Latest news with #FPI
The Hindu
3 hours ago
- Business
- The Hindu
FPI inflows into equities at 8-month high in May 2025
Foreign Portfolio Investors (FPI) invested ₹19,860 crore, the highest in eight months, in May, according to data from NSDL. Foreign investors invested five times more than they invested in the previous month into Indian equities. The FPI investments came in positive for the second consecutive month in May after recording a net outflow for three consecutive months. This assumes significance as at the beginning of the calendar year 2025 and the better part of FY25, foreign investors were net sellers of Indian equity. The increase in foreign investor inflows came on the top of increasing returns in the domestic markets. Nifty increased 6% in March 2025, the highest in monthly return since July 2024. A combination of correction from the post-COVID rally, and the uncertainty around U.S. President Donald Trump's trade policies contributed to the net selling as foreign funds invested in U.S. bonds and exited the Asian stock markets due to tariff uncertainty. Liberation Day tariffs further increased the uncertainty as major economies were expected to be hit. The 90-day pause, however, cooled the uncertainty and with a trade deal between the U.S. and India imminent, market confidence returned to India. At the domestic level, a less-volatile rupee, softening inflation and improving GDP growth has led to the return of foreign money into the Indian equity market. This moderation in global risks to India's growth and improving state of domestic economic indicators may have instilled confidence in foreign investors, according to analysts
Time of India
5 hours ago
- Business
- Time of India
May sees record Rs 19,860 crore FPI inflow, highest in 2025: NSDL
NEW DELHI: Foreign portfolio investments in Indian markets reached record levels in May 2025, as confirmed by National Securities Depository Ltd (NSDL) statistics, quoted by ANI. The month recorded net FPI inflows of Rs 19,860 crore, establishing May as the strongest month for foreign investments in 2025. The period from May 26 to May 30 saw foreign investors maintain their investment momentum with net inflows of Rs 6,024.77 crore. While positive inflows characterised most trading days that week, Friday registered a net outflow of Rs 1,758.23 crore. Although May demonstrated robust performance, the cumulative FPI investment for 2025 remains negative. The period from January through May shows net outflows of Rs 92,491 crore. Nevertheless, the substantial May inflows suggest a possible shift in foreign investor confidence. The uptick in FPI activity correlates with the declining US dollar value and positive developments in the Indian stock market. The robust economic foundations of India continue drawing international investors, although FPI flows remain responsive to international circumstances and external challenges. Whilst the year commenced cautiously, the positive May figures might indicate a directional change, provided global conditions maintain stability. Earlier data indicated FPI stock sales of Rs 3,973 crore in March. January and February witnessed equity sales of Rs 78,027 crore and Rs 34,574 crore, respectively. The final trading day of May saw the Indian stock market close marginally lower, influenced by varied global indicators. The Sensex decreased by 182 points (0.22 per cent) to 81,451.01, whilst the Nifty 50 settled at 24,750.70, down 83 points (0.33 per cent). Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
&w=3840&q=100)
Business Standard
10 hours ago
- Business
- Business Standard
Shapoorji Group bags $3.35 bn in largest private deal led by Deutsche Bank
The $3.35 billion financing was raised via 3-year NCDs at a 19.75 per cent annual yield, up from last year's 18.75 per cent when Goswami Infratech raised $1.7 billion in debt Rimjhim Singh New Delhi Deutsche Bank has planned the largest private credit transaction outside the United States by raising $3.35 billion for the Shapoorji Pallonji (SP) Group. The infrastructure conglomerate leveraged a portion of its Tata Sons stake as collateral, attracting commitments from major global investors, including BlackRock and Morgan Stanley, according to a report by The Economic Times. The financing was secured through three-year non-convertible debentures (NCDs) offering a 19.75 per cent yield, compounded annually and payable at maturity. This marks a rise from earlier debt issuances, which commanded yields approximately one percentage point lower. In 2023, SP Group's Goswami Infratech had raised $1.7 billion at an 18.75 per cent yield, the news report said. Deutsche Bank's significant commitment and syndication The $3.35 billion funding round brought together three distinct investor groups: existing bondholders of Sterling bonds, current investors in Goswami bonds, and a new cohort of private credit investors from the US, the UK, Hong Kong, Singapore, and India. Deutsche Bank spread its exposure across international credit funds, with BlackRock acquiring $70 million, Sona Capital investing $180 million, Morgan Stanley Investment Management putting in $60 million, and PIMCO contributing $45 million. This consortium totalled around $355 million, complemented by a separate $500 million investment from Ares Capital. Farallon Capital, a longstanding creditor to the SP Group, invested $596 million (approximately ₹5,100 crore). Other key participants included Davidson Kempner and Cerberus Capital, committing $401 million and $474 million respectively. Secured by stake in Tata Sons and real estate arms The debt is secured against SP Group's 9.2 per cent shareholding in Tata Sons, held through Sterling Investment, as well as assets in Shapoorji Pallonji Real Estate and SP Energy — the group's oil and gas business. This issuance, exclusively arranged by Deutsche Bank, represents the first large-scale corporate bond placement following changes in Foreign Portfolio Investor (FPI) norms, which now permit offshore investment under the general limit route instead of the more restrictive Voluntary Retention Route (VRR), the news report said. Regulatory changes and timing impact the deal Originally aiming for a March close, the transaction was completed six weeks later, delayed by geopolitical uncertainties. While part of the proceeds will refinance existing debt and support growth in SP Group's real estate and engineering, procurement, and construction (EPC) businesses, the deal is expected to transform capital access for large Indian conglomerates, the news report said.
