🧊 LG’s ₹5,000 Cr India Play Amid Geopolitical Chill

🇮🇳 Good morning, Chai Gang

This isn’t your usual Friday. As we sip our morning chai, let's take a moment to thank the brave souls in our armed forces — for standing tall and standing guard while the nation faces one of its most tense geopolitical moments in years. Tensions are at a boiling point along our western borders — and the world is watching.

☕ Chai Shots

• 🧾 Paytm Founders Fined and Barred Over ESOP Violations: Vijay Shekhar Sharma and his brother Ajay reached a ₹1.1 crore settlement with Sebi for receiving stock options improperly before Paytm's IPO. Over 2.3 crore ESOPs were cancelled, and Vijay is barred from accepting new ESOPs from any listed company for the next three years.

• 🛻 Porter Lands Fresh Capital for Growth: Logistics startup Porter completed a Series F round with support from Kedaara Capital and Wellington. While the amount remains undisclosed, the company plans to expand to new cities and improve income opportunities for gig workers.

• 💍 Titan Picks Jewellery Head Ajoy Chawla as MD: Titan’s board has named Ajoy Chawla, current jewellery business CEO, as the next Managing Director starting Jan 1, 2026. Under Chawla’s leadership, jewellery revenues more than doubled and consolidated Titan’s market dominance.

• 🧊 LG to Invest ₹5,000 Cr in Andhra Pradesh Plant: LG Electronics will pump $600 million over four years to build its third Indian factory. The new unit will produce air conditioners by 2026, followed by refrigerators and washing machines. More in the Big Brew!

• 🧠 Bill Gates to Give Away Nearly All His Wealth: Bill Gates says 99% of his fortune will be gone by 2045. The Gates Foundation will spend $200 billion and then shut down, aiming to drastically improve global health and end preventable child deaths.

📉 Market Masala

• 📉 Markets Dip Amid Geopolitical Strain: The Sensex dropped 412 points to close at 80,335, while the Nifty fell 141 points to end at 24,274. Late-session selling came after news of India’s airstrikes hit headlines.

• 💸 Foreign Funds Stay Confident: Despite the market jitters, foreign investors infused ₹2,008 crore, cushioning some of the fall. Domestic investors, on the other hand, booked profits worth ₹596 crore.

• 🖥️ Tech and Media Lead Resistance: The IT and media sectors showed resilience amid the red sea. Heavyweights in realty, metals, autos and PSUs bore the brunt of the correction.

• 🥃 India-UK FTA Eases Liquor and Auto Tariffs: India agreed to cut Scotch whisky tariffs from 150% to 75% and eventually down to 40% over 10 years. Tariff relief for EVs and medical devices was also included in the deal.

• 🖌️ Paint Rivalry Hits Asian Paints Hard: Asian Paints reported its steepest profit drop in over 20 years, with net profit plunging 33% to ₹3,667 crore. Analysts blame soft demand and aggressive competition from new entrant Birla Opus.

• 🚫 Reliance Walks Back 'Operation Sindoor' Trademark: RIL withdrew its trademark filing for 'Operation Sindoor' after public outrage. The application was made for entertainment services and the company has now called it an unauthorised move by a junior executive.

🌍 Global Masala

• 📈 US Markets Rally on Trade Buzz: Wall Street rose sharply after President Trump teased a trade thaw with China and confirmed a pact with the UK. The Dow and Nasdaq both gained over 0.6%.

• 🪙 Coinbase Slides Despite Revenue Jump: Coinbase's Q1 beat expectations but missed analyst forecasts. Despite announcing a $2.9B acquisition of Deribit, trading volumes dropped, and shares fell post-results.

• 💰 Bitcoin Rallies Past $100K: Bitcoin jumped nearly 6%, hitting over ₹85 lakh in Indian terms. Investors cheered the easing tariff tensions and Coinbase’s big derivatives move.

• 👜 Luxury Brands Cut Discounts in China: Brands like Balenciaga and Valentino are shifting away from online markdowns to regain exclusivity. A weakened middle class is forcing a pivot toward high-end consumers.

☕ The Big Brew: LG’s $600 Million Bet on India

LG Electronics has broken ground on its third Indian plant, a ₹5,000 crore mega-facility in Sri City, Andhra Pradesh. Spread across 1 million square meters, this factory will churn out air conditioners, washing machines, fridges, and compressors—ramping up to full scale by 2029.

• 📦 Production Powerhouse: Once operational, LG’s India footprint will boast an annual output of 4.7 million air conditioners, 3.75 million washing machines, 3.6 million refrigerators, and 2 million TVs.

• 📈 Why Now?: India’s household penetration for appliances like ACs (just 10%) and washing machines (30%) signals massive growth potential. LG is also tailoring products for Indian tastes—like saree-friendly wash cycles and vegetarian-optimized fridges.

• 🌏 Global South Strategy: Beyond India, this plant will supply markets like Bangladesh, Sri Lanka, and the Middle East. LG’s leadership sees the Global South as a key engine for growth.

• 📉 IPO on Ice: LG has postponed its $1.5 billion India IPO due to global market volatility. The listing may now take place in 2026.

• 👷‍♂️ Jobs Galore: The factory will generate 1,495 direct jobs and support over 10,000 more via ancillary units and logistics. Five additional vendors will invest ₹839 crore nearby to build compressors and heat exchangers.

• 🏆 National Brand Vision: LG says this expansion cements its ambition to become “India’s true national brand” in home appliances.

🚀 Startup Scoop

• 🏥 PB Health Raises ₹1,850 Cr to Build Hospital Network: PB Fintech’s new venture will use the seed round to develop a 1,000-bed hospital network in NCR and create a tech-led health-insurance ecosystem.

• 🍼 Footprints Secures $7.5M for Smart Daycare: With funding led by Tanglin, the edtech brand will invest in AI-powered learning, digital parent interfaces, and expand across its 24-city network.

• 🥃 Feline Spirits Raises ₹5.2 Cr for Craft Liquor Push: The startup aims to bridge the gap between cheap mass brands and premium imports with clean-label vodka, whisky and brandy.

• 🌱 High Time Foods Gets $1.2M to Scale Alt-Protein: With a focus on shelf-stable meat alternatives, the startup is scaling B2B operations in India and piloting its products in West Africa.

• 🔮 Vaya Pulls in $1.5M for AI-Powered Astrology: With 30K+ users, the platform blends Vedic astrology with artificial intelligence. The funds will go into talent, tech, and expansion to NRIs.

• 🧻 10Club Files for Bankruptcy After Roll-Up Crash: Once touted as India’s Thrasio, the ecommerce aggregator cited mounting debt and failed pivots as reasons for insolvency.

❓ Chai Break Trivia

☕ Did you know the shortest-ever completed Test match lasted just 642 balls? It happened in January 2024 when South Africa lost to India in Cape Town

🔮 What’s Brewing Next?

• 📋 Updates on India’s trade negotiations with the US

• ⚡ Possible EV and renewable energy policy tweaks

🌤️ Until Next Brew

As this intense week winds down, take a deep breath and find a quiet moment for yourself. Until next time — stay informed, stay safe, and keep sipping. ☕