[explorer]

I am on hdfcsec. I neither received the current one not the previous one. I will give it a week before officially lodging the complaining with both management and on scores portal.

[Remesh]

//@Remesh – The other day you had wirtten in MMB taking a jibe at drjaysee. It is not about using which platform, but to see that you respect all the members here in all the platforms.//

Admin, although I hate such arguments, as you are telling this to me, I think I’ve to reply it. I’ve never insulted any fellow investors. When someone asked Dr. Jayasree ‘why only you’, I’d told that he should ask this question to the company, not to the person who provided us some valuable info. I’ve clearly expressed my gratefulness and respect toward the members you mentioned.

But the company should give reply to all investors, especially when they are at fault. If they feel that it is time-consuming, they should inform all the investors what’s going on through the exchange. As an investor of the company, I expect this from their side. Tell me, is there anything wrong in this? Does this hurt any investors? If yes, please tell me directly and I am ready to apologize.

[Sobha]

According to the method used by Goichi Hosoda in 1930 ( founder of ichimoku charts ) . Once again, after 8 long years, A green cloud crossover has happened in brightcom on a monthly timeframe .A harbinger of things to come . 8 years ago, I had given a buy call on this script when it was languishing at 3 levels. Some might remember my buy call on brightcom ( Ybrant digital) at 3 and marksans pharma at 4 levels . What happened next is very well etched in the memory of all brightcom shareholders, A supersonic move from 3 to 68 levels within just 10 months . The previous move will pale in comparison to the upcoming mother of bull run in brightcom.. Fasten your seat belts, MASSIVE re-rating will happen in this script. The mother of bull run is about to begin here. Let me stick my neck out and make a bold prediction . In the coming 18 months, Be prepared to see 3 digits in this counter. Good wishes . The winter has gone, WELCOME to SUNNY days ahead .

[Sobha]

Above posted by Mindspeaknow in MMB

[vgsatwork]

@m4max1979 Ref#10555

Is it possible that LOC might have been rejected and that is why company is looking for equity capital?

Assuming that LOC is rejected, the route that the company has to raise funding is through equity. Either the Promotor can go for preference issue to themselves or the company could have gone for rights issue where all existing shareholders could have participated based on their current holding. But BCG has gone for Preferential warrant wherein only 25% of the PW money is guaranteed to be received and the PW allottees can wait for another 18 months before deciding to pay remaining 75% and get the PW converted into equity shares. That means company would have got only 65 crores which wouldn’t help the company in any way if it is trying to grow through infusion of money into the business. LOC would have been more in the range of about 70-80% their receivables (about 700 – 800 crore considering the outstanding trade receivables of 998 crore per the balance sheet as of sep 2020)

Since the above doesn’t make sense, we have to assume that the PW is NOT BECAUSE LOC is rejected. Moreover the last update that the company has given through the exchanges about LOC on 14th Sep is extremely rosy and if the LOC is indeed rejected, the management would have lot to answer for to SEBI for misleading the shareholders on LOC through official updates to stock exchanges.

Based on these points above, my take is that LOC is there for sure. They are just delaying getting the same for some reason. On the contrary, PW could potentially be shelved, if it was never meant to be issued at the first place and the news was more to scare and drive out existing large shareholders on EPS dilution fears, ensure that they cannot stand in the way of promotors decision (since Promotor holding is only about 36% now) – This is a possibility from my viewpoint and I am saying this only based on logic and the suspicion which I have indicated in one of my earlier posts..

[buffet]

I think LOC is done deal.. as I recollect @rathi & team have seen some documents w.r.t. same. Once PW approval is done, they will communicate to shareholders. Even LOC may have been granted to US based subsidiary instead of parent. In that case they are not obliged to inform exchanges.

[sac6310]

i agree with @buffet.

@rathi_b you guys had seen the doc, whether LoC is applied on name of parent company or any subsidiary ?

[Rathi_b]

From the documents we were shown, our perspective is that it’s a done deal, we are just waiting for him to announce at his leisure. But we are expecting a lot of positive news one after another. And as far as parent or individual entity I clearly don’t recall but it was in final stages the last time we were there.

[sagraa]

@vgsatworks , I am also of the view that PW is an eyewash. It was ment for the purpose to scare large shareholder sell their holding and clear the way for promoters.
LoC is already secured and perhaps it will be disclosed at the right time.

[bhupinder]

The management have informed that they have put LOC at hold, it means it is not rejected. I personally feel PW or no PW its win win for LT investors. Investors will be happy if PW is not approved. BCG will be happy if PW is approved.
The rally is going to happen with or without PW. This being the highest time for BCG to rise otherwise they will miss the bus and someone else will drive the bus.
Stay invested, wait n watch peacefully.

[Sobha]

Preferential warrents are for getting the share free of cost for the promoter group. 34 crore crore will be allotted to somebody else’s name all of whom are paid proxy. After some months the entire stake will come back to the promoter group either directly or indirectly. The promoter stake will increase to 75 percentage. The total cost involved will be less than 350 crores including some shares purchased from market and commission to the paid proxy. 10 to 15% of the newly allotted share they will dispose at 10 to 20 times of the allotted price. The difference will fund the entire new acquisition. So it will be a a promoter holding increase from 37 % to 70% absolutely free of cost. Even the promoter group may manage to get an amount of pocket money also.

[Sobha]

For the said reason I do believe that the promoter group is greedy and fraudulent. Till 3 year back there was an international litigation with daum and probably the issue was not in the control of promoter group. But after that the entire elongation of the unsettled issues and the creation of fresh issues was in the interest of the management. The axis case was dealt in this way to purchase time only. Somebody told that the axis has agreed to be paid in last among the three domestic banks due to the personal relationship with axis management the promoter group was maintaining. In that case, probably the case itself is a drama to befool the market.

