MedPlus has scale, Wellness Forever scores in product mix. Which IPO will get more investor love?

Courtesy of MedPlus via Facebook and Wellness Forever. Synopsis The pandemic has brought pharmacies to the fore, but they are still a thin-margin business. However, modern-retail pharmacy chains offer investors a play in a steady-growth, low-risk business with good return on capital. One thing is clear, though: The first IPO to open will impact the …

Realty boom, capex cycle, Unitech’s fall: what pro-cyclical investors can learn from the past

Synopsis Fund managers are sensing a return of the capex cycle across sectors, beginning with real estate. Even though broad economic indicators are yet to show robust signs of a pickup, one can’t miss the rally in real estate, telecom and capital goods stocks. Are we up to something here? The previous capex cycle could …

Market-linked debentures are gaining popularity among debt products. Are they tax-efficient?

Concept by Muhabit ul haq. Synopsis Market-linked debentures are like zero-coupon debt instruments where the payoffs are dependent on the linked indices. Their tax treatment, though complicated, can offer better post-tax returns to investors, compared to plain vanilla debt securities. Low interest rates have left debt investors with very few doors to knock. Earlier, an …

Invesco | Sony Zee Deal: Showdown between Invesco and Punit Goenka raises question over deal’s future

Synopsis Invesco’s tough stance on Goenka has put a spanner in the proposed Sony-Zee merger. An initial spurt in Zee’s stock price indicated that his ouster would be good. But it’s not simple. Goenka can be an asset. He knows the tricks of the trade. However, for investors, a deal with Sony is the best-case …

Ritesh Agarwal has steered Oyo from chaos to clarity. Is that enough to pull off a successful IPO?

A logo of OYO installed on a hotel building in New Delhi, India on September 24, 2021 Synopsis In early 2020, Oyo embarked on a revamp to shore up the business performance and operations management. Avoiding an implosion nearly 18 months ago, Oyo has managed to change the narrative. But as it plans for a …

How Evergrande’s Hui Ka Yan blew up a USD43 billion fortune

China Evergrande Centre sign seen on the front of their building Synopsis Fuelled by easy money, China was undergoing a housing boom in 2017. Evergrande’s surging share price propelled Hui from No. 10 to No. 1 on the Hurun China Rich List. He appeared so confident about the market’s prospects that Evergrande continued borrowing vast …

A perfect value bet: how Jio, retail ventures are powering the Reliance Industries stock

Mukesh Ambani, chairman and managing director, Reliance Industries Synopsis While petrochemicals and refining form the majority of RIL’s business, it’s retail and Jio that are driving the stock up. Long seen as an old-school refining business, the perception towards RIL is changing. It has the elements of a successful startup – a new digital business, …

Shinier than the yellow metal: why Bitcoin is more than just ‘digital gold’

Synopsis Since Bitcoin has many properties of gold, parallels are drawn between the two. But calling it ‘digital gold’ could amount to oversimplification. Bitcoin is a secure store of value due to its core proposition of decentralisation, which makes it resistant to censorship. Though there’s growing demand for the cryptocurrency, Bitcoin needs to prove that …

Giving value a pass, BAAP investors hunt for quality picks to add to their portfolios

Synopsis Classic value investing has got a drubbing in the post-2008 world. This year, it has made a comeback. However, not many believe that it will live up to its past glory. Most value chasers have become quality investors, who are now happy paying for good fundamentals at any price. When S Naren saw the …

How Evergrande could turn into China’s Lehman Brothers

Evergrande Center in Shanghai, China on September 17, 2021 Synopsis At the end of June, Evergrande had nearly 2 trillion Yuan (USD309 billion) of debt on its books. It is on the verge of debt restructuring or even bankruptcy, many institutions believe. A bankruptcy would amount to a financial tsunami, or as some analysts put …