Over-subscription is actually a negative factor. It means company had undervalued the instrument (rights, debenture, ipo etc)
*LOLC* advertised over-subscription as a positive thing to get investor interest. The degree of over-subscription will reveal the level of under-valuation.
Checkout *EDEN* Right Issue documents? It was to settle debt. But who’s debt? It was internal debt Rs. 4.3bn to be paid to *BROWNS*. They use your money to settle.
They lend this money to *BRWN* to finance *BIL* transaction, then charge interest from *BRWN* and pay to the investor. Not even put own money.
Ishara N recently cashed out his shares to the tune of Rs. 16 billion through Churchill and Oxford Capital Pvt Ltd and made *BRWN* and *BIL* buy his shares. Later dumped to retail investors that led to the recent crash...
This is all while you were blaming other factors like CSE Letters and Credit Clearance and Broker games.
*LOLC* & Co dragged the market down and now many portfolios in red. Now who will you target for your portfolio being red? Think!
The culprits doing his dirty work are Thushan Wickramasinghe owner of Capital Trust and Kamantha Amarasinghe his Lieutenant at LOLC .
Dr Terrance Perera