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• There has an excellent demand for the LG Electronics India (LGEI) IPO among the institutional investors which sets the stage for a positive rally once it starts trading.
• LGEI raised 4.43 trillion rupees in subscription funds during the general subscription period from 7 to 9 October. This amount is approximately 40 times the initial public offering (IPO) target.
• Our base case valuation is target price of 1,514 INR which is 33% higher than the high end of the IPO price range.

• Electronic payments and consumption surged post the GST rate cut, with Delhivery reporting a record 104 million shipments in September 2025.
• The Ecom Express integration and festive demand have positioned Delhivery for volume leadership and margin expansion.
• With strong execution and improving capital efficiency, Delhivery is set to consolidate its dominance in India’s third-party logistics market.

• Canara HSBC Life Insurance (2908709Z IJ) (CHLI) is looking to raise US$284m from its upcoming India IPO, which is an entire secondary share sale.
• CHLI is a private life insurer in India,  promoted by Canara Bank and HSBC Insurance (Asia-Pacific) Holdings Limited, a member of the HSBC group. 
• It offers a comprehensive range of life insurance products tailored for both individual and group (i.e., companies, businesses or organizations) customers.

• SEBI has approved IHH Healthcare’s open offer for acquisition of up to 26% stake in Fortis Healthcare (FORH IN). If materializes, this should uplift IHH’s holding in Fortis to 57%.
• In 2018, Fortis’ original open offer price was INR170 per share, and the offer size was INR33B. Currently, Fortis share is trading at INR1,054, up more than 6x since 2018.
• IHH will make appropriate announcement ‘in a timely manner’, which should provide clarity on open offer pricing. Unless an attractive revised price is announced, the shareholders acceptance will be limited.

• WeWork India Management Ltd (1690124D IN) raised about US$338m in its India IPO.
• WeWork India (WWI) offers a wide range of workspace solutions, including custom-designed buildings, floors, and offices, enterprise office suites, private offices, co-working spaces, customized managed offices, and hybrid digital solutions.
• We have looked at the company’s past performance and valuations in our previous notes. In this note, we will talk about the trading dynamics.

• Trent Ltd (TRENT IN) reported first half FY2026 revenue growth at 19%, well below the Street’s full-year consensus estimate of around 26%.
• With Zudio store expansion wave now maturing and no new growth engine of comparable scale yet in sight, revenue growth appears to be normalizing to the low double-digit range.
• In this context, the stock’s steep valuation multiples (78.5x 1-year forward P/E) look increasingly difficult to justify; as growth expectations are recalibrated a valuation de-rating seems likely.

• Rubicon Research Limited (1453591D IN) is looking to raise about US$155m in its India IPO.
• RR’s has shown strong FY25–1Q26 growth, driven by expanding product launches, ANDA approvals, and higher US market penetration, while margins improved with operating leverage and lower R&D intensity.
• In our earlier notes, we have looked at the company’s past performance. In this note, we talk about the RHP updates, peer comp and implied valuations in the price range.

• MSIL decisively shifted to UVs, reaching a 41% segment share in FY25 via key launches (Brezza, Grand Vitara), fundamentally reversing market share losses to become a full-range powerhouse.
• The revised GST flat rate of 40% for SUVs reduces prices and boosts affordability, creating a powerful dual catalyst with the festive season for significant volume and market share growth.
• Strong exports grew by 17.5%, establishing MSIL as the parent’s global EV hub and mitigating local risks, while high EBITDA margins (~13%) ensure profitable and sustainable growth.

• IGL is set for a significant margin boost from a VAT reduction on Gujarat-sourced gas, the new PNGRB two-zone tariff, and lower crude-linked input costs
• The reduced VAT, new tariff structure, and falling oil prices position IGL for significant margin growth, potentially boosting PAT by 8-15% in the coming years.
• Favorable regulatory changes and reduced raw material costs create a clear pathway for IGL to achieve its higher EBITDA per SCM guidance and sustain robust volume growth.

