Salient Points from the Conference Call which was addressed by Ajay Gupta:-
- There is nothing wrong with the operations of the company. No reason for the stock to behave the way it did in the last 2 days.
- Deloitte is our auditor and they have not made any adverse comments about the management ever.
- There are more than 50% non-promoter board members
- Tata Capital has a board member by virtue of their 11% stake in the company. He sits on the management committee and audit committee of the company
- The inter se transfer of shares was requested for because they wanted to create a family trust for tax efficiency. Ajay Gupta and others would transfer their shares to Mr Kailash Gupta and he would then in turn create the trust where all of the promoters would have a stake as before. Because of the many rumours in the market related to this, they have now put this on hold, atleast till Oct 2013 (3 years of listing)
- For the FBV, the company is running at full capacity.
- There is a small delay in capacity expansion - expecting it to be ready in Q4 and available for the full FY14.
- There is no change in the dividend policy of 20% of PAT