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Tata Capital Eyes $2B IPO This September
Banking, Business - July 9, 2025

Tata Sons Strengthens Hold on Tata Capital: Shaping the Future of India’s Banking and Financial Sector

Tata Sons Strengthens Hold on Tata Capital: Shaping the Future of India’s Banking and Financial Sector

How Tata Sons’ Strategic Moves with Tata Capital Are Setting New Benchmarks in the NBFC Space Ahead of a Blockbuster IPO

Introduction
India’s non-banking financial companies (NBFCs) have witnessed remarkable growth in recent years, but few stories are as compelling as Tata Capital’s meteoric rise. Backed by the formidable Tata Sons, Tata Capital’s valuation and upcoming public offering are not just milestones for the group—they are pivotal moments for the entire sector.

Tata Sons’ Stake: The Backbone of Tata Capital
Tata Sons’ 93 percent stake in Tata Capital shows its unwavering trust in the company’s direction, resilience, and long-term growth trajectory.
The valuation of this stake at approximately ₹98,000 crore has been determined following a recent rights issue, reflecting the market’s optimism as Tata Capital prepares for its much-anticipated IPO.
This significant stake positions Tata Sons as the primary driver of Tata Capital’s strategy, allowing it to steer the NBFC’s expansion, risk management, and innovation agendas. The remaining shares are held by other Tata group entities, including Tata Investment Corporation, which has also benefited from the recent surge in Tata Capital’s valuation.

IPO on the Horizon: Regulatory and Market Dynamics
SEBI’s Green Light and RBI Mandate
Tata Capital’s IPO journey has gained momentum with regulatory approvals from SEBI, setting the stage for one of the largest public offerings in 2025. The Reserve Bank of India’s classification of Tata Capital as an “upper layer” NBFC has mandated a listing deadline by September 2025, adding urgency and focus to the company’s preparations.
Size and Structure of the Offering
The IPO aims to raise up to ₹17,200 crore through a mix of fresh share issuance and an offer for sale by Tata Sons. This move will likely reduce Tata Sons’ holding by up to 18%, but the parent company will retain a controlling interest post-listing. The offering’s scale and structure underscore Tata Capital’s ambitions to join the ranks of India’s most valuable financial institutions.

Financial Performance: Growth Trajectory and Capital Infusion
Rights Issue and Capital Strengthening
The capital infusion through right issue has bolstered the NBFC’s net worth, providing a solid foundation for future growth and enhancing its ability to meet regulatory requirements.
Profits and Portfolio Expansion
Tata Capital’s FY25 financial results highlight the company’s strong and healthy performance. Net profits have soared to ₹3,655 crore, while total assets have climbed to ₹2,48,465 crore. The loan portfolio, now exceeding ₹2.2 lakh crore, has grown by an impressive 41% year-over-year, signaling strong demand across retail, corporate, and infrastructure lending segments.
Market Impact: Investor Sentiment and Shareholder Gains
The surge in Tata Capital’s valuation has had ripple effects across the market. Tata Investment Corporation, a minority stakeholder, has witnessed a stock price surge driven by Tata Capital’s strong financial performance and upcoming IPO plans. Broader investor sentiment towards NBFCs has also improved, with Tata Capital’s success serving as a bellwether for the sector’s resilience and growth potential.

Strategic Implications: What Lies Ahead
Leadership in the NBFC Sector
With its scale, brand strength, and financial muscle, Tata Capital is poised to consolidate its leadership among India’s top NBFCs. The upcoming IPO will not only provide fresh capital for expansion but also enhance transparency and governance standards, aligning the company with global best practices.
Regulatory Compliance and Future Readiness
Tata Capital’s proactive approach to meeting RBI’s listing requirements—without seeking deadline extensions—demonstrates its readiness to operate in a more regulated and scrutinized environment. This bodes well for its long-term sustainability and ability to attract institutional investors.

