Latest news with #MUFG
Reuters
6 hours ago
- Business
- Reuters
Rupee gains as dollar index reverses course on US tariff twist
MUMBAI, May 30 (Reuters) - The Indian rupee gained on Friday, as uncertainty around U.S. tariffs following a temporary reinstatement pulled the dollar index back below the 100-handle. The dollar index had risen to a peak of 100.48 on Thursday after a trade court blocked most of U.S. President Donald Trump's tariffs, but quickly reversed course to fall 0.6% after an appeals court temporarily reinstated the levies as it considered the government's appeal. The rupee , aided by broad weakness in the dollar, rose 0.2% to 85.35 as of 10:40 a.m. IST, nearly the same level it was at before the initial block on the tariffs. The weakness in the dollar also reflected weaker-than-expected labour market data and U.S. consumption data, MUFG Bank said in a note. In the near-term, focus is likely to stay on developments on U.S. trade policies, especially as the end of the 90-day pause on country-specific reciprocal tariffs, starting April 9, draws near. "Our expectation for a trade deal to be struck between India and U.S. beyond the day-to-day uncertainty is a factor underpinning our view for USD/INR to grind lower to 83.50 by 1Q2026, coupled with lower inflation and more supportive domestic policies including rate cuts by RBI," MUFG said. Traders also pointed to dollar selling interest from at least two foreign banks, likely on behalf of custodial clients, which helped lift the rupee. Other Asian currencies were trading flat-to-slightly lower, while India's benchmark equity index, the Nifty 50 (.NSEI), opens new tab, fell about 0.3%, tracking a fall in most regional equities.
Economic Times
2 days ago
- Business
- Economic Times
Dhan's funding nears close; BNPL gets regulated out
Happy Thursday! Stock broking startup Dhan is poised to finalise its long-awaited funding round. This and more in today's ETtech Morning Dispatch. Also in the letter: ■ Petcare opportunity ■ Veterans enter AI chip space■ TCS CEO pay hike Dhan closes in on $200 million fundraise from Chrys Cap, Alpha Wave, MUFG Pravin Jadhav, founder, Dhan Online investment platform Dhan is set to close a $190–200 million funding round, making it the latest entrant to the coveted unicorn club. Driving the news: The Mumbai-based startup is finalising a new round led by ChrysCapital, with participation from Alpha Wave and Japanese financial services giant MUFG. Sunil Bharti Mittal's family office and Dream11 founder Harsh Jain, an existing investor, will also join the round. Deal details: The fundraise includes a mix of primary capital and secondary share sales The round values Dhan at $1.1 billion, making it India's fifth unicorn of 2025. Google and Amazon may come in through a smaller follow-on round. Dhan, in numbers: Active traders: 971,000, as of March 2025 971,000, as of March 2025 Net profit: Rs 155 crore in FY24, against loss of Rs 22 crore in FY23 Rs 155 crore in FY24, against loss of Rs 22 crore in FY23 Revenue: Rs 380 crore in FY24, 600% up from Rs 54.2 crore in FY23. Zoom out: Dhan's fundraise comes as Groww, India's largest stockbroker by active clients, gears up for an IPO. While many peers have lost ground, Dhan has grown its user base, thanks to a profitable business model and a sharp focus on sticky, high-frequency power management startups are navigating a choppy start to 2025, amid tighter regulations on F&O trading and a post-bull market cooldown. Dhan, however, is bucking the trend. BNPL hits the brakes as fintechs pivot to EMI loans and traditional consumer credit Buy-now, pay-later (BNPL) products are losing momentum amid regulatory tightening and growing concerns over credit quality. Losing takers: PayU has migrated LazyPay into a KYC-compliant EMI checkout solution. Paytm shut down its BNPL product last year. Mobikwik has discontinued Zip Loans, according to its FY25 earnings disclosure. Simpl remains one of the few major players still active in the BNPL space. Quote, unquote: 'Fintechs are finding that instalment financing is still viable, but only through a regulated, KYC-compliant setup. The shift is forcing many players to abandon pure-play BNPL and embrace structured EMI lending,' a senior executive at a large fintech company told us on the condition of anonymity. Zoom out: The credit tightening goes beyond fintechs. Banks and NBFCs — key partners in BNPL lending — are pulling back due to rising macroeconomic risks and growing exposure to unsecured loans. Also Read: Listed fintechs feel the pinch of lenders going slow on unsecured lending Karur Vysya Bank, which backs Amazon's BNPL programme, struck a cautious tone during its recent analyst call, noting it has tightened onboarding norms. Bigger