Latest news with #CG
Forbes
a day ago
- Business
- Forbes
China's Control Of Supply And Demand Gives Lithium A 20% Boosts
Chinese control of both the demand for electric vehicles (EVs) and the supply of battery raw materials has sparked a surprise recovery in the price of lithium which has risen by 20% over the past three weeks. That higher price move looks less impressive when measured against the 87.5% price crash of the previous three years. Electric vehicle (EV) production line at the Leapmotor factory in Jinhua, China's eastern Zhejiang ... More province. (Photo by Adek BERRY / AFP) (Photo by ADEK BERRY/AFP via Getty Images) The lithium collapse, which started in late 2022, saw the price of the metal, when traded as lithium carbonate, plunge from $83,500 a ton to a low earlier this month of $8500/t before recovering to last sales at $10,300/t. What's driving lithium up is a combination of tighter Chinese Government controls over domestic production and a rapid rise in sales of EVs in China where the market is stronger than the U.S. and Europe. The EV demand factor was identified last week by the Australian office of Canadian investment bank CG Capital Markets as the primary cause of the recovery in a research note headed 'Lithium. Demand is in charge now'. Supply, according to the London stockbroking firm SP Angel, could be the more important factor with Government enforced production cutbacks said to be part of wider environmental clean-up and attempt to limit oversupply which caused the earlier crash. Political Bargaining Tool It is also possible that recent events in the lithium market are an example of China using its commodity market dominance to control prices and use supply as a political bargaining tool as it has done with another commodity, rare earths. SP Angel said a new focus was emerging in China to cut over-production and excess competition which was leading to the closure of some lithium mines. 'A crackdown across a number of commodities appears to be part of a new directive to limit oversupply and lift underlying prices,' SP Angel said. But the broker also suggested that China might be looking to control more commodities following the successful use of rare earths in tariff negotiations with the U.S. Loading lithium sulfate on the Atacama Salt Flat in Chile. (Photo by Lucas Aguayo Araos/Anadolu via ... More Getty Images) CG Capital Markets prefers stronger than expected EV demand as the primary cause of the lithium price rebound. 'Demand is much stronger than we previously expected with low pricing hollowing out future supply growth,' CG said. 'As demand growth overtakes supply growth, we see a much tighter market and potential for continued price improvement.' CG said that while EV sales were flat in North America global sales were growing at a rate of 30% year-on-year. EV sales in China are up 32% reaching 14.6 million vehicles. European EV sales have risen by 26% and the rest-of-the-world has grown by 41%. 'This is being driven by user acceptance, more product choices, and lower costs,' CG said. Energy storage is also emerging as a fast-growing market for lithium carbonate. CG said the low point in the lithium price cycle had been reached with demand growth expected to outstrip supply growth.
Business Wire
6 days ago
- Business
- Business Wire
AM Best Downgrades Credit Ratings of Construction Guarantee Cooperative
HONG KONG--(BUSINESS WIRE)--AM Best has downgraded the Financial Strength Rating to A (Excellent) from A+ (Superior) and the Long-Term Issuer Credit Rating to a+ (Excellent) from 'aa-' (Superior) of Construction Guarantee Cooperative (CG) (South Korea). The outlooks of these Credit Ratings (ratings) have been revised to stable from negative. The ratings reflect CG's balance sheet strength, which AM Best assesses as strongest, as well as its adequate operating performance, favourable business profile and appropriate enterprise risk management (ERM). The rating downgrades reflect the revision of AM Best's assessment of CG's operating performance to adequate from strong, following a deterioration in its underwriting profitability in recent years, which AM Best expects will remain pressured over the short to medium term. The company recorded two consecutive years of underwriting losses in 2023 and 2024, in addition to the first half of 2025. This was due to a material rise in guarantee claims payment and a sizeable provision of guarantee claims reserves from liquidity pressure on an increased number of its members amid a downturn in the domestic construction industry. In addition, CG's increased exposure to market risk since 2022 under its realigned investment strategy has been adding additional volatility to its profitability. Despite some mitigative measures by the company, its performance is likely to remain moderate given the ongoing uncertainties on the industry recovery and the general time lag between the construction industry cycle and performance of the guarantee business. CG's risk-adjusted capitalisation is expected to remain comfortably at the strongest level, as measured by Best's Capital Adequacy Ratio (BCAR), underpinned by a large capital base of KRW 6.8 trillion (USD 4.6 billion) as of year-end 2024, extremely low underwriting leverage, favourable liquidity and a debt-free position. AM Best also expects that the company may receive financial support from the government in case of a significantly stressed scenario. Established under the Korea Construction Financial Cooperative Law, CG is a government-designated surety underwriter for general contractors and plays a key supporting role in implementing government policies related to the construction industry in South Korea. CG has the largest share of the construction surety segment and a strong membership base, which represents the majority of the general contractors in the country. The majority of project owners of CG's surety bonds are central and local governments, which adds stability to its overall business volume. Meanwhile, the company has been diversifying its business gradually to overseas surety business and construction-related insurance products over the past few years to alleviate its concentration risk within the domestic construction surety segment. Negative rating actions could occur if there is a significant deterioration in CG's balance sheet strength fundamentals. Positive rating actions could occur if the cooperative's operating performance demonstrates consistently strong and resilient results under various conditions of the overall economy and construction industry with mitigated investment volatility to support the bottom-line. Ratings are communicated to rated entities prior to publication. Unless stated otherwise, the ratings were not amended subsequent to that communication. This press release relates to Credit Ratings that have been published on AM Best's website. For all rating information relating to the release and pertinent disclosures, including details of the office responsible for issuing each of the individual ratings referenced in this release, please see AM Best's Recent Rating Activity web page. For additional information regarding the use and limitations of Credit Rating opinions, please view Guide to Best's Credit Ratings. For information on the proper use of Best's Credit Ratings, Best's Performance Assessments, Best's Preliminary Credit Assessments and AM Best press releases, please view Guide to Proper Use of Best's Ratings & Assessments. AM Best is a global credit rating agency, news publisher and data analytics provider specialising in the insurance industry. Headquartered in the United States, the company does business in over 100 countries with regional offices in London, Amsterdam, Dubai, Hong Kong, Singapore and Mexico City. For more information, visit Copyright © 2025 by A.M. Best Rating Services, Inc. and/or its affiliates. ALL RIGHTS RESERVED.