• Canara Robeco AMC (570515Z IN) a JV between Canara Bank (CBK IN) and Orix Corp (8591 JP) is the second oldest but the latest AMC to list in India
• A laggard with just 1.5% market share as of date, the company boasts of an equity-dominant AUM and strong retail franchise delivering strong PAT margins (47%) and ROE (36%)
• However, its SIP book has been declining while the broader industry has more than doubled. We feel the IPO pricing doesn’t leave room for material upside.

• BlackBuck operates in India’s highly fragmented trucking ecosystem, targeting the digitization of this traditional sector.
• The company functions as a digital platform that connects various stakeholders in the trucking industry.
• BlackBuck has established a dominant position in the Indian logistics technology space through its platform approach.

• Aequs Ltd is looking to raise about US$200m in its upcoming India IPO. The deal will be run by JM Financial, IIFL Capital and Kotak.
• Aequs Limited is a precision-engineering and manufacturing company that produces complex, high-tolerance components for global OEMs across the aerospace and consumer sectors.
• The company operates three integrated manufacturing ecosystems in India (the Belagavi, Hubballi, and Koppal clusters) each designed to deliver end-to-end production capabilities from design to assembly.

• 94% of Bikaji’s revenue now falls under favorable GST slab due to the recent rate cut, positioning it to gain significant market share through lower consumer prices.
• The company is strategically passing on the tax benefit to consumers via higher grammage and lower MRP, which is expected to drive an incremental 2-3% volume growth while sustaining margins
• The company has the immediate manufacturing headroom and distribution reach to capture the expected volume surge without major, immediate capital expenditure.

• Dabur India Ltd (DABUR IN) ‘s business is contracting in volume and value, with declining margins, masking structural weakness through recurring excuses and shifting narratives across seasons and quarters.
• Disclosure standards have been reduced; management hides key metrics citing “competitive sensitivity,” obscuring true demand, volume trends, and domestic business performance.
• Q2 guidance cut to mid-single-digit growth confirms prior double-digit guidance was untenable, exposing weak underlying demand and the market’s slow recognition of systemic underperformance.

• Canara Robeco AMC (570515Z IN) is looking to raise up to US$150m in its upcoming India IPO.
• Overall, revenue increased annually at about 39% since FY22 and based on 9M25 numbers, Canara’s FY25 performance is on track to surpass FY24’s levels
• We have looked at the company’s past performance in our previous note. In this note, we talk about valuations.

• LG Electronics India (LGEIL) ’s USD 1.3 bn IPO, which opened on October 6, closes for subscription today, October 9, and is expected to list on October 14th.
• LGEIL has secured Rs34.7 bn from anchor investors ahead of its Rs116.1 bn IPO, signaling a likely strong oversubscription at close today.
• LGEIL IPO, priced at a steep discount to peers do not fully reflect company’s comparative strengths – strong market leadership, high returns and growth potential. Expect listing pop of 30%+.

• Onward Technologies is strategically pivoting from traditional IT services to high-growth, higher-margin Digital and Engineering Research & Development (ER&D) services, targeting key industrial verticals.
• The company is well-positioned to capitalize on the significant growth projected for the Indian ER&D services market, which is driven by global trends in digital transformation, automation, and connected technologies.
• While demonstrating strong long-term growth in revenue and profitability, the company has experienced recent margin pressure and a decline in net income, highlighting execution risks and competitive intensity.

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• LG Electronics India (123D IN) much awaited INR 116.1 bn IPO is set to open for subscription this week. It’s a complete OFS by the Korean Parent.
• While LG is the market leader, there are huge litigation liabilities ~74% of net-worth which could pose a serious threat to the financials, with particular attention to AMP spends proceedings.
• We also find it disturbing to note that the parent has taken out 175% of the free cash flows in FY23 and FY24 as interim dividends.

