BACK PAGE, P22 MARKETS, P6 INTERNATIONAL, P17 Meta debuts first-ever AR glasses called Orion IndusInd Bank aims to triple AUM to $30 bn in 3 years China to issue $284 bn of sovereign debt MUMBAI, FRIDAY, SEPTEMBER 27, 2024 FOLLOW US ON TWITTER & FACEBOOK. APP AVAILABLE ON APP STORE & PLAYSTORE WWW.FINANCIALEXPRESS.COM READ TO LEAD VOL LXIV NO. 230, 22 PAGES, `12.00 P U B L I S H E D F R O M : A H M E D A B A D , B E N G A L U R U , C H A N D I G A R H , C H E N N A I , H Y D E R A B A D , K O C H I , K O L K ATA , L U C K N O W, M U M B A I , N E W D E L H I , P U N E SENSEX: 85,836.12 ▲ 666.25 NIFTY: 26,216.05 ▲ 211.90 NIKKEI 225: 38,925.63 ▲ 1,055.37 HANG SENG: 19,924.58 ▲ 795.48 `/$: 83.64 ▼ 0.04 `/€: 93.21 ▲ 0.30 BRENT: $71.01 ▼ $2.45 GOLD: `75,402 ▲ `373 IN THE NEWS MODI LAUNCHES THREE INDIA-MADE SUPERCOMPUTERS PRIME MINISTER NARENDRA Modi, through a video link, on Thursday launched three PARAM Rudra supercomputers, developed indigenously under the National Supercomputing Mission, reports PTI. ■ PAGE 13 WAZIRX GETS 4-MTH MORATORIUM FROM SINGAPORE COURT A SINGAPORE COURT has granted WazirX a four-month moratorium, allowing it to restructure its liabilities in the aftermath of the cyberattack that wiped out nearly `2,000-crore, or 45% of its users' assets, reports Akshata Gorde. ■ PAGE 6 FMCG FIRMS SEE RURAL GROWTH TOPPING URBAN SOME OF THE top FMCG companies expect rural sales momentum to continue for the third straight quarter in the July-September period, reports Viveat Susan Pinto. ■ PAGE 4 GOVT HINTS AT RISE IN PRICES OF ETHANOL, SUGAR THE GOVERNMENT IS likely to approve an increase domestic prices of ethanol as well as the minimum sale price for sugar as has been demanded by the industry, food minister Pralhad Joshi on Thursday said, reports Sandip Das. ■ PAGE 3 FE S P E C I A L TO RAISE `6.61 LAKH CRORE Govt retains H2 borrowing goal Gold bonds to be used ‘as and when required’ The messaging app has agreed to provide some user data to law enforcement agencies ■ EXPLAINER, P9 14.01 lakh cr `20,000 cr projected gross market borrowing for FY25 FE BUREAU New Delhi, September 26 THE CENTRE ONThursdayannouncedaplan toborrow`6.61lakhcrorefromthemarketin the second half of the current fiscal,as part of its plan to finance the fiscal deficit. This accountsfor47.1%oftheprojectedgrossmarket borrowings for the current financial year, is in sync with the budgeted programme,and broadlyin linewith market expectations. The H2 borrowing will be conducted through bonds with maturities of three,five, seven,10,15,30,40 and 50 years.It will also include green bonds worth `20,000 crore. “The demand for green bonds was low in the H1. We need to see if that improves in H2,” economic affairs secretaryAjay Seth said. Though the overall deficit financing plan unveiled in the Budget also included raising monies via sovereign gold bonds (SGBs), an official said “decision is to use (them) as and when required”. Reports had indicated the governmentwasn'tkeentousetheSGBroute, due to its high cost and otherconsiderations. Theborrowingplanperseisunlikelytosignificantly alter the current market sentiments. Indian government bonds have been among the best performers in Asia so far this year, supported by foreign inflows of about $13 billion,spurred bythe inclusion of sovereignnotesintoJPMorganChase&Co’semerging market bond index. Hopes of a rate cut from the Reserve Bank of India, especially after the recent move by the US Federal Reserve, have also boosted sentiments, fundraise via green bonds in H2 `7.4 lakh cr scheduled in H1FY25 the 47.1% isgross H2 target of the projected market borrowings ■ Indian govt bonds have been among the best performers in Asia so far this year 6.74 ■ Gilts lured Foreign inflows of about $13 billion, spurred by inclusion in JP Morgan EM index 10-year govt bond yield (%) 6.737 6.73 Intra-day, Sep 26 6.72 6.71 6.70 Previous close: 6.735 Open Close besides lower oil prices.The yield on benchmark10-yearbondhasdeclinedbymorethan 40basispointsthisyear,themostinAsiaafter China. The yield fell to as low as 6.71% on Thursday,a level last seen in February 2022. Continued on Page 7 ShareChat’sAnkush Sachdeva is the youngest under-35 Indian entrepreneur.The list highlights 150 outstanding entrepreneurs, including sevenwomen,with Parita Parekh ofToddle and IshaAmbani ofReliance Retail being the youngest. Bengaluru and Mumbai lead thewaywith 29 and 26 entrepreneurs Youngest entrepreneur Ankush Sachdeva, 31, co-founder and CEO, ShareChat IITs have produced the highest number Parita Parekh, 32, co-founder and head of learning, Toddle Isha Ambani, 32, director, Reliance Retail Ventures IITMadras 13 IITBombay 11 First-generation shines, accounting for 82% First-generation Third-generation 123 17 Secondgeneration Fourthgeneration 4 6 IITDelhi & IIT Kharagpur 10 each IITRoorkee 6 Source: 2024 Hurun India Under35s NORMS TO BE UNDER CONSUMER PROTECTION ACT Centre, not Trai, to take on WhatsApp spam menace JATIN GROVER New Delhi, September 26 ITWILLNOT be theTelecom RegulatoryAuthorityof India (Trai),but the consumeraffairsministry,whichwill step in to curb spam calls and messages on over-the-top (OTT) applications like WhatsApp. Officials said that Trai has recommended that the consumer affairs ministry step in as it has the powers to regulate OTT apps under the Consumer Protection Act.