FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com


Join the forum, it's quick and easy

FINANCIAL CHRONICLE™
Dear Reader,

Registration with the Sri Lanka FINANCIAL CHRONICLE™️ would enable you to enjoy an array of other services such as Member Rankings, User Groups, Own Posts & Profile, Exclusive Research, Live Chat Box etc..

All information contained in this forum is subject to Disclaimer Notice published.


Thank You
FINANCIAL CHRONICLE™️
www.srilankachronicle.com
FINANCIAL CHRONICLE™
Would you like to react to this message? Create an account in a few clicks or log in to continue.
FINANCIAL CHRONICLE™

Encyclopedia of Latest news, reviews, discussions and analysis of stock market and investment opportunities in Sri Lanka

LISTED COMPANIES

Submit Post


ADVERTISE
Poll

EXCHANGE RATE PREDICTION: 2022

 
 
 
 

View results

ශ්‍රී ලංකා මූල්‍ය වංශකථාව - සිංහල
Submit Post


CONATCT US


Send your suggestions and comments

* - required fields

Read FINANCIAL CHRONICLE™ Disclaimer



Latest topics

» Expolanka to continue its winning streak
by samaritan Yesterday at 10:22 am

» POSITIVES & TARGETS BY IMTIAZ BUHARDEEN
by Gowri123 Wed Jun 29, 2022 4:38 pm

» When will supply chain disruptions ease?
by Gowri123 Wed Jun 29, 2022 4:08 pm

» We’re seeing a shift toward international and value stocks, says Schwab’s Kleintop
by target1 Wed Jun 29, 2022 2:40 am

» Wall Street stumbles as consumer pessimism stokes growth fears
by target1 Wed Jun 29, 2022 2:34 am

» Free Market Capitalism vs. Crony Capitalism
by target1 Wed Jun 29, 2022 2:30 am

» Sri Lankan corporations reap large profits as workers and rural toilers face poverty and starvation
by CHRONICLE™ Tue Jun 28, 2022 6:37 pm

» අද රාත්‍රියෙන් පසු, යක්ෂයාගේ හෝරාව ඇරඹේ!
by God Father Tue Jun 28, 2022 6:13 pm

» Derana 360 with Minister Dhammika Perera
by samaritan Tue Jun 28, 2022 1:07 pm

» CENTRAL INDUSTRIES PLC (CIND.N0000)
by LHW Tue Jun 28, 2022 9:24 am

» Breaking News- Kanchana to go to Qatar ; 2 more ministers off to Russia
by Beyondsenses Tue Jun 28, 2022 8:13 am

» PM thanks President Biden for assuring US support to Sri Lanka
by Beyondsenses Tue Jun 28, 2022 8:07 am

» Sri Lanka Stock Market heading toward ASPI 4500
by God Father Mon Jun 27, 2022 9:14 pm

» Why no power cuts in certain areas of Colombo?
by God Father Mon Jun 27, 2022 8:03 pm

» කොළඹ රාජකීය ගොල්ෆ් සමාජය විසින් රජයේ දේපළ අවභාවිත කිරීම
by ddindika Mon Jun 27, 2022 9:33 am

» LOLC to enter the giant Indian Market
by samaritan Mon Jun 27, 2022 9:17 am

» LOLC HOLDINGS PLC (LOLC.N0000)
by CHRONICLE™ Mon Jun 27, 2022 6:46 am

» SOEs within Minimum Programme for Economic Recovery
by CHRONICLE™ Mon Jun 27, 2022 6:44 am

» COVID WAVES: Can there be another Covid-19 wave in Sri Lanka?
by CHRONICLE™ Mon Jun 27, 2022 6:36 am

» Luminex Limited lists on the Diri Savi Board after a capital raise of Rs. 250 Million
by CHRONICLE™ Mon Jun 27, 2022 6:34 am

EXPERT CHRONICLE™

MARKET CHAT


CHRONICLE™ ANALYTICS


ECONOMIC CHRONICLE

GROSS DOMESTIC PRODUCT (GDP)


CHRONICLE™ YouTube

LATEST TWEETS

You are not connected. Please login or register

FINANCIAL CHRONICLE™ » CORPORATE CHRONICLE™ » AAF buyer Muthoot Finance India trying to avoid the mandatory offer?

