Infosys on track to meet FY24 guidance; Catamaran may invest in Ola Electric — ET

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Meta Platforms, the parent company of Facebook, has launched its verification program, Meta Verified, in India, replacing its earlier verified badge system on Facebook and Instagram, TechCrunch reports. Meta Verified aims to provide a mark of authenticity and credibility to prominent individuals, ensuring that users can trust their accounts. 

 


  

 


The program will allow eligible users to apply for verification, which will be evaluated based on various criteria such as account completeness, adherence to community guidelines, and authenticity. 

 


 

 


Germany’s Defence Minister Boris Pistorius announced on June 6 in New Delhi that the German company Thyssenkrupp AG is likely to bid for a project to supply six submarines to the Indian Navy, Reuters reports. The move comes as India seeks to bolster its domestic defence manufacturing to counter China's increasing presence in the Indian Ocean, Reuters notes. 

 


 

 


In a separate report, Bloomberg pegged the value of the deal – seen as a move by Germany to help India reduce its dependence on Russia – at $5.2 billion. 

 


 

 


Thyssenkrupp's marine arm is expected to sign the deal with India's Mazagon Dock Shipbuilders, with the agreement's value estimated at around 7 billion euros. India's navy, which currently has 16 conventional submarines, approved a budget of $6.8 billion in March to replace its aging fleet. 

 


 

 


The potential partnership between Thyssenkrupp and India aims to tap India's skilled workforce and competitive costs with Germany's high technologies and investment, India’s Defence Minister Rajnath Singh said in a statement, according to Reuters, but didn’t specifically mention the submarine deal. 

 


 

 


Infosys expects to achieve its revenue growth target of 4-7 percent in constant currency terms for the financial year 2024, company executives told investors in a conference with Morgan Stanley yesterday in Mumbai, CNBC TV18 reports. 

 


 

 


However, reaching the upper end of the range will depend on closing mega deals at a faster pace. Improving margins would be a tall task, company executives said in the conference. The external environment has remained unchanged since Infosys' last earnings announcement, and the lower end of the revenue growth guidance has already accounted for macro uncertainty, they said. 

 


 

 


During the March quarter earnings announcement, Infosys reported a 3.2 percent decline in constant currency revenue, the worst performance in at least ten years. The company's stock has declined over 10 percent since the earnings announcement and is down more than 15 percent in 2023. 

 


 

 


Unlike EPAM Systems, a US based provider of product engineering services that recently lowered its forecast for 2023, Infosys' management commentary on the demand outlook was more balanced, Morgan Stanley analysts note, potentially due to traction in cost takeout deals. 

 


 

 


The analysts believe the consensus expectations of 5-5.5 percent revenue growth in dollar terms for Infosys in the financial year 2024 are reasonable.  

 


 

 


Meanwhile, Infosys founder N.R. Narayana Murthy's investment firm, Catamaran Ventures, is reportedly in advanced discussions to invest between $100 million and $150 million in Ola Electric, the electric vehicle arm of ride-hailing services provider Ola, Economic Times reports. 

 


 

 


The potential investment is part of Ola Electric's ongoing funding round, which aims to raise $300-500 million to support its expansion plans. Ola Electric has emerged as the top electric scooter seller in India, selling 35,000 units in May, Business Standard reported on June 4. 

 


 

 


In a recent interview with Bloomberg, Catamaran’s chairman MD Ranganath said that the investment firm would focus on manufacturing, which is crucial for India’s growth. Renewables, precision engineering and deep tech are the other areas of focus. The firm would invest in early-stage and late-stage companies. 

 


 

 


Digibee, a low code software application integration platform provider, has raised $60 million in a recent funding round, TechCrunch reports. The investment was led by VC firm Felicis Ventures, with participation from existing investors including Wing Venture Capital and GFC. 

 


 

 


Digibee's platform helps enterprises connect various applications and systems, simplifying the integration process and improving operational efficiency. The funds will help accelerate the company's global expansion, develop its platform, and expand its customer base across industries. 


 


Summary

Infosys expects to achieve its revenue growth target of 4-7 percent in constant currency terms for the financial year 2024, company executives told investors in a conference with Morgan Stanley yesterday in Mumbai, CNBC TV18 reports. Also in this report, Germany's ThyssenKrupp is close to a multi-billion-dollar deal to build six submarines for the Indian Navy, offering the engineering and tech knowhow for India's Mazagon Dock Shipbuilders to execute the construction; Meta Verified comes to India; And US-based Digibee, a low-code software integration platform provider, has raised $60