• Capgemini’s $76.50 all-cash acquisition of WNS has cleared all approvals; only court sanction remains.
• Scheme court hearing set for 9 October; settlement expected around 16 October 2025.
• With a 0.25% gross spread, this is now a low-risk, near-cash arbitrage position.

• Context:Tata Consultancy Services (TCS IN) will report Second Quarter FY 2026 Results on Thursday, 9 October 2025, after market close.
• Highlight: Typically a low-volatility stock, TCS has seen notable post-earnings swings in the past. Option markets now anticipate a move larger than its historic average.
• Why it matters: TCS is a top constituent of the Nifty 50 and Sensex. TCS’s commentary on the new H-1B visa fee could influence sentiment across India’s IT services sector.

• Post its recent IPO, Aegis Vopak has rapidly expanded its LPG capacity and is strategically de-leveraging to fund its massive, long-term ‘GATI’ (Gateway Access to India) expansion pipeline.
• As India’s largest third-party tank storage operator, the company is a critical, high-barrier-to-entry infrastructure play, directly capitalizing on the country’s surging energy, chemical, and industrial import dependence.
• The strategic joint venture and execution focus on high-margin, sticky, and growing segments like LPG and specialty chemicals position the company for sustainable, asset-backed growth.

• We highlight large and small cap companies that experienced significant insider buying during September 2025, as reported on the stock exchanges.
• We also present key sectors which saw insider buying during the month along with names which have moved significantly above the insider buying price.
• As September is a month just before the result season starts, some of these companies may highlight about improving prospects during coming quarters.

• Canara Robeco AMC (570515Z IN) is looking to raise US$150m in its upcoming India IPO.
• Canara Robeco has registered a CAGR of 34% and 33% in AUM and management fees, respectively, from FY22 to FY24. Profitability margins have also expanded steadily in the same period.
• In this note, we look at the company’s past performance.

Key points (machine generated)

• ABFRL’s recent demerger has streamlined operations, enhancing its business model and attractiveness.
• The company is positioned as a potential competitor in the Indian high fashion market, similar to LVMH.
• Despite challenges like accounting losses and low liquidity, the investment note highlights unique opportunities for investors.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• Blue Star’s Q1 FY26 revenue grew by 4.1% YoY, with notable contributions from the B2B sector, international markets, and strong festive demand expectations despite unseasonal weather.
• GST cuts and rising demand in healthcare, data centers, and commercial air conditioning drive growth, while strategic international expansion and R&D investments position Blue Star for sustainable success.
• Blue Star remains a resilient player, leveraging strong B2B momentum, international expansion, and product innovation to navigate challenges and capitalize on future growth opportunities.

• Strong recent credit off-take and a favorable interest rate environment for issuance are expected to drive a robust revenue quarter for CARE Ratings, building on its core debt rating services.
• CareEdge’s focus on expanding its non-rating services, especially in ESG and infrastructure ratings, offers significant growth potential. 
• The Indian credit rating sector remains a high-margin oligopoly; a Q2 beat could re-rate CARE if it signals improved pricing discipline and acceleration in its non-rating advisory vertical.

• In today’s Morning Views publication we comment on developments of the following high yield issuers: Adani Green Energy
• UST yields climbed yesterday, led by the long end. This was driven by a spike in long-end JGB yields, following pro-stimulus lawmaker Sanae Takaichi’s election to lead Japan’s ruling party, as well as a sell-off in French bonds after French Prime Minister Sebastien Lecornu unexpectedly resigned.
• The yield on the 2Y UST rose 1 bp to 3.59%, while that on the 10Y UST was up 3 bps at 4.15%. Equities rallied, driven by semiconductor stocks. This came after AMD signed a large chip supply agreement with OpenAI, in a deal that could see OpenAI taking a 10% stake in the chipmaker. The S&P 500 rose 0.4% to 6,740, while the Nasdaq climbed 0.7% to 22,942.

