February 17, 2022
Compulsory Back Back of Shares- Violates Fundamental Right to Equality
Such a move creates two separate and unequal classes of Shareholders , i.e. Promoter Share Holders and Non Promoter Share Holders .
Regarding the move , earlier of Cadbury India Limited , others and , now , by Piramal Glass :-
This is a very dangerous trend and Investors must unite and fight against these compulsory selective.extinguishing of Non Promoters ' shares .
Only those companies whose Promoters feel that future prospects are very bright go in for compulsory buy back.
No company with a dark future goes in for Buy Back.Then they let the shares remain with Non Promoters.
Investment in shares is like the playing cards game of Flash " Teen Patti " . Promoters have seen their cards. Non Promoter / Public Shareholders are Playing "BLIND "
Acquisition rates are arbitrary as so called valuers are partial and do only the bidding of the Promoters.
If the Majority wants the Minority 's shares then , to Quote from Mario Puzo 's Godfather "
" They should make an offer we cannot refuse "
. Let them approach us and buy at a mutually agreeable price but not at a Dictated Price.