Finally retail has been informed about the transaction.
Personally I stand benefitted - as the mcap of company is back where it was pre Asirvad crisis.
As an investor in the company few facts in the announced scheme and published BOD meeting minutes are as following:
- Steeping down of Nandkumar from executive role and appointment of professional CEO - is biggest catalyst
- Fresh issue of shares & warrants to Bain Capital will bring in the growth capital for next few year, without possibility of further dilution
- Warrants to Bain capital, will provide liquidity to Bain capital also - as they will be paying just 25% now - and remaining 75% (of warrants money) in next 18 months
A surprising facts also came into lights i.e. Manappuram Asset Finance Limited.
I will leave the fellow shareholders to make their own views, if it is ethical or fraudulent practice on part of Mr. Nandkumar, to have another operating NBFC in the same line of segment ie. fund-based services including loans against gold, hypothecation loans, mortgage loans, business loans, etc; when Listed Entity is also in this biz.
In published documents, no mention of cost of acquisition. Seems this is the payout to Promoter family in entire scheme of things.
All in all, after a long time (may be 5 years+) breathing space and sunshine of positivity for retail investors in Manappuram.
Disc: Invested in family portfolio, no buy/sell recommendation,