MCX’s beleaguered investors are nursing the heavy losses that they have suffered owing to Jignesh Shah’s mismanagement of National Spot Exchange Ltd (NSEL) which led to the Rs. 5,600 payment crisis scam.
MCX’s December Quarter results worsened the gloom as it reported a 71 per cent plunge in its third quarter net profit to Rs 21.84 crore. This is the lowest quarterly profit for MCX ever since it got listed in the market in March, 2012.
MCX’s beleagured investors have seen 58% of their wealth eroded on a YOY basis. MCX’s IPO was issued in Feb 2012 at Rs. 1032 per share. There was a mad scramble for the IPO and it was oversubscribed 54 times. While shares worth Rs. 663 crore were offered, the bids came in for Rs. 36,000 crore. All those investors have suffered 52% loss of their capital.
However, Manoj Vaish had something to cheer about as he was appointed CEO of MCX on a whopping salary of Rs. 3.25 crore p.a. Manoj Vaish pipped more than 70 contenders to the high-profile post.
Manoj Vaish was earlier CEO of BSE and after that he was a CEO of Dun & Bradstreet. Manoj Vaish is a master of financial matters though he does not have much experience in running a commodity exchange.
Manoj Vaish’s predecessor, Shreekant Javalgekar, got a salary of only Rs 1.4 crore for FY 2012-13 as per MCX’s latest annual report. So, it must be said that Manoj Vaish did work out a sweet deal for himself.
Investors are now waiting with bated breath to see whether Manoj Vaish can work out a sweet deal for them as well in terms of MCX’s stock price.