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On Slack: Rajasthan’s Land Bill Unlocks Dead Capital, Uber not Buying Ola, Insists Company, The Seemingly Trivial Realities Behind Tata Consultancy Services’ Massive Trade Secret Lawsuit and much more…


On Slack: Rajasthan’s Land Bill Unlocks Dead Capital, Uber not Buying Ola, Insists Company, The Seemingly Trivial Realities Behind Tata Consultancy Services’ Massive Trade Secret Lawsuit and much more...

The Slack Discussions

The Slack group at Capital Mind Premium has been extremely active and if you haven’t been there, pop us a note by replying to this email. (If you’re a trial member this probably sound like Greek to you; it will be available when you sign up!)

A brief summary of some of the interesting things discussed there in the last few days:

#general: Flipkart Stake Marked Down 15% by T Rowe Price

A mutual fund managed by T Rowe Price has marked down its shares of India’s most valued internet company Flipkart by 15%, the second investment firm after Morgan Stanley to resort to such a move.

#macronomics: Iran will not Attend Doha Oil Freeze Talks on Sunday: Sources

Iran will not attend a meeting between OPEC and non-OPEC member countries about freezing oil output levels in Qatar on Sunday, two sources familiar with the situation told Reuters.

Producers are struggling with low oil prices and an oversupplied market but have been loath to cede market share by cutting output.

#general: MS Dhoni Quits as Amrapali Brand Ambassador after Twitter Furore

Indian cricket team captain M S Dhoni has resigned as brand ambassador of realty firm Amrapali, days after the unhappy residents of a housing project in Noida launched a social media campaign asking the cricketer to dis-associate himself from the builder.

#general: Opportunity Strikes

Visitors to the Talegaon plant of Larsen & Toubro (L&T), an Indian engineering company, might confuse it for the props department of a film studio. Half-a-dozen hangars spread over 50 acres near Pune, a city in western India, are filled with enough weaponry to thrill a Bond villain: camouflaged track-mounted howitzers, anti-submarine rocket launchers and, particularly appealing should Blofeld share Indians’ fondness for trains, a contraption to turn a humble carriage into a ballistic-missile-launcher.

#macronomics: Indian Economy like ‘One-eyed’ King in Land of Blind: Rajan

With India being often described as ‘the bright spot in the global economy’, Reserve Bank Governor Raghuram Rajan sees this as a case of “the one-eyed man” being king in the land of the blind. Amid gloomy global economic conditions, Indian economy has been described by many as one of the few bright spots, including by IMF, while RBI under Rajan has also been credited with necessary steps to minimise the impact of external shocks on the country’s financial system.

#stocks: Why Maruti Suzuki is Likely to Keep Winning in India’s Car Market

In India’s automobile market, small is beautiful. For decades, the country’s largest carmaker, Maruti Suzuki, has used India’s affinity for small-sized cars to its advantage.

Now, as Asia’s third largest economy looks to bring in stricter safety and emission regulations, Maruti Suzuki’s small cars—and petrol engines—can help the company remain ahead of the pack.

#general: Microsoft sues US Government over Secret Demands for Customer Data

Microsoft is suing the government over a federal law that lets authorities examine its users’ email or online files without their knowledge.

It’s the latest conflict between the tech industry and U.S. officials over individual privacy rights. Law enforcement officials want freedom to view a treasure trove of information — including emails, photos and financial records — that customers are storing on electronic gadgets and in so-called “cloud” computing centers.

#macronomics: Rajasthan’s Land Bill Unlocks Dead Capital And It Should Be Replicated In Other States

On 4 April 2016, the Rajasthan Assembly passed the Rajasthan Urban Land (Certification of Titles) Bill. This legislation will give statutory backing to land records. In the process, Rajasthan became the first Indian state to enact a law on property titles.

#general: Google Maps will now Help you Avoid Traffic Jams across India

Google has updated its Maps mobile apps today with a crucial feature for India: improved traffic alerts.

The company says that when you use navigation mode on Android or iOS and enter your destination, the app will alert you about upcoming traffic conditions on the way to help you identify the quickest route.

