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If they do capex of 1000 cr today, the mkt cap should go up by 1000 cr today- as per your calculation.
So, shareholder makes 1000 cr. -
They don’t do any capex- instead, They distribute dividend of 1000 crore, mkt cap remains the same.
Shareholders still make 1000 cr.
Shareholders can invest these 1000 cr in HDFC bank growing at 18% etc.
Why should they do capex and take risks- risk of natural calamity, uncertainty etc?
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