COMPANIES | PAGE 4 EXPLAINER | PAGE 9 We see formalisation trend continuing: Marico CEO INTERNATIONAL | PAGE 10 IPL’sjourney:Fromacricket leaguetoprizedmediaasset CHENNAI/KOCHI, THURSDAY, MAY 7, 2026 TedTurner,CNNfounderand pioneerof24x7news,dies FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL NO. XLVI 309, 26 PAGES, `12 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: 77,958.52 ▲ 940.73 NIFTY: 24,330.95 ▲ 298.15 NIKKEI 225: 59,513.12 ▲ 228.20 HANG SENG: 26,213.78 ▲ 315.17 `/$: 94.62 ▲ 0.68 `/€: 111.41 ▲ 0.01 BRENT: $103.09 ▼ $6.78 GOLD: `1,50,368 ▲ `3,350 IN THE NEWS ECONOMY PAGE 3 INDIAN FIRMS TO INVEST RECORD $20.5 BN IN US INDIAN COMPANIES HAVE pledged to invest a record $20.5 billion in the United States, which includes $19.1 billion in pharmaceuticals, the US embassy said on Wednesday, reports Shubhajit Roy. ECONOMY PAGE 2 INDIA, VIETNAM SET $25-BILLION TRADE TARGET INDIAAND VIETNAM on Wednesday elevated their ties to an enhanced comprehensive strategic partnership and set a $25billion annual trade target by 2030 as Prime Minister Narendra Modi and visiting Vietnamese President To Lam held talks focusing on expanding bilateral ties, reports PTI. Services sector growth in April hits 5-month high INDIA’S SERVICES ACTIVITY gathered pace in April, recording the strongest expansion in five months, driven by robust domestic demand, a surge in e-commerce, and greater reliance on local suppliers amid global supply chain challenges caused by the conflict in West Asia, S&P Global said on Wednesday, reports fe Bureau. ■ PAGE 3 UltraTech, Ambuja chart different growth paths INDIA’S TWO LARGEST cement makers were in a race to outdo each other in terms of capacity just a year ago. However, UltraTech of the Aditya Birla Group and Ambuja of the Adani Group have started FY27 on markedly different tracks, with the former doubling down on scale and the latter shifting focus to optimisation, reports Urvi Malvania. ■ PAGE 5 RESULTS CORNER BAJAJ AUTO PROFIT UP 34%; BUYBACK AT `12,000 P4 GCPL Q4 PROFIT RISES 10%, REVENUE UP 11% P4 IRANREVIEWINGNEWUSPROPOSAL;DEAL‘VERYSOON’, SAYSOURCES One-page memo triggers peace hopes inWestAsia SALMA EL WARDANY & FIONA MACDONALD May 6 IRAN IS EVALUATING a new proposal from the US to end their almost 10-week war, according to a person familiar with the matter, as China added its voice to global pressure to wrap up the conflict. Washington’s one-page memorandum of understanding will, if Iran accepts it,lead to the gradual reopening of the crucial Strait of Hormuz and lifting of the American blockade on Iranian ports, according to the person, who asked not to be identified discussing sensitive information. Detailed negotiations on Iran’s nuclear programme will come later in the process, the person said, adding that nothing has yet been agreed. Iran is expected to send a response via mediator Pakistan in the next two days,the person said. However, the latest American plan “contains excessive and unrealistic proposals which have been strongly rejected by our country’s authorities in recent days,” the semi-official Iranian Students’News Agency reported, without saying where it got the information. Continued on Page 10 THE RESERVE BANK of India (RBI) has asked banks to conduct an internal reviewof their cybersecurity preparedness and place a detailed assessment before their respective boards within the next two months,sources said. The exercise is part of an advisory issued by the central bank on April 27 directing lenders to further strengthen theircyberdefenceframeworks amid rising digital and AIlinkedrisks.Themovecomesat a timewhen concerns overvulnerabilitiesinfinancialsystems have intensified globally, particularly after reports surroundingAnthropic’sadvanced AI model, Mythos, and its potential ability to identify ● Green hydrogen and data centres among focus areas RAGHAVENDRA KAMATH Mumbai, May 6 US President Donald Trump teaches his signature fist-pumping dance move to a group of teens on the White House lawn. Trump has said the US will be lightening up on Iran