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Why India's Tata sons faces pressure to list
Tata Sons chairman N. Chandrasekaran, who has been at the helm for?nearly 10 years, is about to retire. This will intensify focus on succession as well as a possible stock market listing. The change at 'Tata Sons', the holding company for 31 group companies, including Tata Consultancy Services and Tata Motors as well as Tata Steel, Tata Steel, and Air India has also raised questions about the power balance between the?board of directors and the charitable trusts who control the conglomerate. Tata Sons has remained unlisted until now. The pressure to list this year has increased from various stakeholders, including the second largest shareholder, Shapoorji Pallonji Group. What is the structure of TATA Group? Tata Sons, the 108-year old salt-to steel conglomerate, is unique in its structure. A group of philanthropic organizations collectively known as Tata Trusts holds 66% of Tata Sons. SP Group, a construction and infrastructure conglomerate with a lot of debt, holds 18.4%. Tata Trusts consists of 13 entities. Seven of these directly own shares in Tata Sons. Tata Trusts is composed of six trustees from each of these entities. Noel Tata is the current Chairman of Tata Trusts, and a Director on the Tata Sons Board. Who wants TATA Sons to be listed? There is pressure from many quarters to list the company. In media interviews, at least two Tata trustees, Venu Srinivasan, and Vijay Singh, have supported the listing of Tata Sons. They said that expansion, particularly into new areas such as semiconductors, would require large amounts capital, which cannot be generated locally. SP Group is seeking a listing to be able to monetise its holdings, which are not freely transferable under the current structure. SP Group, however, is not among the trustees. The main pressure comes from the Reserve Bank of India's rules, which require large non-bank lending institutions with assets above certain thresholds or public funds to be listed. What are the RBI rules and why do they apply to TATA Sons? Tata Sons, as the holding company for a variety of businesses, is classified by the RBI as a core investing company that requires enhanced supervision. According to revised rules released last month, companies with assets greater than 1 trillion rupees (10.45 billion dollars) or those who have direct or indirect access public funds must list. Tata Sons assets alone stood at 1,75 trillion rupees as of March 2025. HAS RBI clarified its position? The RBI has not made a public statement about the new rules, despite the fact that analysts and legal experts claim they make it more difficult for Tata Sons' to remain private. The RBI retained Tata Sons as needing enhanced regulatory oversight last week, but said that it did not affect its pending application to give up its non-banking financing licence. This leaves uncertainty about whether the company will have to list its shares. It is unclear whether the company's efforts to avoid listing will be enough. Who is opposing 'THE Listing? Noel Tata may not have made public comments but, according to reports, he privately opposed the conversion of Tata Sons to a listed company. He and other trustees were reported to have unanimously opposed listing in 2013 and asked Tata Sons' chairman to speak with "the RBI". What will happen at the Shareholders Meeting next week? Tata Sons shareholders are expected to gather on August 18 and the main agenda item is to find a successor to the current chairman before he leaves office in 2019. The controlling trusts announced on Thursday they were forming a committee that would recommend a new chairperson. One?item to consider is how Tata Sons navigates the RBI rules and their implications on a possible listing, and provides an exit for cash starved 'SP Group. Other items include a greater representation of Tata Trusts on the Tata Sons Board, as well as a review the performance of Tata Sons. The market is closely watching the shareholders' meeting, the first one since Chandra announced he would resign and the RBI revealed publicly the company's request to deregister as non-banking financial company.
