flexibility and potential for value appreciation based on the real estate business’s performance.

Conclusion

Raymond’s demerger of its real estate arm is a landmark step in the group’s ongoing transformation. By granting shareholders a direct stake in Raymond Realty, the company is unlocking value and setting the stage for focused growth in both its core businesses. As Raymond Realty prepares for its debut on the stock exchanges, investors and market watchers alike will be keenly observing its next moves in India’s dynamic real estate sector.

 

 

 

 

 

 

 

 

 

 

 

 

The image added is for representation purposes only

Fenesta Invests in DNV Global to Strengthen Industry Hold

, , , , , , , , , 0 Comment
Read More