BACK PAGE | PAGE 16 COMPANIES | PAGE 5 Zee paving the way for a hybrid future INTERNATIONAL | PAGE 7 Airtel tones down FY25 pay hikes Chevron gets go-ahead for $53-billion Hess deal KOLKATA, SATURDAY, JULY 19, 2025 FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL 34 NO. 220, 28 PAGES, `12 (NORTH EAST STATES `12 & ANDAMAN `20) P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E SENSEX: 81,757.75 ▼ 501.49 NIFTY: 24,968.40 ▼ 143.05 NIKKEI 225: 39,819.11 ▼ 82.08 HANG SENG: 24,825.66 ▲ 326.71 `/$: 86.16 ▼ 0.08 `/€: 100.24 ▼ 0.47 BRENT: $70.17 ▲ $0.65 GOLD: `97,800 ▲ `700 Tata Group to set up `500-cr trust for AI crash victims TATA SONS ON Friday formalised and completed the registration of a `500-crore public charitable trust dedicated to the victims of the Air India AI-171 flight crash, reports fe Bureau. ■ PAGE 4 Revised Stand-Up India scheme likely by Sept THE CENTRE IS planning to launch the revamped version of the Stand-Up India scheme by September, by doubling the term loans up to `2 crore over five years compared with the previous scheme to accelerate credit flow to women, Scheduled Caste and Scheduled Tribe entrepreneurs, sources said, reports Prasanta Sahu. ■ PAGE 2 FE S P EC I A L S Tesla’s Model Y vs India’s EV elite Tesla has a strong brand appeal & a unique tech ecosystem, which many of its competitors lack ■ MOTOBAHN, P9 Bank account in India must for refunds ■ PERSONAL FINANCE, P9 RAGHAVENDRA KAMATH Mumbai, July 18 (` cr) Q1 FY26 DIRECTOR, RELIANCE INDUSTRIES y-o-y % change Revenue Ebitda (` cr) 10.7 Net profit 38,765 (` cr) 15,138 26,994 RELIANCE INDUSTRIES (RIL) on Fridayposted a sharp rise in its net profit for theApril-June quarter, driven by a one-time gain from the sale of its stake in Asian Paints and continued momentum in consumer-facing businesses. However, revenue from its core oil-tochemicals segment edged lower due to maintenancerelated disruptions. Net profit jumped 78% year-on-year to `26,994 crore, beating Bloomberg’s estimate of `20,059 crore. The gain included `8,924 crore from divesting its 3.7% stake in Asian Paints, which Reliance fully exited in June. Even after excludingtheinvestmentgain, recurring profit rose by 19.4% from a year earlier. Because of the stake sale in Asian Paints, other income saw a huge jump of 28% year-on-year at `15,119 crore. Revenue from operations rose 5.3% to `2.49 lakhcrore,ledbystrongperformance in retail and digital services. Consolidated Ebitda increased 10% to `42,905 crore, slightly below estimates of `44,474 crore. Chairman and managing directorMukeshAmbani said, “Reliance has begun FY26 with a robust,all-round operational and financial performance. Consolidated Ebitda Q1 FY25 MUKESH AMBANI, CHAIRMAN AND MANAGING 42,905 Ebitda margin (%) ReliancehasbegunFY26witha robust,all-roundoperationaland financialperformance... despitesignificant volatilityinglobalmacros Net profit margin (%) 16.4 6.4 17.3 5.3 10.9 78.3 Jio PATup 1.25% on rise inArpu JIO PLATFORMS ON Friday posted a 1.25% rise in its net profit during the June quarteron the back of sequential rise in average revenue per user (Arpu) and uptick in data consumption.JPL’s consolidated net profit in Q1 rose to `7, 110 crore from `7,022 crore in the January-March period and `5,698 crore in Q1FY25. Revenue rose 3.08% to `35,032 crore from `33, 986 crore in the preceding quarter,reports Urvi Malvania. ■ PAGE 4 for Q1FY26 improved strongly from a year-ago period, despite significant volatilityin global macros.”He added that Reliance is committed to contributing to India’s growth through inclusive growth, technological innovation and leading energy transformation. “The performance of our businesses and growth initiatives gives me confidence that Retailprofitup28%, revenuerises11% RELIANCE RETAIL,THEretailarmofReliance Industries (RIL), on Friday posted a 28.3% year-on-year rise in consolidated net profit to `3,271 crore for the quarter ended June 30. Revenuerose11.3%y-o-yto`73,720croreon store expansion and digital push, but missed Street expectations of `87,800 crore for the period. Ebitda rose 10.9% y-o-y to `6,044 crore, falling short