Messi joins Byju, Adani buys Air Works & more!
A lot happened this week, and here is a quick rundown.
Top of the morning folks! Catch up quickly on top business news this week in under 4-min, If you haven’t subscribed already join the mail list now!
1. Adani buys Air Work for Rs.400 crores 💸
What's happening: Adani Defence Systems & Technologies (ADSTL Ltd.) has signed definitive agreements to acquire Air Works, India's largest and most diverse independent MRO (Maintenance, Repair, and Operations) with a presence in 27 cities nationwide.
This is a huge boost to Adani as it would allow them to expand and utilize the base maintenance for the ATR 42/72, A320, and B737 fleets which happens to be provided by Air Works' EASA and DGCA-certified facilities in Mumbai, Delhi, Hosur, and Kochi.
What's happening: Adani Defence & Aerospace is the $250 billion Adani Group's defense manufacturing arm, with the goal of assisting in the transformation of India into a destination for world-class high-tech defense manufacturing.
Buying Air Works for Rs 400 cr will allow them to expand even further
What they're saying: There has not been much communication from involved companies about the intricacies of the deal besides its supposed acquisition and other minor details.
According to Ashish Rajvanshi, CEO of Adani Defence & Aerospace, the maintenance, repair, and overhaul sector is critical in both the defense and civilian aerospace sectors.
The company further highlighted that the Indian MRO market is expected to grow three times from $1.7 billion to $5.0 billion by the year 2030 providing immense incentive for the deal to work through.
2. Sprite reaches $1 Billion in yearly sales🧋
Why it matters: Surpassing $1 Billion in sales just recently, the soft drink company has now joined the leagues of Thums Up which reached this milestone.
Sprite drink has the highest household penetration in the company's India portfolio.
Coca-Cola continued to strengthen as it gained a share in sparkling offerings in the first half of 2022.
What was said: In the earnings statement for the third quarter ended September, the world’s largest beverage company said that unit case volumes grew 9% in the Asia-Pacific region, driven by solid growth in India and China.
By the number: The company's net revenue grew 10% to $11.1 billion in the July-September period owing to price hikes.
India is the fifth-largest market for Coca-Cola globally.
The company drove 2.5 billion transactions in India at affordable price points through the expansion of returnable glass bottles and single-serve PET packages.
This achievement can be credited to the "Success driven locally adapted, occasion-based global marketing campaigns," said James Quincey, chairman and chief executive officer of the Coca-Cola Co., in a post-earnings conference call.
3. MobiKwik’s Loss Widens 15% To ₹128.2 Cr 📉
What is happening: MobiKwik, a well-known player in the fin-tech space was planning to go public in FY22 and had submitted draft papers to the SEBI in July 2021.
However, the company decided not to go ahead with its IPO plans after the market turned negative, with newly listed tech stocks suffering losses.
MobiKwik's IPO, which was scheduled for Diwali last year, was aiming for a valuation of $1.5 to $1.7 billion.
By the numbers: According to the company's regulatory filings, MobiKwik's operating revenue increased 82.5 percent to INR 526.5 crore in FY22, up from INR 288.6 crore in FY21, while income increased by 80% to Rs. 543 crores.
Despite a 1.8x increase in operating revenue, FY22 losses increased.
MobiKwik's total expenses rose by 61% to Rs. 652.5 crores.
Employee benefit costs nearly doubled to Rs. 107 crores, while other expenses more than doubled to Rs. 545 crores.
What's in spotlight: MobiKwik, founded in 2009, is a Gurugram-based fin-tech startup that joined the illustrious unicorn club in October 2021 after some of its employees exercised their employee stock option plans (ESOPs).
MobiKwik also raised $20 million from the United Arab Emirates (UAE) sovereign wealth fund- Abu Dhabi Investment Authority in June 2021.
What's next: MobiKwik's authorized share capital increased from Rs 19.42 crore to Rs 34.52 crore during the year, according to regulatory filings.
In an interview Upasana Taku, co-founder, stated that the company expects to be profitable by FY24.
🔥Top headlines this week:
Byju's announced Lionel Messi as the global ambassador of its social impact arm Education For All, This comes amid the layoffs of 2,500 employees, and control costs.
WhatsApp Groups: Meta launched Communities, its new feature that supports groups of up to 1,024 people, <2GB file sharing, and message deletion by admins.
Out of the blue: Meta India chief Ajit Mohan is leaving the company with immediate effect to head rival Snap’s Asia Pacific business.
Lawsuit: Nasdaq-listed Freshworks is facing a class action suit by US shareholder rights firms that allege the SaaS major’s IPO documents were false and misleading.
Private Equity: VC investments in China fell 44% to $62.1 billion in October compared to last year; the semiconductor sector was the only exception, with a 24% increase in VC deals.
Enjoy the newsletter? Consider forwarding it to a friend, colleague, classmate or whoever you think might be interested. They can sign up here.
Do you want the world to know your story? Email Us
Visit our website for daily news updates! (Page Twenty One)
See you next week 👋