Here go the top personal finance news of the day:
Vedanta’s shares took a beating as Taiwanese electronic chip manufacturer, Foxconn has pulled out from a proposed JV with India’s natural resources conglomerate. Vedanta had partnered with Foxconn to manufacture electronic chips in India. But, the two majors have decided to part ways. As a result, Vedanta’s shares weakened on Tuesday. The scrip fell 3% in opening trade on the BSE. Vedanta then came out with a clarification that The company had lined up with many other tech giants to manufacture chips domestically. On the other hand, Foxconn , said, it hasn’t put off plan to manufacture electronic chips in India. Its just that it were looking for right partners to manufacture semiconductors in the country.
China’s inflation on brink of negative territory
China’s economy has taken a downturn. The Dragon country is on brink of deflation. Prices of goods and services are not increasing in China. Factory prices have plummeted. Property prices have plummeted. Inflation has entered negative territory. China’s economy has not been able to revive completely from repercussions of Draconian laws implemented for curbing COVID-19 cases. Economists are counting on government stimulus and more rate cuts for economic revival.
RIL closes at all time high levels of Rs 2,769
Reliance Industries closed at all time high of 2769 rupees apiece on Tuesday. The conglomerate’s stock has been rising ever since the Jio Financial Services demerger plan got underway. In last six months, the stock is up 12%. On Tuesday, the scrip closed more than 1% higher on the BSE. According to the demerger plan, for every one share of Reliance Industries, shareholders will get one share of Jio Financial Services. Demerger record date is July 20, 2023. Billionaire Mukesh Ambani’s daughter Isha and former CAG Rajiv Mehrishi are being appointed as directors on the board of the demerged entity. Fire is expected to keep burning in RIL’s shares till the record date.
GoI mulling 5 PSUs stake sale
Government of India is planning to stake sale PSUs via the OFS route. Government is mulling stake sale in five PSUs. These undertakings are likely to be RITES, RVNL, Rashtriya Chemicals & Fertilizers, National Fertilizers and one PSU from mines industry. The government recently sold 3% stake in Coal India via OFS. Stake sale in the 5 PSUs will fill government coffers. This will help the government in rolling out welfare schemes for the poor and needy. In Budget 2023, the government had kept a target of collecting 51,000 crore rupees from PSU stake sale.
Maruti races past other cos here also
Maruti races past other companies to become number one in 10 lakh to 20 lakh rupees segment as well. Shashank Srivastava, director of sales & marketing unit of Maruti Suzuki has said in an interview with Economic Times that the company is ruling the roads in 10 lakh to 20 lakh rupees segment with 23% market share. The Japan based automobile company is already leading in entry level and budget car segment. Overall also Maruti dominates India’s passenger vehicle segment with more than 40% market share. And, now, Maruti has left behind every other companies in 10 lakh to 20 lakh rupees segment as well. India’s largest automobile company has driven in likes of Brezza, Grand Vitara, XL6 and Jimmy in this price segment.
Tomato becomes bitter
Tomato has become bitter. Tomato prices have hit 200 rupee mark in some parts of the country. Not only tomato, prices of other perishable vegetables like onion, ginger, cauliflower, potatoes have gone through the roof. Most vegetables are sold at above 60 rupees per kg. lady finger prices have soared up to 80 rupees per kg. cauliflower is being sold at 180 rupees per kg. Ginger at 300 rupees per kg. so on and so forth. Continuous increase in vegetable prices is likely to hold up vegetable inflation for the month of June.
ESAF SFB cuts IPO size by 58%
ESAF Small Finance Bank has refiled IPO papers. It has cut its IPO size by around 58% to 629 crore rupees. The IPO also includes OFS. Meaning promoters will sale stake. Currently, ESAF Financial Holdings Private Ltd holds around 62% stake in the small finance bank.
No delivery of salary at Dunzo
Nearly 500 employees of logistics and delivery firm Dunzo have not got salaries in June, 2023. This translates to nearly 50% of the employee count. As, Dunzo currently has around 1,000 employees. The logistics company has been facing headwinds, off-late. If had earlier fired around 400 employees in the first half of current year 2023 as part of cost-cutting measures. The company had raised around 75 million dollar in a recent funding round. Juggernauts like Reliance Retail and Google have also invested in the logistics and delivery firm, Dunzo.