with sanctions if a deal is reached to end the conflict in West Asia Crude at 2-week low Markets rally over 1% OIL PRICES SLUMPED to two-week lows on Wednesday following reports that the US and Iran were nearing an initial peace deal. Brent crude futures were $8.04, or 7.32%, lower at $101.83 a barrel by 14:27 GMT (19:57 IST), having earlierdropped below$100 forthe first timesinceApril22.USWTIlost$7.16,or7%,to $95.11,reports Reuters.Both crude contracts hit theirlowest intwoweeks,withBrent hitting an intra-session low of $96.75 before paring losses afterthe US said itwas“too soon”to consider face-to-face talks with Iran. ■ PAGE 10 BENCHMARKEQUITYINDICESSensex and Nifty rallied 1.22% and 1.24%, respectively, tracking gains in other Asian markets, as Brent crude prices tanked amid reports that the US is closetoreachinganagreementwithIrantoend thewar,reports KishorKadam.On the domestic front, the government’s `2,55-lakh-crore credit guarantee scheme for businesses lifted banking stocks.Positive cues from US markets, driven by strong AI-led tech earnings, along with appreciation in Asian currencies, also boosted investor sentiment. ■ PAGE 6 Reviewcyberrisksin2mths:RBItobanks KSHIPRA PETKAR Mumbai, May 6 L&Tlines up `45,000 cr investments in 5 years SYSTEMIC RISK ■ Banks have been directed to further strengthen their cyber defence frameworks amid rising digital and AI-linked risks ■ Concerns over vulnerabilities in financial systems have intensified globally, particularly after Anthropic unveiled Mythos ■ A bank executive says cyber security will remain a priority and that they are assessing what more needs to be done weaknesses in software systems at unprecedented speed. “This is something where all parts of the bank — and the industry as a whole — have to come together, because it is a systemic risk,” said Pralay Mondal, managing director and CEO of CSB Bank.“It will remain an important priority. We are assessing what more needs to be done, and the RBI will continue to guide us.” The RBI’s advisory follows a high-levelmeetingconvenedby Finance Minister Nirmala Sitharaman on April 23 with bankchiefstodiscussrisksarising from artificial intelligence and their implications for the financialsector.SeniorRBIofficials and representatives from the ministry of electronics and IT attendedthemeeting,which focused on safeguarding banking systems against emerging AI-driven threats. “Themainentitiesatriskare the IT companies.We use their products, so the vulnerability lieswiththem,”saidtheMDofa public sector bank. “We are examining how to ensure that no one can breach the system.” Industry experts say banks are only beginning to grasp the implicationsofnext-generation AImodelsforcybersecurityand operational resilience. Continued on Page 7 NEW STATE GOVERNMENTS TAKING SHAPE TVK asked to show proofofmajority TVKCHIEFVIJAYonWednesdaymetTamil Nadu Governor Rajendra Vishwanath ArlekarandstakedaclaimtoformthegovernmentaftertheCongressannouncedits support. The governor is learnt to have asked the party to produce documentary proof of majoritysupport. ■ PAGE 19 New Bengal govt on Saturday: BJP THEFIRSTBJPgovernmentinWestBengal will be sworn in at the sprawling Brigade ParadeGroundinKolkataonMay9(Saturday,state party chief Samik Bhattacharya said.PrimeMinisterNarendraModi,Union HomeMinisterAmitShahandotherdignitaries are likelyto attend it. Satheesan:‘Lookfor vision’inCMpick ADMINISTRATIVEEXPERIENCECANNOT bethecriteriaforchoosingaleader,butthe vision of the leaderand his orherabilityto buildateamareimportant,seniorCongress leader V D Satheesan said on Wednesday. HeisoneofthethreefrontrunnersforKerala chief ministership. THE GOVERNMENT MAY be preparingtosoftenacontroversial proposal in the Corporate Laws (Amendment) Bill, 2026 that would allow certain top executives to resign almost overnight — after Corporate India reacted with the kind of alarm usually reserved for an unexpectedauditorresignation. Atthecentreofthedebateis aproposednewSection203(A), which gives whole-time key managerial personnel (KMPs) whoarenotdirectors,including