Newsletter
Acquisition spree, Oracle & OpenAI join hands & India-Myanmar rare earth push.
🗓 Morning, folks!
Markets staged a late-day comeback on Thursday, sending benchmark indices higher and nudging Nifty past the 25,000 mark. The rally was fueled by upbeat cues from Asian markets and around a possible US Federal Reserve rate cut next week.
Sector action was a tale of two moods, energy and pharma stole the spotlight with robust gains, while IT and auto stocks hit the pause button as investors booked profits.
Currency check: the rupee slipped 36 paise to close at a record low of 88.47 against the US dollar on Thursday, as ongoing trade tensions between India and the United States put pressure on the domestic currency.
Forex traders said the rupee was further weighed down by a stronger US dollar ahead of key inflation data, along with foreign fund outflows from Indian markets. Rising crude oil prices in recent sessions also added extra strain.
💡 Spotlight: Gaming law hits hard
The unicorn club just got smaller. At least four real money gaming companies lost their billion-dollar status last month after the new online gaming act banned all real money gaming formats, including ludo, poker, rummy, and fantasy sports.
Other ambitious players, such as Zupee and WinZO Games, valued between $500 million-1 billion and $200-500 million, saw their dreams stall. The drop followed the shutdown of core RMG businesses after the enactment of the Promotion and Regulation of Online Gaming Bill, 2025.
Let’s hit it!
1 Big thing: HAL rockets ahead in space and defence projects 🚀
Hindustan Aeronautics, Indian National Space Promotion and Authorisation Centre (IN-SPACe), NewSpace India (NSIL), and ISRO have signed a technology transfer agreement for Small Satellite Launch Vehicle.
What’s brewing: the SSLV is a three-stage launch vehicle designed to carry satellites weighing under 500 kg into the orbit. Under the contract, HAL will absorb the technology in the first two years, followed by a 10-year production phase.
HAL has got permission to use SSLV technology, which includes everything from designing and building the rockets to launching them. HAL will also handle producing these rockets in large numbers for India and other countries.
Why it matters: the agreement aligns with HAL's long-term strategy to establish a dedicated space vertical, allowing the company to build, own, and operate the launch vehicle independently.
Not stopping there: the company has hit another milestone with its Light Combat Aircraft (LCA) Mark-1A fighter jet. It recently got the third GE-404 engine from the US, showing steady progress in building the aircraft. The LCA Mark-1A is an improved version of India’s homegrown Tejas fighter jet. These engines will make the jet perform better, and this step also helps HAL boost India’s defence manufacturing and rely less on imports.
2. Tega Industries, Apollo Global sign mining deal worth $1.5 billion 💰
Kolkata-based Tega Industries, along with Apollo Global, just signed a term sheet to acquire Molycop from American Industrial Partners in a deal worth $1.5 billion.
Tega makes critical-to-operate consumables for mining, mineral processing, and material handling. Think of it as the gear that keeps giant mining machines from stopping.
Molycop, meanwhile, is known for its grinding media which are basically the giant steel balls and chemicals that crush ores in mills to extract metals like copper and gold. With 400+ mining clients across 40 countries, it’s a big deal in the mineral supply chain.
The deets: together, Tega and Molycop will run 26 global manufacturing sites and become one of the world’s largest suppliers of mining consumables.
What it means: the tie-up gives Tega access to Molycop’s stronghold in the US, Canada, and Australia, complementing Tega’s dominance in Europe, West Asia, Africa, and Latin America.
Why it matters: Tega already makes the liners, screens, and wear parts that keep mining equipment running, but by bringing in Molycop’s grinding media (the steel balls and chemicals used to crush ores), it can now offer end-to-end solutions inside a mine’s processing plant.
While we are on deals,
Dr. Reddy’s Laboratories has signed an agreement with Janssen Pharmaceutica NV, part of Johnson & Johnson, to acquire Stugeron along with its variants Stugeron Forte and Stugeron Plus for $50.5 million.
The deets: the deal covers 18 markets across Asia-Pacific and EMEA, with India and Vietnam highlighted as key growth regions. Stugeron, which contains Cinnarizine, is widely prescribed for treating vertigo and vestibular disorders.
Why it matters: the acquisition strengthens Dr. Reddy’s Central Nervous System (CNS) portfolio and expands its reach in the fast-growing anti-vertigo therapy segment. In India, Stugeron already leads the Cinnarizine market and ranks number 2 in the broader anti-vertigo space.