story intact: Despite the pivot, industry insiders say the broader story of unsecured consumer credit growth remains unchanged. What's changed is the format: The industry is shifting away from short-term, low-ticket loans with loose underwriting towards EMI-based products with complete Know Your Customer (KYC) checks, longer tenures, and stronger risk controls. Sponsor ETtech Top 5 & Morning Dispatch! Why it matters: ETtech Top 5 and Morning Dispatch are must-reads for India's tech and business leaders, including startup founders, investors, policy makers, industry insiders and employees. The opportunity: Reach a highly engaged audience of decision-makers. Boost your brand's visibility among the tech-savvy community. Custom sponsorship options to align with your brand's goals. What's next: Interested? Reach out to us at spotlightpartner@ to explore sponsorship opportunities. VCs sniff opportunity as petcare expands beyond food A post-Covid surge in pet adoption, the expansion of petcare services, and the rise of quick commerce are drawing both venture capital and strategic investors to India's growing petcare space. Funding frenzy: On Monday, Nestlé SA announced a minority investment in Drools, making it a unicorn. Supertails, backed by Fireside Ventures, is in talks to raise $24–25 million in fresh funding. Gurugram-based veterinary care startup Vetic recently raised $26 million in a round led by Bessemer Venture Partners. Industry outlook: Over the past five years, petcare startups in India have secured $198 million across 20 deals. The Indian petcare market, currently valued at $3.5 billion, is projected to double to $7–7.5 billion by 2028. Pet ownership has grown steadily, with the number of pets in Indian households rising from 26 million in 2019 to an estimated 32 million by 2024. Tell me more: Pet parents are moving beyond need-based purchases, increasingly spending on grooming products, clothing, toys, and more. While the market is currently dominated by Mars, the maker of Pedigree and Royal Canin, D2C brands are rapidly gaining ground. Quick commerce is fueling growth, enabling faster access to pet supplies and expanding consumer demand, according to industry experts. Ex-intel, AMD executives throw hat into AI semicon ring Around a dozen senior professionals from tech giants such as Intel, AMD, and Texas Instruments, each with 15-20 years of experience, are now leading AI semiconductor startups in India. Tell me more: Four Texas Instruments executives launched C2i Semiconductors, which is building hardware designed to reduce energy consumption in chips. Bodhi Computing, founded by Intel veterans Sambit Sahu and Raghuraman Barathalwar, was acquired by Krutrim in 2023. Agrani Labs, set up in Bengaluru by four ex-Intel and AMD executives, is working on India's own AI chip designs. Zoom out: India is rapidly emerging as a hub for chip design and development, with increasing momentum to establish comprehensive, full-stack semiconductor ecosystems. Startups beyond the AI space have also drawn investor interest in the past year, including Mindgrove Technologies, InCore, and Agnit Semiconductors. Other Top Stories By Our Reporters K Krithivasan , CEO, TCS TCS paid CEO K Krithivasan Rs 26.5 crore in FY25: Tata Consultancy Services (TCS) paid its chief executive, K Krithivasan, Rs 26.5 crore in the financial year 2025, representing a 4.6% increase from the previous fiscal year. This total includes a base salary of Rs 1.4 crore, benefits, allowances, and prerequisites worth Rs 2.13 crore, as well as Rs 23 crore in commissions. Zetwerk sharpens focus on capital goods equipment business: Contract manufacturer Zetwerk has launched a dedicated division within its electronics manufacturing branch, aimed at producing equipment and capital goods. Karnataka to issue draft gig workers' welfare rules in two weeks: Karnataka will release draft rules on charging a fee on online platforms to fund welfare programmes for gig workers in about two weeks, state labour minister Santosh Lad told us, a day after Governor Thaawarchand Gehlot approved an ordinance to this effect. L Catterton to raise $600 million for its first India-dedicated fund: LVMH-backed L Catterton is raising $600 million for its inaugural India-focused fund, marking the first time a global private equity firm has launched an investment vehicle specifically for the Indian market. Snabbit raises $19 million to fund expansion: Quick home services app Snabbit has raised $19 million in a funding round led by Lightspeed. The new capital will be used to expand into new micro-markets and strengthen the team amid rising demand. Global Picks We Are Reading ■ If algorithms radicalize a mass shooter, are companies to blame? (The Verge) ■ Grand Theft Auto publisher swaps DEI for 'Diversity of Thought' in annual report (Wired) ■ Microsoft starts testing Copilot for Gaming in Xbox app for iOS and Android (TechCrunch) Updated On May 29, 2025, 07:11 AM IST
