Welcome to the Microcap Minute Newsletter!
I wanted to extend my gratitude for your patience, as this edition of the newsletter is arriving a little later than usual. The delay is due to my participation in the 8th Value Investing Pioneers Summit, held on October 26th, 2024, in New Delhi. It was an incredible experience engaging with some of the brightest minds in the industry, discussing the evolving landscape of value investing, and exploring fresh perspectives on identifying market opportunities.
So, grab a cup of coffee, settle in, and let’s dive into this week’s market happenings!
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All Caps Updates between 21st October 2024 to 26th October 2024
Aurobindo Pharma Limited: Completed the acquisition of the remaining 49% stake in GLS Pharma Limited for ₹22.5 crore, making GLS a wholly-owned subsidiary.
GAIL (India) Limited: Signed an MoU with VERBIO India to jointly develop agricultural residue-based compressed biogas (CBG) projects across India, including feasibility studies and potential joint ventures.
InterGlobe Aviation Limited: Approved an investment of ₹295 crore in IndiGo Ventures Fund – I, focusing on aviation and allied sector startups at pre-series A to Series B stages.
Power Mech Projects Limited: Incorporated a new subsidiary, P M T S Technology L.L.C, in Dubai with an investment of AED 300,000 to offer software development and technology services.
Kirloskar Pneumatic Company Limited: Agreed to acquire 55.26% equity in Systems and Components (India) Pvt Ltd for approximately ₹15.50 crore in cash, expected to complete in two months.
Godrej Properties
Emerged as the highest bidder for a 7.5-acre luxury housing plot in Gurugram with revenue potential over ₹5,500 crore.
Acquired approximately 3 acres in Vastrapur, Ahmedabad, for a premium residential project with an estimated booking value of ₹1,300 crore.
EaseMyTrip
Launched its first franchise store in Bhubaneswar, marking the 19th under its program, aiming for 100 stores by FY25.
Partnered with CARS24 to offer exclusive rewards, including a chance to win a pre-owned car and discounts on flight bookings.
Eris Lifesciences: Executed a term sheet to acquire a 30% stake in Levim Lifetech Pvt Ltd for ₹54 crore, completing by December 31, 2024.
Strides Pharma Science
Subsidiary acquired the remaining 30% stake in Strides Pharma International AG (Switzerland) for CHF 1.01 million.
Plans to invest up to ₹1.61 crore for a ~2.48% stake in AMPIN Energy C&I One Pvt Ltd to support solar power projects in Tamil Nadu.
Thermax Limited: Signed an agreement to acquire 100% of Buildtech Products India Pvt Ltd for approximately ₹72 crore, enhancing its construction chemicals portfolio.
Zomato Limited: Completed its investment in Byondnxt Smart Home Pvt Ltd by subscribing to 600 equity shares.
Sun Pharmaceutical
Presented data showing WINLEVI® Cream 1% effectively reduces sebum production and improves acne severity, supporting combination therapy.
Showcased LEQSELVI™ (deuruxolitinib) efficacy for severe alopecia areata, demonstrating significant hair regrowth over 68 weeks.
NLC India Limited
Announced joint ventures with the Rajasthan government for a 3×125 MW lignite-based power station and 2 GW renewable projects.
Signed agreements to develop thermal and renewable power projects in Rajasthan, holding a 74% stake in both ventures.
REC Limited
Incorporated Rajasthan V Power Transmission Ltd to facilitate power transmission from Rajasthan REZ Phase-V (4 GW).
Established Ratle Kiru Power Transmission Ltd to manage transmission from Ratle and Kiru hydropower projects.
Coromandel International Ltd
Approved acquiring an additional 6.67% stake in Coromandel Crop Protection Philippines Inc., raising ownership to 100%.
Announced ₹800 crore investments to expand its granulation facility and establish a pesticide plant in Gujarat.
Cyient Ltd
Acquired a 27.3% stake in Azimuth AI, Inc. for USD 7.25 million, enhancing its semiconductor capabilities.
Purchased Abu Dhabi & Gulf Computer Est. for USD 1.5 million upfront, expanding presence in the Middle East.
The Indian Hotels Company Limited (IHCL): Invested ₹49.99 crore in subsidiary Zarrenstar Hospitality Pvt Ltd to develop a hotel near Cochin Airport.
Tata Power Trading Company Ltd: Partnered with Keppel to introduce Cooling-as-a-Service solutions in India, targeting sectors like IT parks and data centers.
