Last wish of Rakesh Jhunjhunwala

See, the only truth of life is death and that when I am going to die I would say boss, just leave me for three hours, I would buy one stock, I will do some trading, I will spend some time with my children, my wife, I will have two drinks and then you can burn me. So it has to be combination of everything-said Rakesh Jhunjhunwala


Marquee Pre-IPO Investors of Coffee Day

Coffee Day Enterprises Limited (parent company of Cafe Coffee Day) is coming out with its IPO next week with the price band in the range of Rs.316-Rs.328

Six months back,on March 02,2015, the Company had placed shares with India’s most prominent investors at Rs.362.5 per share (Adjusting for bonus)

The list of investors with the amounts invested is shown below:

Entity # of Shares (Pre-Bonus) Amount Invested (In Crores)
Nandan Nilekani 258620 75.00
Rare Enterprises (Rakesh Jhunjhunwala) 34482 10.00
Derive Investments (Radhakishan Damani) 34482 10.00
Ramesh Damani 10344 3.00
Ketan Sheth 6896 2.00



Portfolio of Rakesh Jhunjhunwala

This post is in continuation of my coat tailing series (see here)

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Rakesh Jhunjhunwala is probably the biggest Indian individual investor in the Indian Equity Markets.

His and his wife’s significant holdings in India aggregating around Rupees 7770 Crores (~1.2 Billion $) as on 30 June,2015 as per Stock Exchanges is given below:

Company Symbol/BSE Code Entity Date End # of Shares % Value (In Crores)
Adinath Exim Resources Limited 532056 JHUNJHUNWALA RAKESH 201506 98554 2.4 0.15
Agro Tech Foods Limited ATFL JHUNJHUNWALA RAKESH RADHESYAM 201506 1153700 4.73 68.04
Agro Tech Foods Limited ATFL JHUNJHUNWALA REKHA RAKESH 201506 524559 2.15 30.94
Anant Raj Limited ANANTRAJ SHRI JHUNJHUNWALA RAKESH RADHESHYAM 201506 9500000 3.22 38.57
APTECH LIMITED APTECHT Rare Equity Pvt Ltd 201506 9933496 24.9 53.64
APTECH LIMITED APTECHT Rakesh Jhunjhunwala 201506 4319100 10.83 23.32
APTECH LIMITED APTECHT Rekha Jhunjhunwala 201506 2555977 6.41 13.8
Aurobindo Pharma Limited AUROPHARMA JHUNJHUNWALA RAKESH RADHESHYAM 201506 4000000 1.37 293.9
Autoline Industries Limited AUTOIND JHUNJHUNWALA RAKESH RADHESHYAM 201506 520000 4.21 3.13
Autoline Industries Limited AUTOIND JHUNJHUNWALA REKHA RAKESH 201506 731233 5.93 4.41
Bilcare Limited 526853 JHUNJHUNWALA RAKESH 201506 1735425 7.37 13.7
Bilcare Limited 526853 JHUNJHUNWALA REKHA RAKESH 201506 267500 1.14 2.08
CRISIL Limited CRISIL Jhunjhunwala Rakesh and Rekha 201506 4000000 5.6 781.5
D B Realty Limited DBREALTY Jhunjhunwala Rekha Rakesh 201506 5000000 2.06 30.25
Delta Corp Limited DELTACORP Jhunjhunwala Rakesh Radheshyam 201506 10500000 4.55 83.32
Delta Corp Limited DELTACORP Jhunjhunwala Rekha Rakesh 201506 7500000 3.25 59.51
Dewan Housing Finance Corporation Limited DHFL JHUNJHUNWALA RAKESH RADHESHYAM 201506 5000000 3.43 249.15
Edelweiss Financial Services Limited EDELWEISS JHUNJHUNWALA RAKESH RADHESHYAM 201506 10000000 1.26 64.35
Escorts Limited ESCORTS JHUNJHUNWALA RAKESH RADHESHYAM 201506 9975000 8.14 144.14
Firstsource Solutions Limited FSL Jhunjhunwala Rakesh Radheshyam 201506 25000000 3.75 80
Fortis Healthcare Limited FORTIS Jhunjhunwala Rakesh Radheshyam 201506 5000000 1.08 92.9
Geojit BNP Paribas Financial Services Limited GEOJITBNPP Jhunjhunwala Rakesh Radheshyam 201506 18037500 7.76 94.52
Geojit BNP Paribas Financial Services Limited GEOJITBNPP Jhunjhunwala Rekha Rakesh 201506 4500000 1.94 23.58
Geometric Limited GEOMETRIC JHUNJHUNWALA RAKESH RADHESHYAM 201506 8211250 12.72 94.59
Geometric Limited GEOMETRIC RAKESH RADHESHYAM JHUNJHUNWALA 201506 3000000 4.65 34.56
Geometric Limited GEOMETRIC REKHA JHUNJHUNWALA 201506 990000 1.53 11.4
Intellect Design Arena Limited INTELLECT Jhunjhunwala Rekha Rakesh 201506 3750000 3.75 43.37
ION EXCHANGE INDIA LTD 500214 Jhunjhunwala Rakesh 201506 800000 5.51 18.96
Karur Vysya Bank Limited KARURVYSYA JHUNJHUNWALA RAKESH RADHESHYAM 201503 3636897 2.99 171.84
Kesoram Industries Limited KESORAMIND Jhunjhunwala Rekha Rakesh 201503 5000000 4.56 43.08
Lupin Limited LUPIN JHUNJHUNWALA RAKESH RADHESHYAM 201506 6527605 1.45 1091.48
Man Infraconstruction Limited MANINFRA Jhunjhunwala Rakesh Radheshyam 201506 3000000 1.21 12.75
Mcnally Bharat Engineering Company Limited MBECL Rakesh Radheshyam Jhunjhunwala 201506 500000 1.23 4.88
Mcnally Bharat Engineering Company Limited MBECL Rekha Rakesh Jhunjhunwala 201506 3498349 8.62 34.11
Multi Commodity Exchange of India Limited MCX Jhunjhunwala Rakesh Radheshyam 201506 2010000 3.94 226.12
NCC Limited NCC JHUNJHUNWALA REKHA RAKESH 201506 45233266 8.24 394.89
NCC Limited NCC RAKESH JHUNJHUNWALA 201506 11600000 2.09 101.27
Orient Cement Limited ORIENTCEM Jhunjhunwala Rakesh Radheshyam 201506 2500000 1.22 46.52
Prakash Industries Limited PRAKASH JHUNJHUNWALA RAKESH RADHESHYAM 201506 4000000 2.97 12.14
Prozone Intu Properties Limited PROZONINTU RAKESH JHUNJHUNWALA 201506 3150000 2.06 10.63
Rallis India Limited RALLIS Mr. Rakesh Jhunjhunwala 201506 20105820 10.34 472.19
Rallis India Limited RALLIS Mr. Rakesh Jhunjhunwala 201506 20105820 10.34 472.19
Titan Company Limited TITAN JHUNJHUNWALA RAKESH RADHESHYAM 201506 59650645 6.72 2028.72
Titan Company Limited TITAN JHUNJHUNWALA REKHA RAKESH 201506 16966075 1.91 577.02
TV18 Broadcast Limited TV18BRDCST Jhunjhunwala Rekha Rakesh 201506 44560000 2.6 150.61
Viceroy Hotels Limited VICEROY JHUNJHUNWALA RAKESH RADHESHYAM 201506 5707566 13.46 9.13
Viceroy Hotels Limited VICEROY JHUNJHUNWALA REKHA RAKESH 201506 500000 1.18 0.8
VIP Industries Limited VIPIND JHUNJHUNWALA RAKESH RADHESHYAM 201503 3655500 2.59 35.66
VIP Industries Limited VIPIND RAKESH JHUNJHUNWALA 201503 6315000 4.47 61.6

The case of the other Rakesh Jhunjhunwala

Shares in Surana Solar went on a tear over the past few days after it appeared from NSE data that ace investor Rakesh Jhunjhunwala had picked up 2.5 lakh shares in the firm on June 9.