of the projected `6,700 crore,reports Viveat Susan Pinto. ■ PAGE 4 Reliancewill continue its stellar track record of doubling every 4-5 years,”Ambani said. The oil-to-chemicals business,which remains the largest contributor to group revenue, reporteda1.3%fallinturnover to`1.55lakhcrore.Thiswasdue to lower crude prices and a partial shutdown of the 663,000barrel-a-day Jamnagar refinery formaintenanceinApril. However, segment Ebitda FPIstakeflightafter4months AFTER FOUR MONTHS of sustained buying, foreign portfolio investors (FPIs) have turned net sellers in July, offloading shares worth $740 million (`6,353 crore) so far, as tariff uncertainties and positive sentiment in the US markets weighed on domestic bourses. In the five trading sessions till July 17, FPIs have sold stocks worth $1 billion. Meanwhile, Sensex and Nifty marked their third consecutive weekly losses, declining by 0.90% and 0.72%, respectively, weighed down by selling in heavyweight stocks amid weak earnings. Broader markets outperformed the benchmarks.As a result, investors’ wealth rose by `1.68 lakh crore. Compiled by Kishor Kadam Net equity investments by FPIs in $million 4,000 2,000 -2,000 -6,000 -740 40 -8,418 18 -8,000 -10,000 Jan 2025 Jul 2025 Source: NSDL 82,800 up to July 17 Sensex 82,500.5 82,500.5 82,500 82,400 81,7 ,757.7 81,757.7 0.90 % 82,000 81,600 47,400 BSE Midcap 46775.8 47,000 46,600 46,200 Continued on Page 11 Sebi looks to overhaul MF schemes ANANYA GROVER Mumbai, July 18 0 -4,000 rose 11% to `14,511 crore, helped by stronger domestic fuel retail margins and improvedcracksintransportation fuels. Lower volumes and weaker polyester chain margins partly offset these gains. The fuel retail network, operated by Reliance BP Mobility, expanded to 1,991 outlets, outpacing industry growth. 46,291.2 46,291 91.2 1.05 % Jul 11 Jul 14 Jul 15 Jul 16 Jul 17 Jul 18 2025 2025 INDIA’S CAPITAL MARKET regulator is looking to address the problem of overlaps in the portfolios of mutual fund (MF) schemes and bring in better clarity. To this effect, the Securi»INSIDE« ties and Exchange ELECTRICITY of DERIVATIVES Board NOT FOR India (Sebi) SPECULATION: on Friday SEBI CHIEF floated a conPAGE 6 sultation paper to review current rules governing categorisation and nomenclature of MFschemes. It suggests allowing MFs to offer both value and contra funds subject to the condition that no more than 50% of the schemes’ portfolios shall overlap at any point in time. Currently, they can launch only one of these. Continued on Page 7 ● Lower price cap to help India cut oil import bill ARUNIMA BHARADWAJ New Delhi, July 18 TAKINGANEW setof punitive measures against Russia forits waragainst Ukraine,the European Union on Fridayimposed sanctions on Nayara Energy,in which Russian energy major Rosneft holds a 49.13% stake, and lowered the oil price cap. Thefreshsanctionspackage onRussiaincludednewbanking restrictions,and curbs on fuels made from Russian crude oil. Russia will now have to sell its crude oil at much lower rates to buyers like India than the current price cap of $60 per barrel. India, which imports over 35% of Russian oil,is expected to benefit from the lower price cap, as it will help in reducing its import bill. The EU,however,did not specifythe newprice cap.The move comes amid lower crude oil prices which have been hovering around $68-70/bbl. Continued on Page 11 THE NITI AAYOG has proposed easingrulesthatdefactorequire extra scrutiny for investments by Chinese companies,arguing thattheruleshavemeantdelays for some sizeable deals, three government sources said. Currently,allinvestmentsby Chinese entities in Indian companies need to gain a security clearancefromtheministriesof home affairs and external affairs.The government think tank has proposed that Chinese companiescantakeastakeofup to 24% in an Indian firm withoutanyapprovalbeingrequired, said the sources who were not authorised to speak to media and declined to be identified. Theproposalispartofaplan ■ The rules requiring security clearance were put in place in 2020 following border clashes with China ■ The rules have led to delays in deals