Welcome to Top of the Morning by Mint, your weekday newscast that brings you five major stories from the world of business. It's Wednesday, December 18, 2024. This is Nelson John, let's get started.

The Indian government has unveiled a 3 billion dollar incentives plan to stimulate the creation of electronics brands and enhance private research & development spending in the sector. The initiative is aimed at attracting investments and generating business worth over 15 billion dollars. The goal is to shift from merely assembling devices, which leaves most profits with foreign firms, to manufacturing core components domestically and owning patents for commercially sold devices. Historically, local brands such as Onida, Karbonn, Lava, and Micromax have struggled against international competition due to a lack of innovation. Shouvik Das explains how investing in R&D could revitalise Indian consumer electronics brands by fostering homegrown innovation and enabling them to compete globally.

Aditya Birla Group and Adani Group, which were initially interested in acquiring Akzo Nobel NV's Indian paint operations, did not finalize their discussions, leading to a shift in potential bidders. Now, Indigo and JSW are negotiating – p otentially with private equity investors such as Warburg Pincus, TPG, Carlyle, and CVC – for a bid valued between 2.1 and 2.5 billion dollars. If completed, it could be the largest in India's paint industry, in which Akzo Nobel, which owns brands such as Dulux and Sikkens, holds a 5-6% market share. The decorative business, comprising two-thirds of Akzo Nobel's valuation, is a key attraction, Anirudh Laskar and Sneha Shah report. Pidilite Industries has proposed a share swap deal, while others suggest an all-cash transaction.

JSW Group, Stonepeak Infrastructure Partners and Waaree Energies have placed their binding offers for Enel Group’s renewable venture in India, eyeing a deal that may value the company’s equity between 350 and 400 million dollars. Tack on the debt and we're talking of a total enterprise value north of 500 to 550 million dollars. The assets in play include 760 megawatts of wind and solar installations that are already up and running, plus a promising pipeline of projects that could add another 2 gigawatts. Enel Green Power India has been on the block since last year, and with these bids in, a deal could be wrapped up by the end of the fiscal year, insiders told Sneha Shah.

The Election Commission of India looks set to retain its power to postpone assembly polls, even as India shifts towards a 'one nation, one election' system. This power is enshrined in the proposed Constitutional amendment introduced in the Lok Sabha, Manas Pimplakhare reports. The amendment aims for simultaneous elections across all levels of government but allows the ECI to seek deferrals from the President under special circumstances, a change from the current rules, under which the governor decides. The move to synchronize elections is aimed at improving financial efficiencies and reducing policy paralysis. However, if the Lok Sabha or state assemblies are dissolved prematurely, the incoming government will serve only the remainder of the term, maintaining a fixed election cycle every five years. Critics doubt the bill will pass soon, as the current government lacks the majority needed to push the amendment through.

The Hindi version of Allu Arjun's Pushpa: The Rule-Part 2 has been a blockbuster hit, crossing the 500 crore rupee mark and giving single-screen cinemas in north India a much-needed boost. However, cinema owners are worried. After the Pushpa 2 wave, there's no big commercial hit in sight for a while, and sustaining their businesses looks tough. They are pinning their hopes on Salman Khan’s Sikandar, which is set to release on the Eid weekend in March. Cinema owners Lata Jha spoke to called 2024 one of the worst years for these businesses, especially those in small towns. Themes such as nationalism aren’t pulling in crowds like they were before, and movies that resonate with the common man, such as Pushpa 2, are rare. With Bollywood not churning out many mass-market hits, and the popularity of OTT platforms growing, the future looks challenging for single screens.

Why is research and development key in electronics?