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Ambrey involved in the salvage of stricken Caroline Bezengi, off Omani Coast
The British maritime security firm Ambrey announced on Thursday that it was involved in the salvage of the Caroline 'Bezengi', a tanker which had been damaged off the coast of Omani. Salvage vessels were en route to assist the operation. The Caroline Bezengi, a tanker carrying approximately 800,000 barrels Russian oil, and subject to international sanctions, ran on the ground?on 30th June near an Omani marine reserve which is home to wildlife such as Arabian Sea Humpback Whales and Socotra Cormorants. Ambrey stated that it was working with Oman stakeholders and had contracted a top international oil spill response firm. Ed Wollaston said, "This is a very challenging situation,?compounded by adverse weather conditions?associated with the Khareef Monsoon". The Khareef is an annual event that occurs in Oman's Dhofar Region. It is triggered by the Indian Ocean Monsoon Winds, which fill the region with mist and cool drizzles. Oman's Environment Agency said on Wednesday a massive oil spill caused by a leaking tanker was beginning to reach the coastline of the country. It 'threatens to become one of the worst oil spills in recent years' after spreading unchecked over weeks. The tanker first reported problems off Yemen on June 8, after what maritime sources described as a blast. No party has claimed responsibility for the alleged attack. It is believed that the tanker navigated two different wars during its journey from Russia and India. Reporting by Jonathan Saul, Writing by Tala RAMADAN; Editing and proofreading by Mark Potter and Emelia SIthole-Matarise
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Maersk Q2 profits surpass forecasts and raise outlook for the second time in this year
Maersk, the Danish shipping company, smashed its profit forecasts on Thursday and increased its earnings guidance for full-year this year for a second consecutive time as the Middle East conflict pushed up freight rates. Maersk’s profit before interest taxes, depreciation, and amortisation for April to June was $3.0 billion. This is up from $2.30bn a year earlier. Maersk is a bellwether of global trade due to its position as the second largest container shipper in the world. In June, it raised its outlook based on strong demand in Asia and predicted a global container market increase of?around 4 percent this year. The company now expects an EBITDA underlying of between $10 billion and $12 billion. This is up from $8 billion to 10 billion previously. It also expects an operating profit underlying between $4.5 billion to $6.5 billion. Shipping giants have seen a rise in profits due to turbulence that has pushed up the freight rates in the global market. This includes the U.S./Iran War, which caused disruptions in traffic through the Strait of Hormuz and the Houthi attacks on the Red Sea. Analysts have warned that the recent strength of the freight market masks greater?risks in the future, and any normalisation of Red Sea trade would significantly lower freight rates. Most shippers abandoned the Asia-Europe trade route through 'the Suez Canal' earlier this decade after Houthi attacks in Yemen's Red Sea forced ships to sail around Africa’s Cape of Good Hope. As a result of the longer trips around Africa, shipping rates increased, and freight became more expensive. However, Maersk, Hapag-Lloyd, have announced in recent months that they will resume some services via the Suez Canal, as part a gradual return.
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India's HPCL purchases 4 million barrels Middle Eastern crude oil, traders claim
Multiple trade sources confirmed that 'Indian state-run refiner Hindustan Petroleum Corp. bought 4 million barrels of Middle Eastern crude in a spot auction on Thursday. They said that the refiner bought 2 million?barrels? of Murban crude? from BP and another?1million barrels? of Murban?from PetroChina, as well as 1 million barrels?of Oman crude?from Trafigura. Both grades are?loaded from outside of the Strait of Hormuz. Two of the people said that Murban's delivered price was $7 per barrel higher than Brent's contract date, and Oman's delivered price was $4 to $5 per barrel. Arrival of the oil is expected to be around October 1. The 'companies usually do not comment on commercial transactions. Reporting by Siyi Liu in Singapore, 'Nidhi verma' in New Delhi and Seher Dareen from London. Editing by Jamie Freed.
