Vodafone Idea shares jump up to 7.6% on lower AGR dues; what it means Shares of Vodafone Idea (VIL) surged as much as 7.63% to ₹11 apiece on the National Stock Exchange on Monday, May 4, following the government’s reassessment of the company’s adjusted gross revenue (AGR) liabilities. The Department of Telecom (DoT) finalized the AGR dues at ₹64,046 crore as of December 31, 2025, a 27% reduction from the previously estimated ₹87,695 crore. The government also imposed a five-year moratorium on these payments, easing the company’s financial burden. The reassessment, conducted by a committee formed by the DoT, marked a significant shift in the long-standing AGR dispute. The revised liability, which excludes incremental interest, is spread over a 10-year repayment schedule. Under the new terms, Vodafone Idea will pay a minimum of ₹1 billion annually between fiscal years 32 and 35, followed by equal annual installments of about ₹106 billion from fiscal years 36 to 41. This restructuring is expected to improve the company’s cash flow and balance sheet visibility. Analysts highlighted the positive implications of the AGR reassessment. CLSA noted that the resolution of the AGR overhang could enhance Vodafone Idea’s ability to raise funds, though the company’s spectrum debt remains elevated at ₹1,249 billion. Despite the government converting ₹370 billion of spectrum dues into equity in April 2025, raising its stake to 49%, the firm’s high debt levels and execution risks remain concerns. CITI analysts emphasized that the reassessment significantly reduces the effective AGR burden, estimating it at around ₹260 billion on a net present value basis, compared to approximately ₹350 billion previously.#ubs #clsa #vodafone_idea #citigroup #department_of_telecom
Indian-Origin Man Who Will Earn Rs 500 Crore At Citi Group "Bullied" JPMorgan Colleagues Viswas Raghavan, a senior banker at Citigroup, is facing allegations of bullying and inappropriate workplace behavior after being let go by JPMorgan Chase, according to a Financial Times investigation. The report, based on interviews with over 15 individuals familiar with the situation, claims Raghavan’s management style at JPMorgan led to multiple complaints and internal reviews. Despite these issues, he was recruited by Citigroup in February 2024 with a lucrative pay package of $52 million (approximately ₹490 crore), which was presented as an effort to attract him away from JPMorgan. Raghavan, who serves as Citigroup’s head of banking, is seen as a potential successor to CEO Jane Fraser. However, his hiring has sparked controversy, with colleagues alleging he frequently berated staff using harsh language such as “a waste of calories,” “ignorant,” and “inadequate.” His explosive temper and abrasive leadership style reportedly caused significant tension within JPMorgan, leading to concerns among senior bankers. Some colleagues reportedly threatened to resign, while others escalated complaints to top executives, including Jamie Dimon, JPMorgan’s CEO. The allegations against Raghavan include two internal reviews during his tenure at JPMorgan, which were initiated due to his leadership approach. Despite these issues, Citigroup defended its hiring process, stating it involved extensive evaluation by senior leadership and board members. The bank emphasized that Raghavan is “a proven leader with a well-earned track record for driving results” and expressed enthusiasm about his role in the executive management team.#jpmorgan_chase #citigroup #viswas_raghavan #jane_fraser #jamie_dimon
5 Stock to Sell: Brokerages Recommend Sell on Trent, Tech Mahindra, and Others Tata Elxsi reported a steady performance in its fourth quarter of fiscal year 2026, with revenue growth and margins aligning with expectations. The company’s improved execution across key segments, including continued traction from original equipment manufacturer clients, stabilization in automotive demand, and recovery in the media and communication sector, were highlighted by ICICI Securities. Despite these positives, the brokerage maintained a “sell” rating on the stock, citing a target price of Rs 4,380. This price implies a potential downside of 3.5% from current levels, reflecting caution about the stock’s near-term outlook. Persistent Systems, on the other hand, faced a slightly softer-than-expected performance in Q4FY26, with both revenue and margins falling short of estimates. BOB Capital Markets acknowledged the near-term miss but emphasized the company’s strong growth trajectory, projecting a US$2 billion revenue run rate by the fourth quarter of FY27. While the brokerage reaffirmed its belief in Persistent Systems as a growth leader in the IT sector, it retained a “sell” rating with a target price of Rs 3,611. This price suggests a potential upside of 28.7% from current levels, indicating a cautious but optimistic stance on the company’s long-term prospects. Tech Mahindra delivered a largely in-line performance in Q4FY26, according to Citigroup. The brokerage noted that the company executed reasonably well despite a challenging industry environment. However, Citigroup maintained a “sell” rating on the stock, with a target price of Rs 1,275. This price is below the current market price of Rs 1,416, signaling a cautious outlook for the near term.#icici_securities #citigroup #tata_elxsi #bob_capital_markets #persistent_systems
Flipkart Eyes $2-2.5 Bn Pre-IPO Round: Report Flipkart, the Indian e-commerce giant, is reportedly exploring a significant pre-IPO funding round ranging between $2 billion and $2.5 billion, according to recent reports. The company has engaged in discussions with multiple investment bankers, including Goldman Sachs, JP Morgan, Bank of America, and Citigroup in the United States, as well as Indian banks such as Axis Bank, JM Financial, and Kotak Mahindra Bank. These meetings aim to gauge investor interest and prepare for the upcoming public offering. While the valuation for the round remains undetermined, the pre-IPO funding could serve as a strategic move to allow existing investors to exit before the IPO, enhance Walmart’s paper gains, and provide insights into investor appetite for the public listing, which is expected within the next 12 to 18 months. The potential fundraising effort is part of Flipkart’s broader preparations for its IPO, which follows a recent reverse flip to India from Singapore. This move, completed last month, marks a critical step in the company’s journey toward going public. Flipkart’s leadership, including CEO Kalyan Krishnamurthy, has been actively engaging with global and domestic financial institutions to finalize the details of the round. Krishnamurthy met with bankers across the U.S., Singapore, and London, while also discussing the raise with U.S.-based investment management firm Capital Group. Other institutional investors have expressed interest in participating, though the final decision on the funding round will rest with Walmart, which holds an 80% stake in Flipkart. Walmart, which invested $16 billion to acquire Flipkart in 2018, may be cautious about diluting its stake ahead of the IPO.#flipkart #bank_of_america #jp_morgan #goldman_sachs #citigroup
