Reliance dives deeper into defence

IPO parade, Lenskart acquires GeoIQ, and Economic slowdown.

🗓 Morning, folks!

Markets ended mixed on Wednesday, but the winning streak stretched to six sessions as IT and oil & gas stocks kept the momentum going. Sensex and Nifty closed in the green,

💡 Spotlight: slow & steady, still leading

India’s growth story is holding up, but with a slight slowdown on the cards. The World Bank expects India’s economy to grow at 6.3% in FY26, a notch lower than 6.5% last year, but still among the world’s fastest.

The bank retained its April forecast, even though its June outlook is slightly below the more optimistic January estimates. The downgrade is mainly due to weaker exports, as global trade faces headwinds and new barriers crop up.

That said, the World Bank sees momentum building. It expects India’s GDP growth to rise to 6.5% in FY27 and 6.7% in FY28, driven by robust services activity and stronger export potential.

For now, the RBI remains more upbeat, sticking to its 6.5% FY26 growth target, reaffirmed in its policy meeting last week.

Let’s hit it!

1 Big thing: Reliance inks defence tie-up with Germany’s Diehl 💰

Reliance Infrastructure’s defence arm tied up with Germany’s Diehl Defence to produce next-gen terminally guided munitions (TGMs) for the Indian Armed Forces.

This move could spark ₹10,000 crore in revenue potential.

Think of next-gen TGMs like super-smart missiles that can spot and chase their target in the last moments before hitting even if the target moves or tries to hide.

The deets: under the deal, Reliance will locally produce the Vulcano 155 mm precision-guided munition system.

To support this, the company will invest ₹5,000 crore over five years to set up a high-tech greenfield ammunition and explosives plant in Ratnagiri’s Watad Industrial Area.

Ratnagiri is a smart choice with its strategic coastal location, proximity to naval hubs, and strong road/rail links.

Background: this is Reliance Group’s fourth global defence tie-up, adding to its partnerships with Dassault Aviation, Thales, and Rheinmetall (which it joined forces with last month to supply ammunition components).

Zoom out: with Make in India driving procurement, joint ventures in missiles, precision bombs, and surveillance are booming, and Reliance is positioning itself at the heart of this new-age arsenal.

2. IPO parade rolls on 📈

1. Karamtara’s ₹1,750 cr power move ⚙️

Karamtara Engineering is eyeing a ₹1,750 crore IPO to fuel growth and pare debt, after receiving SEBI’s final nod.

The deets: the IPO will include a ₹1,350 crore fresh issue and a ₹400 crore OFS by promoters. The funds will go towards debt repayment and general corporate purposes.

Karamtara is India’s largest maker of solar mounting structures and tracker components, essential for large solar farms and power transmission lines that move renewable energy across the grid. Being backward integrated, it controls its entire manufacturing process, a big edge on cost, speed, and quality.

Zoom out: with India targeting 500 GW of clean energy by 2030, demand for top-quality solar and transmission gear is only going up. Karamtara is well-positioned to supply this next wave of green infra buildout.

2. Kent RO taps the market 💧

Water purifier giant Kent RO Systems has received SEBI’s greenlight for an IPO.

The deets: the issue will be a pure OFS of 10.1 million shares by promoters Sunita Gupta, Mahesh Gupta, and Varun Gupta. The company itself won’t raise fresh funds through this issue.

Kent RO is a household name in water purifiers. This IPO gives early investors a chance to cash in as the brand eyes a larger footprint in a growing consumer durables market.

3. Mangal Electrical’s ₹450 crore IPO play 🔌

Rajasthan-based Mangal Electrical Industries is looking to raise ₹450 crore via IPO to expand and repay debt.

The company makes key components for transformers think laminations, cores, coil assemblies, and oil-immersed circuit breakers used in power distribution across India. It operates five production units in Rajasthan.

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3. Byju makes a fire sale 🔥

Two major US assets sold at a 95%+ loss.

Deets: Byju’s just sold off Epic and Tynker, two US-based platforms it had acquired during its Covid-fueled expansion, for pennies on the dollar.

• Epic, once bought for $500M, went for just $95M to China’s TAL Education.
• Tynker, acquired for $200M, was sold for $2.2M to CodeHS via a 48-round bankruptcy auction.

Why it matters: these weren’t just portfolio trims. They were court-approved distress sales under bankruptcy proceedings in Delaware, designed to recover part of Byju’s $1.2 billion loan, now in default.

Context: Epic, Tynker, and Osmo had all been used as guarantors for Byju’s syndicated loan. After defaulting 17 months ago, the company faced multiple legal battles, triggering forced asset sales.

Backstory: at the pandemic’s peak, Byju’s went on an aggressive M&A spree, snapping up global ed-tech platforms to fuel its international ambitions, mostly funded by debt. But with revenues slowing and financial controls under question, that expansion has collapsed into a debt crisis.