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The oil price has fallen as a weaker outlook for demand in the Middle East counters supply concerns
Oil prices eased Thursday, after a week of gains, as the focus shifted to the 'expected' lowering of global oil demand in this year. Meanwhile, there were no signs of progress towards opening up of the Strait of Hormuz. Brent futures fell 42 cents or 0.47% to $88.56 per barrel at 0405 GMT. U.S., erasing gains over the six previous sessions. West Texas Intermediate crude (WTI), which had been rising over the previous five sessions, fell by 55 cents or 0.66% to $82.72. On?Wednesday, a senior Iranian source stated that there was no progress made in the talks to revive a June interim agreement and to define a timeline for its implementation. In a Thursday note,?ING analysts said that there were few new developments between the U.S. The latest large drone strike on Russia's Novorossiysk Port appears to have spared the oil infrastructure. There are no reports yet of damage to oil terminals. After the price spikes of the last week were not reversed, attention turned towards the outlook for demand. This was due to a surprising build-up in U.S. crude stockpiles and lower consumption estimates from OPEC. Data from the Energy Information Administration on Wednesday showed that U.S. crude oil commercial inventories had their biggest weekly increase since January 2023, as exports fell. The EIA reported that crude inventories increased by 17.4 millions barrels, to 424.4million barrels during the week ending?August 7; this was their highest level since June 5. This is in contrast with the expectations of analysts in a poll who expected a draw of 1.4 million barrels. In its monthly report on the oil market, the Organization of Petroleum Exporting Countries (OPEC) lowered its forecast for world oil demand growth in 2026 from 1.1 million barrels to 588,000 barrels. The International Energy Agency also said that it expected a 1.6m bpd reduction in consumption for this year. This is down from a previous forecast of?1m bpd, as higher prices and limited supply - due to the U.S./Israeli war against Iran - have curtailed demand. Prices have remained stable despite the deadlock in talks between Iran, the U.S. and other countries to end the Gulf War. Analysts at Haitong Futures wrote in a report that the safety situation in these waters had deteriorated further, forcing ships to turn off their signals. This reduces transparency and makes it harder for the market and shipping companies to track and estimate actual supply levels. (Reporting from Sam Li in Beijing, Siyi Liu and SonaliPaul in Singapore. Editing by Christian Schmollinger & SonaliPaul)
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Wall Street Journal, August 13,
These are the most popular?stories from the Wall Street Journal. These?stories have not been verified and we cannot?guarantee?their accuracy. Apple is negotiating new deals with publishers in order to use their content for delivering current news and information as part of its effort to improve Siri, the voice assistant powered by AI. Federal aviation officials plan to relocate air-traffic-control antennas and implement new procedures in order to prevent a repeat of the?safety accident with Marine One last week near a busy Washington D.C. airport. As part of discussions on reworking the U.S., Mexico-Canada Agreement, the Mexican government has pushed the U.S. for a lower tariff rate on North American cars. - ?Alphabet's top scientist, Demis Hassabis, held discussions with government officials and leaders ?of other artificial-intelligence labs about forming a ?new independent industry ?safety entity in the weeks before he relinquished his role as ?chief executive of Google ?DeepMind. The Swedish startup Lovable raised new funds with a valuation of $13.3 billion, which highlights the?enthusiasm? for tools that allow users to code their own vibes. Ted Decker, the Home Depot CEO will be taking a medical leave. (Compiled by Bengaluru Newsroom)
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MSCI's August index re-jig will add four Indian stocks and remove three from the global key index.