Time of India
2 days ago
- Business
- Time of India
Dhan soon to turn unicorn with $200 million fundraise from ChrysCapital, Alpha Wave, MUFG
Online stock trading and investment platform Dhan is set to close a $190-200 million round — making it a unicorn , said people in the know. Joining the ChrysCapital-led round will be Alpha Wave, among the most prolific foreign investors in India this year, as well as Japanese giant Mitsubishi UFJ Financial Group (MUFG). The family office of Bharti Group chairman Sunil Mittal is also set to join the funding group that includes existing investor Harsh Jain , founder of Dream 11. Investors have been looking to cash in on the boom in young participants in the Indian capital markets in the last five years. ET first reported in February about ChrysCapital being in discussions for a round in Dhan. The fundraise, which has been in the works for some time, will be a combination of primary capital and secondary sales, valuing the company at $1.1 billion, making it the fifth unicorn of this year. Follow-on round possible Tech giants Google and Amazon are also evaluating investments in Dhan through a smaller follow-on round, said the people cited. Existing investors such as Beenext and Mirae Asset Venture Investments may also increase their commitments. Discover the stories of your interest Blockchain 5 Stories Cyber-safety 7 Stories Fintech 9 Stories E-comm 9 Stories ML 8 Stories Edtech 6 Stories 'The round is likely to close in the coming days,' said one of the persons cited. 'It has taken some time as investors have waited to assess the impact of the regulatory changes brought about by Sebi last year on stock brokers.' Dhan offers stock trading services to high-frequency and professional traders. It had 971,000 active traders as of March 2025, according to NSE data. The Mumbai-based startup turned profitable in FY24 when it reported a net profit of Rs 155 crore, compared with a loss of Rs 22 crore in the previous fiscal. Revenue rose sevenfold to Rs 380 crore, from Rs 54.2 crore, during the period. The company is currently operating at an annual recurring revenue of Rs 1,000 crore and the founders are trying to benchmark the fintech along public markets through the latest funding. Dhan was founded in 2021 by Pravin Jadhav, who was previously chief executive of Paytm Money . It raised its first major institutional round in 2022, when Mirae Asset Venture, Beenext, 3One4 Capital and others invested $22 million. The latest round, once completed, will see a ninefold jump in valuation from the previous round. Jadhav, ChrysCapital, Alpha Wave, MUFG, Sunil Mittal's family office and Jain didn't respond to ET's queries. Stock in trade At a time when competitors have lost active traders or not added new customers, Dhan has grown its user base by 231,000 over seven months, from 740,000 active users in August last year. Dhan's rival Groww, which is the largest stock broker in the country in terms of active clients, has filed its draft prospectus with Sebi through the confidential route for an initial public offering (IPO), through which it hopes to raise $1 billion. The Peak XV Partners-backed startup is looking to close a $200 million pre-IPO fundraise that will value the startup at $6.5 billion. Investors are also closely tracking Angel One, which is a listed techbacked stock broker, said one of the persons quoted earlier. The valuation ask in the private market is increasingly getting aligned with public market valuations, the person said. Angel One closed FY25 with operating revenue of Rs 5,238 crore, up 22.6% from Rs 4,271.6 crore in FY24. Its market capitalisation is at Rs 27,297 crore. Two factors have worked in Dhan's favour, experts said. It has a profitable business model and focuses on high-frequency power users. This ensures its customer base will remain sticky even in a highly competitive market, according to a partner at a venture fund who had evaluated the startup. Industry evolving The capital raise comes at a crucial time for wealth management startups. While the bull run in Indian stock exchanges through last year helped stock brokers grow their business exponentially, this year has turned out to be tricky for them, given the recent regulatory clampdown. In November last year, Sebi introduced more stringent rules for the highly speculative futures and options (F&O) segment. Industry insiders pointed out that the move could affect around 30% of revenue for large stock brokers, which typically get 70-80% of their revenue from F&O trading. 