“This is the bestwayto come upwith a regulatory mechanism to check spam calls and messages on WhatsApp,” officials added. On the broader OTT regulations, officialssaidthattheTraiislookingat coming up with a consultation paper to examine whether the definition of telecom services cover OTTs too.The exercise may not yield much as the Telecom Act has not defined OTTs as telecom services. However, the consumer affairs ministryis fullyempowered to regulate OTTs under the Consumer Protection Act, as such calls on WhatsApp can be seen as unfair trade practices,which mislead consumers. 6.717 UNDER-35 POWER Youngest women entrepreneurs WhyTelegram is a problem for govts EYE ON THE TARGET STRONG SIGNAL ■ Consumer affairs ministry to step in to curb spam calls and messages on OTT apps like WhatsApp ■ Consultation ■ An algorithm likely to run a check on phone numbers and messages paper to explore whether the definition of telecom services cover OTTs too ■ On broader OTT regulations,Trai may come up with a consultation paper ■ The exercise may not yield much as the Telecom Act has not defined OTTs as telecom services Officials said that the consumer affairsministryislikelytoworkonan algorithm which would run a check on phone numbers and messages to see if these are being used for marketing purposes. For instance, the algorithm will check how many calls or messages the identified numbers have made within say 2-3 hours. If the same runs into high double digits, they would be identified as ‘pesky’, be blocked, and penalty will be levied on the owners of these numbers. However, such offences will not be liable for criminal prosecution, as the Consumer Protection Act does not provide foranycriminal liability for such offences. Telecom operators have been urging the government to regulate OTT apps as well as the services provided by them are similar in nature to theirs. Continued on Page 7 New IT portal to fast-track refund of unclaimed shares Blueprint prepared, facility to be up and running by early 2025 PRIYANSH VERMA New Delhi, September 26 IN AN ATTEMPT to expedite the refund of unclaimed shares and dividends to the rightful parties, the government is working on setting up an integrated digital portal soon. The facility would make the process of “searching and claiming the lost shares easier”. According to official sources, the proposed information technology (IT) portal would be operational by early 2025. The InvestorEducation and Protection Fund Authority (IEPFA), the organisation responsible for refunding unclaimed shares,hasalreadypreparedablueprinton thefunctionalityoftheportal.“Onceoperational, the refund process will speed up significantly,”a official said. As of now, the total number of unclaimed shares lying with the IEPFA is JUSTA CLICK AWAY ■ Claimants can easily track the status of unclaimed shares or even locate wealth lost by their ancestors 1.1 billion total number of unclaimed shares lying with Investor Education and Protection Fund Authority `1 lakh crore total value of the unclaimed shares `5,700 crore ■ Plan to entrust companies with the responsibility of managing these refunds put on backburner total value of unclaimed dividends over1.1billion,valuedabout`1lakhcrore. The total value of unclaimed dividends stands at about `5,700 crore. The sources said that the newITportal will equip IEPFAto efficientlyprocess and refund unclaimed shares to rightful claimants“in a timely manner”. The government has put on backburner a plan to entrust companies with the responsibility of managing these refunds. In a discussion paper issued in March,the IEPFAhad said that to ease the process, it is being explored that the process of claim and refund will be done based upon theverification of the respective companies. “The Authority shall, based upon the approval of the company, refund the shares and the amount,as the case maybe, to the respective company for further refunding it to the rightful claimant,”the paper had said. Continued on Page 7 Swiggy files papers for `3,750-cr IPO AYANTI BERA Bengaluru, September 26 FOOD-TECH UNICORN SWIGGY has filed its updated draft red herring prospectus (DRHP) with the Sebi foran initial public offering (IPO) to raise `3,750 crore through a fresh issue.The issuewill also have an offer-for-sale (OFS) component of up to 185.3 million shares. The Bengaluru-based startup,which began as a restaurant aggregator in 2014,will be the second company to go public in the food-tech space afterZomato. The issue will see 10 of its existing shareholders,includingAccel,ApolettoAsia,Elevation Capital,NorwestVenture Partners and Chinese internet major Tencent’s Netherlands-based armTencent Cloud Europe,selling part of their stakes in the company. Netherlands-based MIH India Food Holdings plans to sell up to 118 million shares,venture capital firm Accel may sell up to 10.6 million shares,while Elevation Capital plans to sell up to 7.4 million shares in the upcoming IPO. Among the seven book-running lead managers for the IPO are Kotak Mahindra Capital, Citigroup Global Markets India,Jefferies India, Avendus Capital, JP Morgan India, JP Morgan India,BofASecuritiesIndiaandICICISecurities. With the capital raised, Swiggy plans to use the biggest chunk, about `982 crore, for expanding the dark store network for its quick commerce arm Instamart. It will also use around `930 crore for marketing and promotional expenses,while the restwill be used for investment in technology and cloud infrastructure, debt repayment and potential acquisitions. The offer document further shows that ON THE MENU ■ Investors like Accel, Coatue, Alpha Wave, Elevation, Norwest and Tencent will sell shares and reduce their ownership ■ Prosus (32%), SoftBank (8%), Accel (6%) are key investors in Swiggy ■ Elevation Capital, DSTGlobal, Norwest,Tencent, Qatar Investment Authority, GIC are other shareholders ■ Swiggy was valued at $10.7 billion when it last raised funds in January 2022 ■ Offer for sale would comprise 185.3 mn shares ■ Assuming the recent share price of around `350 apiece, the OFS could be of around `6,500 crore Swiggy reported revenue from operations of `3,222 crore in the quarter ended June,which is about 35% higher than the year-ago period when it had generated `2,389 crore in sales. However,losses stood at `611 crore in the June quarter,widerthan `564 crore ayearago. Continued on Page 7 Accenture sees Markets surge Listing time cut to close at new to T+3 for debt FY25 revenue growth of 3-6% record highs securities issue ACCENTURE, WIDELY CONSIDEREDasthebellwetherfortheIndianITindustry,hasforecastrevenue growth between 3-6% for FY25, higher than 2% in FY24, reports Ayanti Bera. However, this translates to a range of $66.8-68.8 billion,themidpointofwhichstillfalls shortofanalysts’estimateof$68.7 billion,as perBloomberg. ■ Page 4 BENCHMARK SENSEX RALLIED 666pointstocloseatafreshrecord high of 85,836.12 on Thursday following buying in auto and banking shares amid gains in global markets,reports PTI.Rallying for the sixth day in a row, the Nifty climbed 211.90 points or 0.81% to close at a record high of 26,216.05. ■ Page 6 SEBI HAS REDUCED the timeline for listing of public issue of debt securities to three working days fromsixdaysatpresent,tofacilitate faster access to funds,reports PTI. This new timeline will be optional for the first year and mandatory thereafter.The listing timeline of T+3workingdayswillbeapplicable on avoluntarybasis. ■ Page 6 Buch hopes for equity market-like growth in corp bonds FE BUREAU Mumbai, September 26 THE SECURITIES AND Exchange Board of India (Sebi) expects the corporate bond market to soon grow at the same pace as equity markets,chairperson Madhabi Puri Buch said on Thursday. “Thetransparencythathascome in and thewayinwhich there is now technology enablement, we certainlyhopethatthebondmarketwill rapidly see the kind of growth that we have seen in the equitymarkets,” Buch said at the Annual General Meeting(AGM)oftheAssociationof Mutual Funds in India (Amfi). Buch said the building blocks needed for the growth of corporate bond market are already in place. “Now, it is a question of activating those building blocks,”she said.She alsohighlightedthatIndiasaw`8.6 lakh crore of corporate bond issuances last year, but the corporate bond repo is just around `20,000 crore per month. With Sebi awaiting some approvals from the Reserve Bank of India(RBI),sheexpectsthenumbers toriseinthefuture.“Ourstrengthas a country lies in retail investors,” Buch said, adding that there is a need to encourage their participation in the corporate bond market. She emphasised that the mutual fund industry needs to work as a vehicle to be the voice of retail investors.“The reality is that retail investor, even today, does not have that consolidated power in order to reallyasserthimselfasashareholder of the company.So,the stewardship code,whichhasbeenadoptedbythe industry… we believe that there is huge value,” she said, adding that there are a lot of expectations from this industry in respect of carrying forward and strengthening the stewardship code. Continued on Page 7