Conclusion
Tata Sons’ near-total ownership and strategic stewardship of Tata Capital have set the stage for a transformative period in India’s financial services sector. As the company prepares for its landmark IPO, its strong financials, regulatory compliance, and market positioning make it a compelling story of growth and ambition. The coming months will be crucial as Tata Capital transitions from a privately held powerhouse to a publicly listed leader, shaping the future of NBFCs in India.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

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China Curbs LNG Amid Rising Russian Energy Imports

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Market Share Tussle in Paints Enters Next Level
business update - May 15, 2025

Building Stronger, Growing Smarter: Berger Paints’ Strategic Evolution

Building Stronger, Growing Smarter: Berger Paints’ Strategic Evolution

 

Berger Paints is leveraging innovation, capacity expansion, and strategic focus in construction chemicals and waterproofing to maintain its leadership in a rapidly evolving industry

Navigating a Shifting Paints Landscape

The Indian paints industry is witnessing heightened competition, with new players backed by large conglomerates entering the fray. Birla Opus, leveraging UltraTech’s cement relationships, and JSW Paints, capitalizing on synergies with its cement business, are targeting key markets traditionally dominated by established players. In this context, Berger Paints is realigning its approach to strengthen its market presence and accelerate its growth trajectory.

Strategic Expansion into New Business Areas

Construction Chemicals and Waterproofing:
Recognizing the evolving needs of the construction sector and the significant potential in adjacent categories, Berger Paints has made decisive moves into construction chemicals and waterproofing. The acquisition of a 95.53% stake in STPL, a Kolkata-based company with a legacy in concrete admixtures and waterproofing, marked a pivotal step. This segment, while initially contributing only 30% to Berger’s business, has rapidly grown, with revenues doubling and margins improving from 7% to 11% in recent years. Cutting-edge products like Berger Dampstop and Berger Roof Kool & Seal showcase the company’s dedication to delivering smart, high-performance solutions in this category.

Why This Matters:

In China, the construction chemicals and waterproofing market is larger than the paints sector itself-a trend Berger anticipates will play out in India. By establishing a robust presence early, Berger is positioning itself as a leader in this high-margin, underpenetrated segment.

Aggressive Capacity Expansion

To meet rising demand and support its growth ambitions, Berger Paints is undertaking a massive capacity expansion. The company aims to increase its total manufacturing capacity from approximately 745,000 KL/MT per annum in FY23 to about 1.2 million KL/MT per annum by FY27-a 60% jump in just four years. Key projects include:
• Greenfield Projects: New environmentally sustainable manufacturing units in Panagarh (West Bengal), Odisha, and Andhra Pradesh.
• Brownfield Expansions: Upgrades and expansions at existing facilities to boost output and efficiency.
These investments, totaling around ₹2,000 crore, will help Berger cater to untapped regions and reinforce its supply chain resilience.

Digital Transformation and Distribution Strength

Berger is also investing in digital initiatives to enhance its dealer and painter networks. Projects like WhatsApp ordering, app-based purchases, and AI-driven color selection tools have streamlined sales, marketing, and logistics operations. The company’s extensive distribution network, especially strong in North and East India, provides a competitive edge, while targeted efforts are underway to strengthen presence in South and West India, where premium products are in higher demand.

Sustainable and Cautious Growth Philosophy

Chairman Rishma Kaur emphasizes that Berger’s growth strategy is rooted in sustainability and prudent expansion. While open to acquisitions that align with its vision, the company prioritizes organic growth and innovation. Berger’s focus remains on meeting its own ambitious targets-doubling turnover to ₹20,000 crore by 2030-rather than chasing market share for its own sake.

Responding to Competition with Agility

Berger’s management is acutely aware of the intensifying competition and is responding with efficiency improvements, product innovation, and a sharper regional focus. The company’s leadership believes that the current phase offers an opportunity to “tighten the screws and become more efficient,” ensuring that growth rates remain robust despite market disruption.