More on deals,
Shyam Metallics & Energy is entering the crash barrier business, with plans to grab 8-10% market share by FY26.
Crash barrier business means making the metal railings you see on highways that stop cars from going off the road during accidents.
The company has kicked off production at its Giridih plant, which comes with a 24,000 MTPA capacity and a workforce of over 150 skilled professionals. With India’s infrastructure boom pushing crash barrier demand up by 25% annually, timing looks perfect.
3. Oracle and OpenAI eye $300 billion contract 📈
Oracle shares have been soaring lately, backed by a string of multi-billion-dollar contracts.
The big buzz: reports suggest Oracle is close to signing a massive deal with OpenAI, worth about $300 billion over five years for computing power. If finalised, this would be one of the largest cloud contracts ever signed, showing how fast OpenAI is scaling up its compute needs.
This isn’t the first time the two have teamed up. OpenAI started using Oracle for compute in mid-2024 and, by January, moved away from relying only on Microsoft Azure as its sole cloud provider.
The partnership is also part of a much bigger play. Back in January, OpenAI, Oracle, and SoftBank announced the $500 billion Stargate Project, aiming to build massive domestic data centres. Then in July, the two revealed plans for facilities with 4.5 gigawatts of power under the initiative.
4. India partners with Myanmar’s KIA to secure rare earth minerals 🔋
India is exploring ways to import samples of rare earth minerals from Myanmar’s Kachin region controlled by the rebel group KIA (Kachin Independence Army).
Rare earth minerals are required in most of the modern technologies like magnets in cars and wound turbines. They are also heavily used in EV batteries, smartphones, LED screens, and defence systems.
To support this move, the Ministry of Mines has sought help from state-owned and private players like Indian Rare Earth Limited and Midwest Advanced Materials. They will help collect and transport these minerals which will be later tested in laboratories to determine if they are sufficient to meet the country’s demand.
The move is aimed to cut down dependence on China which controls 70% and processes 90% of these rare earth minerals.
5. Stocks that kept us interested 🚀
1. Mazagon Dock dives into ₹70,000 crore sub deal
Mazagon Dock Shipbuilders gained nearly 2% after the company announced it has started talks with the Indian Navy on Project P-75(I). The ₹70,000 crore programme aims to build six conventional submarines.
The deets: Project P-75(I) is the Indian Navy’s ambitious submarine programme under which six new-generation conventional submarines will be built in India.
This is a part of a 30-year roadmap to modernise the country’s underwater fleet. These submarines will come fitted with advanced Air Independent Propulsion (AIP) systems, allowing them to stay submerged much longer without surfacing, which improves stealth and endurance.
Background: Ministry of Defence gave its nod in August for the company to begin cost negotiations with Germany’s Thyssenkrupp Marine Systems. Under the pact, the German firm will handle engineering and design, while Mazagon Dock will construct and deliver the subs for the Navy.
Worth noting: this is India’s largest submarine programme yet, aimed at modernising the Navy’s underwater fleet.
2. Aurobindo Pharma stock climbs amid Zentiva acquisition race 🏁
Aurobindo Pharma shares surged 5% after reports suggested that Chicago-based private equity firm GTCR is close to acquiring generic drugmaker Zentiva in a deal valued at $4.8 billion.
Zentiva manufactures a wide portfolio of generic and over-the-counter medicines and operates in more than 30 countries.
The deets: this comes after Aurobindo Pharma was previously considered a leading contender for the Zentiva acquisition. GTCR has reportedly outbid rival private equity firms and pharmaceutical companies to become the frontrunner in the race to acquire Zentiva.
Here’s the gist: at first, Aurobindo was seen as a key contender for buying Zentiva, a deal worth $4.8 billion. But such a big takeover would have meant heavy borrowing, high costs, and possible risks. Now, GTCR is likely to win the bid instead, investors believe Aurobindo avoids that financial burden.
What else are we snackin’ 🍿
⚔️ Billionaire battle: Elon Musk briefly lost his richest title as Larry Ellison’s wealth hit $393bn, surpassing Musk’s $385bn after Oracle’s surge.
💄Expansion strategy: H&M enters India’s beauty market, launching makeup, fragrances, and tools, expanding beyond fashion and home since 2015.
And that’s a wrap. Pour yourself an extra one this weekend.
We’ll be back like clockwork on Monday!
Hit that 💚 if you liked this issue.
