Rs40000 cr loan against Rs500 cr collateral says Business Today.
post is withdrawn as it is flagged
2 Likes
Sometimes one learns a lesson the hard way. The best thing to do in case of dhfl according to me is to just book the losses and carry on. This will save lot of mental agony and stress. Also market is full of opportunities , why would one waste time in a company where things are mostly shady and now even business looks unviable. The risk reward ratio is not worth it in such cases as lot of investors are stuck at multiple levels and even small rise will lead to correction and supply. For correction the psychological damage which such investments do to us. We should first lower our benchmark and seek only 10-12% returns annually from the market. This way one will be able to look at grade A companies mostly. Even better take a break and then if one feels like should come back to the markets.
Happy investing
6 Likes
Probably DHFLâs resolution plan request to lenders
In my Opinion the following thing need to be observed very closely in short span ( IF YOU ARE INVESTED ⌠)
- They might consider with haircuts the resolution plan only needs 60% majority among the lender consortium
- MF might be considering the option of going to the Debt Recovery Tribunal ( DRT) to settle matters
- However there are 86000 Bond holders of DHFL They will push the plan in order to get their money back
- The turning point may be the view point of the debenture trustees to DHFLâs bonds â Catalyst Trusteeship and IDBI Trusteeship as they havnât put their opinion as on date .
i found this in below article
" Any rescue package will require regulatory approvals and needs the backing from debtholders, which include mutual funds and bondholders, as well as banks.
According to Indian regulations, three-quarters of lenders by value of outstanding credit to a troubled company and 60% by number must agree a rescue plan for it to be binding."
Source : https://www.business-standard.com/article/companies/lenders-to-cash-strapped-dhfl-ready-for-haircut-in-rescue-plan-report-119071601145_1.html
But till than wait and watch âŚ
regards
Disc : Invested my views can be biased . This is not Buy Sell or Hold Recommendation
1 Like
California Pension fund buys more than 1% stake in DHFL
Donât read too much into this. It is a very large pension fund and their investment in DHFL (about 21 crore rupees) is minuscule as compared to their assets:
As of June 30, 2014, CalPERS managed the largest public pension fund in the United States, with $300.3 billion in assets.
Might be a speculative buy.
2 Likes
Large funds run their own rule based approaches. This could be algorithmic buying for all we know. Maybe no one there even knows what DHFL is 
4 Likes
Anybody knows the monetized value ?
i may be wrong but when i read the bankruptcy Code is it is strange to find that the code does not meant for and cannot work in the case of NBFC. i fond a similar founding in artcle which is worth reading
1 Like
1 Like
company filing
In spite of the payment to creditors expected to be delayed, people who are already invested can think about shifting from DHFL equity to DHFL secured NCD maturing in a month, available around 340 today. If the equity has to have any value, the debt will be paid sooner or later (one assumes), and this particular NCD will more than triple your money, if it is honored.
2 Likes
The ground reality is that the Base of the DHFL is intact .the employees hasnât start moving out of the ship Yet . An HDFC Sales Pvt Ltd representative recently visited my offices . I enquire hw is DHFL is doing now .he said once they were our biggest revial but now the they are now our biggest revenue creator i Said How that is possible .he was telling since the HDFL is not processing the lending .But their assessment and the selection process of the client is far better than us .Now Their employees are off the table record sending the cases to us . THIS SHOWS THE evaluation PROCESS is far better than HDFC .
I may be wrong in my interpretation. If some one is invested please visit local branch ( IF ANY )to check the ground zero reality and share their views .
i am sharing online employees reviews ( THIS CAN BE COOKED BUT SELDOM HAPPENS )https://www.glassdoor.co.in/Reviews/DHFL-Reviews-E513750.htm
regards
1 Like
It takes only one bad apple at the top to sink the ship. What happens at the board or management level is the reason most of the times that fraud happens which will kill the company. If it happens at the employee level, it will be just pennies and the company can move on as if it never happened. So for DHFL, it does not really mean much whether employees are good or not. What is important is what happened to Rs20,000 crores for which they do not have documentation and as a result the auditors resigned. This is damning and unless you know the answer to this question, there is no point keeping this stock.
2 Likes
Deloitte is only board the auditors since 2018
before that company ran for 34 years and become undisputed leader in itâs own field .Company has never said the they donât have documentation ,Just take individual case you need to fill the documents in the file to process the loan and want that o be processed ASAP . Even in that course the mortgage is getting insured from the insurer . So the chances are very bleak of default BUT NO ONE CAN BE ASSURED OF THE MEL PRACTICES I NOUR BANKING SYSTEM . On top of the the asset quality of the asset held but the company are of good quality thatâs the reason first time in history all the debtors are planning to have resolution plan to afloat the company .
Disc : my views can be biased as i am invested
If you are convinced and have done your groundwork then in ideal case one should buy more. If you are unwilling to buy more and are not sure whether the numbers or research can be trusted. Then one should just sell and leave the counter .
Regards
Divyansh