In December 2007, SILVERLINE relisted at Rs 180 after Capital Reduction of Rs 9 in every Original share of Face Value Rs 10 and then consolidation of ten shares of reduced FV of Rs 1 each to one share of FV Rs 10…..It was quoted at Rs 13 on the original Face Value of Rs 10 before suspension in 2007 for completing this reduction process…Therefore technically it should have opened at Rs 130,but actually opened higher at Rs 180 as BSE,for reasons best known to it,gave Rs 180 as the base price on relisting,instead of Rs130 that it should have given based on last closing price of Rs 13 before suspension to complete the capital reduction process.
It is now available at below Rs 20 after reduction and consolidation…this means under Rs 2 of original face value of Rs 10 !
After meeting the promoters in December 2007,I had asked clients to await performance promised…but did a quick u turn when I realised this was just not going to happen and sold off lock stock and barrel between Rs 120 and Rs 130…a few clients did miss out on selling but their exposure to SILVERLINE is very minimal in their portfolios.
What a fall!…once again into oblivion,perhaps?…..Big Noises were made ,by promoters and even the advisors to the restructuring ,of a rebirth and achieving a turnover of over Rs 400 crores for year ending June 30,2008 and a profit of over Rs 60 crores on reduced capital of under Rs 40 crs
Believe it or not advertisments in Economic Times were placed by the Company and the Advisors seperately at the time of relisting claiming this upcoming performance !
Silverline has sunk shareholders with silver lightening speed…Token shares in Silverline Animation were given in the ratio 4:100 of original shares held in Silverline Technologies to shareholders when the Animation Division was demerged….Silverline Animation still has to be listed…it was to be in January 2008
This is the same SILVERLINE that was infamously manipulated to rocket past Rs 2000 in 2000.
How many chances do you want SILVERLINE ?…just one more so that you can commit another breach of faith !