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M&A

Potential Inquiry Looms Over ION's Prelios Takeover Financing in Italy

Italy may launch an inquiry into ION's acquisition of Prelios if the fintech pledges shares as collateral, despite the government's initial approval. The cabinet office seeks notification for such pledges, potentially causing delays. ION, founded by Andrea Pignataro, aims to acquire Prelios for 1.35 billion euros, with financing discussions ongoing. The use of golden powers legislation allows Italy to intervene in deals involving strategic sectors, like banking. While historically used to block foreign investments, the focus now is on ensuring transparency in domestic acquisitions. ION's history of strategic acquisitions, including Cedacri and Cerved, adds complexity to the ongoing negotiation process. The outcome will not only impact the parties involved but also reflect the evolving regulatory landscape in Italy regarding strategic acquisitions in the financial sector.

^{Source: Reuters}

Global

Fitch Maintains 'BBB-' Rating for India with a Stable Outlook

Fitch Ratings has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a stable outlook, highlighting the nation's potential to remain among the fastest-growing globally in the coming years. The agency acknowledges India's strong growth prospects, underpinned by a positive investment cycle, sustained reforms, and improved bank and corporate balance sheets.

Fitch has revised India's growth forecast for the fiscal year ending March 2023 upward to 6.9%, a notable increase from the 6% forecast issued in May the previous year. However, it anticipates a slight easing in the GDP growth rate to 6.5% in the fiscal year 2024-25. The agency emphasizes the significance of investment as a key growth driver, with the government's continued focus on capital expenditure and the gradual acceleration of private investment.

While consumption is expected to moderate in the near term due to reduced household savings buffers, Fitch highlights the positive trajectory in India's economic landscape. It also points out potential risks, including labor market weakness, especially in terms of low female participation, and the necessity for consistent and even implementation of reforms.

In its assessment, Fitch notes that core inflation in India has been contained, reaching 3.7% in December from around 6% at the end of 2022. This is expected to anchor headline inflation, forecasted to ease towards 4.7% by the end of 2024, down from 5.7% in December 2023. Fitch anticipates the Reserve Bank of India (RBI) to respond to this inflation outlook by cutting its policy rate by 75 basis points in the fiscal year 2024-25.

In conclusion, Fitch's affirmation of India's rating reflects confidence in the country's economic resilience and growth potential, with an optimistic outlook tempered by considerations of potential risks and the need for sustained reforms.

^{Source: Moneycontrol News}

Global

Fitch Maintains 'BBB-' Rating for India with a Stable Outlook

Fitch Ratings has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a stable outlook, highlighting the nation's potential to remain among the fastest-growing globally in the coming years. The agency acknowledges India's strong growth prospects, underpinned by a positive investment cycle, sustained reforms, and improved bank and corporate balance sheets.

^{Source: Moneycontrol News}

Global

Fitch Maintains 'BBB-' Rating for India with a Stable Outlook

Fitch Ratings has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a stable outlook, highlighting the nation's potential to remain among the fastest-growing globally in the coming years. The agency acknowledges India's strong growth prospects, underpinned by a positive investment cycle, sustained reforms, and improved bank and corporate balance sheets.

^{Source: Moneycontrol News}

Global

Fitch Maintains 'BBB-' Rating for India with a Stable Outlook

Fitch Ratings has affirmed India's Long-Term Foreign-Currency Issuer Default Rating (IDR) at 'BBB-' with a stable outlook, highlighting the nation's potential to remain among the fastest-growing globally in the coming years. The agency acknowledges India's strong growth prospects, underpinned by a positive investment cycle, sustained reforms, and improved bank and corporate balance sheets.

^{Source: Moneycontrol News}

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