Business Standard
7 days ago
- Business
- Business Standard
Chaudhary Group and Bikaji Foods Announce Strategic Joint Venture to Bring Authentic Indian Flavours to Nepal
VMPL Kathmandu [Nepal], July 24: In a major step toward elevating Nepal's snacking experience, Chaudhary Group (CG), Nepal's first multinational conglomerate, has entered into a strategic Joint Venture cum Shareholders Agreement with Bikaji Foods International Limited (BFIL), one of India's largest and most respected ethnic snack brands. This partnership marks a powerful union of two market leaders and aims to bring premium quality snacks, bhujia, namkeen, papad, and packaged sweets to the Nepalese market through a 50:50 joint venture. The collaboration includes a joint infusion of capital to establish a state-of-the-art manufacturing facility in Nepal, ensuring authentic products with minimal turnaround time and deeper local market integration. "This collaboration reaffirms our commitment to bringing world-class food innovation to Nepal while expanding and strengthening our local capabilities," said Varun Chaudhary, Managing Director, CG Corp Global. "Our joint venture with Bikaji is not just about product excellence -- it's about creating long-term value for Nepal from generating employment to strengthening supply chains. This partnership has the potential to accelerate Nepal's food sector and set new benchmarks in quality and accessibility. We envision making the rich, diverse flavours of India a seamless part of daily snacking in Nepal." "This joint venture marks a pivotal milestone in Bikaji's global growth journey and promotes our strong conviction in Nepal's potential as a key strategic market," said Deepak Agarwal, Managing Director, Bikaji Foods International. "With CG Group's strong market leadership and deep local insights, we are confident in our ability to deliver high-quality, affordable products that resonate with the consumers in Nepal. Beyond commerce, this partnership seeks to create enduring value -- empowering communities, fortifying supply chains, and enhancing Nepal's food ecosystem." Capturing the Momentum of Nepal's FMCG Growth The partnership arrives as Nepal's fast-moving consumer goods (FMCG) sector sees exponential growth. With a population of nearly 30 million and rising urban consumer demand, Nepal's FMCG sector is estimated to be growing at 20% annually, valued at over $1 billion, according to the Investment Board Nepal. By combining Bikaji's trusted brand and product excellence with CG's local expertise, nationwide distribution, and consumer insight, the new venture is poised to make a lasting impact. The Joint Venture Will: -Establish state-of-the-art manufacturing units in Nepal led by Chaudhary Group to produce and package authentic Bikaji snacks; -Create thousands of direct and indirect employment opportunities; -Strengthen local entrepreneurship and supply chains; -Introduce hygienic, affordable, and culturally aligned products to Nepalese consumers; -Position Nepal as a strong player in regional food exports. Shared Vision, Grounded in Legacy and Progress This venture goes beyond business. It reflects a shared commitment by both companies to foster innovation, empower communities, and contribute to Nepal's economic and industrial growth in a meaningful way.
