Stocks to Monitor: Jio Financial, Vi, Aster DM, Cipla, Asian Paints

On Tuesday, April 16, 2024, the Indian equity markets are expected to continue their fall following losses in global peers. This is due to concerns over rising geopolitical tensions between Iran and Israel, as well as a spike in US bond yields. At 07:30 AM, Gift Nifty futures were quoted around 22,184 levels, indicating a likely gap-down of another 100 points on the Nifty 50 index this morning.

Jio Financial Services: Jio Financial Services has announced its partnership with the US-based BlackRock on April 15th to enter the wealth management and brokerage services market in India. The financial institution has stated in a stock exchange filing that it will establish a wealth management company and a brokerage firm in India, both of which will be part of the 50:50 joint venture dedicated to wealth management initiatives.

Vodafone Idea: The company is optimistic about its ₹18,000-crore follow-on public offer (FPO) receiving full subscription, particularly from anchor investors. The CEO of the company, Akshay Moondra, has revealed that the company will roll out 5G services within six to nine months after the FPO. This will involve fast-tracking orders for 5G equipment from vendors. The company aims to introduce 5G services in regions that generate 40% of its revenue within two to two and a half years. The focus will be on 17 priority circles that generate 98% of its revenue and 92% of the industry's revenue. Vi plans to invest ₹12,750 crore in network expansion until FY26. Out of this, ₹5,720 crore will be allocated for establishing 22,000 5G sites. The remaining funds will be used for setting up 26,000 new 4G sites, upgrading existing 4G sites, and other corporate purposes. Vodafone Idea will have to pay ₹2,170 crore to the government in FY25 as an installment for the spectrum purchased in the previous auction.

Cipla: Cipla announced on April 15 that its subsidiary, Cipla Health Limited (CHL), has signed a business transfer agreement to acquire Ivia Beaute Private Limited's cosmetics and personal care distribution and marketing business. The acquisition includes Ivia's globally recognized brands such as Astaberry, Ikin, and Bhimsaini. The cost of the acquisition is set at ₹130 crore, payable on the closing date. Cipla stated in a regulatory filing that the transaction is expected to be completed within 60 days of signing the agreement or on another mutually agreed date.

Aster DM Healthcare: Aster DM Healthcare aims to double its bed capacity to over 10,000 within the next three years. The company's CEO, Nitish Shetty, revealed in an exclusive interview with Mint that this growth will be achieved through both acquisitions and organic expansion. At present, the hospital chain has approximately 5,000 beds - an increase from 4,800 the previous year. Shetty stated that the company plans to invest at least ₹1,000 crore to acquire between 2,000 and 4,000 beds as part of its strategy to become one of the top three healthcare providers in India. In addition, the company will add 1,700 beds organically over the next three years and has allocated ₹1,000 crore for this purpose.

Asian Paints: Asian Paints has recently launched a new product called Neo Bharat Latex Paint on April 15th. This marks the company's entry into a new paint category. The move was prompted by the growth of the sector, which has been fueled by increasing urbanization and rising disposable incomes. This has resulted in existing market players trying to capture the growing demand and increase their market share. The company is promoting this new segment as an affordable option, with over 1,000 shades to choose from. Additionally, the company has appointed cricket star Virat Kohli as the brand ambassador for the new launch. Amit Syngle, managing director and chief executive officer, Asian Paints, said, "By offering a branded solution to penetrate the unorganized segment, we aim to broaden the market and stimulate category growth as a market leader."

Reliance Infrastructure: The Mumbai division of the National Company Law Tribunal (NCLT) has concluded the corporate insolvency proceedings against Mumbai Metro One Pvt. Ltd, a subsidiary of Reliance Infrastructure, following a one-time settlement agreement between the company and its lenders, according to regulatory filings. This could enable the Maharashtra government to acquire Reliance Infrastructure's stake in the city's most frequented metro rail line. SBI and IDBI Bank had approached the bankruptcy court against MMOPL, a 74:26 joint venture between Reliance Infrastructure and the Mumbai Metropolitan Regional Development Authority (MMRDA), due to non-payment of dues amounting to ₹416 crore and ₹133 crore, respectively. It operates the Mumbai Metro One line, which runs between Versova, Andheri, and Ghatkopar in the city.

Tata Consultancy Services: Tata Consultancy Services (TCS) is planning to hire around 40,000 fresh graduates in the fiscal year 2025, which is the same number as the previous year, according to CEO and MD K Krithivasan in an interview with Moneycontrol. This news comes at a time when the company has seen a decrease in headcount for three consecutive quarters. Krithivasan mentioned that the hiring of fresh graduates in FY25 would be equal to that of the previous year. On the other hand, the recruitment of experienced professionals will be decided on a quarterly basis depending on the immediate needs and requirements, as per Krithivasan.

Mahindra & Mahindra: The Mahindra Group has recently announced that it will invest ₹1,200 crores in a renewable energy project in India. The project will be developed by Mahindra Susten, a subsidiary of the Mahindra Group, in partnership with Ontario, a global investor. The project aims to generate 150 MW of renewable energy, with 101 MW wind capacity and 52 MW solar capacity. The estimated energy generated by the project is 460 million kWh, which will lead to a reduction of 420,000 tonnes of CO2 emissions. The company disclosed this information in a stock exchange filing on April 15.

LIC, Hindustan Unilever: On April 15, an exchange filing revealed that the Life Insurance Corporation of India (LIC) has increased its stake in Hindustan Unilever, the FMCG giant. The stake went up from 4.99% to 5.01%. The filing disclosed that LIC's shareholding in HUL rose from 11,74,63,555 to 11,77,18,555 Equity Shares, which is equivalent to a 0.02% increase of the company's paid-up capital. The shares were purchased through an open market acquisition in Hindustan Unilever, which had a market capitalization of ₹5.15 lakh crore as of April 15.

Container Corporation of India: CONCOR, a logistics and transportation company, reported an annual growth of over 8% in the total physical volume it handled in FY24. The company released its provisional updates for the quarter and financial year ending March 31, 2024, on Monday. According to the report, CONCOR handled 12,44,798 twenty-feet equivalent units (TEUs) in Q4FY24, which is a 11.24% increase compared to the preceding quarter. For FY24, the company's total throughput was 47,19,984 TEUs, marking an 8.23% rise from the previous year. The EXIM volumes for the March 2024 quarter grew by 7.08% YoY to 36,48,076 TEUs, compared to the same quarter in the previous year. The total EXIM volumes for FY24 were 9,34,058 TEUs, showing a YoY increase of 9.73%.