chief financial officers, companysecretariesandmanagers, the right to quit simply by submitting a written notice to the ■ The proposal ■ The proposed amendment gives key managerial personnel (KMPs) who are not directors the right to quit simply by submitting a notice ■ The proposal has sparked sharp resistance from India Inc company. Once the notice is delivered, the resignation would take effect immediately or from a date specified by the executive,whicheveris later. In effect, companies fear the provision could create a ■ Companies worry that abrupt exits at senior-most levels could leave them scrambling during sensitive periods corporate version of“mic drop and exit”forseniorexecutives. The proposal has sparked sharp resistance from India Inc, with companies arguing that while junior employees may disappear after sending also risks colliding with existing employment contracts, many of which mandate notice periods and structured transition obligations for executives a late-night resignation mail, CFOs and company secretaries cannot exactly leave the office by dropping their access cards at reception. “Due to the concerns raised by some sections of Corporate India,the government is ready to re-examine the provision,”a senior official said.“A parliamentary committee is currently reviewing the Bill and seeking stakeholder feedback. We will closely monitor the industry response.” The official said the intention behind the proposal was not to empower abrupt exits but to bring greater transparency to the appointment andresignationofseniormanagement personnel — especiallyin situationswhere companies refuse to formally acknowledge resignations. Under the proposed framework, the board would have to accept the resignation and immediately notify the Regis- `15,000 cr has been allocated for industrial electronics and `3,000 crore for semiconductor-related investments for green hydrogen projects and around `10,000 cr erty acquisition and lab facilities, and another `5,000 crore for upgrading hydrocarbon modular fabrication yards and shifting facilities. Around `4,400 crore has been set aside for the real estate business,the company told analysts in its January- S&Pslashes India growth outlook for FY27 to 6.6% No majorlapses at HDFC Bank,finds governance review FE BUREAU New Delhi, May 6 GOPIKA GOPAKUMAR & JAYSHREE P UPADHYAY Mumbai, May 6 SHARES RALLY LAW FIRMS REVIEWING governanceatHDFCBankaresetto reportthismonththattheyhave notfoundanymajorlapses,two peoplewithdirectknowledgeof the findings said, clearing the wayforthereappointmentofits CEO SashidharJagdishan. The bank called in Trilegal and Wadia Ghandy & Co. after Atanu Chakraborty resigned as chairman in March citing “incongruence” between his personal values and bank practices.He did not elaborate. The law firms examined minutesandvideorecordingsof boardandextraordinarygeneral meetings over the last three years to ascertain whether Chakraborty had raised governanceissuesand,ifso,howthose issues were addressed,the peoplesaid.Allissuesraisedatboard level were handled as per prescribed processes, one of the peoplesaid,withoutelaborating on those issues. The law firms 800 INDIA’S ECONOMIC GROWTH is expected to moderateinFY27amidtheWestAsia war,with GDP expansion projected at 6.6% compared with the earlier projection of 7.1%, according to S&PGlobal. Retail inflation is projected to rise to an average of 5.1% from2%inFY26,the“IndiaForward”report stated, highlighting that the conflict is exerting broad-based pressure on key macroeconomic indicators, includinggrowth,inflation,current account balance and bond yields.Elevated crude oil prices — expected to stabilise around $90-95 perbarrel — are seen as a key transmission channel affecting the economy. Dharmakirti Joshi, chief economist at Crisil,said growth could slow from 7.6% last year to6.6%inFY27,whileinflation may rise sharply from around 2% in FY26. The current account deficit is projected to widen from 0.8% of GDP in FY26 to 2.2% in FY27, with bondyieldsremainingnear7%. “Thelongertheconflictpersists, thegreaterthedownsiderisksto