and are seen as a significant factor behind a large drop in India’s FDI to boost foreign direct investmentinIndiaandisbeingstudied by the industries department,ministries of finance and external affairs, as well as the prime minister’s office (PMO), the sources said.And while not all of the Niti Aayog’s ideas are necessarilytakenupbythegovernment,theproposalcomesat ■ Net foreign direct investment in India tumbled to a record low of just $353 mn in the past financial year, a fraction of the $43.9 bn logged in FY21 ■ BYD’s plan to invest $1 billion in an electric car JV has been shelved due to the rules atimewhenIndiaandChinaare seeking to mend ties that have been particularlystrained since borderclashesin 2020. Any decision to ease might be months away and will be takenbypoliticalleaders,twoof the sources said. They added that the industries department is in favour of easing, but the othergovernmentbodiesareyet to give theirfinalview. Niti Aayog, the ministries, the industries department and thePMOdidnotreplytoReuters requestsforcomment. The rules were put in place in 2020 after border clashes. Theyonlyapplytolandbordering nations,which affects Chi- nese companies the most. By contrast, companies from other countries can freely invest in many sectors such as manufacturing and pharmaceuticals,while some sensitive sectors such as defence, banking and media have restrictions. Deals such as a 2023 plan by China’s BYD to invest $1 billion in an electric car joint venture have been shelved due to the rules, sources have said. While foreign investment has slowed globally since Russia’s invasion of Ukraine, the rules hampering Chinese investment in India have been seen as a significant factor behind a large drop in India’s FDI. Net foreign direct investment in India tumbled to a record lowof just $353 million in the past financial year, a 40 60 Reliance Nayara India State Refiners Rest of World (in %) 2022 0 2023 2024 2025 0 10 Russianfirm’splantoexit Nayarasettogetderailed THE FRESH EU sanction, which debars Nayara from exporting fuel such as petrol and diesel to Europe,is likely toderailRosneft’splantoexit the company.Rosneft,which hasbeentryingtosellitsstake inNayarabecauseofitsfailure to repatriate its earnings,has held discussions with several potential buyers, including SaudiAramco.Aninvestment consortium SPV, Kesani EnterprisesCompany,holdsa 49.13% stake in Nayara. Kesani is owned by Russia’s UnitedCapitalPartners(UCP) and Hara Capital Sarl, a wholly-owned subsidiary of Mareterra Group Holding (formerly Genera Group Holding). —FE BUREAU »INSIDE« CRUDE IMPORT BILL DOWN 19% IN APR-JUN PAGE 2 TataMotorsamong suitorsforIveco REUTERS Milan, July 18 ITALY’S AGNELLI FAMILY is in talks over the possible sale of truck maker Iveco, three sources told Reuters, with two mentioning Tata Motors as a potential buyer. Tata Motors has approached Exor, the Agnellis’ investment company, over its controlling stake in Iveco Group, two of the sources said.A sale would not include Iveco’s IDV defence business. Exor and Iveco declined to comment.Tata Motors did not replytoarequestforcomment. Shares in Iveco jumped as much as 9.7% on the Milan bourse following the news published by Reuters. The stock ended trading up 8.3% on Friday.Italian trade unions also reacted to the Reuters report,asking industry minister Adolfo Urso to be summoned to discuss the company’s prospects. Iveco said in May it would press ahead with plans to either spin off its defence business by the end of 2025 or sell it, having already received offers from potential buyers. FE BUREAU Bengaluru, July 18 B2B E-COMMERCE PLATFORM Udaan has acquired retail-tech startup ShopKirana in an all-stock transaction valued at approximately $88.5 million,marking anotherconsolidation in a highly competitive sector which has seen companies struggling to fraction of the $43.9 billion logged in the year ended March 2021. An easing in military tensions since October has led to more efforts by both countries to mend ties,with plans for the resumptionofdirectflightsand India seeking a “permanent solution” to their decades-old