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The Metropolitan Stock Exchange of India (MSEI) has announced a significant capital infusion aimed at enhancing its market presence and operational capabilities. In a board meeting held on December 24, 2024, the directors approved the issuance of up to 1,190,000,000 equity shares at a face value of ₹1 each, with an additional premium of ₹1 per share, totaling ₹2 per share.

This strategic move is set to raise ₹238 crore and involves key investments from prominent entities:

• Share India Securities Limited: Investing ₹59.5 crore for 29.75 crore equity shares, representing a 4.958% stake in MSEI's post-issue paid-up share capital.
  
  
• Billionbrains Garage Ventures Private Limited: Known as the parent entity of the investment platform Groww, participating in this capital raise.
  
  
• Rainmatter Investments: An investment fund associated with the founders of Zerodha, contributing to the infusion.
  
  
• Securocorp Securities India Private Limited: Also participating in the capital raise.

While Share India Securities has confirmed an investment of ₹59.50 crore out of the total ₹238 crore capital raise, the specific investment contributions by the other three entities are yet to be disclosed.

This collective investment underscores a robust confidence in MSEI's future prospects and its role in the Indian financial markets. The fresh capital is expected to bolster MSEI's infrastructure, expand its market offerings, and enhance overall competitiveness.

In its board meeting on December 18, 2024, SEBI approved some major reforms related to the Alternative Investment Fund (AIF) regulations in order to enhance transparency, governance standards, and investor protection. These reforms are designed to ensure better compliance and operational efficiency within the AIF sector, which has been growing rapidly.

AIFs must now offer thorough disclosures regarding their investment strategies, regular performance reports, and complete risk management frameworks.

SEBI has established stricter criteria for fund managers' qualifications, ensuring that only experienced professionals oversee AIFs. Furthermore, improved oversight systems are in place to more effectively track AIF activities, fostering superior governance practices.

The updated standards and norms enhanced operational protocols for AIFs, emphasizing adherence to regulatory mandates and protecting investor interests. The reforms consist of steps to safeguard investors, including required disclosures of possible conflicts of interest and comprehensive reporting on fund utilization.

These reforms seek to enhance investor trust and ensure that their interests are given priority. SEBI has granted AIFs increased flexibility in their operations, facilitating more effective fund management and improved alignment with investor expectations. This encompasses adaptability in designing investment products and overseeing portfolios.

On December 18, 2024, SEBI's board approved significant changes to the SME IPO framework to enhance market transparency and investor protection. Small and medium enterprises that have achieved an operating profit of ₹1 crore for two of the last three financial years are now eligible to launch for an IPO. The Offer for Sale (OFS) segment is set some limits to some extent to 20% of the total issue size, and along with selling shareholders are not permitted to sell over 50% of their holdings. Moreover, one of the other reforms include, the lock-in duration for promoters beyond the minimum promoter contribution (MPC) will be lifted after one year, while the remaining 50% will be released after two years.

Other key reforms include the allocation under the Non-Institutional Investors (NII) category via a draw of lots method, restricting the amount for general corporate purposes to 15% of the amount raised or ₹10 crore, whichever is lower. SME issues with objects as repayment of loans from promoters or promoter groups will not be permitted. Related Party Transaction (RPT) norms will now apply to listed SMEs, with RPTs considered material if they are 10% of annual consolidated turnover or ₹50 crore, whichever is lower.

NOTICE is hereby given that the resolutions outlined below are proposed for approval by the members of Five Star Business Finance Limited (the “Company”). Members are to cast their votes electronically using a Postal Ballot through the remote e-voting process provided by the Company.

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SPECIAL BUSINESS:

• ​To approve amendments to the Company’s Articles of Association
  

​M/s Matrix Partners India Investment Holdings II, LLC and M/s Peak XV Partners Investments V waived their special rights under Articles 101A (a) and 101A (b) of the Company in a letter dated October 25, 2024. These rights included the ability to nominate one director to the Board as long as they: (i) remain classified as a ‘promoter’ of the Company according to the Securities and Exchange Board of India (SEBI) regulations; and (ii) have contributed part of their shares to meet the minimum promoter requirements set by SEBI.

