Takeover Of Raasi Cements

Take all over of Raasi Cements by India Cements Introduction In January 1998 there was an strange pinch conference at Hyderabads Hotel Viceroy. Seventy-seven-year-old B.V.Raju, (Raju) vice-chair humankind of the Hyderabad (India) based Raasi Cements (Raasi) mobilized all his daughters, sons-in-law, and grandchildren in a display of family unity. We be wholeness united family and leave shelter off some(prenominal) discernover threats. I am a humble, simple man who has always maintained a blue profile. hardly when it comes to fighting, I shall not be constitute inadequacying,1 he declared. Rajus comments came in chemical reaction to reports that N. Srinivasan2(Srinivasan), was buying Raasis share in the market. The Raasi scrip, which hovered somewhat Rs 50 gutter November 1997, tripled in value to Rs 158 in January 1998. Srinivasan had acquired 18.03% of Raasi shares by January 1998. While he was responding to the takeover reports Raju recalled, I do an spell to Srinivasan to buy the shares with a 10 per centime wampum beach and 20 per cent interest from the date of purchase. though he told me he had no ulterior motives, it appears as if he is motionless on a buying spree.3 In January 1998, caper India reported, guide salt into his appal is the fact that when India Cements was passing through backbreaking times in 1987-89, the then IDBI chairman, S. S.

Nadkarni, had requested Raju to take over the ailing company. But he had refused saying one should not close in on a run-down colleague. Analysts pointed protrude that ICL had strategic advantages in taking over Raasi. In 1997, ICL added 2.2 million tonnes per annum (mtpa) new efficacy through acquisitions and expansions.4 The addition of Raasis 2 mtpa capacity would make it the uncontroversial leader in the to the south of the country. Again, a Raasi takeover meant mechanically acquiring 39.5% equity in the 1 mtpa Sri Vishnu Cement Ltd. (SVCL), other Group Company5 1]BusinessIndia, January 26, 1998. 2] In 1989, Srinivasan took over as the managing director of India Cements...If you want to get a copious essay, parade it on our website: Ordercustompaper.com

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