PhonePe fund-raise, bank hiring increase among top business news today

The Federal highlights some of the major developments to look out for in the domestic business sector on Friday (March 10):

1. Deal time

1. Binny Bansal may pump in $100 million into PhonePe. (ET)
2. Manipal Health to acquire Kolkata-based AMRI Hospitals for Rs 2,350 crore. (BS)
3. Aakash pre-IPO round: Byju’s to raise $250 million. (BS)
4. Abu Dhabi Investment Authority and private equity fund ChrysCapital to acquire a stake in eyewear startup Lenskart for $600 million. (BS)

Impact: In the Calendar Year 2022, Indian startups witnessed a decline of 38.4 per cent in total funding compared with the previous year, while the number of investment rounds shrunk by 32 per cent. Hence, reports about startup investments picking up the pace are good news for the industry, which has lately seen high attrition levels. However, the valuations are expected to be more realistic than earlier. One of the reasons for the decline in funding was that only a few startups (about 15 to 20 per cent) were profitable. At the same time, the rest continued to depend on investments to fuel growth without showing any signs of profitability of their ventures.

Also read: Walmart eyeing India market among major developments to look out for today

2. Waiting period for new cars
   

Mercedes Benz and other car makers are focusing more on reducing the waiting period for the delivery of vehicles. It is becoming a major headache for dealers as customers flock to showrooms of used cars to buy one.

Impact: With the waiting period for most cars between six months and one year, the used car market is witnessing a huge rush, with used car prices rising 10 to 20 per cent. The Indian used car market is expected to reach $50 billion by 2026, registering a CAGR growth of 15 per cent.

3. Hiring in the banking sector to go up
   

Several banks, both in the public and private sectors, are planning to increase hiring because of higher attrition levels. However, financial institutions are finding it difficult to fill up even existing posts because most prefer joining IT companies, according to a few HR companies.

Impact: With Indian banks reporting a good December quarter driven by healthy growth in margins, according to US-based brokerage Bernstein, banks can seize this opportunity to make remuneration far more attractive to arrest attrition and at the same time increase hiring.

Also read: Track major developments: Record coal output, retail trade policy and more

4. Campa Cola

Reliance Consumer Products will relaunch Campa Cola with a fresh look in the market soon.

Impact: In an already overcrowded market with Coke and Pepsi as leaders, Reliance will have to find a niche for itself to grow the sales of its soft drink.

Who’s Meeting Whom 

Five-Star Business Finance: To meet investors and analysts on March 10.

CreditAccess Grameen: To meet investors and analysts on March 10.

HEG: To meet investors and analysts on March 10.