Due to this waiver and requests for reclassification from the institutional promoters, Articles 101A (a) and 101A (b) will be removed from the Articles of Association (AOA).

According to Article 101A (c), the founder promoter family (Mr. D Lakshmipathy and his family) can nominate enough directors to hold a majority on the Board, excluding independent directors. At the same time, Mr. D Lakshmipathy is classified as a ‘promoter’ under SEBI regulations. Additionally, under Article 101A (d), Mr. D Lakshmipathy will serve as the chairman of the Board as long as he remains classified as a ‘promoter’.

These special rights were part of the AOA approved by shareholders before the IPO, and since Articles 101A (c) and 101A (d) are also included, they are now proposed to be removed.

• ​To reclassify the status of Matrix Partners India Investment Holdings II, LLC and its Promoter Group from the ‘Promoter and Promoter Group’ category to the ‘Public’ shareholder category
  

​The Promoter and Promoter Group submitted a reclassification request on October 25, 2024, under Regulation 31A of the SEBI regulations. Based on the Board's recommendations, the Members agree to reclassify the Promoter and Promoter Group to the 'Public' shareholder category. This change is subject to necessary approvals from SEBI, stock exchanges, and other authorities.

• ​To reclassify the status of Peak XV Partners Investments V and its Promoter Group from the ‘Promoter and Promoter Group’ category to the ‘Public’ shareholder category
  

​The Promoter and Promoter Group submitted a reclassification request on October 25, 2024, under Regulation 31A of the SEBI regulations. Based on the Board's recommendations, the Members agree to reclassify the Promoter and Promoter Group to the 'Public' shareholder category. This change is subject to necessary approvals from SEBI, stock exchanges, and other authorities.

Kunal Bahl's entrepreneurial journey is a testament to resilience, innovation, and strategic thinking. Born on February 1, 1983, in New Delhi, Bahl's early life was marked by a strong academic background. He pursued a degree in Manufacturing Engineering and Management from the University of Pennsylvania and later completed an MBA from the Wharton School. It was during his time at Wharton that Bahl, along with his friend Rohit Bansal, began brainstorming ideas that would eventually lead to the creation of Snapdeal.

Before Snapdeal, Kunal Bahl worked in a detergent company in the U.S., which he launched while attending Wharton. This early venture, while not extremely successful, offered valuable lessons in entrepreneurship.

Investment Portfolio

Kunal Bahl is not just an entrepreneur but also a prolific angel investor. Through Titan Capital, which he co-founded with Rohit Bansal, Bahl has invested in over 280 startups. Some notable companies in his investment portfolio include Ola, Urban Company, Mamaearth, Razorpay, and Shadowfax. His investments span various sectors, including fintech, consumer goods, and enterprise software, reflecting his diverse interests and strategic vision. As of 2024, Kunal Bahl net worth is estimated to be around ₹3,500 crore. 

Joining Shark Tank India

Kunal Bahl's journey has now brought him to Shark Tank India, where he joins the panel of judges for its fourth season. His extensive experience in building and scaling businesses, coupled with his strategic vision, makes him a valuable addition to the show. 

In his role as a shark, Bahl is expected to focus on sectors where he has extensive experience, such as e-commerce, fintech, and consumer marketplaces. His insights into these industries, combined with his practical experience of building and scaling businesses, will be invaluable to the upcoming entrepreneurs.

• His philosophy is deeply rooted in empowering the next generation of founders—a vision that aligns perfectly with his role as a judge on Shark Tank India. Reflecting on his journey, Kunal shared, Rohit and I felt that  “If we ever get the opportunity to support the next generation of founders, we must do that with all that we have learned.” 
  
  
• Kunal Bahl believes that India's startup ecosystem is entering its golden era. In his words, “The broader outlook remains extremely optimistic. Over the last decade, the ecosystem has transformed, and we now have role models that inspire young entrepreneurs.” For Kunal, investing isn’t just about capital; it’s about nurturing founders who demonstrate clarity of thought and the ability to solve large, meaningful problems. His role reflects a broader vision of enabling young innovators to grow and succeed.

