With just around 250 retail shareholders, the share price of Rudraksh Cap-Tech shot up a stupendous 1182% in just a year
Rudraksh Cap-Tech (earlier known as Jolly Leasing & Finstock) deals in financial services. Though ostensibly it has a varied list of service offerings, no details of contracts undertaken, contract values or even the number of clients are mentioned either on the website or the annual report. Over the past seven quarters (June 2013 to December 2014), it has generated revenues of just about Rs2 lakh-Rs3 lakh each quarter. Net profit averaged just around Rs60,000 each quarter. This did not hamper trading in the stock which has only 242 retail shareholders. The share price shot up a stupendous 1182%, to Rs85.90 in April 2015, from Rs6.7 in May 2014. In the nine-month period, from 6 May 2014 to 12 February 2015, the stock was consistently hitting the upper circuit, rallying 1400% to Rs100 from around Rs7. Since then, trading has been volatile. In March 2015, the stock had an average trading volume of Rs23 lakh a day, up from about Rs2,000 a day in May 2014. Rudraksh was hauled up several times in the past for regulatory non-compliance issues, but no strict action has ever been taken against the management. Will this blatant price manipulation go unnoticed as well?
Inside story of the National Stock Exchange’s amazing success, leading to hubris, regulatory capture and algo scam
Fiercely independent and pro-consumer information on personal finance.
1-year online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.
Fiercely independent and pro-consumer information on personal finance.
30-day online access to the magazine articles published during the subscription period.
Access is given for all articles published during the week (starting Monday) your subscription starts. For example, if you subscribe on Wednesday, you will have access to articles uploaded from Monday of that week.
This means access to other articles (outside the subscription period) are not included.
Articles outside the subscription period can be bought separately for a small price per article.
Fiercely independent and pro-consumer information on personal finance.
Complete access to Moneylife archives since inception ( till the date of your subscription )
