@libu_daniel None for now.
@iamshrimohan Sir, Thanks for answering all the queries, You are the only one who provides some information about this stock.
"Is this legal? Investors have not been properly informed about the demerger and have had their entire investment locked up. Why was the demerger initiated if the company wasn’t prepared for listing? Are there no regulations to protect investors? Don’t we have any rules here? Is it legal to act solely at the company’s discretion? The share price plummeted by around 75% in a day. It has been 40 days since the demerger date, yet we still haven’t received new shares. Why is SEBI inactive?
Financial experts claim our market is mature, but investors have been given no proper details about the demerger. Data shows that retail investors are the ones keeping our market high despite all other country markets being negative. If we see this kind of issue, how will they trust the market? How can they split the business without giving record dates to the customers? If it takes another year to list on the exchange, do we need to wait until then? Where is the accountability? If the company needs money, they will get all the investors’ money to develop their business. If someone wants to liquidate their money, how can they do that with a 75% loss?"
@Baskar_M We aim to cover all corporate actions across a wide range of companies to keep investors and traders well-informed
Typically, companies communicate their decisions effectively to shareholders regarding these corporate actions. In some cases, shareholder approval is required, and companies request e-voting. All such communications are sent to your registered email address. If you have further questions or believe any information is missing, you can contact the Registrar and Transfer Agent (RTA) or the investor relations section on the company’s website. As a shareholder, you have the right to access all relevant information. Additionally, listed companies are required to provide timely updates to the stock exchanges.
I have mailed them many days before, they said, they are planning to list new shares in 2nd half of Aug,no concrete date and no concrete plan or time
I recieved a mail response as follows…
"Dear Shareholder,
Equity Shares of OCCL Limited are already credited to the demat account of eligible shareholders.
The shares of OCCL Limited may not reflect in the portfolio section of the Demat account as the shares are now frozen and not available for trading. The allotted shares can be confirmed by obtaining a holding statement from your Depository participant(where you have opened the Demat A/c) or by enquiring with the DP regarding the shares allotted to your account. The shares will reflect under your portfolio with market value once it is listed on the stock exchanges.
OCCL Limited is in the process of listing its shares on BSE and NSE. We expect the listing by end of August/first half of September 2024 subject to approval of the exchanges and regulatory authorities."
@Kushal_Jain @Sajeesh_Jinaraj Thank you for sharing the information. Typically, when a listed company undergoes a demerger, the NCLT order includes a clause requiring the company to list the new shares, ensuring investors have a viable exit route.
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How is the demerged valuation being calculated?
As per the “Cost of Acquisition of Shares”, Oriental Carbon is 40.81% and OCCL is 59.19%.
- Does it mean the company’s assets (book value) is split in the same ration between the original and the demerged company?
- If that is the case, is (50% of Duncan + Investments) and (Dharuhera + Mudra plants + office space + other assets) proportionate in same ratio?
The stock split is 1:5. Is it anywhere relevant to the revenue of both businesses? As per the Q1/25 sales results, OCCL’s revenue is more or less 5 times of Oriental Carbon’s revenue. Even the historic figures mentioned in the documents are in similar ratio.
- Why doesn’t it reflect in the face value? As per the face value it is a 1:1 split (1 x Rs.10 pace valued share: 5 x Rs.2 pace valued share)
- Before the demerger the OCCL stock was floating around Rs.800 per share. Now Oriental Carbon’s share price is Rs.260. How much the shares of demerged companies will cost when listed?
2.1. As per face value it should cost Rs.52. In that case whole 6 shares combined will cost significantly less than pre-demerger value.
2.2. As per revenue, each OCCL share should cost Rs.260. In that case whole 6 shares combined will significantly overvalued.
@Balakumaran I usually dont track this company, but sharing some insights which are my personal and some which I got while surfing the web - The assets are not necessarily split in the same ratio between the parent and child companies, it is purely based on book value or asset value. The demerger is to separate Chemical Business and Investments Business), not on a 50:50 asset split.
IMO, OCCL Limited will hold the chemical business assets (Dharuhera and Mudra plants) while parent company will retain Duncan + Investments. The value of a share in the market is determined by the company’s earnings, growth potential, and overall business, not just face value. So post listing market may price OCCL higher than Oriental Carbon due to the difference in business scale and profitability. As you’ve noted, OCCL’s revenue is 5x more.
Maybe others who track this on a detailed note might help to get better with the numbers
Hello, it has been almost 2 and half month still listing is pending is there a way to track listing of occl new share
@Rifzi for this, please connect with the investor helpdesk of the company, they would be able to guide.