Business News at 05:30 pm on 22nd February, 2024

Let’s begin. L&T Construction on Thursday said that its Buildings & Factories vertical has recently secured an order from a real-estate developer to construct multi-storeyed residential towers at Thane in the Mumbai Metropolitan Region. The scope of the order, it added, includes construction of the core and shell works for five towers having 62 floors and an allied parking area comprising basements+ground+5 podiums. MV Satish, Whole-time Director & Senior Executive Vice President (Buildings), L&T said, quote, “We have executed some unique and prestigious structures over the past few years and recently have been introducing new technologies and advanced methods to fast-track construction that is becoming increasingly green and sustainable and, at the same time, reflecting the spirit of Atmanirbhar Bharat,” unquote.

Meanwhile, India’s manufacturing Purchasing Managers’ Index for the month of February came in at 56.7 as compared to 56.5 in the previous month, up from December’s 18-month low of 54.9. According to the HSBC final India Manufacturing Purchasing Managers’ Index, compiled by S&P Global, India’s Services PMI rose to 62 from 61.8 on a month-on-month basis and composite PMI was at 61.5 vs 61.2. The headline HSBC Flash India Composite PMI Output Index – a seasonally adjusted index that measures the month-on-month change in the combined output of India’s manufacturing and service sectors – rose from a final reading of 61.2 in January to 61.5 in February.

Over to market. During early morning trading today, shares related to the space sector surged by up to 7% following the approval of amendments to the Foreign Direct Investment policy by the Union Cabinet on Wednesday. The policy alteration aims to attract overseas players and private companies to participate in the space segment. This decision was made during a Cabinet meeting chaired by Prime Minister Narendra Modi. According to a government press release, the amendment divides the satellite sub-sector into three distinct activities, each with defined limits for foreign investment. The revised FDI policy now allows 100% FDI in the space sector, with liberalized entry routes aimed at attracting potential investors to invest in Indian space companies.

In some more market news, Shares of Sugar companies tumbled up to 3 per cent in the morning trade on Thursday after the government announced a hike in the minimum price that mills have to pay to sugarcane growers for the 2024-25 season starting October. The scrip of Rana Sugars plunged 3.21 per cent to Rs 25.35 apiece, Mawana Sugars slumped 2.81 per cent to Rs 101.70, Rajshree Sugars & Chemicals tumbled 2.50 per cent to Rs 72.62, Shree Renuka Sugars declined 2.41 per cent to Rs 48.50, KCP Sugar & Industries declined 2.20 per cent to Rs 40.87, and EID Parry (India) slipped 1.57 per cent to Rs 629.20 apiece on the BSE. Also, Dalmia Bharat Sugar and Industries went lower by 1.15 per cent to Rs 403.15 per piece and Balrampur Chinni Mills fell 1.12 per cent to Rs 376.50.

Moving on. Uber on Thursday signed a MoU with Open Network for Digital Commerce to explore an integration with the network to expand the range of mobility offerings on the Uber app. The agreement with ONDC, a private non-profit organization established by the Department for Promotion of Industry and Internal Trade of Government of India, is aimed to strengthen Uber’s mission of bringing safe, affordable and reliable rides to all Indians. At an event in Bengaluru, Uber’s global CEO Dara Khosrowshahi spoke with Infosys Chairman, Nandan Nilekani on the subject of ‘Building Population Scale Technology.’ Dara Khosrowshahi said companies and governments around the world can learn from the scale and ambition of India’s Digital Public Infrastructure.

Over to technology. In a big boost for ‘Make in India’ programme, Alphabet’s Google has told its suppliers to commence the production of its popular Pixel cellphones in India soon, a latest Nikkei Asia report said on Wednesday. The report says that Google has put a concrete timeline regarding the plan. Pixel smartphone production will begin by ‘next quarter at the earliest,’ the report added. The plan showcases Google’s next phase of diversification and create a new supply chain ecosystem that’s not dependent on China, the report added. By moving the smartphone production in India, Google will also attempt to take leverage of the growing India cellphone market.

Lastly, let’s see how the share market performed today. In a volatile session the Indian benchmark indices ended on a positive note with Nifty above 22,200. Bajaj Auto, HCL Technologies, Eicher Motors, M&M and Coal India were among the top gainers on the Nifty, while the losers were IndusInd Bank, HDFC Bank, BPCL, Kotak Mahindra Bank and HUL. On the sectoral front, auto, capital goods, metal, power, information technologies and telecom up 1 percent each. However, bank index ended marginally lower. BSE Midcap and Smallcap indices added 0.5 percent each.