Troubled PC House founder seeking investors to restructure group
View(s):PCH Holdings Plc., (PCH) Chairman S.H.M. Rishan whose share transactions in the recent past have been mired in controversy is trying to rope in more investors in a bid to restructure and save the company, sources close to Mr. Rishan said. The share price has crashed to 80 cents from a high of Rs 30.
“He is trying to get both local and foreign parties,” a source told the Business Times. He said that Mr. Rishan, who was not available for comment, has had discussions with some parties.
PC House share price which increased as high as Rs 30 in February 2011, a year after it went public was offered at Rs 11 at the initial public offering. It last traded at 80 cents on Friday. A few months back a rights issue by the company saw Employees’ Provident Fund (EPF) taking a 3.3 per cent stake, analysts said. EPF now has 11.3 million shares against 7.5 million earlier, the analyst said, raising concerns whether the EPF is (once again) investing in ‘dud’ shares.
Mr. Rishan has written to the Securities and Exchange Commission (SEC) complaining that the recent share transaction in PCH subsidiary, PC Pharma Plc, was unethical and the SEC is conducting the preliminary investigations, according to SEC sources.
This referred to a transaction in which British American Technologies Ltd acquired a 24 per cent stake in the company.
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