Latest news with #SDLs
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Business Standard
06-05-2025
- Business
- Business Standard
4X growth and counting: Baroda BNP Paribas Gilt Fund hits Rs 1,500 crore
Baroda BNP Paribas Gilt Fund, a flagship fixed income mutual fund, has completed its twenty third year with a dual milestone of surpassing Rs 1,500 crore in Assets Under Management (AUM), and rewarding investors with 4X growth. Since inception, the Baroda BNP Paribas Gilt Fund has delivered consistent long-term returns, transforming an initial investment of RS 10,000 into Rs 41,919.60 as of March 31, 2025 — an over four-fold increase. "Over the past 12 months alone, the scheme's regular plan has provided a 9.61% return, making it a preferred choice for investors seeking low-risk, long-duration debt investments with capital appreciation potential," Baroda BNP Paribas Mutual Fund said in a statement. The fund maintains zero default risk, ensuring stable and secure returns. "The portfolio of the Baroda BNP Paribas Gilt Fund is positioned to actively benefit from the spreads between G-Secs and SDLs as well as from our expectations of softening of the yield curve led by positive fundamentals for India's bond markets,' said Prashant Pimple, Chief investment officer Fixed income, Baroda BNP Paribas Asset Management (India). Managed by Gurvinder Singh Wasan, CFA, Senior Fund Manager and Prashant Pimple, Chief Investment Officer – Fixed Income at Baroda BNP Paribas Mutual Fund, the scheme primarily invests in high-quality, risk-free government securities and State Development Loans (SDLs). "The fund takes strategic duration calls to capture potential gains from expected RBI interest rate cuts, making it an ideal option for investors looking to benefit from a falling interest rate environment. With the latest RBI monetary policy changing its stance to accommodative from neutral, schemes such as these, are well positioned to benefit from the capital appreciation that will result from the RBI cutting repo rates," the company said in a statement. "'We expect to run a portfolio duration close to the duration of the benchmark 10-year G-Sec security. This is based on our view that rates can come down lower given inflation adjusted real rates are still in positive zone," said Pimple.
Mint
29-04-2025
- Business
- Mint
State government borrowings dip sharply in April
New Delhi: State government borrowings through securities declined sharply to ₹ 53,870 crore in April from ₹ 2.25 trillion in March, according to the latest data from the Reserve Bank of India (RBI), likely deferring costlier loans to suit spending. On Tuesday, 10 states raised ₹ 24,700 crore through auctions of State Development Loans (SDLs), the largest tranche during the month. Earlier in April, states had mobilized funds in four smaller tranches of ₹ 11,800 crore, ₹ 3,500 crore, ₹ 3,000 crore and ₹ 10,870 crore. SDLs are bonds issued by state governments to finance budgetary needs and fund development projects across infrastructure, health, education and other public services. These securities are auctioned by the RBI and are a key tool for states to raise resources from the market. The indicative amount for state borrowings in the first quarter of FY26 (April–June 2025) is pegged at ₹ 2.73 trillion, slightly higher than the ₹ 2.54 trillion estimated in the same period last year. Experts note a growing trend among states to defer the bulk of their market borrowings to the second half of the financial year, giving them greater flexibility in managing cash flows and project timelines. States typically rely on low-cost or interest-free funds in the first half of the fiscal year—such as their tax revenues, central tax devolution, GST compensation, and interest-free loans from the Centre—before turning to market borrowings when these sources begin to dry up, said Venkatakrishnan Srinivasan, founder and managing partner, Rockfort Fincap LLP. "Many state infrastructure projects—from roads and bridges to water supply systems—gain real momentum only after the monsoon season ends. Naturally, this means higher spending (and borrowing) needs in H2," he said. "Also, to ensure that the bond market isn't flooded with too much borrowing at once, the central government has been frontloading its bond issues in the first half, leaving more space in the second half—especially in Q4—for states to borrow without driving up interest costs. It's a coordinated move that benefits both sides," he added. At Tuesday's auction, Maharashtra led with ₹ 6,500 crore, followed by Rajasthan ( ₹ 4,500 crore), Punjab ( ₹ 2,500 crore), Uttar Pradesh ( ₹ 3,000 crore) and Kerala ( ₹ 2,000 crore). Smaller amounts were raised by Telangana ( ₹ 1,400 crore), Himachal Pradesh ( ₹ 1,300 crore), Tamil Nadu and Haryana ( ₹ 1,000 crore each), Uttarakhand ( ₹ 1,000 crore) and Tripura ( ₹ 500 crore). First Published: 29 Apr 2025, 08:34 PM IST
Reuters
21-04-2025
- Business
- Reuters
India's soon-to-be-introduced bond forwards seen boosting demand for state debt
MUMBAI, April 21 (Reuters) - India's upcoming bond forwards are set to boost demand for state debt and lower borrowing costs for sub-national issuers, a move investors say could help deepen the country's local bond market. The Reserve Bank of India announced guidelines for bond forwards in February, with rules set to take effect from May 2. While the contracts cover both federal and state bonds, investors expect stronger demand for state bond forwards due to their higher yields. "Insurance companies would be looking to use state development loans (SDLs) as the underlying for bond forwards with the objective of yield enhancement," said Ketan Parikh, head of fixed income at ICICI Prudential Life Insurance, adding that this would create demand for state bonds and help them borrow at more affordable costs. Indian states have emerged as major borrowers in recent years, with their debt levels approaching those of the federal government. While New Delhi plans to raise 15.82 trillion rupees ($185.93 billion) this year, state governments are expected to borrow around 12.50 trillion rupees, according to ICICI Securities Primary