• LG Electronics (066570 KS) is looking to raise US$1.3bn via part-selling its stake in LG Electronics India.
• LG Electronics India (LGEI) was the market leader in India in major home appliances and consumer electronics (excluding mobile phones) in terms of volume, as per Redseer Report.
• We have looked at the company’s past performance and undertaken a peer comparison in our previous note. In this note, we talk about valuations.

• LG Electronics India (123D IN)/LGEIL, a subsidiary of LG Electronics (066570 KS), aims to raise up to US$1.3 billion through a secondary offering.
• I previously discussed the IPO in LG Electronics India IPO: The Bull Case, LG Electronics India IPO: The Bear Case and LG Electronics India IPO: Updates Support the Bull Case. 
• My valuation analysis suggests that the IPO price range of Rs1,080-1,140 per share is attractive. Therefore, I would participate in the IPO.

• Milky Mist Dairy Food Ltd (1023949D IN) is looking to raise about US$237m in its upcoming India IPO.
• Milky Mist Dairy Food Ltd (MMDFL) is a value-added dairy and packaged food manufacturer focused on premium products such as paneer, cheese, curd.
• In this note, we look at the company’s past performance.

• Kalyan is aggressively expanding its non-South presence and scaling its omni-channel platform, Candere, driven by an asset-light, franchisee-owned, company-operated (FOCO) model.
• The FOCO model and a higher margin studded-jewellery mix in new markets are structurally improving return ratios and freeing up capital for aggressive, low-risk store rollouts.
• With significant deleveraging and a clear path to enhanced profitability, the fundamental story remains intact, nudging investors to look beyond cyclical factors and towards execution consistency.

• Transformed Business Model: Following the acquisition by the Poonawalla Group, the company has pivoted from its legacy as Magma Fincorp to a tech-driven NBFC. It now focuses on prime retail consumers and MSME segments with a digital-first approach, significantly improving its risk profile and operational efficiency.
• Strong Parentage and Financial Flexibility: Backed by the Cyrus Poonawalla Group, the company benefits from a strong brand, significant capital infusion, and access to lower-cost funding. This has resulted in a ‘AAA’ credit rating and provides a substantial competitive advantage in the crowded NBFC space.
• Aggressive Growth Strategy: Management has outlined a clear vision for rapid expansion, aiming to significantly grow its Assets Under Management (AUM) by diversifying its product suite and expanding its distribution network. The strategy focuses on a mix of secured and unsecured loans to maintain a balanced risk-adjusted return.

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• LG Electronics (066570 KS)  is selling 15% stake in Indian subsidiary LG Electronics India (123D IN). Interestingly, the market cap of Indian subsidiary shall now be equal to Korean parent
• Indian listed markets have hitherto offered selective consumer appliance plays. LGEI will become the largest of them all, offering access to the structural growth of consumer appliances in India
• IPO is priced attractively at 26-30x 1yr forward earnings. Near-term performance to benefit from recently announced indirect tax cuts as well as rate cuts. Must Apply

Key points (machine generated)

• Eveready Industries has transformed under the Burman family’s leadership after previous mismanagement by the Khaitans.
• The Burmans implemented aggressive marketing and strategic investments, leading to earnings growth and reduced net debt by 22%.
• Despite positive developments, the company’s share price has only increased by 10% over three years, indicating a potential investment opportunity.

This article is sourced from an online content aggregator through publicly available sources and is displayed below for general informational purposes only. This article was originally published 3 months ago on Value Investors Club.

• RKCPL Ltd (RKCPL IN) is looking to raise about US$141m in its upcoming India IPO. The deal will be run by Equirus and Anand Rathi.
• RKCPL is an Indian civil construction and infrastructure development company with experience in executing specialized structural works including elevated roads, flyovers, bridges, road-over-bridges, highways, expressways, drainage systems, and canal systems.
• According to the CRISIL report, it ranked second highest in both ROE and ROCE among its peers in FY25.