#stocks: Our Forecast for Sensex@100,000 by 2024 Remains Intact: Mark Galasiewski, Elliot Wave

Mark Galasiewski: Some of your viewers may remember that back in March 2009, Elliot Wave International turned long-term bullish on Indian stocks and that in April 2009 I provide The Economic Times a long-term forecast of 15 years target of Sensex 100,000. I would like to say first that target remains very much intact and that our forecast remains on schedule. Since the 2008 lows in the Sensex, the index went on to triple over the next six years. It has since pulled back about 25 per cent to the February 2016 lows and has now rallied about 10 per cent. Is the correction over or will it continue?

#stocks: Alkem Labs Accused Of Fudging Trial Data By German Regulator

Alkem Laboratories has been accused by Germany’s health regulator of fudging data on clinical trials of an antibiotic and brain disorder drug, becoming the third Indian firm to be scrutinised since 2014 for suspected manipulation of trial data.

#general: Struggling to Find a Buyer, Jabong Slashes Price tag; Finds no Buyer Even at Rs 663 crore

Online fashion portal Jabong, which has been on the block for over a year, is struggling to find a buyer despite its investors dropping the asking price drastically, according to three people aware of the developments.

#macronomics: Warming Relations between India and America; A Suitable Boy?

They seem such a promising pair, India and America. The two biggest and noisiest democracies are linked by language and blood: 125m Indians speak English, and over 3m Americans claim Indian descent. They share a belief in the rule of law and (most of the time) in free enterprise, as well as common regional concerns over such things as fighting Islamist extremism and accommodating the rise of China. But as much as a match of American w
ealth and know-how with Indian brawn and drive would make sense, and ought to bolster global security, Indian pride and American prejudice have repeatedly got in the way.

#macronomics: Unified Payment Interface a Step Towards a Cashless Economy

India moved a step closer towards becoming a cashless economy with the launch of National Payments Corporation of India’s (NPCI’s) unified payment interface (UPI) on Monday.

UPI, which is expected to make e-commerce transactions easier, will also facilitatemicropayments and person-to-person payments.

#general: How US Covered up Saudi Role in 9/11

In its report on the still-censored “28 pages” implicating the Saudi government in 9/11, “60 Minutes” last weekend said the Saudi role in the attacks has been “soft-pedaled” to protect America’s delicate alliance with the oil-rich kingdom.

That’s quite an understatement.

#general: Uber may Drive Ola Away with Controlling Stake

Looks like warring taxi aggregators Uber and Ola may shake hands and close a deal soon. A source, who did not want to be named, told dna that Uber is close to acquiring a controlling stake in rival Ola.

He claimed that except for Japanese investor SoftBank, the rest of the shareholders in the Bengaluru-based start-up, including promoters Bhavish Aggarwal and Ankit Bhati, would exit from it.

#general: Uber not Buying Ola, says Company

ANI Technologies Private Limited, the promoters of Ola, have denied news reports that that certain investors in Ola were planning to sell their stake to Uber.

“We would like to state that the article, attributed to an ‘unnamed source’ is completely false, misleading, malicious and planted in the said newspaper with the intent of causing harm to the Ola brand and creating confusion among our stakeholders,” said a release from the company, adding that they had repeatedly denied the story.

#macronomics: Oil Falls on Failed Output Freeze; Dow above 18,000

Oil prices edged lower on Monday after producers failed to agree on a plan to curb global supply at a meeting in Qatar, while world stock markets rose and the Dow Jones industrial average closed above 18,000 for the first time since July.

#general: Fossil Fuels could be Phased out Worldwide in a Decade: Study

The worldwide reliance on burning fossil fuels to create energy could be phased out in a decade, according to a major energy think tank in the UK.

#macronomics: Banks led by SBI may Shut Doors on Lending to Punjab Government’s Food Purchases

A consortium of more than 30 banks led by State Bank of IndiaBSE -2.56 % is poised to slam the doors on lending to Punjab government’s food purchases this season as they await a settlement on seemingly missing stocks worth as much as Rs 20,000 crore, said two people aware of the matter.

#stocks: Do SIPs Really Work for You?

What do we want from our equity investments? We want reasonable returns; consistently, if not always. And we want returns to beat the inflation, to justify for the added risk that we take. While it’s easy to get to know returns of a particular mutual fund (MF) scheme from its fact sheet or website, those are fund returns. They are advertised. In other words, they are returns that are calculated from one specific point to another. But the returns that you make will not be the same as these.

