Dont get suckered by “Buy” Sawaca Business SMS floating around past few days.It claims a Target of Rs 120 in days from current Rs 72 based on this Company receiving an order of Rs 18000 crs ! yes 18000 crs!, from UAE ! and asking the receiver of the SMS to check a link given that leads to BSE website Notification by the Company and reproduced verbatim as below
|28 Dec 2015|
|Board Meeting Postponed||Board Meeting||13:15|
|Sawaca Business Machines Ltd has informed BSE that meeting of the Board of Directors schedule to be held on December 28, 2015 at 11.00 a.m., is postponed. The Chairman has decided to postponed board meeting to be held on December 28, 2015 as it is not possible to have fruitful discussion on meeting’s agenda’s matters due to non-availability of majority directors.|
There are regular Bulk Deals happening over past few days and yesterday’s volume was 3.54 lakh shares of which only 1/4th were marked for Delivery
Price on December 17,2015 was @ Rs 63 and has since climbed to Rs 72
As on September 30,2015 this AhmedaBAD Company has a Networth of just Rs 11.28 crs ,most of it is Equity at Rs 10.40 crs of FV Rs 10 shares .Some Sales of Rs 2 crs are shown with a Loss of Rs 2 lakhs !
The MD is one Shetal Satishkumar Shah and worryingly BSE website also shows another Company Sawaca Communication which was suspended way back in February 12,2003 for penal reasons and had a last quote of just 30 paise on a FV Rs 10 share.I am assuming this company too was part of the Sawaca’s Shah Family as it bears the same Name ‘Sawaca,is from Ahmedabd and had one Shah as Director
What is BSE doing !?
They must immediately launch an investigation and file a complaint with the Cyber Crime Police Dept to find out who is spreading the SMS and also insist on a legit clarification from the Company on why they cancelled the Board Meeting on December 28,2015 on the grounds of non availability of Directors and how in the hell could they consider Bonus with Reserves of just Rs 88 lakhs and Equity of Rs 10.40 crs !…and how with just Market Cap of Rs 75 crs were they planning to list on NSE too !
It is my strong suspicion that there exits a notorious nexus between those who are spreading the Buy SMS & those creating the Volumes on BSE
BSE & SEBI do something concrete and quick & not just general alerts to be beware of SMS Recos !
Only specific action will deter such illegal and fradulent practices ~ This alone will be a Real Investor Awareness & Protection Measure
Late Afternoon Update
BSE apparently had asked the Company for Clarification on the Rs 18000 crs order that was stated on a stock portal and the Company has replied that this is incorrect and they have no relation with those that posted such false news !
Come on BSE ! get to the bottom of this and not just accept such a Clarification ! ….the Company needs to be questioned on how they had set the meeting agenda when their financials & Valuation did not even merit or qualify to discuss or pass such an agenda !
It’s clear case of misleading and hoodwinking existing Shareholders and seducing for potential new ones !