• Tata Motors (TTMT IN) is demerging the company into two separate listed entities that will focus on the Passenger Vehicle business and the Commercial Vehicle businesses.
• Based on the estimated valuation for the two entities, both stocks will continue to remain in the MGlobal Index and the FGlobal Index.
• NIFTY and SENSEX trackers will need to sell their Commercial Vehicle business holdings soon after listing. There could be selling in the Passenger Vehicle business holdings at a later rebalance.

• Context: This Insight follows up on previously highlighted relative value opportunities, using a statistical methodology based on mean-reversion to identify opportunities in paired securities.
• Highlights: Currently nine pair trade opportunities across four markets and five sectors persist.
• Why read: Statistical analysis offers a unique perspective on relative value. Gain insights into actionable statistical pair trade opportunities and monitor performance of previously highlighted pairs.

• After incorporating the company’s FY25 results, we have tweaked our income statement estimates and valuations of LG Electronics India IPO.
• Our base case valuation is target price of 1,514 INR which is 33% higher than the high end of the IPO price range. 
• It appears that the company wants the IPO to be successful and after much review the company has decided to price the IPO at more attractive levels to new investors. 

• LG Electronics (066570 KS) will divest a 15% stake in its 100% subsidiary LG Electronics India (123D IN) through an IPO, raising Rs116 billion (USD 1.3 billion).
• The IPO pricing implies a valuation well below that of listed Indian peers and appears to overlook the sector’s underlying near term macro demand tailwinds.
• LGEIL’s 1QFY26 financial performance came in weak, primarily due to a seasonal slowdown in cooling product sales, particularly air conditioners. This follows a strong FY2025.

• LG Electronics India (123D IN)/LGEIL, a subsidiary of LG Electronics (066570 KS), aims to raise up to US$1.3 billion through a secondary offering.
• I previously discussed the IPO in LG Electronics India IPO: The Bull Case and LG Electronics India IPO: The Bear Case. 
• In this note, I look at the recent updates outlined in the RHP. Overall, the RHP updates are supportive of the bull case.

• Hindustan Zinc (HZ IN) has committed to a massive INR 30k−35k Crs (3.6−4.2 billion) expansion to double its metal production underpinned by record-low zinc costs and high silver contribution.
• This integrated, self-funded capacity doubling effort, coupled with aggressive decarbonization and the high-margin silver tailwind, fundamentally de-risks the long-term earnings trajectory.
• While the corporate restructuring remains an overhang, HZL’s strategic shift makes it a compelling, low-cost proxy for India’s industrial growth and the global silver bull cycle.

• Tata Capital Limited (TATACAP IN) IPO highlights strong branch growth and granular loan book, though new-to-credit exposure remains limited and underwriting largely product-driven.
• Weak sourcing disclosures beyond Home Loans raise concerns on DSA reliance, portfolio quality, and resilience during downturns, especially in competitive lending segments.
• Collections are highly digitized and analytics-driven, yet regulatory inspections reveal persistent compliance, governance, and risk management lapses across Tata Capital, TMFL, and TCHFL.

• LG Electronics (066570 KS) is looking to raise US$1.3bn via part-selling its stake in LG Electronics India.
• LG Electronics India (LGEI) was the market leader in India in major home appliances and consumer electronics (excluding mobile phones) in terms of volume, as per Redseer Report.
• We have looked at the company’s past performance in our previous note, in this note we talk about the RHP updates and refresh our peer comparison

• Ambuja Cement has crossed the 100 MTPA capacity mark and is executing a roadmap for 140 MTPA by FY28 while targeting a INR1,500 per tonne EBITDA by the same year.
• The integration of multiple recent acquisitions, including Orient, Sanghi, and Penna, is crucial; Q2FY26 results will offer the first look into how the new consolidated entity handles initial integration costs.
• While Q1 FY26 set a high baseline, investors should  anticipate sequential dip in Q2 margins, viewing it as a short-term integration blip against a decade-defining capacity and cost rationalisation strategy.

