Let's begin – The government's latest probe has pointed to lapses in Byju's corporate governance but cleared the struggling online education startup of financial misconduct. According to sources familiar with the year-long investigation conducted by the Ministry of Corporate Affairs, no evidence of activities such as fund diversion or financial manipulation was found. However, according to the Economic Times, the probe has revealed governance lapses that have led to the company's losses mounting. These findings provide some vindication for Byju Raveendran, the once-celebrated founder who has faced allegations of mismanagement from disgruntled investors. Last year, three shareholders, including Prosus Ventures and Peak XV Partners, quit Byju's board over disagreements with Raveendran over business processes and internal controls.
Meanwhile, foreign portfolio investors have continued their buying spree in Indian equities for the 12th consecutive session, purchasing shares worth $141 million on Tuesday. Since June 7, FPIs have cumulatively invested $3.7 billion in Indian stocks, after uncertainty about policy continuity at the Centre eased. During the same period, domestic institutional investors bought shares worth $1.6 billion. The last similar extended buying spree by foreign investors lasted for 26 days till June 2, 2023, according to available data. India's current account turning into a surplus after ten quarters of deficit has also boosted investor sentiment. For the quarter ending March 2024, the current account surplus stood at $5.7 billion, or 0.6% of GDP, as against a deficit of $8.7 billion in the previous quarter.
In a separate development – Adani Total Gas Ltd on Wednesday announced that it has received approval from the Petroleum and Natural Gas Regulatory Board to operate city gas distribution network in Jalandhar. It said the PNGRB approval was a necessary condition in the company's business transfer agreement in respect of acquisition of certain business undertakings relating to curtailment of gas distribution and retail sale of CNG covering Jalandhar geographical areas. “PNGRB approval was a necessary condition in the BTA,” the company said in a regulatory filing, while adding that with Jalandhar GA, it now has 34 GAs enabling it to have a strong presence in Punjab. In May, Adani Total had reported a 71.5% rise in net profit to Rs 167.96 crore for the quarter ended March.
Now a tech news – just hours after its launch in China, Motorola has revealed the India launch date of the Moto Razr 50 Ultra. The much-awaited foldable phone is set to launch in India on July 4, about a week before Samsung introduces its Galaxy Z Flip 6 and Galaxy Z Fold 6 at the Paris Unpacked event. The product listing page for the Moto Razr 50 Ultra on Amazon India confirms the launch date and reveals the colour options available for the Indian market. The Moto Razr 50 Ultra will be offered in three colours: Peach Fuzz, Spring Green, and Midnight Blue. However, it is unclear if Motorola will also introduce the more affordable Moto Razr 50 in India.
In another development – India's leading airline IndiGo has announced the launch of additional daily non-stop flights between Mumbai and Jeddah from August 15, 2024. This expansion aims to meet the growing demand for travel between India and the Middle East. According to the official release, the new daily flights underline IndiGo's commitment to expand its global presence and connect key destinations within its extensive network. The Mumbai-Jeddah route connects two dynamic cultural and economic hubs. Known as the gateway to Mecca and Medina, Jeddah attracts travelers seeking spiritual fulfillment and cultural immersion. Mumbai, famous for its iconic landmarks, offers a glimpse of India's rich heritage. This enhanced connectivity ensures greater convenience and flexibility for travelers.
Now a bit of economy-related news – India's digital currency, e-Rupi, has seen a significant drop in usage, falling to a tenth of its peak in December, Reuters reports, citing four sources. The Reserve Bank of India launched a pilot for e-Rupi in December 2022, offering it as a digital alternative to physical currency. By December 2023, the pilot had achieved its target of 1 million retail transactions per day. However, sources directly connected to the pilot project now report a sharp decline, with daily transactions falling to around 100,000. The ongoing transactions are partly being driven by banks distributing benefits to their employees via e-Rupi.
Finally – Benchmark equity indices ended in the positive territory in Wednesday's trading session. The NSE Nifty 50 closed 147.50 points or 0.62% higher at 23,868.80, while the BSE Sensex closed 620.72 points or 0.80% higher at 78,674.25. Broader indices ended in mixed territory, with large-cap and mid-cap stocks leading the gains. The Bank Nifty index closed 264.50 points or 0.50% higher at 52,870.50. Media and energy stocks outperformed other sectoral indices, while metal and realty stocks declined.