Just wondering why Parent RBI did not give Popeyes to this entity RBA (where it hold some stake, if I am right – 15%*0.4)and gone had with Jubilant Foodworks though RBA have franchise for Popeyes in Indonesia. In past, if I remember correctly RBI had 40% of promoter company not sure what it is now after Everstone sell. Thanks!

This can occur on account of two reasons:

1. poor quality delivery due to which the customer is holding back the payment.

2. company has not done a proper due diligence on the credit worthiness of its customers and the customer eventually not paying for the services it has received.

Not sure if this is an industry wide issue. It is a good sign that management has acknowledged these as credit impaired and already fully provisioned for the balances.

AJ

@vineet_mittal @Gautam_Chopra

The CMP~370 is getting closer to rights issue price of 367.

I, myself with limited understanding of overall picture,think its in my hypothetical range and is good to hook up for H2 & growth guidence.

The logic of comparing with rights issue is in right direction, yes ?

D-Invested. Not registered adviser etc.

Based on what i’ve heard from senior industry people, My understanding is that Businesses-Industries are for profit…their focus isnt/wont be environment or for that matter anything else than profit…hence ultimately it boils down to economics…they invest in alternative/environment friendly energy sources may be for immediate or longterm profits.

Lets look at why steel exporters might be first to use green H2.

EU has imposed carbon tax…called CBAM…

In short it requires carbon emission declaration for imports into EU destinations.

Initially it is applied For steel,fertilizer,cement anciliary etc starting January-2024.https://www.pwc.in/assets/pdfs/tax-knowledge-hub/carbon-border-mechanism-cbam-adjustment.pdf

Idea is the emissions will be compared with EU emissions and emissions which are higher than EU emission will be charged 30%.

CBAM=quantify emissions > compare with EU emission norms > pay 30% for emissions exceeding EU emissions.

D-invested in couple of H2 producing utilities & biased for H2 utilities & anciliaries, continue to look for H2 EPC, Utilities, anciliaries.

I’m out with a 17% loss on investment and around 1% loss on total PF. Placed a market sell order at 9:02 and it got executed in 5 mins.

I’ve been trying to keep calm but this is really nerve racking. I had been holding for more than a year. It’s my first time in this kind of situation in 4 years of active investing. I believe there’s still so much we don’t know about how this happened. The management seemed shifty on the call yesterday. Going by the RBI press release, the part that seems essential is:

‘Over the last few months, the RBI has been engaging with the senior management and the statutory auditors of the company on these deficiencies; however, no meaningful corrective action has been evidenced so far.’

Someone did ask why couldn’t this have been prevented, but the answer didn’t seem convincing. It seems they had plenty of time to talk and when that didn’t help, RBI acted. I also feel the RBI has gotten pretty active pretty quick, what with PayTM, this one and JM Financial, which doesn’t really rhyme with how regulators work in India. Perhaps things are changing for the better. But I’d keep my eyes and ears open. I wonder if the entry of a new player is a factor here.

I guess it’s best to talk about the learning from this. I learned not to get careless with any holdings. Charts seem more important now. After learning both funda and technical to some extent and reading a few books, I’m beginning to form a view that what matters is whether you’re making money or not. Nobody cares how you’re doing it. When such an event happens, all the fundas go out the window and you’re left wondering where you went wrong. Markets are not to be trifled with.

This all seems unjust in the short term but I’m trying to focus on the learning.