Hello friends. I am stuck in Electrosteel steels shares as the stock is hitting lower circuit everyday. I fear the value may go to zero soon if this trend of lower circuit continues. Also there is a difference in nse and bse price. BSE price is substantially higher than nse price. I bought on NSE for arbitrage as it was hitting upper circuit on NSE and was trading normally on BSE. Since then it’s on down circuit. The company has been taken over by Vedanta and on 25th september 2018 the Board of the company announced delisting of the stock from stock exchanges. How do I exit from this stock? Can we tender shares directly to company? In that case what could be the delisting pricing that could be given to the 10% public shareholders as 90% is now owned by Vedanta? There seems no other way to exit as stock hits lower circuit on open itself. MR NITHIN PLEASE ADVICE.
@Satish_Pethe: The delisting price of 19 paisa per share was officially announced almost 6-8 months back and it was also official that due to capital reduction process 50 shares will become 1 share and delisting price payable is 9.54 per share.i have raised this question on many financial websites that what is making this scrip to trade at 40-50-60 per share when maximum price one can extract from this share is 9.54 !
now you have few choices (1) try to sell at nse /bse and if failed to sell , (2) participate in delisting offer as and when it start and offer @ 9.54 (3) if not in mood now ,you will get 365 days after delisting of share to offer at same price (4) keep delisted shares.
Thank you so much for your advice. So you mean that I can get Rs.9.54 for every share that I hold today ( part of The shares which are currently trading I.e. after being relisted on 18 June 2018 ) if I participate in the delisting and offer them back to the company. As per your point no 3, I can offer shares back to company within 365 days after delisting at SAME PRICE means which price Rs.9.54 or my purchase price? As per your point no.4, what can I do with the delisted shares? Will they serve any commercial purpose? Thanks again for your reply.
(1) delisting will start soon where you have choice to offer @9.54 per share or not to offer.(2) after delisting of shares there will be a regulatory 365 days valid EXIT OFFER @9.54 to offer .(3) can not comment if the ESL share will have any commercial value after delisting but many dealers do buy -sell popular unlisted /delisted shares .
Thank you for your detailed replies. Grateful for your assistance.
Was finally able to exit today on NSE after trying for many days. That’s a bigggg relief !!! This was my first and last attempt at T group stocks. Will never enter these shitty and manipulated stocks ever again in my life. Thanks to you again for your valuable advice. God Bless.
@Satish_Pethe : as such there is no issues with shares in T group but surely with share sin Z group and P group.moreover experience so far indicates that do not venture in the NCLT cases related shares which were just few weeks back ,highly recommended to buy by a leading very popular fundamental analyst.
Very true. I normally stick to NIFTY 100 stocks I.e. Nifty 50 plus Nifty Next 50 and will now strictly follow it. It was my mistake. I shouldn’t have broken my discipline. Anyways everyday market teaches us new things. If we don’t learn from our mistakes then we have only ourselves to blame. All’s well that ends well, of course with a financial hit, but a softer one than expected earlier. Ciao.
How did you sell the stock? Even I am stuck with this stock please help me to get rid of this stock
I am stuck in electrosteel steel Ltd since a long time. How to get rid of the stock please advise!
@madhuresh_agarwal ; regularly traded at both the exchanges .BSE all buyers @22.65 and NSE all buyers@ 22.55 . the share is T group at bse and BE group at NSE.
Presently i have around 250 shares of ESL i.e. in September 2019, recently i got a mail regarding AGM of ESL on 23rd Sept 2019, what should i do with these shares.
Can i easily exit of this, if exit then i got (250×9.54=2400) but i Invest of around 50,000 in start of 2018.
What should i do please suggest me.
@Sachingupta : i may never advice keeping a d listed share . there has never been a case whereby a voluntarily d listed company ever got relisted even though there is provision in law that such company can apply for re-listing on expiry of 5 years .
permit me to say , considering bank interest there may not be any case (an odd exception can be there ) where such company ever gave more than d listing price even after many year .NOT EVEN FAMOUS CASE OF Cadbury OR live case of Philips India .