Route Mobile - Internet, Mobile & Telecom

Wondering what’s the impact of this deal on TANLA, and why?

Experts, please suggest.

Its a separate company, this doesnt affect them. Even if they have business w/ Route, it’ll go how it has always been. The CEO still stays the same, so personal relations stay intact.

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Given Belgian company, foreign government involvement, and inorganic nature of management behaviour. I see the following risk.

  • Large countries (like India) and strategically important companies in them (like banks) will be slightly vary of having something critical like customer messaging be run by an entity like RM. If they have a local choice like Tanla they would go with that.
  • What will be the growth instinct of the new entity is difficult to predict? Maybe they want to grow at 15% instead of 20%. I am discounting the continuation of the current CEO in the future given their fickle nature.

Since I am invested with 4% of my portfolio in it, the best way forward for me is to wait for an open offer and offer all my stocks. There is about 10% upside from here which is not bad if the whole thing materialises in 6 months. As per my understanding the open offer is not live yet - it has only been announced. I check via the corporate actions section in Zerodha.

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One point stuck out for me. RM being part of the same promoter group as TrueSense may or may not benefit in the international market due to this deal. It will depend on what new promoters want.

…we will be more interested how much synergy benefit can come to Route and how much can happen in TrueSense…

https://economictimes.indiatimes.com/markets/expert-view/what-will-be-the-impact-of-route-mobile-proximus-deal-nikhil-choudhary-answers/articleshow/101821853.cms

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Unable to understand the exact business model and how they make money. Very technical in nature. Would be helpful if someone can help by sharing article where this business is broken down in simple form?
Thanks in Advance.

Dear Sir,

The attached video link is from Rachana Ranade , https://youtu.be/YsId9k3SM80?si=0dFLSPMYvBpp4TH4

Maybe this can help you.

Not Sponsored or invested

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thnx this was useful

Why stock price is stagnant although it is having huge sales growth?

Promoter selling out his stake to Proximus.

Given that share price has already breached well past Proximus’ open offer price @1626, the acquisition
plans could end up in a soup if stock price reaches higher orbits.

Disc: Exited last week. Still tracking

@Vivek_Singh Are you still holding?

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Fundamental research not working here :expressionless:

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MAKE A CASH OFFER TO ACQUIRE UP TO 1,64,05,338 (ONE CRORE SIXTY-FOUR LAKH FIVE THOUSAND THREE HUNDRED AND THIRTY-EIGHT) FULLY PAID-UP EQUITY SHARES OF FACE VALUE OF ₹10 (INDIAN RUPEES TEN) EACH (“OFFER SHARES”), REPRESENTING 26% (TWENTY-SIX PER CENT.) OF THE EXPANDED VOTING SHARE CAPITAL (AS DEFINED BELOW) IN ACCORDANCE WITH THE SECURITIES AND EXCHANGE BOARD OF INDIA (SUBSTANTIAL ACQUISITION OF SHARES AND TAKEOVERS) REGULATIONS, 2011 AND SUBSEQUENT AMENDMENTS THERETO (“SEBI (SAST) REGULATIONS”) FROM THE PUBLIC SHAREHOLDERS (AS DEFINED BELOW), AT A PRICE OF ₹1,626.40 (INDIAN RUPEES ONE THOUSAND SIX HUNDRED AND TWENTY-SIX POINT FOUR ZERO) PER EQUITY SHARE (“OFFER PRICE”) ALONG WITH THE APPLICABLE INTEREST (AS DEFINED BELOW) OF RS. 18.27 (INDIAN RUPEES EIGHTEEN POINT TWO SEVEN) PER EQUITY SHARE, THEREBY AGGREGATING TO ₹1,644.67/- (INDIAN RUPEES ONE THOUSAND SIX HUNDRED AND FORTY-FOUR POINT SIX SEVEN) PER EQUITY SHARE, PAYABLE IN CASH, IN ACCORDANCE WITH THE PROVISIONS OF REGULATION 18(11) AND 18(11A) OF THE SEBI (SAST) REGULATIONS

Any idea when does the tender period start?
Don’t see anything under Corporate Actions tab in Zerodha

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:thinking:

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Previous promotors didn’t inform there shareholders about deal :handshake:.
When I listen concall everyone is afraid that company is going to be delisted and it’s clear in concall no one have faith when they say it’s not going to delisted.
I am also earlier investor in route mobile but I have reduced stake in it.
That’s the main reason they are trading at PE multiple of 25.
Plus they always talk about they are going to improve there margin from next quarter but they always come with one reason.

Although I beleive they will improve there margins.

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