Conclusion

Berger Paints is navigating a dynamic and competitive landscape with a clear-eyed strategy: expand into promising new business areas, invest in capacity and digital transformation, and maintain a disciplined, sustainable approach to growth. By leveraging its brand equity, robust distribution, and a culture of innovation, Berger is well-positioned not only to defend its market share but also to set new benchmarks in the Indian paints and construction chemicals industry. 

 

 

 

 

 

 

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HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook
Result Updates - April 25, 2025

HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook

HUL Delivers FY25 Results: Dividends and Strategic Growth Outlook

 

SUMMARY
For the fourth quarter of FY25, Hindustan Unilever Ltd (HUL) achieved a 3.7% rise in consolidated net profit, bringing the total to Rs 2,493 crore. The company recorded a 2.4% growth in operating revenue, amounting to ₹15,214 crore. Additionally, the board has proposed a final dividend of Rs 24 per share, highlighting their focus on rewarding shareholders.
Looking forward to FY26, HUL foresees a gradual recovery in demand, which it plans to support through strategic investments and ongoing efforts to transform its product portfolio. This approach aims to drive steady growth and strengthen its market position.
Enhancing Shareholder Value Through Strategic Dividends
The board has approved a final dividend of ₹24 per share, raising the total annual dividend paid to shareholders to ₹53 per share. However, the announcement of the record date for this dividend is still pending.
Over the past year, Hindustan Unilever Ltd (HUL) has declared multiple dividend payouts, including interim and special dividends, with amounts ranging from ₹10 to ₹24 per share.
HUL’s Q4 Net Profit Slips
Fast-moving consumer goods (FMCG) giant Hindustan Unilever (HUL) on Thursday announced a slight decline of 3.7% in its consolidated net profit, which stood at ₹2,464 crore for the fourth quarter (Q4) of the financial year 2024–25 (FY25). In comparison, the company had posted a net profit of ₹2,558 crore in the corresponding quarter of the previous year.
On a quarter-on-quarter basis, the net profit saw a sharper dip of 17.5% from ₹2,984 crore recorded in the preceding quarter.
The company reported a 3.5% year-on-year (YoY) increase in total income for Q4 FY25, reaching ₹15,979 crore compared to ₹15,441 crore. However, revenue showed little change when compared to the previous quarter.
Segment Performance Overview:
The Personal Care division recorded a 5% increase in profit, supported by modest sales growth under ongoing pricing pressure. Within this category, the Bodywash segment achieved double-digit growth, further solidifying its leadership position. Non-hygiene products delivered high single-digit growth, while skin cleansing products posted a modest, low single-digit increase.
The Home Care segment added ₹5,815 crore to the overall revenue, reflecting a 2% year-on-year rise. Growth was primarily driven by strong performance in premium fabric wash and fabric conditioners, along with contributions from the liquids portfolio, according to the company’s investor update.
In Beverages, tea experienced low single-digit growth due to pricing, whereas coffee maintained its strong momentum with continued double-digit expansion. The company held on to its leadership in both value and volume in the tea category.
Meanwhile, the Foods segment saw a decline in consolidated profit, which dropped 15% to ₹627 crore.
CEO Rohit Jawa Envisions FY26 Growth Path for HUL
In FY25, HUL achieved a turnover exceeding ₹60,000 crore, reflecting an Underlying Sales Growth of 2% and EPS growth of 5%. While absolute volume tonnage expanded by a mid-single-digit rate, this progress was somewhat diminished due to an unfavorable product mix,” stated Rohit Jawa, CEO and Managing Director, HUL.
He highlighted HUL’s competitive performance and its reinforced market leadership. “FY25 was a defining year in our portfolio evolution, marked by strategic developments in high-growth segments, enhanced investments in emerging channels, the acquisition of Minimalist, the sale of Pureit, and the planned separation of our Ice Cream business,” Jawa remarked. Looking ahead to FY26, HUL anticipates a progressive recovery in demand. “We remain focused on fulfilling a billion ambitions, leveraging our robust business fundamentals to sustain competitive advantage,” he stated. 

 

 

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