'Given that Dhan has its focus on very serious traders, the effect on them could be lower,' said the investor quoted above. Over the past four years, the number of demat accounts in India has soared from 40 million to 150 million. Most of these new investors are under 35, digitally savvy, and armed with user-friendly apps such as Zerodha, Groww, Dhan or Upstox. Groww, with around 13 million active traders — and Zerodha and Angel One with upwards of 7 million active users each — dominate the stock broking space. The top three discount brokers cumulatively have close to 40% market share in terms of active traders currently. As of last year, discount brokers accounted for 36% of total revenue and 44% of profit in the industry, eating into the business of legacy broking houses such as Motilal Oswal, JM Financial and ICICI Securities, among others, thanks to their high-volume, low-cost, tech-driven model. However, regulators have been wary of the increasing inflow of retail money into F&O. Securities and Exchange Board of India (Sebi) data show the number of individual traders in F&O nearly doubled between FY22 and FY24. As many as 113 million of F&O participants are individuals, but over 105 million (nearly 93%) suffered net losses, triggering the regulatory intervention.
Finextra
2 days ago
- Business
- Finextra
FIS wins back office gig at MUFG Securities
FIS (NYSE: FIS), a global leader in financial technology, today announced it has been selected by MUFG Securities (Canada), Ltd. (MUSC) to power its back-office operations. 0 As a broker dealer providing services to institutional clients in Canadian capital markets, MUSC chose FIS' Post Trade Processing Platform to help streamline its back-office operations, mitigate risk, and ultimately help unlock business growth. 'Broker-dealers are under more pressure than ever when it comes to headwinds like increased regulatory scrutiny, technology costs, disruptive competitors and thinner margins,' said Nasser Khodri, chief commercial officer and president of Capital Markets at FIS. 'MUFG Securities (Canada), Ltd selecting our post-trade processing solutions is, however, indicative of how we are addressing these issues and improving the workflows that power the world's money at work. We are focused on our product suite's expansion into the Canadian market and look forward to other opportunities that will unlock efficiencies across the entire money lifecycle.' FIS Post Trade Processing Platform is a secure and real-time post trade processing platform. By arming broker-dealers with real-time execution on trade settlements, confirmations and accounting, the platform helps to not only drive business growth for broker-dealers but also fosters trust and transparency for the institutional investors they serve. With a flexible, cloud-native architecture, MUSC will also be able to scale the platform's capabilities as needed - showcasing FIS' commitment to unlocking financial technology that advances how the world pays, banks and invests.
FF News
2 days ago
- Business
- FF News
FIS to Enhance Back-Office Operations for MUFG Securities Canada
FIS® (NYSE: FIS), a global leader in financial technology, today announced it has been selected by MUFG Securities (Canada), Ltd. (MUSC) to power its back-office operations. As a broker dealer providing services to institutional clients in Canadian capital markets, MUSC chose FIS' Post Trade Processing Platform to help streamline its back-office operations, mitigate risk, and ultimately help unlock business growth. 'Broker-dealers are under more pressure than ever when it comes to headwinds like increased regulatory scrutiny, technology costs, disruptive competitors and thinner margins,' said Nasser Khodri, chief commercial officer and president of Capital Markets at FIS. 'MUFG Securities (Canada), Ltd selecting our post-trade processing solutions is, however, indicative of how we are addressing these issues and improving the workflows that power the world's money at work. We are focused on our product suite's expansion into the Canadian market and look forward to other opportunities that will unlock efficiencies across the entire money lifecycle.' FIS Post Trade Processing Platform is a secure and real-time post trade processing platform. By arming broker-dealers with real-time execution on trade settlements, confirmations and accounting, the platform helps to not only drive business growth for broker-dealers but also fosters trust and transparency for the institutional investors they serve. With a flexible, cloud-native architecture, MUSC will also be able to scale the platform's capabilities as needed – showcasing FIS' commitment to unlocking financial technology that advances how the world pays, banks and invests.
