Market Performer rating to Inox leisure
Inox Leisure has been in the news for the past month or so for its fight to get higher share in Fame India.
ADAG's group company Reliance Media Works trying to acquire the company and then Fame India entering into the picture with another offer. The entertainment branch of ADAG which is popularly known as Reliance Media Works has raised certain questions on the deal.
The RMW management is strictly against the Inox-Fame deal and has made certain allegations on the deal. They believe that the deal is unfairly under priced. The company also believes that there might be some kind of a financial arrangement between Fame and Inox for the past year.
50.5 percent in fame is already held by Inox and at Rs. 51 per share; an open offer has also been announced for the acquisition of an extra 20 percent. At Rs. 83.4 per share in order to acquire Fame's 62.1 percent RMW has already made a counter offer. The price is 64 percent higher than that of Inox.
Karvy stock broking has hence pointed various possibilities and it still quite uncertain of the future of the deal and hence has given the stock a market performer rating.