Categorie: IPO / Secondary Offering
Submitted 9 months ago by
Mittar_b
, Project Manager
at Softprodigy
I hope it is a good move on the part of the company and a laudable effort to earn the investors’ faith about the goodwill of the Reliance group. Anil Ambani has attempted to create an image of being investor-friendly after his scrip failed miserably at the bourses. Reliance Power has considered to issue Bonus shares for all shareholders excluding the promoters of the company. The promoters now hold about 90 percent stake in the company. The decision will result in dilution of upto 3 percent stake now held by the promoters of the company. This Bonus share issue will be discussed in detail on February 24 in the meeting of the company. People who are deeply involved in analyzing the development of the share think that Reliance Power might go for one bonus share against 3 or 4 existing shares. Reliance Power had set the cost of Rs. 450 for institutional investors while 430 for the individual investors in the retail market. So depending on the proportion (i.e. 1:3 or 1:4) it offers, the effective price of each share for the retail investor will drop to Rs 322 or Rs 344 respectively as compared to the issue price of Rs. 430 per share and for institutional investors the effective price will ...
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Submitted 9 months ago by
Mittar_b
, Project Manager
at Softprodigy
1 comments ↓
Owner at Krish Systems