ABB Robotics: Signed an MoU with NAMTECH to establish a School of Robotics in India, launching in 2025.
Netweb Technologies: Expanded NVIDIA MGX-based Tyrone servers to advance India’s AI cloud infrastructure with Grace Superchips.
L&T Technology Services (LTTS): Launched an AI Experience Zone in Bengaluru, leveraging NVIDIA AI for mobility, healthcare, and telecom sectors.
Tata Consultancy Services (TCS): Launched a dedicated NVIDIA Business Unit to accelerate AI adoption across multiple industries using NVIDIA platforms.
Tata Communications: Announced AI cloud infrastructure in India powered by NVIDIA Hopper GPUs, rolling out by end of 2024.
TVS Motor Company
Launched the new TVS Raider iGO with “Boost Mode,” priced at ₹98,389.
Introduced the Apache RTR 310 in Singapore, featuring advanced technology and connectivity.
HCLTech: Expanded partnership with Transport for NSW to provide managed services, including AI-driven innovations, over five years.
RateGain Travel Technologies: Flight Centre Travel Group adopted AirGain’s price intelligence solution to enhance pricing strategy and profitability.
Le Travenues Technology Limited (ixigo): Agreed to acquire a 51% stake in Zoop Web Services Pvt Ltd for ₹12.54 crore, enhancing food delivery services on trains.
MSTC Limited: Entered an agreement to sell its 100% stake in Ferro Scrap Nigam Limited to Konoike Transport Co. Ltd. for ₹320 crore.
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Wipro
Collaborated with NVIDIA to provide AI-powered solutions across industries using the NVIDIA AI stack.
Partnered with Ericsson to migrate 5 million Odido customers in the Netherlands to a cloud-native billing platform.
Teamed up with Wealthtime and GBST to create a digital-first wealth management platform.
Dalmia Cement (Bharat) Ltd: Acquired a 5.39% stake in Atria Wind Power for ₹3.48 crore to secure 6 MW of wind power.
Info Edge (India) Ltd
Through Redstart Labs, invested ₹8 crore in Vyuti Systems Pvt Ltd for a 5.14% stake.
Invested ₹30 crore in subsidiary Redstart Labs (India) Ltd via 3 million CCDs.
Adani Ports: Completed the acquisition of an 80% stake in Astro Offshore Group for USD 194.78 million, expanding its marine services.
Zydus Lifesciences Ltd: Received WHO approval for its Typhoid Vi Conjugate Vaccine, ZyVac® TCV, eligible for UN procurement.
JSW Energy: Subsidiary signed a 25-year PPA with SECI for a 700 MW solar project at ₹2.56/kWh.
Gujarat Fluorochemicals Limited: Subsidiary GFCL EV Products Ltd raised ₹1,000 crore to expand in the EV and energy storage sectors.
Computer Age Management Services Limited (CAMS): Opened its second office at GIFT City, Gujarat, supporting global and Indian financial institutions.
Mahindra Holidays & Resorts India Ltd: Opened ‘Club Mahindra Pavagadh’ in Gujarat with 100 rooms and various amenities.
Escorts Kubota Limited: Announced the sale of its Railway Equipment Division to Sona BLW Precision Forgings Ltd for ₹1,600 crore.
Syrma SGS Technology Limited: Inaugurated an electronics manufacturing facility in Pune, expected to create 1,000 jobs.
Infosys: Launched a Center of Excellence in Bengaluru with Meta to accelerate AI innovation using Llama models.
RITES Ltd: Signed an agreement with NMDC Limited to provide project management for rail connectivity to mines.
POWERGRIDP: Approved a ₹284.10 crore project to evacuate power from Rajasthan’s Renewable Energy Zone by December 2025.
Mahindra Lifespace Developers Ltd: Formed a joint venture with Actis, acquiring a 26% stake in Ample Parks MMR Pvt Ltd for ₹20.05 crore.
Prestige Estates Projects Limited: Increased stakes in five subsidiaries, making four wholly-owned, and raised its stake in Prestige Projects to 76%.
Mankind Pharma: Completed the acquisition of Bharat Serums and Vaccines for ₹13,768 crore, enhancing its healthcare portfolio.
Mahindra & Mahindra: Inaugurated the Passive Safety Lab and Battery & Cell Research Lab in Tamil Nadu, investing over ₹300 crore.