[Sobha]

Having said all these, please don’t think that I am negative on the stock. Even after 73% stealing in two episodes, first 6% and then 67%, the share price is massively undervalued.

Further the dilution in stock may not affect the EPS at all with a period of one year. skr himself told in a con cal that the LOC will increase the EPS by 30%. The fresh inflow of 260 crores will increase the EPS by another 15 or 20%. The coming back of lycos will add another 10%. These 3 factors will increase the EPS by 60%. More than that there is probably the unreported earnings. So with a small duration, the present EPS will be maintained.

[profile inactive, exited bcg]

Requesting every investor to stop responding to operators messages in moneycontrol board. Just ignore them completely. Please understand how miserable their lives are. They are getting paid for abusing investors in mmb. Poor guys! A life cannot get any lower! Also understand that they are getting paid for the attention they receive in the board. If you want to hurt them, ignore them! And keep loading up with conviction brothers.. Utilize every dip.. All the guns should start firing in a few months time!

[drpram]

Not received dividend sofar..anybody with HDFC sec has received Dividend?? Please post..if not what can one do??
Members please clarify..

[sandyc316]

@drpram I’m yet to receive dividends in my HDFC Sec and Axis Direct accounts, whereas I’ve received it in my Zerodha account today. Let’s wait till Tuesday.

[VALUEBUYER001]

Sobha Ji, excellent insights and clear presentation of the CUNNINGNESS of the management to suppress the market price ARTIFICIALLY and STEALTHILY acquiring 75% stake through 59 proxies is thoroughly EXPOSED. Rather if SKR had been transparent and man of following ethics he could have grown bcg like ZOHO . but now with his tarnished reputation, returns losses suffered by FII, will any institution worth its name touch BCG with hand. They won’t dare to touch even by their f..t. I am not insulting a great IITian but by dilly dallying small issues like axis and prolonging already closed daum issue for nearly 3 years he might achieved his MISSION >75% STAKE but lost many opportunities and earned a bad name which may take long years to regain. Still I am confident on his capabilities as a technocrat. God bless him and BCGians

[BBPopuri]

I too have not received the dividend so far. My Demat account is with MotilalOswal link to SBI account

[Sobha]

@Valuebuyer, I fully agree with you. Having said that one more point I would like to say. Retail shareholders also have an important role to play sometimes in the growth of a company. We often ask to the promoter in conference calls about the business prospects and the status of the cases. But in this case the promoter is a seasoned businessman and all things he manages very well.

Actually he is very poor in his understanding on the role of moral characters in growing business like any other thing. I do doubt that whether we have made that aspect a point of discussion adequately.

In our retail shareholder community there are three groups of people broadly.The Largest in number, the newer group who has ended after 2017, may not feel much frustrated. Their entry price is sub 8 rupees. for them BCG has already given returns near to any other small cap stock in an unfavourable market. There is another big group who has entered around 2013-14-15, whose entry price is about 30. Some of them were lucky to average to an extent. The third group is continuing from the above 100 levels onwards. The second and third group are in deep pain. They were observing the minute details of the company for the last 8 or 10 years. Again and again the promoter assured them -the LOC is coming; growth is coming, extra. Now LOC and lycos returning is nearby. But the entire benefit of that is stolen by the promoter. To steal the same, such an atmosphere has been created in which many retail and even big holders were pushed out at 95% loss. Now everybody is cursing the promoter.

I don’t have any doubt in the technocratic abilities or business abilities of the promoter. The conduction of daum case is a brilliant example of that. The organisation of the whole company into exclusive subsidiaries is another example.

But extreme growth of a company needs superior moral qualities. Nobody is remembered or respected for the reason that he has stolen large amounts. But people are respected for what they have given to others. More than that when a person is continuously confronted with curses from others, eventually he himself will lose interest in such a growth.

Having said this, I do still believe that the company BCG has got the potential to become the next Infosys. So many profit making subsidiaries were created is a good pointer to that.But the only factor that prevents the company from becoming the next Infosys is the moral qualities of the promoter. I think, we retail have to expose and educate this aspect to the promoter.

[vgsatwork]

#10581 @sobha

My take on this is as follows

If the warrants indeed get issued and if the share price is allowed to rise to 10X -20X of warrant issue price, why would any one of these 59 individual would want to sell it back to Promotor? No sane person would do that. Moreover if SKR wanted to accumulate all these shares by paying 300 crores, he could have done so even before some of these news flows came in. There was a period when stock was languishing between 2.5 – 3 rupees per share and he could have bought as much as he wanted, if he could have started buying in tranches (3-4% in a quarter) from then onwards and by now he would have acquired major stake.

Also, if the promotor has 300 odd crore personal money, they could have issued all these PW directly to themselves instead of issuing to these 59 individuals. There is nothing unusual about promoters issuing preferential warrants to themselves. Just like how they did not had any problems in getting this PW resolution voted in their favour, they could have got such proposal also passed easily. But then why they didn’t do it?

I believe promoter does not have personal money to buy preferential warrants or to buy from open market. What they are instead trying to do is to get all large investors systematically out of this stock so that it would have pure retail holding along except for promoters stake and that way they do not have to being in any additional money to gain management control. They would have management control due to the fact that no sizeable investor would be there to challenge their move. They can increase their shareholding later on through buyback offers wherein retail investors would get a decent exit. But till such time, they would try and control the price by controlling news flow is what I think…

[Author]

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