I am little bit confused with ruchi soya. I had bought 1800 quantity of ruchi soya at Rs.11.30 around end of 2018. Was holding it. Last November trading in ruchi soya was stopped around Rs.3.90. And trading began again two three days ago. But this time 100 shares merged into 1. So share price should be around Rs.390 but price it is trading at is around 18. Though share price jumped from 3.90 to 18 but my holding value got eroded because 100 shares merged into 1. This is insane price discovery. I bought worth of around Rs.22k shares but now it’s only around Rs.400.
Is it not a scam or am I getting it wrong?
I know I understand very little about stock market. So please help me understand the situation.
I even got a mail from CDSL saying I have 25 shares now & even here it does not make any sense. It should have been 18 shares though.
The same happened in Electrosteel and Bhushan Steel when the companies were bought by vedanta and Tatasteel through NCLT bankruptcy route.
Buying a stock that filed for bankruptcy is a mistake. IMHO.
Go through BSE notifications of ruchi soya and you will resolution plan notification there you might find the new holding structure. and there you find a find a point Reduction and Consolidation / extinguishment of Share Capital