Essar Shipping’s Delisting Sinks, Drowns Prisoned Stockholders

Essar Shipping's stock sank yesterday on news of the failure of the tender offer to take the company private under SEBI's Delisting Regulations. In a cryptic-sounding message, the company informed the following to the Mumbai stock exchange: "Essar Shipping & Logistics Ltd has informed the Company pursuant to the approval of the shareholders for delisting… Continue reading Essar Shipping’s Delisting Sinks, Drowns Prisoned Stockholders

Adventures of a Risk Arbitrageur- The Case of Matrix Laboratories

From: Sanjay BakshiSent: Sun 22/10/2006 20:22To: BFBVSubject: Adventures of a Risk ArbitrageurDear Students,Some time ago, I had told you about a deal on which I was working. This was the deal involving the acquisition of Matrix Laboratories by Mylan. I had, at that time said, that there are multiple ways of looking for opportunities in… Continue reading Adventures of a Risk Arbitrageur- The Case of Matrix Laboratories

The Case of Neyveli Lignite

The following is the account of a fictional meeting which took place between Dr. Manmohan Singh, India’s Prime Minister (PM) and M. Karunanidhi, Tamil Nadu’s Chief Minister (CM). Tamil Nadu is a state governed by DMK, a political party with socialist leanings and a partner in the coalition of parties supporting the central government led… Continue reading The Case of Neyveli Lignite

Creating Free Warrants: The Case of JSW Steel

On January 20, 2006, JSW Steel gave the following notice to the exchanges:JSW Steel Limited has informed the Exchange that the Board at its meeting held on Jaunary 20,2006 has pursuant to section 81(1) of the Companies Act, 1956 has approved the issue of Equity Shares with Warrants on Rights basis to the existing shareholders… Continue reading Creating Free Warrants: The Case of JSW Steel

When the promoter goes to jail, the projections go out of the window

In June 2005, Provogue came out with an IPO priced at Rs 150 per share. The IPO was subscribed 67 times (social proof, deprival super-reaction) the number of shares offered. The stock opened for trading at Rs 250 and closed at Rs 205 on 2 August.At Rs 205, the company's market cap comes to Rs… Continue reading When the promoter goes to jail, the projections go out of the window