CIE Automotive India – Rare combination of Opportunistic and Long Term bet

[hiteshrandhawa]

@varadharajanr

Agree - this is not an industry that creates shareholder value and this is a bus where you need to know where to get off.

To me, industries like steel are buses that go around in circles - they are not buy and hold cases. Rather, they can get you from point A to point B well only and only if you are clear if you know when to alight. otherwise, 5 years later, you will find the same thesis re-packaged and sold to you.

These should trade at net-nets or a meaningful discount to book to make sense - what’s the big deal about ROCE’s hitting FY 17 in an optimistic case ? Too little, too far for value creation to happen

@Varadharajan- Actually this is not a steel (commodity ) stock… As I had said that it is an opportunistic as well as long term bet. I have been holding this since 50rs, along with Mahindra Ugine and Mahindra Composites.

The beauty of this stock is that the amalgamation would actually create tremendous shareholder value and it already has for all the stocks to be amalgamated and still there is a long way to go.

Suggest that it would be helpful if you read the entire story above to understand the value that Mahindra CIE has and will create!!!

Cheers,

HR!!!

Has done well to move up with rest of the auto ancillary pack!

September 19 is the date for Court approval on the scheme of amalgamation!

Cheers,

HR!