In the cards game of Tin Patti ( Flash ) or Indian Poker some players have seen their cards while others are playing "BLIND
Public Share investors are playing " BLIND " and Promoters know ( Have Seen ) their cards.
Whenever Promoters come to know before " BLIND playing "Public shareholders about any quantum jump in the prospects of the Company ( like Macrofil Investments , UTV Software ) ,they oust the Non Promoters at arbitrary rates
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OLD POST
1 ) Selective cancellation of Non Promoters shares.
2 ) Conversion of Equity shares in to Redeemable Preference Shares.
3 ) Consolidation of face value of one share to a Higher Denomination .
In all cases , valuers are appointed and Paid by the Company. Thus they are Promoters' Agents.
Public Share investors are playing " BLIND " and Promoters know ( Have Seen ) their cards.
Whenever Promoters come to know before " BLIND playing "Public shareholders about any quantum jump in the prospects of the Company ( like Macrofil Investments , UTV Software ) ,they oust the Non Promoters at arbitrary rates
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OLD POST
Games Promoters Play ( on Minority Public Shareholders ).
Promoters use clever moves to forcibly eject Public shareholders when ever they feel like i.e. when the Company has excellent future prospects or when it suits the Promoters.
1 ) Selective cancellation of Non Promoters shares.
2 ) Conversion of Equity shares in to Redeemable Preference Shares.
3 ) Consolidation of face value of one share to a Higher Denomination .
In all cases , valuers are appointed and Paid by the Company. Thus they are Promoters' Agents.
for more
http://www.rareindianshares.info/2018/02/games-promoters-play-on-minority-public.html
http://www.rareindianshares.info/2018/05/macrofil-investments-of-renowned-bombay.html
http://www.rareindianshares.info/2018/05/macrofil-investments-of-renowned-bombay.html
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If the Company feels that the rate it is offering is " FAIR " then it should , also , be willing to offer to sell its entire majority holding at that rate . The minority share holders ( and other Indian share holders ) should have a Right of Pre emption at that " FAIR " rate. For example if Cadbury India Limited feels that Rs.2000 is a " fair rate " then Indian shareholders in general should be given an opportunity to form a SPV ( Special Purpose Vehicle ) Company which ( with suitable debt equity Leveraged Buy out ) and buy at the same rate the majority shares from the Promoters. A period of 6 months should be kept for giving this opportunity to Non Promoter Indian shareholders
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