Ambuja Cements Stake Sale, Wipro’s Liquidation and IT Modernization, Adani Power’s Acquisition Approval, and Bharat Forge’s Investment in EV Subsidiary

Opening Bell:             

Gift Nifty is down by 18.5 points in the early morning trade, indicating a negative opening for Indian stock market                                  

Asian markets showed mixed performance on Friday, reacting to a sell-off on Wall Street overnight and the release of Japan’s inflation data. Japan’s Nikkei edged up by 0.2%, while the Topix gained 0.32%. In contrast, futures for Hong Kong’s Hang Seng index pointed to a lower opening.

The U.S. stock market closed lower on Thursday, pressured by a sell-off in technology shares as Treasury yields rose, and global central bank officials gathered at the Jackson Hole Economic Symposium. The Dow Jones Industrial Average fell by 177.71 points, or 0.43%, to 40,712.78. The S&P 500 lost 50.21 points, or 0.89%, to close at 5,570.64, while the Nasdaq Composite dropped 299.63 points, or 1.67%, finishing at 17,619.35.

Stocks News:

👉 Ambuja Cements: Promoter group entity Holderind Investments has initiated a block deal to sell a 2.84% stake in Ambuja Cements for $500 million, according to multiple sources cited by Moneycontrol. The floor price for the block deal is set at Rs 600 per share, reflecting a 5% discount to the last closing price of Rs 631.80 per share on August 22.

👉 Wipro’s step-down subsidiary, Rizing Management LLC, has been voluntarily liquidated as of August 21. In other developments, Wipro has been chosen by John Lewis Partnership (JLP) to transform and modernize its IT infrastructure.

👉 The National Company Law Tribunal (NCLT) in Hyderabad has approved Adani Power’s resolution plan to acquire Lanco Amarkantak Power, which is currently undergoing the Corporate Insolvency Resolution Process (CIRP) under the Insolvency and Bankruptcy Code. The acquisition involves an upfront payment of Rs 4,101 crore.

👉 Bharat Forge will invest Rs 105.45 crore in its subsidiary Kalyani Powertrain by subscribing to 10,54,50,000 equity shares. Kalyani Powertrain operates in the electric vehicle (EV) and e-mobility solutions sector.

👉 The foreign institutional investors (FIIs) bought equities worth Rs 1371 crore on August 22, while domestic institutional investors also bought equities worth Rs 2971 crore on the same day.

Domestic and International Events

• All three internal members of the Reserve Bank of India’s Monetary Policy Committee (MPC) emphasized the importance of keeping food prices within the central bank’s broader inflation target, as revealed in the minutes of the RBI’s latest policy meeting on August 8.

• Japan’s core inflation accelerated for the third consecutive month in July, with the nationwide core consumer price index (CPI) rising 2.7% year-on-year, up from 2.6% in June. However, the “core core” index, which excludes fresh food and energy costs, increased by 1.9%, down from 2.2% in June. This marked the first time it fell below the key 2% level since September 2022.

• The number of Americans filing new applications for unemployment benefits increased in the most recent week. Initial claims for state unemployment benefits rose by 4,000 to a seasonally adjusted 232,000 for the week ending August 17. This slightly exceeded economists’ expectations, who had forecast 230,000 claims, according to a Reuters poll.

• Oil prices remained steady during early Asian trading on Friday, though they were on track to end the week lower. Downward revisions to U.S. employment data sparked concerns about demand, while ceasefire talks in Gaza alleviated fears of supply disruptions.

EMERGING	LATEST	% 1D
Hang Seng	17,641	1.4 %
Shanghai Composite	2,849	(0.3) %

DEVELOPED	LATEST	% 1D
Dow Jones	40,713	(0.4) %
DAX	18,493	0.2 %
FTSE 100	8,288	0.1 %
Nikkei	38,211	0.7 %
Straits Times	3,374	(0.0) %