borderdispute. External affairs minister S Jaishankarmade his first trip to China in five years this week, telling his counterpart that the two nations must settle tensions along their border and avoidrestrictivetrademeasures suchasChina’scurbsonthesupply of rare earth magnets.The think tank has also recommended revamping the board that decides on foreign direct investment (FDI) proposals,the sourcessaid. —REUTERS Kelvinatorgets anewhomein RelianceRetail VIVEAT SUSAN PINTO Mumbai, July 18 achieve profitability despite attaining scale. The deal brings Info Edge as a new shareholder in Udaan,with the former transferring its entire 26.14% stake in ShopKirana to Hiveloop Technology, a subsidiary of Udaan’s parent entity Trustroot Internet. RELIANCE INDUSTRIES HAS once again added a legacy consumer brand to its portfolio, acquiring the iconic home appliances label Kelvinator in a bidtodeepenitsplayintheconsumerdurables space. The deal,announced on Fridaybythecompany’sretailarm, marksanotherstepinReliance’s strategyof reviving once-popular Indian brands,following its acquisition of Campa Cola, Ravalgaon,andLotusChocolate in recent years. Each of these names holds nostalgic value for consumers and forms part of a broader push by Reliance to build a formidable FMCG and consumer goods empire rooted intrusteddomesticlabels.While Reliance Retail did not disclose thedealsize,Sweden’sElectrolux Group, the previous owner of Kelvinator,pegged the transaction value at 180 million Swedishkronor,or`160crore,in itsquarterlyearningsupdateon Friday.“The acquisition of Kelvinatormarks a pivotal moment, enabling us to significantly broaden our offering of trusted global innovations to Indian consumers,” Isha Ambani, ED, RelianceRetailVentures, said. Continued on Page 7 Continued on Page 11 Continued on Page 11 Udaan buys ShopKirana NitibackseasingsecurityscrutinyofChineseinvestments TRADE TIES India private refiners are top buyers of Russian urals HECTIC ACTION ON DEAL STREET Allowing Chinese companies to acquire up to 24% stake in Indian firms sans approval proposed SARITA CHAGANTI SINGH & NIKUNJ OHRI New Delhi, July 18 SUPPLY BASKET 80 RIL consolidated financials Source: Kpler/Bloomberg in first quarter beats estimates EU imposes sanctions on Rosneft’s India refinery 20 STEADY Q1 AMID VOLATILITY « « NRIs don’t have to disclose foreign assets/income in ITR ● `26,994 crprofit « THE SEVEN-DAY variable rate reversal repo auction on Friday received a good response with a subscription of `2.08 lakh crore, reports Christina Titus. This was in contrast to the tepid response to the recent auctions. ■ PAGE 6 Reliance net zooms 78% 2,48,660 RBI drains `2L-cr liquidity through VRRR auction ASIAN PAINTS STAKE SALE,STRONG CONSUMER BIZ FUELSURGE 2,36,217 IN THE NEWS PMOforwidertalks on rareearthscheme NITIN KUMAR New Delhi, July 18 THE PRIME MINISTER’S Office (PMO)hasaskedtheministryof heavy industries (MHI) to hold further consultations with industry stakeholders before rolling out a `1,350- crore incentive scheme aimed at promoting domestic manufacturing of heavy rare earth magnets. Official sources said that though the PMOhasgivenitsin-principle nod to the scheme, it has asked the MHI to gather more detailed feedback on its structure,thescaleofincentives,and its overall viability. The move reflects the Centre’s cautious approach toward a strategically important sector where the country remains heavily import-dependent. Sources said that in a highlevel meeting on Friday, the PMO emphasised the need to addressindustryconcernsthoroughlybeforefinalisingthepolicy. According to officials, the MHI will conduct more stakeholder discussions in the comingweeksandislikelytoinvite writtensubmissionsfrom companies within the next fewdays. Rare earth-based permanent magnets play a critical role in a range of applications includingelectricvehicles,consumer electronics, wind turbines, and defence equipment. Indiacurrentlyimportsasignificant share of these magnets from China,exposing domestic manufacturers to supply chain risks amid geopolitical uncertaintiesandexportrestrictions. Continued on Page 11 Kolkata