Lemon Tree Hotels
Signed a license agreement for a new property in Aurangabad, opening in FY2028.
Signed a license agreement for a hotel in Kalaburagi, Karnataka, opening by FY2027.
LTIMindtree: Launched ‘AI-Smart Underwriter’ with ServiceNow to automate insurance underwriting using AI.
Happiest Minds Technologies: Recognized as a ‘Major Contender’ in Everest Group’s Cybersecurity PEAK Matrix® Assessment 2024.
MRF Limited: Signed an agreement to acquire up to 26% equity in Clean Max Omni Pvt Ltd for ₹7.26 crore to enhance renewable energy supply.
Ambuja Cements: Announced the acquisition of a 46.8% stake in Orient Cement for ₹8,100 crore, adding 16.6 MTPA capacity.
Firstsource Solutions: Developed a domain-centric Large Language Model for the U.S. mortgage sector to improve loan processes.
Choice Finserv: Acquired retail lending businesses of Paisabuddy Finance and Sureworth Financial Services, boosting AUM to ₹801.6 crore.
Bikaji Foods International: Invested ₹63 crore in subsidiary Bikaji Foods Retail Ltd by subscribing to 25.2 lakh equity shares.
Power Finance Corporation Limited (PFC): Incorporated Gadag II and Koppal II Transmission Ltd as subsidiaries to develop transmission projects.
Krishna Institute of Medical Sciences (KIMS): Increased its stake in Sarvejana Healthcare (Sunshine Hospital) to 66.35% by investing ₹36.88 crore.
Triveni Engineering & Industries Ltd: Entered the IMFL market by launching two whisky brands, aiming to reach 5,000 outlets in Uttar Pradesh by FY2026.
Reliance Infrastructure: Launched Dhirubhai Ambani Defence City in Maharashtra, investing ₹10,000 crore over 10 years.
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Paytm (One 97 Communications Ltd): Received NPCI approval to onboard new UPI users effective October 22, 2024.
Adani Airport Holdings Limited: Formed a joint venture, Smartport City Limited, with Indoport Logistics, holding a 74% stake.
Nazara Technologies: UK subsidiary secured an unsecured loan of up to GBP 6.8 million from Kiddopia Inc.
Angel One Limited: Incorporated Angel One Foundation to promote education and skill development among underprivileged communities.
Sudarshan Chemical Industries Limited: Signed an agreement to acquire the global pigment business of Heubach Group, closing in Q1 2025.
Oberoi Realty: Launched Oberoi Garden City Thane, achieving bookings of ₹1,348 crore for 5.65 lakh sq ft in three days.
KPIT Technologies Ltd: Completed a €14.5 million milestone payment as part of acquiring the Technica Group.
Mastek Ltd: Partnered with Innovaccer to integrate AI-powered healthcare solutions with its digital services.
Bharti Airtel: Became the first to offer uninterrupted 5G connectivity across all stations of Mumbai Metro’s Line-3.
The Great Eastern Shipping Company Ltd: Delivered the Supramax Dry Bulk Carrier “Jag Rani,” with a fleet now consisting of 41 vessels.
Neobrands Ltd (RattanIndia Enterprises): Launched Akkord, offering affordable musical instruments like guitars and keyboards.
Royal Enfield: Began operations in Bangladesh with a manufacturing facility and introduced four motorcycle models.
Gravita India Ltd: Subsidiary Navam Lanka Ltd to repurchase 25.56% of its shares at LKR 3,530 per share, totaling around ₹23 crore.
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Disclaimer
All information is sourced from publicly available data, and while every effort has been made to ensure the accuracy and reliability of the information provided in these notes from the management meeting, Ayush Agarwal Research cannot guarantee that the information is complete or free from errors.
I, Ayush Agrawal, am registered with SEBI as an Individual Research Analyst under the registration number INH000013013, effective from September 14, 2023.
I offer paid research services to my clients based on this certification. Opinions expressed otherwise regarding specific securities are not investment advice and shall not be treated as recommendations. Neither I nor my associates/ employees shall not be liable for any losses incurred based on such opinions.
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The content presented should not be construed as investment advice unless explicitly stated in a client-specific research report. I or my employees/associates shall not be held liable/responsible in any manner whatsoever for any losses the readers may incur due to acting upon this content.
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We cannot guarantee the completeness or reliability of the information presented. Readers are encouraged to conduct their own research and consult with a professional advisor before making any investment decisions.