#macronomics: Countries look to Draw Expatriate Cash with ‘Diaspora Bonds’

A growing roster of developing states are turning to their compatriots abroad to raise cash by marketing “diaspora bonds”, a funding strategy successfully pioneered by India and Israel but sometimes tricky to imitate.

#stocks: High-Frequency Trading Chief Lashes Out at Proposed India Probe

The head of one of India’s biggest high-frequency trading firms took a defiant tone after his company was implicated in a government-commissioned report alleging unfairness in the stock market.

Sanjay Gupta, chief executive at OPG Securities Pvt. Ltd., denied suggestions of wrongdoing and instead blamed the claims of possible impropriety on rivals seeking to bring his firm down.

#general: PF Withdrawal Allowed for Housing, Health

The labour ministry on Monday eased the planned restriction on withdrawal of contribution to the employees’ provident fund.

It said withdrawal can be allowed for housing, major medical treatment for self and family members, medical, dental and engineering education of children, and for their marriage.

#stocks: The Seemingly Trivial Realities Behind Tata Consultancy Services’ Massive Trade Secret Lawsuit

Move aside, discriminatory-hiring lawsuits. Allegations of corporate espionage have now hit the Indian IT industry.  On Friday, a US grand jury found Tata Consultancy Services guilty in a trade secret lawsuit, slapping the company and its  American arm with two fines that total up to $940 million, or a little over Rs. 6,000 crore.

The lawsuit was initiated by health software company Epic Systems in late 2014 at a US district court in Wisconsin. Epic Systems had accused TCS and Tata America International Corp (the American arm) of “brazenly stealing trade secrets, confidential information, documents and data”.

#general: Bullet Train Will Need 100 Trips Daily To Be Financially Viable: Study

The proposed bullet train between Mumbai and Ahmedabad will have to ferry 88,000-118,000 passengers per day, or undertake 100 trips daily, for the Railways to keep it financially viable, according to a report by Indian Institute of Management Ahmedabad ( IIM-A).

#stocks: ITC To Resume Cigarette Manufacturing After 15 Days

FMCG major ITC today said it will soon resume manufacturing of cigarettes at its factories, which it had suspended from April 1 over the large pictorial warning issue.

“Consequent upon a High Court order passed in favour of the company, the company will soon resume manufacturing of cigarettes at its factories,” ITC said in a filing to the BSE.

#general: ED Raids Sequoia Capital’s Bengaluru Office Over Alleged Forex Violation

The Enforcement Directorate raided Sequoia Capital’s office in Bengaluru on Monday as part of its investigation into alleged foreign exchange violations relating to Vasan Healthcare, a company in which the Silicon Valley venture had invested.

#stocks: Maruti Begins Paying Royalty To Suzuki In Rupees With Brezza

Car market leader Maruti Suzuki India Ltd will start paying royalty to its Japanese parent in rupees instead of yen on the new models starting this financial year, reducing the impact of cross-currency volatility on its financials.

The Vitara Brezza, Maruti Suzuki’s first compact sports utility vehicle, which was launched on 9 March, is the first model for which the firm will pay royalty in the Indian currency, three peoplefamiliar with the matter said on condition of anonymity.

#general: Follow the Sun

RAED KHADER, a Jordanian driver, has an alarming habit of thumbing his mobile phone while at the wheel—albeit on a straight road cutting across the desert. But after scrolling back through almost two years of photos, he finds a picture that tickles him: of camels against a sandy backdrop. Today that same spot outside Ma’an, a poverty-stricken city in south Jordan, is crawling with workers in the final stages of installing five square kilometres (almost two square miles) of solar panels.

#stocks: Nasscom Backs TCS Against US Jury Verdict In IP Case

Indian IT industry body Nasscom on Saturday said it would stand by IT firm Tata Consultancy ServicesBSE -0.03 % (TCS) against the verdict of the US jury in a lawsuit filed by an American software firm alleging stealing of its software code.


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Disclosure: The authors at Capital Mind have positions in the market and some of them may support or contradict the material given above, or may involve a direction derived from independent analysis.


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