MSCI, a global index provider, announced on Thursday that it would 'add four Indian companies to the widely-tracked Global Standard Index and remove three in its August review. This highlights a 'continuing churn' of India’s representation within global passive portfolios. MSCI stated that the changes would be made after August 31st 2026's close of business and will take effect September 1st. Adani Energy Solutions (the Adani Group's power distribution and transmission arm), Lenskart (an omnichannel eyewear retailer), and Groww (a digital investment platform and brokering platform) will all?enter this index. These companies will replace Balkrishna Industries (a tyre manufacturer), SBI Cards (a credit card issuer), and Astral, a building materials company. After the reshuffle the number of Indian companies in the MSCI key index will increase from 165 to 166. Nuvama Alternative and Quantitative Research estimates that India's weighting in the global standard will also increase to 11.9%, from 11.8%. Exchange-traded funds (ETFs) and passive investors who replicate MSCI benchmarks are expected to buy significant amounts of shares. Nuvama Alternative and Quantitative Research estimates that potential inflows for Laurus Labs are about $598 millions, for Lenskart $352 millions, for Adani Energy Solutions $310 million, and for Groww $256 million. Balkrishna Industries SBI Cards Astral and other companies could experience passive outflows estimated at $169, $143 and $138 millions, respectively. The review also re-calibrated the weights of existing index members. Eternal will?attract?the?largest passive inflow at $674 million following an increase in weight. Adani Enterprises, Adani Ports, and Adani Ports are expected to receive about $202 and $77 millions respectively. Reliance Industries may face an outflow of $523 million while Jio Financial Services could see $61 millions. Separately MSCI's Small?Index Review added Amagi?Media Labs and Ather Energy to the index, as well as Clean Max, Embassy Developments and Patanjali Foods. Rubicon Research and Sedemac were also removed, along with Sky Gold and Diamonds. United Breweries and WeWork India. (Reporting and editing by Rashmi aich in Bengaluru)
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Hegseth welcomes Colombia into the anti-drug alliance following its election
U.S. Secretary of Defense Pete Hegseth welcomed Colombia into a coalition of Western Hemisphere countries that are committed to fighting drugs. This follows the inauguration of Colombia's conservative president. Hegseth stated that Colombia has also authorized "joint operations to destroy terrorists and terror networks." The so-called Americas Counter-Cartel Coalition met in Panama. Its canal was a focal point of Latin America Policy under President Donald Trump. The U.S. has dramatically expanded its policy since then, with military strikes by the U.S. on suspected drug ships last September which have so far killed over 200 people and a U.S. led commando raid that took down Nicolas Maduro as president of Venezuela in January. Hegseth, who was at the Panama meeting with the coalition allies, encouraged them to withdraw from the International Criminal Court. He compared drug dealers to terrorists from al Qaeda and the Islamic State. Hegseth, speaking at a Panama City hotel, invoked the Monroe Doctrine, a 19th century policy that asserted U.S. dominance across the Americas, which critics attribute to decades of "U.S. intervention. He called it "Donroe Doctrine", a play on Trumps name. Hegseth stated that "we will defend our hemisphere against external threats," such as narcotraffickers and foreign influence. COLOMBIAN CRACKDOWN The Trump administration has backed up the Colombian president Abelardo De La Espriella in his vow to crackdown on security. On Friday, it announced plans to provide U.S. assistance of $1 billion to his government. De La Espriella, during his Friday inauguration speech, vowed "to definitively eradicate the scourge of illegal crops" and pledged to join the Shield of the Americas Program founded by Trump. De La Espriella blamed his leftist predecessor Gustavo Petro for the?expansion armed groups. De La Espriella’s election was part a rightwards shift that is sweeping Latin America. Weak economies and increasing crime in Peru, Argentina Chile, Ecuador Bolivia and Panama have changed voter priorities, allowing hard-right candidates who were once on the fringe to gain traction through promises of crackdowns amid an international rise of right-wing nationalism. Trump's administration in Panama won a major victory from the country’s Supreme Court after raising concerns about China's encroachment. Hong Kong-based CK Hutchison lost its?port concessions that it held for almost three decades through the local unit Panama Ports Company. Panama Canal is responsible for 5% of the global maritime trade. Control of its entry ports has become a geopolitical flashpoint between Washington and Beijing. In his remarks, Panama's President Jose Raul Mulino referred to drug trafficking as the "biggest challenge" facing the region. He also dismissed the concerns that the U.S. led coalition might infringe upon the sovereignty of its members. He did not mention China. He said that the real threat to sovereignty is the transnational criminal groups who traffic in drugs and people. Mulino stated that "there's no way there will be a lasting peace if (this enemy) advances." Reporting by Phil Stewart from Panama City, and Idrees Ali from Washington. Editing by Alistair Bell.
Maguire: The boom in renewable energy in Europe is causing a fall-off of gas demand.
In recent years, the question that has defined Europe's energy history is whether it has enough gas. This question is becoming outdated.
