I fail to understand why people keep on saying they have corp governance issue ?
If you feel like Rashesh shah has corporate governance issue then you are completely wrong , if he had some personal motives he wouldn’t be bringing the credit business down at this hyper speed. Only leverage can ruin the business and he has bought the debt down from high of 48k crore to 22k crore as of today.
His motives are in line with the shareholders, he was poor back in 90s took the risk of putting all his personal savings along with the only house his family had on line, he will not try to do something stupid cause he knows all the money can go away if any of the scam ever comes out.
Market has discounted the business at worst case scenario. It is just a matter of time because as soon as a little bit of growth comes back ( which will take 2-3 years ) market will give it a double growth of increased P/E along with the actual value of the growth. This company should be a 5-6 bagger in next 4-5 years, however there is a possibility of credit market being hit again because of the staglation and in that case company will take a hit but the probability of another credit market hit is quit low.
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