Last week, the State Bank of India (SBI) disclosed data on the now-defunct electoral bonds (EBs) in two sets. Purchasing these bonds was voluntary; however, which entrepreneur would willingly part with their hard-earned money for grasping, self-serving politicians? They do so under coercion or incentives.
As much as Rs 47,810 crore was spent on share buybacks by 48 companies in 2023 the highest amount since 2017.
This surge in value was largely driven by a few large-sized issues, including those by Tata Consultancy Services (Rs 17,000 crore), Larsen & Toubro (Rs 10,000 crore), and Wipro (Rs 12,000 crore).
In 2022, 58 companies had repurchased shares worth Rs 38,305 crore, according to data from Prime Database.
Reliance Industries and its partner, JM Financial ARC, acquired the insolvent Alok Industries in 2019 for Rs 5,000 crore when its loans stood at Rs 30,000 crore, that it owed to 27 banks.
Indian equities reached a new record closing high and rose by 0.21% for Nifty, with Sensex increasing 0.31%, supported by foreign investor inflows focused on financial services, PSU Bank, and oil and gas. However, there are concerns about global issues and a delayed monsoon, with net selling by FIIs and the dampened sentiments due to UK CPI inflation came in higher than expected. In the US and European markets, the situation is also shaky with tech companies signaling positive candle with minor upper and lower shadows. Meanwhile, Suzlon Energy, HFCL, NALCO, and ITC counters are showing signs of bearishness.