After the Russian invasion of Ukraine, traders, policymakers and utilities became focused on storage levels, LNG cargo arrivals, and winter weather forecasts. Gas inventories were the main measure of Europe's security in terms of energy.
A new trend is emerging in Europe's power system, which suggests that Europe may be increasingly asking the wrong question.
It is not a question of whether Europe has enough gas. It is not a question of whether Europe needs as much gas now as it did in the past.
The combined electricity generated by Europe's solar and wind farms will surpass the output of gas-fired plants in 2026 for the first time ever.
This may seem like another milestone in the clean energy industry. It could be a sign of a major structural change in the European gas market.
RENEWABLES ARE NOW THE CENTRE OF ATTENTION
Gas used to generate more electricity than the combined output of Europe's wind- and solar-powered fleet.
Data from the energy think tank Ember show that in 2016, solar and wind combined monthly output generally hovered around 30 to 45 terawatt-hours (TWh), whereas gas-fired production often exceeded 100TWh.
Today, the gap is gone.
Solar and wind combined output has increased to 80-110 Terawatt Hours per month, while gas-fired power generation has been steadily losing ground.
Renewable generation has matched or even exceeded gas output in many areas of 2025 and beyond.
This is not just the result of good weather.
Over the last quarter-century, Europe's gas-fired power generation capacity has only grown modestly from 250 gigawatts up to 400 GW. Over the same time period, wind and solar capacity has risen from 20 GW up to almost 750 GW.
In Europe, wind and solar power is now installed at nearly double the rate of gas-fired power.
That distinction matters.
Weather can explain temporary shifts in generation. The changes in the footprints of generation fleets drive structural shifts.
Europe has been steadily building a power system based on renewable resources, rather than fossil fuels, for the past two decades.
After a sufficient amount of renewable capacity has been?installed?, the decline in fossil generation is no longer a policy goal but a?mathematical consequence.
The data suggests that Europe has crossed this threshold.
Fewer months of gas burning
Even more interesting are seasonal generation statistics.
Gas has historically been the mainstay of Europe's energy system. Demand peaks in winter, but falls in spring and summer.
Now wind and solar are increasingly dominating the April-through-October period.
By 2026, the renewable energy sector will have reached new highs and coal and gas production will be at multi-year lows. As renewables provide a greater share of electricity, the traditional gas-burning season is getting shorter.
This could be a game changer for the gas market.
Each month, the use of renewable energy reduces gas demand and lowers imports of gas.
The?HIDDEN STOCKAGE STORY
Gas inventories may have the most significant impact.
Storage has been a crucial insurance policy in Europe since 2022 against disruptions of supply and seasonal demand spikes.
If the power sector gas demand continues to shrink, Europe might not need as much gas in storage during summer or as little gas withdrawn during winter.
Storage will remain important during periods of cold weather and low renewable energy output. As wind and solar power continue to replace gas, the continent may also need less gas.
The debate is now "How much gas does Europe actually need?" instead of "Does Europe currently have enough gas?" This?changes the debate from "Does Europe have enough gas?"
BRIDGE FUEL NOT MORE?
The trend is reinforced by the broader historical context.
Natural gas replaced coal as the main fuel in Europe's energy sector from the 1990s.
Renewables now pose a similar threat to gas.
Policymakers have described gas for years as a fuel that bridges the gap between coal and renewable energy.
The power system in Europe is increasingly looking like it's approaching the other side of this bridge.
Europe does not just produce cleaner electricity with each new wind farm or solar park. It is steadily decreasing the amount of natural gas that it must import, store and burn.
For a continent who spent years worrying about whether they would have enough fuel to make it through the winter, the ability to use less gas in the first instance may be the most significant energy development.
These are the opinions of the columnist, who is also an author. This column is great! Check out Open Interest, your new essential source for global financial commentary. Follow ROI on LinkedIn, X and X. Listen to the Morning Bid podcast daily on Apple, Spotify or the app. Subscribe to the Morning Bid podcast and hear journalists discussing the latest news in finance and markets 7 days a weeks.
(source: Reuters)