could you please provide source
please see Moneycontrol
@drravindra_2005 - This was news from last week. Given the volatility of the stock and the rumor mongering, i would suggest we exercise caution and refrain from such posts. The link to the article you are quoting is below and in the later half of the article, it summarizes events from last week of which you have later posted a screenshot. Your post seems to be misleading based on the article you are quoting.
Exited completely ,will take a call post meeting
@maheshkumar- Didn’t you just add more last week? Can you share your rationale at exiting the stock ?
As it was quick 2 x for me
Now I am biased with my buying price of 110
Although i may miss the big rally
And it was my first 2x stock so wanted to enjoy that moment
That moment was priceless and I was feeling like a PRO
Fair enough. It was a good move then, based on returns.
Would like to understand your thought process that moment of time.
- Did you play a pure-play bet assuming it will rebound technically for short term 5, 10, 20 % gain? In that case what made you hold on till 2X
- Did you invest thinking arrest news is fake?
- Did you do a major allocation at 110 or just a very minor % which hardly matter even if it fails?
- What was your backup plan if it fell further?
I know my query sounds more trading and less investing. But I too have been closely following PCJ stories and sold out at loss around 320. But did not had guts to re-enter at 100.
I bought 5% of PF on a fundamental basis ,hoping books are not too much cooked /manipulated
But when it became 2x ,price bias kicked in
And I thought of booking the profit
4)there was no back up plan initially
Also It’s better to miss the first move in a stock and wait to see if a company’s plans are working out.
Rs 424cr Buyback at Rs. 350. Not bad. Not sure how it will trade tomorrow.
42% eligible … 3% buy back offer … so assuming 100% tendered then about 6-7 shares will be bought back. If less than 100% tendered then proportionately the number of shares accepted for buy back could increase …
My sense is that many investors who have bought at higher levels above 350 will be relieved to get at least some part of the investment back at 350/-
The total size of the buy back is 424 crores via tender … so not a very big deal … but more a support for current market price … In the longer run, the EPS will be impacted favourably as number of shares reduce.
And promoters not participating in the buy back is again a good gesture. Institutions may still be the big gainer unless the company comes with some special scheme for small and retail investors.
As per my calculations, buyback ratio acceptance ratio shall be around 45% for retail investors and around 6% for other categories, provided promoters do not participate.
I am expecting an increase in number of small shareholders by around 2 times against given in the 2017 annual reports.
Number of shares with retail/small shareholders as per AR is around 13.5 lacs, in my calculation I have assumed a number of 40 lacs. I am also assuming 100% tender, as difference between current price and buyback price is very high.
Buyback Value = 424 cr
Reserved for small share holder = 15%
No. of shares to be cancelled for small shareholder = 424*.15/350 = 18.17 lacs.
Acceptance Ratio = 18.17/40 = 45% approx.
The acceptance ratio can change ofcourse, if more people try to participate via retail route.
Disc: Not Invested and not planning to invest.
It is mandatory to allocate 15% of the buyback amount to retail shareholders as per latest SEBI regulations. Retail investors are those who hold shares less than Rs 2,00,000 as on record date i.e. quantity held x closing price (higher of nse/bse) < 2 lacs.
Of course price is very good but Size of buyback is very small. my opinion company have provided this for damage control only.
Thank you. Noted for future reference. Had observed this in Infosys buy-back as well.
Just checking my understanding … the acceptance ratio will be calculated separately for the small investors (2 lakh rupees cut-off) and other investors (above 2 lakh rupees cut-off) … Is this right ?
In the retail category, even if you assume that 5% share capital( i.e. 50% of the shareholders, out of 10% stake held by non-institutions) is tendered for buyback and even 30% size comes to them (around 3.6 mn shares), even then the acceptance ratio wouldn’t be more than 20%.
It is mandatory to allocate 20% of the buyback amount to retail shareholders as per latest SEBI regulations.
Any pointers explaining these recent rules . Long standing rule is 15% of the buyback is allocated for retail shareholders .
Varun, I too Agree with Prem here. it should be 15%… See Link Below:
Kindly see the forum guidelines update from the Admin. These sort of comments add little value to the forum.