Category: Business


Fresh Funds For Ambani Led Jio

Jio Platforms Ltd. received another financial stimulus of $873 million from General Atlantic that invested in Airbnb Inc. and Uber Technologies Inc. It has taken a 1.3% stake in the digital services business of billionaire Mukesh Ambani, Reliance Industries Ltd.

More dollars for billionaire Ambani

The latest stimulus from the US based private equity fund General Atlantic increased the enterprise value of Reliance Industries Ltd. The company now values Rs. 5.16 trillion ($68 billion). And the total transaction raised by Jio is increased to almost $9 billion. It includes stakes bought by Facebook Inc., Silver Lake and Vista Equity Partners.

Jio plans to broaden its e-commerce drive using its 400 million mobile phone subscribers that is a vast customer market from retail to education and payments. Akash Ambani, director of Reliance Jio, and Chairman Mukesh Ambani’s son said that he was delighted that a renowned global investor like General Atlantic was partnering with Jio in their journey to digitally empower India and Indians.

Ambani will make payments

Mukesh Ambani will pay more than $20 billion of net debt at Reliance with this fund. He … Read the rest


Booze To Cost 70% More In Delhi From Today

Delhi government decided to add a 70% corona tax on liquor sale. The tax will be applied to the MRP (maximum retail price) of each bottle. The decision was taken on Monday and it will be implemented from Tuesday. The government wants to increase its revenue with liquor sale.

70% on liquor sale in Delhi

The Delhi CM Arvind Kejriwal chaired a cabinet meeting on Monday morning to discuss ways to harvest liquor sale to boost revenue of the state that is down by more than 100% in comparison to last year. Delhi’s revenue in April 2019 was Rs. 3,500 crore but it plunged to Rs. 300 crore in April 2020.

The CM discussed the corona tax model with his cabinet colleagues and ordered charging 70% for per bottle from the buyers. After the renewed price, a bottle that costs Rs. 1,000 on MRP will now cost Rs. 1,700 due to the tax. The additional tax will help boost the revenue in the coming days.

Liquor sale in Delhi

Delhi government has authorized agencies to sell liquor in the capital. These agencies are DTTDC, DSIDC, DSCSC and DCCWS. And they … Read the rest


E-retailers Want To Take Part In Joint Fight Against COVID-19

E-commerce giants Amazon and Flipkart again put the case for sale of non-essential goods and asked for permission to sell the items that have become essentials over a prolonged period. Also, the ecommerce companies promised to make deliveries while following the lockdown conditions of social distancing.

Amazon delivery

It said that ecommerce offered the safest way for sellers/retailers to serve the needs of citizens while ensuring social distancing. Amazon was committed to keep citizens safe and that e-commerce can play a crucial role in the joint fight against the pandemic said the company. It further maintained it can help in fight against coronavirus by starting supply of goods.

Flipkart delivery

The ecommerce company said that it can help in easing the burden of piled up inventory of MSMEs with quick delivery of products to consumers in a safe and secure manner. Also, it promised maintaining social distancing norms while making online deliveries to consumers.

Government on ecommerce deliveries

The government has allowed sale of essential goods that include pharmaceuticals and medical equipment through ecommerce platforms but it has put a ban on sale of non-essential goods by e-retailers. The delivery … Read the rest


What Are Local Shops On Amazon?

Local Shop on Amazon is new initiative by Amazon. The programme is launched to scale the business by starting selling goods directly from local shops. But the real objective is to get an edge over Reliance’s JioMart and Walmart-owned Flipkart.

Amazon’s new programme

The US e-commerce giant has promised to invest Rs. 10 crores in its “Local Shop on Amazon” programme. The company has already started the project with over 5,000 traditional retailers. The programme will provide the convenience of ordering goods online and scalability to offline retailers.

The pilot project has been kicked off in over 100 cities including big metros and Tier-1 and Tier-2 cities like Ahmedabad, Coimbatore, Faridabad, Hyderabad, Indore, Jaipur, Lucknow, Pune, Saharanpur and Surat. The sellers participating in the project include automotive, books, furniture, home décor, jewellery, kitchen appliances, sports and toys.

Traditional retailers are included in the programme with a condition that is to have a robust delivery mechanism of same day or the next day. Amazon wants the retailers to use pin-code delivery system to ease the burden from its delivery fleet. The shopkeepers are provided “Amazon Delivery … Read the rest


Facebook Invests $5.7 Billion In Reliance Jio

Reliance Industries share took a high jump when the social media giant Facebook announced buying a minority stake in Reliance Jio. It would invest $5.7 billion (Rs. 43,574 crore) in the Mukesh Ambani owned telco firm. With the investment, Facebook will become the largest minority shareholder in Jio Platforms Limited.

Highlights of the share market news

• Reliance Industries witnessed a jump of 103 points (8.33%) from Rs. 1,236 to Rs. 1,339

• Sensex traded 131 points higher at 30,758

• Reliance Industries share was also a top gainer on Nifty

• On NSE, its share gained over 8% to Rs. 1,339

• Total 4.11 lack shares were traded on BSE

• The trading value of shares was Rs. 55.72 crore

• After trading, the market cap of the firm increased to Rs. 8.23 lack crore on NSE

Stock of Reliance Industries Limited

The 5, 20 and 50 day moving average of RIL stock was higher after the trading but lower than the 100 and 200-day mowwving averages. Also, RIL reported a gain of 13.57% in one week and 28.03% … Read the rest

Biggest Ever Meltdown In Crude Oil Prices Explained

Biggest Ever Meltdown In Crude Oil Prices Explained

A measure of oil volatility skyrocketed to more than 400% on Monday when crude oil went below to $10 a barrel and then to zero and then slipped into the land of negative. And it is the first time that crude crashed into negative territory.

Monday’s wild market action

Brimming storage tanks signal extreme disconnect between supply and demand due to coronavirus-led economic slowdown. The present demand for crude oil is at a standstill. Here’re three actions that describe the market condition.

Selling Frenzy

The May contract of West Texas Intermediate crude’s front-month contract closed at a more than $50-a-barrel discount to the June contract. And it is the biggest discount on record. It could be due to the traders rushing to sell the May contract ahead of its expiration on Tuesday.

Wild Swings

Tariq Zahir, a commodity fund manager at Tyche Capital Advisors LLC commented on the falling crude oil prices to negative zone. He said that oil prices in their opinion had nowhere to go but lower from there on the June contract. He further maintained that the demand wasn’t coming back anytime soon. They would have a … Read the rest