• Salzer Electronics is a well-established player in the Indian electrical components market, demonstrating a robust track record of revenue and net income growth. The company is capitalizing on favorable industry tailwinds, including infrastructure development and the push for energy efficiency.
• Strategic expansion into high-growth areas such as smart meters and electric vehicle (EV) chargers presents significant upside potential. These new ventures, coupled with a strong existing portfolio in switchgears and wires & cables, are expected to be key long-term growth drivers.
• A significant concern is the consistently negative operating and free cash flow over the past three years, primarily due to high working capital requirements to fund growth. Improving cash conversion and working capital management will be critical for sustainable value creation.

This content is AI-generated and displayed for general informational purposes only. Please verify independently before use.

• WeWork India Management Ltd (1690124D IN) IPO is an OFS under SEBI Regulation 6(2), reflecting weak financial eligibility, ongoing losses, and dependence on deferred tax credits for reported profitability.
• Promoter and governance risks loom large, with pending ED, CBI, and EOW proceedings against Jitendra and Karan Virwani, plus complaints of incomplete or misleading disclosures in filings.
• The IPO mainly serves as a deleveraging tool for the promoter, with pledged shares, heavy audit qualifications, weak controls, and depleting cash exposing material investor risks.

• LG Electronics India (123D IN) is looking to list on the exchanges by selling 101.8m shares at a valuation of US$8.7bn and raising around US$1.3bn in its IPO.
• The new valuation is around 24% lower than the rumoured valuation at the time of the DRHP filing last December.
• The stock will not get Fast Entry to global indices. Inclusion at regular rebalances will commence in June 2026 but flow will be small given the low float.

• NIFTY 50 represents the 50 largest stocks listed in the National Stock Exchange (NSE) of India and the NIFTY Next 50 index tracks the next 50 largest names.
• In this insight, we take a look at the names leading the race to become ADDs/DELs for these indices during the March 2026 index rebal event.
• We see no changes for NIFTY 50 and three changes for NIFTY 100 (which would result in similar changes to NIFTY Next 50).

• Sammaan Capital’s Board approved a preferential issue to Avenir Investment RSC Ltd., a wholly-owned subsidiary of Abu Dhabi’s IHC, aggregating INR 8,850 crore (USD 1.06 billion) in equity and warrants.  
• The strategic inflow from the well-capitalized, sovereign-linked IHC provides a massive de-risking event, validates Sammaan’s new-book strategy, and signals a powerful new stream of capital flows into Indian HFC/NBFC space.  
• The scale, strategic nature, and pricing of the deal position Sammaan for a significant re-rating, shifting the investment thesis from asset quality clean-up to funded growth.

• WeWork India Management Ltd (1690124D IN) is looking to raise about US$338m in its India IPO.
• WeWork India (WWI) offers a wide range of workspace solutions, including custom-designed buildings, floors, and offices, enterprise office suites, private offices, co-working spaces, customized managed offices, and hybrid digital solutions.
• In our earlier notes, we have looked at the company’s past performance. In this note, we talk about the peer comp and IPO valuations.

• WeWork India is the Indian arm of global flex space major (WEWKQ US); however, it is promoted by Indian real estate major Embassy group (~48% stake post IPO)
• WeWork has differentiated itself from the crowded flex space market with a focus on premium Grade-A property and cornering market share in major markets like Bengaluru and Mumbai (MMA)
• IPO valuation at 22x FY25 EBITDA prices in this premium relative to peers (12-14x). Can the company sustain these valuations?

• ADF Foods is shifting from an agency-based distribution model to a brand-led, in-house manufacturing approach, focusing on the U.S. frozen food segment to improve margins and supply control.
• This strategic pivot enhances margin stability, mitigates raw material and geopolitical risks, and deepens market penetration in mainstream international retail, positioning ADF for sustainable long-term growth and profitability.
• Market focus should move from export volatility to ADF’s brand premiumization and successful US greenfield execution, the key drivers of sustainable growth and long-term re-rating.