growthandupsidepressureson inflation,”hesaid.TheWestAsia crisis has emerged as one of the mostsignificantexternalshocks forIndiainrecentyears,triggering a surge in energyprices and disrupting supply chains, freightcostsandfertilizeravailability. Its overall impact will depend on the scale and duration of the conflict,Joshi said. ‘Quit anytime’clause fortop execs maygo QUICK EXIT `5,000 cr ■ L&T has earmarked about ENGINEERING AND CONSTRUCTION major Larsen & Toubro plans to invest `43,000-45,000 crore across businesses over the next five years under its Lakshya 31 strategic road map, with a sharp focus on emerging segmentssuchasgreenhydrogen, data centres, semiconductors and industrial electronics. The company has earmarked about `15,000 crore for green hydrogen projects and around `10,000 crore for data centres catering to both hyperscaler and non-hyperscaler customers. It has also allocated nearly `5,000 crore for industrial electronics, `3,000 crore for semiconductor-related investments including intellectual prop- Govt may soften proposal allowing KMPs to walk out without notice after India Inc pushback MANU KAUSHIK New Delhi, May 6 WHAT’S IN STORE trar of Companies (RoC). If the company fails to do so within the prescribed timeline, the executive could independently sendtheresignation,alongwith detailed reasons,to the RoC. The government believes such a fallback mechanism is necessaryincasesinvolvinggovernance disputes or situations where executives fear being indefinitely tied to a company despitewantingtoleave.Importantly,thedraftlawclarifiesthat liability for defaults during the executive’stenurewouldsurvive resignation.Still,legal and governance experts say the proposal risks creating serious operational complications. Continued on Page 10 CHENNAI/KOCHI for data centres `4,400 cr has been set aside for the real estate business ■ For FY27, L&T plans capex of `2,500 cr for core business, `1,000 cr for electronics, and `2,000 cr for data centres March quarter earnings call. For FY27, the company plans capital expenditure of around `2,500 crore for the core business,`1,000 crore for electronics and nearly `2,000 crore for data centres. Continued on Page 10 Intra-day (`), May 6 796.6 795 790 785 780 3.11% 775 770 772.55 May 5 Close May 6 Close are likely to hand their report this month to the board,which willthensubmitittothecentral bank, the person said. Chakraborty declined to comment,and HDFC Bank,RBI and thelawfirmsdidnotrespondto emailed requests forcomment. On Wednesday,HDFC Bank sharesrose3.11%to`796.60a piece on the BSE. —REUTERS AirIndiacutsover 500flightsglobally asfuelpricessoar FE BUREAU New Delhi, May 6 AIR INDIA HAS reduced more than 500 international flights a month from its schedule this summerasrisingjetfuelprices andairspacerestrictionsweigh on the profitability of longhaul operations. According to data from aviation analytics firm Official Airline Guide (OAG), the airline’s international operations fell sharply year-on-year in April and May, with the steepest cuts seen on routes to North America and parts of Europe. In April,Air India operated 1,987 international flights, downfrom2,549ayearearlier, while May schedules show 2,072 flights compared with 2,588 in the year-ago period. Themostsignificantreductions have come on ultra-longhaul routes to the US and Canada, where higher fuel burn and longer flying times have raised operating costs. Flights connecting Delhi and Mumbai with destinations such as Newark and New York have been scaled back, while services between Delhi and HEADWINDS ■ In April, Air India operated 1,987 international flights, down from 2,549 a year ago ■ May schedules show 2,072 flights compared with 2,588 in the same month last year ■ Air India CEO Campbell Wilson said last week that several international routes had become commercially unviable San Francisco have been halved to 31 in May from 62 earlier, OAG data showed. Delhi-Vancouverservices have been cut to 23 flights in May from 31 in January. Continued on Page 7