Gear up for 2025 – a year ahead set to redefine the IPO landscape with some of the most anticipated listings like Reliance Jio, Hexaware Technologies, HDB Financial Services, Studds Accessories and more, hoping unparalleled opportunities for investors. 

The IPO market is experiencing growth, and 2025 is set to capitalize on the momentum from recent years. As per the data from Prime Database indicates that in 2024, 75 Indian firms successfully raised more than ₹1.5 lakh crore via mainboard IPOs. This marks a substantial increase from the ₹49,435 crore obtained through 57 IPOs in 2023 and ₹59,301 crore from 40 IPOs in 2022. These figures emphasize the rising interest of investors in new IPOs and the heightened assurance of companies entering public markets.

Anticipating the future, 2025 is likely to witness significant IPOs, especially in industries such as industrials, capital goods, and renewable energy, which are central to India’s economic evolution. These sectors have contributed in propelling the country's growth and present the increasing appetite among investors for upcoming new listings, making the year ahead brimming with excitement.

• The major highlight in 2024 was Hyundai Motor India Ltd. It came with an unprecedented IPO, which raised ₹27,870 crore and became the largest IPO in the history of India's capital market. Despite being listed at a minor discount of 1.33%, it garnered a subscription rate of 2.37x, indicating robust investor interest. Additional significant IPOs featured Swiggy, NTPC Green Energy, and Bajaj Housing Finance, all attracting market interest with their strong business frameworks and growth possibilities.
  
  
• As investors are prepared for 2025, attention will turn to forthcoming prominent IPOs such as Reliance Jio, Hexaware Technologies, HDB Financial Services, among others. These listings are anticipated to not only generate significant capital but also transform the investment environment, presenting exceptional opportunities for investors looking to connect with India’s growth narrative.
  

While Quality Enviro Engineers faced a significant revenue decline, the company managed to improve profitability (PAT and EPS) and strengthened its equity base. However, the decrease in assets and revenue may require close monitoring to ensure sustainable long-term performance.

• Revenue Decline: Total Revenue has declined significantly by 19.4% to ₹40.2 Cr. This drop in revenue may be attributed to lower sales and decreased order execution which have contributed to the decline of revenue.
  
  
• Profitability & EPS growth: Despite the revenue decline, Profit After Tax (PAT) increased by 11.8% to ₹2.9 Cr, and Earnings Per Share (EPS) rose by 9.2% to ₹32.8. The improvement in profitability indicates effective COGS controls, improving operational efficiency.
  
  
• Mixed Assets and Equity results: While Total Assets declined by 6.8% to ₹32.8 Cr., the Total Equity increased by 40% to ₹9.8 Cr. The decline in total assets could be attributed to a significant reduction in total inventory. However, the strong increase in equity suggests retained earnings has strengthened the balance sheet.

Anugraha Valve Castings Limited has established itself as a leading manufacturer and exporter of stainless steel and alloy steel castings for the past two decades. Located in Coimbatore, South India. 

The company has emerged as a leader in the specialized domain of valve manufacturing, supplying high-quality castings to industries such as oil & gas, power, and water management. The company has become a trusted partner to global brands, with its state-of-the-art foundries and in-house machining facilities delivering precision-engineered solutions. Along with a strong emphasis on quality, Anugraha is certified by international organizations, ensuring its products meet stringent global standards. 

• What sets Anugraha apart is its relentless focus on innovation, a robust export footprint, and its ability to cater to diverse industrial needs while maintaining sustainability in its operations.
• The company’s financial performance further highlights its growth trajectory. With increasing revenue streams and efficient cost management, Anugraha has consistently delivered value to stakeholders. Its investments in advanced technology, R&D, and a skilled workforce have positioned the company to capitalize on growing demand across industries. Through bridging engineering excellence with sustainable practices, Anugraha Valve Castings is not just meeting industry requirements but also shaping the future of valve manufacturing on a global scale.