But it soon turned out to be a case of a namesake of the Big Bull who had invested in the company rather than the billionnaire investor himself. This was confirmed to CNBC-TV18’s Varinder Bansal by the Big Bull himself who denied picking up any stake in the firm.

CNBC-TV18 learns that this bulk deal was brokered by Rajkot-based Sun Flower Broking and that the account bearing the name Rakesh Jhunjhunwala was opened by a Kolkata-based client of this firm. This account is not more than a month old. ADVERTISING The volumes in the Surana counter, which averaged about 1.5-2 lakh in the past two-three weeks, surged to about 75 lakh today.

Interestingly, the stock was up about 9.1 percent for most part of the day, before turning 20 percent lower, soon after CNBC-TV18 broke the news. The trade appears to be a classic pump-and-dump operation and sources said the trick may be repeated with other stocks.

from MoneyControl

An old “Talking your book” case

I note that in the course of investigation, it was observed that Rakesh Jhunjhunwala interacted extensively with the media and was recommending many stocks in public forums. Shri Jhunjunwalla had attended conference of investors and fund managers conducted at the Indian School of Business, Hyderabad.  On examination of the transcript of the proceedings, it was found that Shri Jhunjunwalla had stated that he could get shares of NIIT at Rs.1000/- in 3 months time.  This statement was made on 6.4.2002 and the price of the scrip at that time was around Rs.230/-.  The RKJ Group had a holding of 5,13,565 shares as on 31.3.2002.

 It was observed that immediately after the comments of Jhunjhunwala at the conference, the price of the scrip rose from Rs.230/- on 8.4.2002 to Rs.350/- on 18.4.2002.  It was also noted that the shareholdings of the RKJ Group subsequent to the conference went upto 11,29,069 shares as on 1.7.2002.

 It is alleged that the broker had made the statement while he held substantial position in the scrip of NIIT and with intention of raising the price.

 In this regard, the group submitted that the conference organised by M/s. was a closed door conference and the general investing public were not invited nor did they have access to the proceedings in the conference till 3.6.2002.  They further submitted that full disclosure was made regarding the scrips owned by Shri Rakesh Jhunjhunwala when he made the recommendation.  In respect of the particular recommendation mentioned in the SCN, the group submitted that Shri Rakesh Jhunjhunwala had made the recommendation in view of the high leverage that NIIT had over the profits that they made and considering that the company would fetch a substantial price in the event of a strategic sale.  They further submitted that in respect of the four scrips upon whose performance the recommendations were made, the price had actually gone down.  The group also submitted that they were net buyers when the transcript of the proceedings of the conference were posted on the website and not net sellers as would be expected of a person who attempted to manipulate the price of the scrip through recommendations.

 I note that stock brokers and other intermediaries who indulge in manipulation make recommendations based on performance of a scrip.  A recommendation to purchase is made by such intermediaries when they wish to offload shares. Investors who believe in their recommendations purchase the shares they recommend thereby creating a demand and increasing the price of the shares.  The intermediaries then sell their shares at an increased price. Similarly, when such intermediaries want to buy shares, they recommend sale so that the price of the scrip falls owing to sell pressure and these intermediaries then pick up the shares at a reduced price. 

 I find that the submissions made by RKJ Group are acceptable and effectively address the allegation of price manipulation through the recommendations made by Shri Rakesh Jhunjhunwala.  The recommendation made by Shri Jhunjhunwala was to purchase the shares and they were not net sellers. Rather they were net buyers after the recommendation was made.-from SEBI