Bill Ackman Kicks Off Roadshow for Combined IPO of Pershing Square, New Fund Bill Ackman’s Pershing Square launched a roadshow for the U.S. initial public offerings of his management company and a new fund on Monday, despite ongoing uncertainty surrounding the Middle East conflict. The move comes amid a volatile market following failed weekend talks between the U.S. and Iran to end a war now in its seventh week. Ackman aims to capitalize on market disruption by acquiring undervalued assets through the new fund, Pershing Square USA. The roadshow marks a significant step for the billionaire investor, who previously attempted to take the new fund public in 2024 but scrapped the plan days before its scheduled debut due to hurdles. Pershing Square USA expects to raise between $5 billion and $10 billion from the IPO and a private placement, with shares priced at $50 each. The fund has already secured $2.8 billion in commitments from investors, including family offices, pension funds, and insurance companies. These investors will receive 30 shares in Pershing Square for every 100 shares purchased in the new fund. Ackman’s strategy for Pershing Square USA mirrors his existing hedge fund, which invests in 12 to 15 undervalued North American-listed companies. The new fund offers quicker access to capital and avoids performance fees to attract a broader investor base. Ackman emphasized in a letter to investors that a successful IPO could bolster efforts to launch other closed-end investment companies. The combined IPO will list Pershing Square Capital Management under the symbol “PS” and Pershing Square USA under “PSUS” on the New York Stock Exchange. Global coordinators for the offering include Citigroup, UBS Investment Bank, BofA Securities, Jefferies, and Wells Fargo Securities.#citigroup #new_york_stock_exchange #bill_ackman #pershing_square #ubs_investment_bank
Shell: RBI Recommends Buy – Citigroup Raises Target to 35.50 GBP Analysts have revised their assessments of Shell PLC (SHE L) in recent days, with Citigroup adjusting its price target and the Raiffeisen Bank International (RBI) updating its recommendation. On April 2, Citigroup raised its target price for Shell from 29.50 GBP to 35.50 GBP while maintaining its "Neutral" rating. Two days later, RBI revised its recommendation from a previous stance to "Buy" following an updated baseline scenario. These changes reflect shifts in risk assessments and evolving expectations about Shell’s performance and strategic direction. The adjustments stem from revised assumptions regarding energy prices, margins, and cash flow development. For investors, this signals a broader shift in how risks are evaluated between short-term earnings volatility and long-term structural changes in the energy sector. Analysts note that while Citigroup’s target increase indicates improved earnings potential, the "Neutral" rating suggests the bank remains cautious about the risk-reward balance. This highlights the importance of not only tracking price targets but also assessing the underlying uncertainties, such as fluctuations in commodity prices, regulatory and political risks, and the pace of the energy transition. The updated scenarios focus on key drivers for oil and gas stocks, including projected price levels for crude oil and natural gas, margin developments in trading and processing, and the resilience of free cash flow under varying price assumptions. Additionally, assumptions about capital expenditures and capital allocation strategies are critical, as they determine how Shell balances investments with dividend payouts and share buybacks.#natural_gas #shell_plc #crude_oil #citigroup #raiffeisen_bank_international
Oil Price: Hormuz Supply Shock Widens Gap Between Future and Physical Fuel Global oil markets are experiencing a stark divide as the conflict in the Middle East intensifies, with physical fuel prices surging far beyond the levels predicted by oil futures. The Strait of Hormuz, a critical chokepoint for global oil shipments, has been nearly closed due to attacks on energy infrastructure, leading to a sharp rise in Brent crude prices. The benchmark has climbed over 50% to around $112 per barrel, but the cost of actual oil being refined into petrol, diesel, and jet fuel has risen even more sharply, reflecting the growing difficulty in securing supplies. Refiners in Asia are now paying steep premiums above Brent prices to source oil from distant regions, underscoring the severity of the shortage. The impact of this supply crisis extends beyond oil markets, affecting industries reliant on fuel. In India, petrol prices have increased by up to ₹2.35 per litre, while trucking companies face higher fuel costs, some shipping firms are reducing purchases, and European airlines warn that rising jet fuel prices—now exceeding $200 per barrel—will be passed on to passengers. The gap between futures prices and the actual cost of physical oil is partly attributed to measures taken by governments to curb price spikes, such as releasing emergency stockpiles. However, analysts argue that the broader economic consequences of the disruption are more significant than what futures markets suggest. Jeff Currie, chief strategy officer at Carlyle Group Inc., noted that paper markets have become disconnected from physical markets, describing the situation as an "enormous supply shock." Goldman Sachs and Citigroup have warned that oil futures could surpass the 2008 record of $147.50 per barrel if the conflict persists.#strait_of_hormuz #international_energy_agency #goldman_sachs #carlyle_group_inc #citigroup
