Adani & Ambuja Cement, Govt Tackling Gpay & PhonePe, VI Investors, Zepto Gains, Etc.

Indian Authorities to Tackle PhonePe, Google Pay Market Dominance in UPI:

• NPCI will engage with fintech startups in April to address the dominance of PhonePe and Google Pay in India's UPI ecosystem.

• PhonePe and Google Pay collectively account for nearly 86% of UPI transactions by volume.

• PhonePe has expanded UPI services to Nepal, Singapore, and the United Arab Emirates, while Google Pay signed agreements for international UPI payments.

• Regulatory actions by the RBI have contributed to the decline in market share for Paytm, the third-largest UPI player.

• The RBI has expressed displeasure to NPCI regarding the growing duopoly in the payments space.

• A parliamentary panel has recommended supporting domestic fintech players to offer alternatives to PhonePe and Google Pay.

• NPCI executives will meet with representatives of various fintech firms to discuss initiatives to boost UPI transactions and understand their support needs.

• NPCI advocates capping individual companies' market share in the UPI ecosystem at 30% by December 2024, but enforcement is challenging.

• The RBI is considering measures to create a more favourable competitive landscape for emerging UPI players.

• UPI, developed by Indian banks, processes over 10 billion transactions monthly and is gaining momentum internationally.

 How Anchor Investors Propel Vodafone Idea's Rs 5,400 Crore FPO Success:

• Vodafone Idea (Vi) raised approximately Rs 5,400 crore in its FPO from anchor investors.

• Anchor investors include GQG Partners, Fidelity Investments, UBS Fund Management, Jupiter Fund Management, and Australian Super.

• Anchor investors commit to buying a significant portion of shares upfront in an IPO or FPO.

• Their participation boosts confidence, ensures demand, and stabilises share prices.

• The FPO aims to raise funds for Vi's expansion plans, including network infrastructure and spectrum payments.

• It differs from an IPO as it involves a publicly traded company issuing new shares to raise additional funds.

• The FPO shares are offered at Rs 10-11 apiece.

• Half of the FPO size is reserved for qualified institutional buyers, 15 percent for non-institutional investors, and 35 percent for retail investors.

• Vi plans to allocate funds for network infrastructure expansion and spectrum payments.

• The company aims to roll out its 5G network service within six to seven months of securing funds.

 Blinkit Leads as Zepto Gains: HSBC Report Analyses Quick-Commerce Trends:

• Zepto's market share in quick-commerce (QC) increased from 15% in March 2022 to 28% in January 2024, while Instamart's share declined from 52% to 32% during the same period.

• Blinkit, the market leader, expanded its share to 40% by January 2024.

• HSBC raised the target price of Blinkit parent Zomato’s shares to Rs 215 and rated it a ‘buy’.

• India is transitioning directly from unorganised retail to QC, with QC platforms imitating attributes of unorganised retail.

• Quick-commerce platforms are recording robust sales growth in non-grocery categories like beauty, toys, health, and electronics.

• Zepto's annualised gross sales of $1.2 billion currently include around 15% from non-grocery products.

• Advertising earnings are crucial to the profitability of QC platforms, with more favourable terms for grocery vs. non-grocery categories.

Briefs, You Can’t Miss:

1. Tech Industry Growth Forecasted to Slow to 3.8% in FY24 from FY23.

2. Tata, Reliance, DMart in Discussions to Acquire 24Seven from Godfrey Phillips.

3. UNCTAD Report Suggests Indian Economy to Expand by 6.5% in 2024.

4. UNFPA Estimates India's Population at 1.4 Billion, with 24% in the 0-14 Age Group.

5. MG Motor India Eyes Network Expansion in Tier III and IV Cities for Next Growth Phase.

6. Former RBI Chief D Subbarao Cautions Against Premature Celebration of India's Economic Growth, Advocates Addressing Per Capita Income Disparity.

7. Aditya Birla Prepares to Launch Super App, Emphasising Fintech.

8. LinkedIn Releases Top Companies 2024 List, Highlighting Leading Companies in India.

9. India Plans Nvidia Deal for GPUs Under AI Mission to Provide Subsidised Units to Startups.

10. Amwoodo, Bamboo Products Maker, Secures $1 Million Investment from Zerodha's Rainmatter.

11. NPCI Grants Approval to Paytm to Commence User Migration to PSP(payment service provider) Bank Handles.

12. Adani Injects Rs 8,339 Crore into Ambuja Cements, Boosts Stake to 70.3%.

World Briefs

• Overseas Investors Offloaded Nearly $2.2 Billion in Emerging Market Equities Excluding China in April.

• Ashmore Takes Contrarian Position, Preferring China Over India.

• President Biden to Propose Tripling China Tariff Rate on Steel and Aluminum Imports to 7.5%.

• Apple CEO Tim Cook Considers Manufacturing Expansion in Indonesia After Meeting with President Joko Widodo.

• Apple Partners with CleanMax to Develop Solar Rooftop Projects in India through Joint Venture.

AI Briefs

• Mobileye Founder Developing Humanoid Robot.

• Samsung Unveils Ultra-Premium Neo QLED 8K, Neo QLED 4K, and OLED TVs with AI Technology.

• Intel and Partners Pledge to Develop Open Generative AI Tools for Businesses.

• LinkedIn Experimenting with Paid Premium Company Page Featuring AI-Assisted Content Creation.