MobiKwik’s journey to its IPO represents the evolving dynamics of India’s fintech ecosystem. Once valued at $1 billion, the company now targets a $250 million valuation—a 73% cut from its peak. This scaled-back valuation and reduced issue size reflect a strategy shaped by market realities, prioritizing sustainability over aggressive growth. The company's digital credit segment, growing at a staggering pace (404% in FY22, 238% in FY23), underscores its pivot towards profitability and diversification in financial services—a move critical in today’s competitive fintech landscape.

What sets MobiKwik apart is its adaptability. Despite facing headwinds, the company has trimmed its IPO from ₹1,900 crore to ₹572 crore, focusing on core growth areas such as financial services, payment solutions, and cutting-edge technology investments. The MobiKwik IPO represents not only a recalibrated growth strategy but also MobiKwik’s commitment to leveraging its innovative offerings to capture untapped opportunities in digital lending and merchant acquisition.

• Revenue-  In FY24, the company's revenue grew by 16%, rising from Rs. 2,23,653 cr. in FY23 to Rs. 2,58,388 cr., driven by robust performance across all product categories, including Consumer Electronics, Grocery, Apparel, and Footwear. This growth contributed to an increase in profitability, with profits climbing from Rs. 7,045 cr. in FY23 to Rs. 8,875 cr. in FY24. However, the company's EPS saw a decline, dropping from Rs. 13 to Rs. 11 during the same period.
• Financial Performance- In FY24, the company's total asset base expanded by 22%, increasing from Rs. 1,28,460 cr. in FY23 to Rs. 1,56,321 cr. Similarly, total equity witnessed a 22% growth, rising from Rs. 37,222 cr. in FY23 to Rs. 45,076 cr. in FY24.
• Business Outlook-The Indian retail market is among the fastest-growing globally and is projected to surpass US$1.4 tn by 2027. Reliance Retail's dedication to this dynamic sector is demonstrated by its significant investments across the retail value chain over the years. The company remains committed to driving innovation across formats and products, enhancing customer experiences, and meeting the evolving needs of consumers.

The Securities and Exchange Board of India (SEBI) recently introduced transformative measures for the Futures and Options (F&O) segment to address mounting concerns over investor losses and market volatility. These changes are aimed at balancing market stability with retail participation while prioritizing risk management and investor protection.

• A recent SEBI study revealed that over 93% of individual F&O traders incurred losses in the past three years, with an average loss of ₹2 lakh per trader. Despite these losses, a significant portion of traders continued to participate in the market, highlighting the need for better investor education and risk management strategies.
• The new rules are expected to reduce speculative trading and encourage more informed decision-making among retail investors. 
  

• Financial developments: MSE Financial Services Limited (MSEFSL) reported a total revenue of ₹11 Cr. for FY24, marking an 17.8% increase compared to ₹9 Cr. in FY23. The growth was driven by robust performance in broking services and increased digital marketing investments. Consolidated profit after tax (PAT), inclusive of profits from the associate company, stood at ₹1Cr., more than doubling from ₹47 lakhs in the previous year. Total expenditure rose to ₹10 Cr. from ₹8 Cr. in FY23, reflecting higher fee commissions and operational costs. Notably, employee benefits decreased by 13.8% to ₹1.5 crores, indicating improved cost management.
• Operational Developments: The company invested heavily in digital marketing to attract untapped retail investors. Also it has made significant proposal for restructuring involves demerging the Stock Broking and Depository Participant divisions and merging them with Daily Gong Financial Services Ltd. (DGFSL). The scheme is under review and awaiting approval from regulatory authorities, including SEBI and NCLT.
• Future Prospects: MSEFSL aims to expand its financial product offerings and focus on high-margin segments like mutual fund distribution and portfolio advisory. Company is shifting focus to leverage economies of scale and consolidate its business with group companies for operational efficiency.

KLM Axiva Finvest Limited has recently announced its financial results for Q2 FY25, showcasing strong performance.

