Bank of rajasthan

magnet

Active Member
#1
As all of u know it is going to merge with icici bank

For every 118 shares of BOR ull get 25 shares of ICICI

If we see at present market rates it comes that icici is payingat 188 rs for BOR shares...

But the share is trading at 100....which means public will get more for their money

I was planning to invest arpund 25k in BOR should i go ahead...Or i am missing some calculations??
 

magnet

Active Member
#2
Okk now a channel is saying swap ratio havent been decided...

It will be done on sunday and chances are for every 9 shares of BOR 1 of icici...meaning 135 price....
 

Logik

Active Member
#3
lol.....this is the most funny thing in the market. till now the price was expected to be 188 & now suddenly the swap ratio is undecided.

the stock is up 50% in last three days (including today's 10% close @ 131).

another example of how rumors/sentiments affects value.
 

magnet

Active Member
#4
lol.....this is the most funny thing in the market. till now the price was expected to be 188 & now suddenly the swap ratio is undecided.

the stock is up 50% in last three days (including today's 10% close @ 131).

another example of how rumors/sentiments affects value.
Well the ratio is same...Actually its not final yet

I was listening to commentaries on it today

1 Fundamental analyst on tv whom i follow or who speaks sense made a valid point and i had never thought on that line

FIrst of all why would someone sell its stake unless he gets something exorbitant price for...

Though BOR is in problems...Once hand changes books can be easily changed according to their(ICICI)convenience ....Every businessmen know this trick...

Now about price...Though expensive ...

What icici did is in 1 shot all MARWADIS account will come under their pocket....And really believe me they are lot big shots than us....Having 25-30 members families they easily buy property on one another name and can easily move their money(my past friend 7 years back used to drive an esteem maruti which he hardly used to repair Now he have bought merc e class just to show his class...have fleet of other cars..posh 6 bedroom villa...and many other big investments..)..Point is now all this people account will come under 1 roof of ICICI and they can easily coupe with the price they pay
And 188 amount if they wont have paid that much the tayals wont have given up their share
Another analyst said to clear position once it touches 150-160 level....But i guess tomorrow is the best day to clear position because all this swapping and all will take 6-8 months...and price wont hover much above the levels ...Plus if icici trade below 900 than price off 188 also isnt the equivalent as u get shares not money

Now what The analyst furthur told was of DCB...From the starting of this year all his interview he used to say avoid,bury,exit this share no future ...Loss making check balance sheet etc
But today he said hold it...Soon some news like BOR will come as after BOR the another rich community ismaili muslim khojas have their account in DCB(i confirm i have some dormant accounts in it..I am from same community but i dont use those accounts as branch is too far away from my place but lot of irregular activities bank undertake like person have multiple accounts of different pans for same person and most are builders passport agents have fleet of rest etc..SO too much money loan and all moves)And most probably HDFC will come up with news to get it to counter BOR threat >Also the price being ard 44...ard 100 an offer may come plus the per branch revenue of dcb is around 10 crore wheras of BOR is 6.5 crore

Hope this helps

Ill clear my position at 165-175 in BOR
 

Similar threads