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What are the bunch of risks to the business? And whats the probablity of risk being played in real ?

Hi everyoneā€¦I have been tracking this company for quite a while. Two things Iā€™ve noticed, for which I would like clarification and understanding from this esteemed groupā€¦

  1. Frequent disposal of shares by trustsā€¦ This happens almost every monthā€¦ Havenā€™t seen this with other companies that I trackā€¦What does this usually signify?
  2. Frequent ESOPā€™sā€¦ While good for company and employee morale and income, how well does it bode for other shareholders?

Thank youā€¦

2 Likes

My two cents on this

  1. If you are referring to the trust that hold the majority of the promoter holding I believe since 2023 there has been equity selling among the employees/ top management who perhaps wanted to exit with more cash. I am purely making an educated guess that the trust held shares on behalf of the employees including the top management. After certain vesting period timeline some of them probably cashed out.
  2. Well this is typical of any start up company so no surprises there .