Business Standard
19-07-2025
- Business
- Business Standard
Two Titans Join Hands: Campa's Nostalgic Flavour Comes to Nepal with Reliance & Chaudhary Group
VMPL New Delhi [India], July 19: Chaudhary Group (CG), Nepal's largest conglomerate and the parent company of Wai Wai Noodles, has partnered with Reliance Consumer Products to launch Campa Cola in Nepal--marking a strategic expansion of CG's beverage portfolio and reinforcing its dominance in South Asia's food and beverage sector. Campa's entry into Nepal follows its successful expansion in GCC countries, where it aims to replicate its success. As part of this alliance, CG will leverage its manufacturing and distribution expertise in the food & beverages sector to ensure smooth supply and rollout of Campa products across Nepal. With this alliance, CG expands its beverage portfolio and strengthens its position in Nepal's USD 1.6 billion soft drink market. The partnership also highlights the growing influence of Indian brands in South Asia. The initial Campa range in Nepal will feature Campa Cola, Campa Lemon, Campa Orange, Campa Energy Gold Boost, and Campa Energy Berry Kick. These products are priced to appeal to a wide range of consumers and maximize market reach. The 250ml bottles of Campa Cola, Campa Orange, and Campa Lemon carbonated soft drinks are available at NRs. 30 each, while the 250ml Campa Energy Berry Kick PET bottle is priced at NRs. 40. Sharing thoughts on Campa's entry into the Nepalese market, Nirvana Chaudhary, Managing Director of Chaudhary Group, stated, "We are proud to collaborate with leading global conglomerate Reliance Consumer Products to bring Campa to Nepal. This partnership reflects our dedication to offering consumers high-quality, diverse beverage choices that are rooted in heritage. We are confident that Campa will resonate strongly with local consumers who appreciate distinctive beverage options. This strategic alliance not only expands our beverage portfolio but also reinforces our position as a key player in the region's competitive beverage market. We look forward to leveraging our robust distribution network and market expertise to establish Campa as a beloved brand in Nepal, just as it has been in India for generations." RCPL, the FMCG arm of Reliance Industries, acquired Campa in 2022 and reintroduced it to India in 2023. Today, the soft drink brand holds over 10% market share in the sparkling beverage category in select Indian states and sponsors India's largest sports event, the Indian Premier League. Ketan Mody, Executive Director, Reliance Consumer Products Ltd, said, "We are thrilled to enter the Nepal market with our brand Campa in association with our esteemed partner Chaudhary Group. Campa is a heritage Indian brand founded more than 50 years ago that continues to enjoy the love of consumers. We are investing for the long-term and see great potential for accelerated growth in the region. We have a track record of delivering innovative and global quality products at affordable prices to customers. We are delighted to come together with our esteemed partner today to transform the beverage experience for consumers across Nepal. Campa has multi-generational relevance and reignites a memory and prompts consumers to revisit and relive those cherished moments. Campa celebrates the spirit and salutes the aspirations of today's youth. We're confident they will introduce the refreshing and energizing taste to the consumers across Nepal," said Mody. Chaudhary Group (CG), Nepal's largest conglomerate and the parent company of Wai Wai Noodles, which operates through CG Foods, is driving aggressive growth in India with new product launches across the East and Northeast, as well as expanding dealer partnerships in Uttar Pradesh and Bihar.
Business Wire
17-07-2025
- Business
- Business Wire
Compliance Group Inc. and Loftware Announce Strategic Partnership to Drive Digital Labeling Transformation in Life Sciences
CHICAGO--(BUSINESS WIRE)--Compliance Group Inc., a premier validation, regulatory consulting firm serving the Life sciences industry, is thrilled to announce its strategic partnership with Loftware, a global leader in product identification and supply chain transparency. Purpose-Driven Partnership for a Compliant, Scalable Future Loftware's powerful, cloud-enabled labeling technology with CG's deep labeling expertise and proven Computer Software Assurance (CSA) aligned validation strategies, the partnership delivers: World class labeling consulting & End-to-end support Insights into inefficiencies and compliance gaps in legacy systems Expert guidance on system migration & architecture alignment FDA, MDR, Global ISO compliant validation (IQ, OQ, PQ) Integration with enterprise systems (SAP, Oracle, Veeva, etc.) Real-World Impact: Leading Global MedTech Transformation A global leader in medical devices selected CG to lead the replacement of their Global Labeling System (GLS). Our team conducted: Thorough assessment of legacy system Vendor selection & Loftware readiness planning Define requirements with expert consulting Validation aligned with CSA, FDA, & Global ISO standards Full implementation with audit readiness Executive Perspectives "Our partnership with Loftware reinforces our commitment to helping clients build innovative, scalable, and compliant labeling systems. With our AI powered design validation approach, we enable life sciences companies to move faster while staying inspection ready.' added Sarat Bhamidipati, CEO, Compliance Group Inc. "We're excited to partner with Compliance Group to help life sciences organizations modernize their labeling environments while meeting the industry's rigorous regulatory requirements. By combining our cloud-based labeling solutions with Compliance Group's deep validation and regulatory expertise, we're enabling companies to accelerate digital transformation, reduce risk, and ensure long-term compliance," added Carter Johnson, Vice President, Global Alliance Sales at Loftware. About Compliance Group Inc. CG is a leading consulting & validation partner for the Life sciences industry. Our experts bring decades of regulatory experience & specialize in validation, label consulting, and digital transformation. With a vendor-neutral, AI-driven approach, we use people, platforms, and processes to build a compliant, scalable quality system. Learn more at About Loftware Loftware is the global leader in product identification, artwork management, and connected packaging. Our cloud-based solutions power real-time collaboration, ensure compliance, improve authenticity, and deliver supply chain visibility from product development to consumer engagement. We provide scalable, data-driven labeling and packaging technologies that help companies boost speed to market, enhance efficiency, and connect physical products to digital experiences. Trusted by global brands and backed by over 40 years of innovation, Loftware supports customers across industries with offices in the US, UK, Slovenia, China, and Singapore. Learn more at