• Non-Operational Entity in Financial Distress: Mysore Paper Mills (MSPM) has ceased all core manufacturing operations, with paper production halted in 2015 and its sugar division in 2016. The company is characterized by a prolonged history of substantial financial losses, negative margins, and a complete erosion of net worth, rendering it a financially unviable entity in its current state.
• Government-Led Revival Efforts via Privatization: The Government of Karnataka (GoK), the majority shareholder, has deemed a public sector revival unfeasible and is actively pursuing leasing the company’s assets and operations to a private entity. However, multiple tender attempts since 2017 have failed to attract bidders, highlighting significant challenges and perceived risks by potential investors.
• High Uncertainty Against a Favorable Industry Backdrop: The company’s future is entirely contingent on the success of the government’s leasing strategy, which faces high uncertainty. This contrasts with the positive outlook for the broader Indian paper industry, which is experiencing robust growth driven by demand in packaging and education. Any potential value in MSPM lies in its physical assets and the speculative possibility of a successful operational turnaround under a new private operator.

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• In today’s Morning Views publication we comment on developments of the following high yield issuers: JSW Steel
• UST yields fell yesterday, led by the front end and belly, as weaker than projected ADP employment data further bolstered Fed easing expectations. The UST curve bull steepened, with the yield on the 2Y UST down 7 bps to 3.54%, while that on the 10Y UST declined 5 bps to 4.10%.
• Equities climbed for the fourth day, with the market remaining upbeat despite the US government shutdown. The S&P 500 and Nasdaq rose 0.3% and 0.4% to 6,711 and 22,755, respectively.

• Context: The ICICI Bank (ICICIBC IN) vs. HDFC Bank (HDFCB IN) price-ratio has deviated more than two standard deviations from its one-year average, presenting a potential relative value opportunity.
• Highlights: The combination of going long ICICI Bank (ICICIBC IN) and short HDFC Bank (HDFCB IN) has traded profitably in July and is now flagged again as a fresh opportunity.
• Why Read: Essential for quantitative traders seeking mean-reversion opportunities, with detailed execution framework, risk management protocols, and historical simulation showing the statistical basis for this relative value play.

• Tata Capital Limited (TATACAP IN) is the third-largest non-banking financial company (NBFC) in India. It is seeking to raise US$1.7 billion. 
• I had previously discussed the investment case in Tata Capital IPO: The Investment Case. 
• The RHP updates show that the fundamentals remain mixed. Positives include large size, mid-tier growth rates and good asset quality. Negatives include below peer average NIM, interest spread and ROA. 

• The GST Council’s decision to exempt all individual life and health insurance premiums from GST (0% vs. 18% earlier), effective September 22, 2025, is a landmark affordability move.
• The immediate drop in premiums for products like term and ULIPs is expected to drive a significant surge in demand, though insurers like ICICI Prudential will lose ITC on expenses.
• While the volume boost from higher affordability is a major long-term catalyst,  immediate margin compression from ITC loss on commissions will require operational efficiency and pricing recalibration for ICICI Prudential.

• RateGain Travel Technologies has entered into a definitive agreement to acquire US-based, AI-powered travel marketing platform Sojern for an upfront consideration of $250 million.
• The acquisition is a bold move to create a scaled, AI-first digital marketing and distribution platform, significantly boosting RateGain’s MarTech business and nearly tripling its revenue/EBITDA run-rate (pre-synergies).
• The strategic upside of owning the full guest acquisition-to-retention cycle justifies the blended financing structure and the integration risk of two large, geographically dispersed travel tech companies.

• Tata Capital Limited (TATACAP IN) is looking to raise up to US$1.7bn in its upcoming India IPO.
• Tata Capital Limited (TCL) is the flagship financial services company of the Tata group and a subsidiary of Tata Sons Private Limited.
• We have looked at the company’s past performance in our earlier notes. In this note, we talk about valuations.