AAF buyer Muthoot Finance India trying to avoid the mandatory offer?

5 posters

Go down  Message [Page 1 of 1]

Sstar

Sstar
Vice President - Equity Analytics
Vice President - Equity Analytics

AAF buyer Muthoot Finance India who bought 29.8% are now trying to takeover AAF by taking more than 51% of AAF shares through the existing rights issue thus avoiding a Mandatory Offer. Small shareholder should are likely to get affected by this. This is minority suppression by the majority shareholders under the Companies Act of Sri Lanka.

SEC should immediately intervene and ask them to make a mandatory offer at the highest price they bought AAF during the period.

Using rights issue or dilution of exiting shareholdings to take control of a company falls within Takeover and Merger Code and accordingly a mandatory offer is required.

Please read the Takeover and Merger Code.
http://www.sec.gov.lk/wp-content/uploads/Takeovers-Code-1995-amended-2003.pdf

SHARK aka TAH

SHARK aka TAH
Expert
Expert

Sstar wrote:AAF buyer Muthoot Finance India who bought 29.8% are now trying to takeover AAF by taking more than 51% of AAF shares through the existing rights issue thus avoiding a Mandatory Offer.  Small shareholder should are likely to get affected by this.  This is minority suppression by the majority shareholders under the Companies Act of Sri Lanka.

SEC should immediately intervene and ask them to make a mandatory offer at the highest price they bought AAF during the period.

Using rights issue or dilution of exiting shareholdings to take control of a company falls within Takeover and Merger Code and accordingly a mandatory offer is required.

Please read the Takeover and Merger Code.
http://www.sec.gov.lk/wp-content/uploads/Takeovers-Code-1995-amended-2003.pdf
Something to read and analyse ...

Thanks Sstar Basketball

Lalindra

Lalindra
Manager - Equity Analytics
Manager - Equity Analytics

But mathematically is that possible? If every shareholder exercises their rights allotment there cannot be change in the shareholding.

Sstar

Sstar
Vice President - Equity Analytics
Vice President - Equity Analytics

Lalindra wrote:But mathematically is that possible? If every shareholder exercises their rights allotment there cannot be change in the  shareholding.

Asia Capital has transferred its rights allotment in AAF to Muthoot Finanace. Upon Subscription for right Muthoot will go pass the mandatory threshold of 30% and have more than 51% of AAF.

Lalindra

Lalindra
Manager - Equity Analytics
Manager - Equity Analytics

I get the point. Thanks for the clarification.

sampath.anuradha


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

hey,dear ,,what u got point.pl.. explain...

Top Trader


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

[quote="Sstar"]

SEC should immediately intervene and ask them to make a mandatory offer at the highest price they bought AAF during the period.

As per the official announcement, they bought it at 1.60/=, so even the madatory price will be at 1.60/=

Are there any documents to show that, they purchased at more than 1.60?

Sstar

Sstar
Vice President - Equity Analytics
Vice President - Equity Analytics

Argument is that Muthoot Finance should make a mandatory offer at least at Rs 1.60

Top Trader


Senior Manager - Equity Analytics
Senior Manager - Equity Analytics

It seems u bought expecting the transaction to take place at high price, and now suffered.

I can't understand, that u have the confirmed info at very early stage but at wrong price

http://forum.srilankaequity.com/t33607-muthoot-finance-india-eying-asia-asset-finance-aaf?highlight=Asia+Asset

Back to top  Message [Page 1 of 1]

Permissions in this forum:
You cannot reply to topics in this forum