Promoters’ ongoing purchases from the open market may be seen as a positive development. However, these disclosures suggest a strategy to accumulate as much stake as possible, potentially at the expense of current stakeholders’ interests.
The question arises: Is it legal to acquire such stake at any valuation without shareholders’ permission? If so, promoters could feasibly continue acquiring stake in the future, even at lower valuations, without restrictions. Does the law permit such activities openly?
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