• Revenue and Profitability: The company reported a year-on-year (Y-o-Y) total income growth of 7.7%, increasing from ₹76.7 crore in Q2 FY2024 to ₹82.6 crore in Q2 FY2025. This growth reflects the company’s ability to generate higher interest income and operational efficiency. Profit After Tax (PAT) exhibited an even more substantial growth, rising by 111.3% YoY, from ₹2.8 crore in Q2 FY2024 to ₹5.9 crore in Q2 FY2025. Quarter-on-quarter (QoQ), PAT increased by 42.4%, showcasing the effectiveness of KLM Axiva’s cost management strategies and scaling of its operations.
• Financial Position: KLM Axiva’s financial stability remains robust. The total loan book stood at ₹1,657.2 crore as of September 30, 2024, reflecting a marginal decline of 2.8% QoQ from ₹1,704.9 crore in March 2024. Despite this, the company maintained a healthy debt-to-equity ratio of 6.00 and demonstrated its capacity to meet financial obligations. Furthermore, its net worth was ₹272.0 crore, reflecting its strong capital base.

The Initial Public Offering(IPO) landscape has seen remarkable growth in recent years. However, not every IPO finds success in listing. A variety of hurdles, such as regulatory non-compliance, financial discrepancies, or lack of proper documentation, can derail the process.

Listing on the SME platform involves meeting stringent requirements, including detailed audits, compliance with SEBI norms, and thorough due diligence by merchant bankers. Even minor lapses can lead to delays or outright rejections. Additionally, some companies struggle with operational readiness or fail to generate sufficient investor interest during roadshows. The lack of 100% underwriting, a mandatory requirement for SME IPOs, can also result in postponed listings. These challenges underscore the importance of thorough preparation and professional guidance throughout the IPO process.

• The Indian IPO market has recently encountered a series of setbacks. Numerous companies, both large and small, have either postponed or withdrawn their initial public offerings (IPOs). This trend can be attributed to a confluence of factors, including volatile market conditions, regulatory hurdles, and concerns over valuations.
  
  
• One significant factor impacting the IPO landscape is the prevailing market volatility. Fluctuating stock prices and uncertain economic conditions have made investors cautious, leading to a decline in risk appetite. As a result, companies have been hesitant to proceed with their IPO plans, fearing adverse market reactions.

Learning from the Setbacks

• The failure of some SMEs to list on exchanges like BSE SME or NSE Emerge serves as a valuable lesson for others. Companies must focus on accurate financial reporting, regulatory compliance, and creating investor trust to avoid setbacks.
  
  
• Moreover, engaging with experienced merchant bankers, auditors, and advisors can significantly reduce risks. These challenges highlight the need for robust internal controls and strategic planning to navigate the listing process successfully. 
  

• Financial Performance: In Q2FY25, Swiggy reported a revenue from operations of ₹3,601.45 crore. The Adjusted EBITDA for the quarter stood at ₹-341 crore. Segment-wise revenues were as follows: Food Delivery generated ₹1,574 crore, Out of home consumption contributed ₹59 crore, Quick Commerce contributed ₹490 crore, Supply Chain and Distribution brought in ₹1,452.56 crore, and Platform Innovations added ₹25.3 crore. As of September 2024.
  
• Company Insights: Swiggy has made significant strides over the past decade, reaching over 118 million users and delivering nearly 3.5 billion orders. The company's network now includes 609 dark stores across 44 cities, showcasing notable growth and profitability improvements in both the food delivery and quick commerce segments. Swiggy continues to innovate and expand, particularly in the quick commerce sector, with plans to double the dark store area by March 2025.
  
• Future Outlook and Plans: Swiggy is targeting high-teens growth in Gross Order Value (GOV) for its food delivery segment, with the category expected to grow at a compound annual growth rate (CAGR) of 18-22% over the medium term. The company plans to double its store count and increase the average store size in quick commerce, aiming for a total dark store area of 4 million square feet by March 2025. Swiggy is also focusing on affordability and new consumption use cases through initiatives like Bolt, PocketHero, and Daily meals. The company is on track to achieve profitability by Q3FY26.