Views on Life & on Equity Investing

Wonder, Wealth & Abundance


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IMO not a single large real eatate developer in India has gone without some sort of palm greasing.

Extent of profit extraction and greed has been different but equating every such lapse of corporate governance with fraud presents good opportunities.

As we spreak DHFL is now being priced for bankruptcy or closer at 3800 Crores market cap valued at less than 0.4 times book value. However WGC and DHFL sold a subsidiary, Aadhar Housing yesterday, at 3 times book.

Unless we are talking about cherry picking loan book, which is not the case, it will be interesting to see in hindsight how two companies of the same group can be priced seven times apart in valuations (3 times book vs 0.4 times book).

Written by amitdipsite

February 2, 2019 at 7:13 pm

Posted in Uncategorized

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