Bottomline: what was once India’s most valuable startup is now in the middle of a global fire sale, trying to repay creditors while its valuation crumbles and its governance is under siege.

4. Stocks that kept us interested 🚀

1. Talbros rides on fresh orders 🚘

Talbros Automotive shares rose 3% after the company and its JVs bagged ₹580 crore worth of new orders across domestic and export markets.

Talbros Automotive makes a wide range of auto components including gaskets, heat shields, chassis parts, forgings, and hoses, supplying both traditional and EV vehicle makers globally.

The deets: the orders span all major product lines & will be executed over the next 5 years.

• From its sealing business, Talbros secured ₹260 crore in orders, with ₹150 crore for exports (mostly Europe).
• Through its JV Marelli Talbros Chassis Systems, the company bagged another ₹290 crore worth of orders for chassis components.
• Lastly, its JV Talbros Marugo Rubber landed ₹30 crore in domestic orders for hoses and A/V products.

Why it matters: these orders signal strong demand across EV segments, giving the company revenue visibility for the next five years.

2. GEF trims premier energies stake 💰

GEF Capital offloaded a 5.55% stake in Premier Energies for ₹2,629 crore via open market deals.

Premier Energies is one of India’s top integrated makers of solar PV cells, modules, and specialty solar products.

The deets: US-based GEF Capital Partners, through its affiliate South Asia Growth Fund II Holdings, sold 2.5 crore shares of Premier Energies, cutting its stake from 11.1% to 5.55%.

Meanwhile, new buyers stepped in. Quant Mutual Fund picked up 0.97%, while Premji Invest’s PI Opportunities AIF V bought 0.74%, taking the combined deal value to around ₹808 crore.

4. Lenskart strengthens data play with GeoIQ acquisition 👓

Lenskart is set to acquire a majority stake in GeoIQ, bolstering its consumer insights and offline expansion strategy.

The deets: GeoIQ builds AI-powered geospatial grids (think super-detailed maps) by layering government data, public sources, and satellite imagery. It helps brands pinpoint where offline demand lies, driving faster and smarter store expansion.

Lenskart was already an investor, having led a $2.25 million round in 2022.

The platform serves big names like Zepto, Navi, HUL, Caratlane, Swiggy, and CultFit, besides Lenskart.

Why it matters: this acquisition arms Lenskart with even sharper location intelligence as it scales offline stores across India. The goal is simple, make every new store a high-conversion one, based on deep local data.

It also comes as Lenskart gears up for its $1 billion IPO at a projected $10 billion valuation, where showcasing cutting-edge tech capability will be key.

Zoom out: GeoIQ is Lenskart’s second buy in two years. In 2023, it picked up AI startup TangoEye; in 2022, it bought Japan’s Owndays and took a stake in Paris-based Le Petit Lunetier.

While we are on acquisitions,

Meme marketing firm WLDD has acquired Bengaluru-based Imagined Studio in an all-cash deal to bolster its AI, design, and tech chops.

The deets: Imagined Studio, founded in 2024, offers creative solutions for product and marketing teams including 3D design, motion graphics, video production, and more.

The company said that this acquisition serves its growing US client base, while adding fresh AI and design capabilities to its stack.

This is WLDD’s third acquisition in recent months, after snapping up sneaker brand 7-10 and content player ScoopWhoop.

5. Story in data: India's silent defence build-up 🛡️

Once seen as slow and bloated, India’s public defence companies have staged a serious comeback.

Since FY18, their order books have more than doubled, rising from ₹2 lakh crore to ₹4.1 lakh crore in FY25.

This isn’t by accident. The government’s Make in India push, capital procurement reforms, and rising export ambitions are giving these PSUs long-term visibility.

What else are we snackin’ 🍿

🏢 Blackstone builds: CCI has cleared Blackstone’s plan to acquire a 40% stake in Kolte-Patil Developers through its BREP Asia III India fund.

🚢 Desi tankers: India’s state refiners plan to order 10 locally-built fuel tankers worth up to $600 million to boost domestic shipbuilding.

🚗 Tata unlocks: Apple’s digital car key now supports Tata EVs, making it the first Indian brand to integrate the feature for iPhone and Apple Watch users.

🚙 Engine boost: GM plans to invest $4 billion in US plants to ramp up gas-powered vehicle production and navigate Trump’s tariffs.

🔋 Battery boost: India approved ₹5,400 crore in viability gap funding to build 30 GWh of battery storage, aiming for 24/7 renewable energy capacity.

🏃‍♂️ BigBasket zooms: BigBasket will launch 10-minute food delivery across India by FY26, chasing a bigger slice of the $7.1B quick commerce market.

That’s a wrap! Don’t let the weekday blues get to you.

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