Dealership. The 10-year notes were issued at around 6.71%, compared to 6.41% on federal bonds of similar maturity at the latest auction of state bonds. The RBI introduced bond forwards after insurance companies increasingly turned to unregulated forward rate agreements (FRAs) to hedge interest rate risks. Unlike FRAs, which involve only cash settlement of price differences, bond forwards require physical delivery of the underlying securities. Three bond market participants said insurance companies—owing to their long-term liabilities—are expected to dominate this new market segment, though the product could attract a broader set of investors over time. "Bond Forward product will appeal to a wider set of investors, who may want to either, similarly hedge their interest rate risks, or take positions based on their view of interest rates," Badrish Kulhalli, head of fixed income at HDFC Life Insurance said. Investors said demand for bond forwards linked to 10–15 year state bonds is likely to be stronger, given the wider spreads in that segment compared to longer maturities. The 10-year state-central bond yield gap stood at around 30 basis points last week, while 30-year yields were at parity. The availability of forward contracts will also help stabilise the additional spreads that investors demand from states. "In the long run we could see spread compression or every time spreads widen, we would see demand coming from insurance companies," ICICI Prudential's Parikh added. ($1 = 85.0870 Indian rupees)
Yahoo
27-01-2025
- Business
- Yahoo
Telescope Innovations Presents Results of First Fiscal Quarter 2025
Vancouver, British Columbia--(Newsfile Corp. - January 27, 2025) - Telescope Innovations Corp. (CSE: TELI) (OTCQB: TELIF) ("Telescope" or the "Company"), a developer of advanced technologies and services for the global pharmaceutical and chemical industries, reports financial results for the fiscal quarter ended November 30, 2024 (Q1). The Company generated revenues of $1.2 million during this period, driven by strong sales performance and market adoption of its flagship product, DirectInject-LC™, and an adjusted EBITA loss of $103K. Revenues have been strategically reinvested to drive operational growth, and financial results are consistent with management's budget expectations and FY 2025 targets. FINANCIAL HIGHLIGHTS OF THE FISCAL QUARTER ENDED NOVEMBER 30, 2024 All values are represented in CAD. Revenues of $1,204,197 (versus $1,504,852 for the comparable period in FY 2024) Expenses of $1,547,734 (versus$1,289,852 for the comparable period in FY 2024) Adjusted EBITA loss of $103,177 (versus $505,171 earnings for the comparable period in FY 2024) OPERATIONAL HIGHLIGHTS FLAGSHIP PRODUCT DISTRIBUTION AND EXPANSION OF CUSTOMER BASE. Telescope successfully delivered all product orders under its multi-year global distribution agreement with Mettler Toledo for DirectInject-LC™. Product demonstrations in the US, Japan, Belgium, and Slovenia expanded market presence, while the Japan launch created immediate opportunities. Mettler Toledo also initiated a marketing campaign in November to further drive product adoption. COLLABORATIVE RESEARCH WITH PFIZER ON SELF-DRIVING LABS. Under its multi-year agreement with Pfizer, Telescope advanced research activities to develop Self-Driving Laboratories (SDLs). Powered by artificial intelligence, advanced process analytical technology, and robotics, SDLs can accelerate pharmaceutical research and development by up to 100 times compared to traditional methods. Telescope also achieved Certified Systems Integrator (CSI) status for Universal Robots systems, enhancing its ability to deploy SDLs effectively, train clients on their use, and ensure seamless adoption of this transformative technology. VALUE DEMONSTRATION OF IP FOR PRODUCING BATTERY RAW MATERIALS. The Company demonstrated production of over 99.5% pure lithium carbonate from Altillion brines using its proprietary ReCRFT™ technology, significantly reducing the costs and complexity of lithium refining. Telescope is now building a pilot plant in Vancouver to conduct scale-up engineering studies and demonstrate continuous operation to potential ReCRFT™ licensing customers. Telescope also published peer-reviewed research in Digital Discovery, showcasing how AI-driven optimization couples with ReCRFT™, achieving lithium carbonate yields exceeding 83% and improving the sustainability of lithium processing. "Our Q1 results position Telescope firmly on track to achieve our technical, strategic, and financial targets for the year," commented Henry Dubina, Telescope CEO. "The combination of strong product sales, groundbreaking collaborations such as our work with Pfizer on Self-Driving Labs, and the advancement of proprietary technologies such as ReCRFT™ highlights our ability to deliver value across multiple industries. As we continue to scale operations and reinvest in growth, we remain confident in our capacity to drive innovation and sustain our momentum throughout 2025." Readers are encouraged to review the full financial statements and accompanying management discussion and analysis for the fiscal year ended November 30, 2024, both of which are available under the profile for the Company on SEDAR+ ( About Telescope Telescope is a chemical technology company developing scalable manufacturing processes and tools for the pharmaceutical and chemical industry. The Company builds and deploys new enabling technologies including flexible robotic platforms and artificial intelligence software that improves experimental throughput, efficiency, and data quality. Our aim is to bring modern chemical technology solutions to meet the most serious challenges in health and sustainability. On behalf of the Board, Telescope Innovations Corp. Henry Dubina, Chief Executive OfficerE: hdubina@ The CSE has neither approved nor disapproved the contents of this news release. Neither the CSE nor its Market Regulator (as that term is defined in the policies of the CSE) accepts responsibility for the adequacy or accuracy of this release. To view the source version of this press release, please visit Sign in to access your portfolio