India Gazette
11 hours ago
- Business
- India Gazette
FPI net investment in May surged to record high of Rs 19860 crore, highest in 2025: NSDL
Mumbai (Maharashtra) [India], May 31 (ANI): Foreign investment in Indian markets reached a record high in May 2025, according to data released by the National Securities Depository Ltd (NSDL). The net foreign portfolio investment (FPI) inflows for the month stood at Rs 19,860 crore, making May the best-performing month so far this year in terms of foreign investment. During the week from May 26 to May 30, foreign investors continued their buying spree with a net inflow of Rs 6,024.77 crore. The data showed that all trading days of the week witnessed positive inflows, except Friday, when there was a net outflow of Rs -1,758.23 crore. Despite this strong monthly performance, the overall FPI investment in 2025 remains in negative territory. From January to May, the net outflows stand at Rs -92,491 crore. However, the sharp inflows seen in May are being viewed as a sign of a potential turnaround in foreign investor sentiment. The recent rebound in FPI activity has been attributed to the weakness in the US dollar and the improving outlook of the Indian stock market. India's strong economic fundamentals continue to attract global investors, even though FPI movements remain sensitive to global factors and external headwinds. The year began on a cautious note, the positive momentum in May could mark the beginning of a trend reversal if global conditions remain stable. In previous months' data also showed that FPIs had sold stocks worth Rs 3,973 crore in March. In January and February, they had sold equities worth Rs 78,027 crore and Rs 34,574 crore, respectively. On Friday the last trading session of May, the Indian stock market ended slightly lower tracking mixed global cues. The Sensex closed 182 points, or 0.22 per cent, lower at 81,451.01, while the Nifty 50 settled 24,750.70, 83 points, or 0.33 per cent. (ANI)
Economic Times
18 hours ago
- Business
- Economic Times
Shapoorji Group secures $3.4 billion in record Deutsche-led credit deal
Live Events (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Deutsche Bank anchored the largest private credit deal outside of the US, garnering $3.35 billion for the Shapoorji Pallonji Group, as the infrastructure conglomerate used a part of its Tata Sons stake as collateral to draw commitments from the likes of BlackRock and Morgan Stanley in a global funding syndicate, people familiar with the matter three-year non-convertible debentures (NCDs) carry a 19.75% yield, compounded annually and payable at maturity. Funds were earlier raised at a rate that was about a percentage point lower. In 2023, SP Group's Goswami Infratech had raised $1.7 billion at 18.75%. The German lender committed $893 million to the bonds, and is likely to retain a significant amount - of more than $500 million - on its books. Deutsche Bank has syndicated to financiers including BlackRock, Sona Capital, Morgan Stanley, and PIMCO. Firms such as Sona Capital and PIMCO executed their first major private credit India trade through this entire funding round of $3.35 billion drew three distinct pools of capital -- existing bondholders in Sterling bonds, existing bondholders in Goswami bonds, and a fresh slate of global private credit investors from the U.S., U.K., Hong Kong, Singapore, and Deutsche Bank also distributed its exposure across a consortium of international credit funds. BlackRock picked up $70 million, Sona committed $180 million, Morgan Stanley Investment Management took $60 million, and PIMCO added $45 million, bringing the consortium's total to about $355 million. Separately, Ares has invested in $500 Capital, a long-time creditor to SP Group, followed with a $596 million (Rs 5,100 crore) investment. Davidson Kempner and Cerberus Capital committed $401 million and $474 million respectively. Spokespersons of Deutsche Bank and SP Group did not respond to requests for debt is secured by SP Group's 9.2% stake in Tata Sons held via Sterling Investment, its real estate arm Shapoorji Pallonji Real Estate, and SP Energy, the oil and gas business. The issuance, arranged solely by Deutsche Bank, is the first large corporate bond placement under the revised FPI norms, which now allow offshore investments through the general limit route instead of the restrictive Voluntary Retention Route (VRR).DB originally targeted a March closing but ultimately executed the transaction six weeks later after geopolitical stability. 'This regulatory tweak, where the RBI revised FPI norms for corporate bonds, helped investors invest through the general investment route,' said a source. 'It was key for investors that wanted one-off exposure to India without committing to an ongoing India-dedicated book.' While the transaction is partially going to be used for refinancing existing debt and funding growth in real estate and EPC businesses, it will change how large conglomerates access longterm capital, said an investor in the bond.'Most people see Shapoorji as a real estate player. But it is India's largest EPC group after L&T,' one bond investor in the deal said. 'This deal will deepen nonbank financing avenues for corporate India and will significantly deepen the private credit market in India.' Other investors in the deal include Kingstreet $150 million, EAAA $82 million, Synergy Metals & Mining $75 million, BroadPeak $55 million, Discovery $25 million, and ASK Finance $23 million, among others. In total, 14 investors participated.
