IPO prospectus error forces Coal India to offer exit

15
Vote


Stating that there were certain inadvertent errors that crept into its offer document, Coal India on Thursday offered its investors time till October 25 to reconsider their decision to take part in its IPO.

“…It is clarified that on account of typographical errors in the company’s standalone summary statements of profit and loss (restated), the amount shown under accretion in stock and other income for the quarter ended June 30, 2010 on pages…of the Red Herring Prospectus were inadvertently interchanged with each other….In view of the above, kindly note that the bidders including QIB bidders, if they so desire, may withdraw their bids. The request for withdrawal of such bids shall be received on or before 5:00 PM on October 25, 2010,” said in a statement to the Stock Exchange which coinciding with the final day of public offer.

Market experts said that whenever there are any changes made in the prospectus of IPO-bound companies, regulatory norms mandate them to make public announcements and give investor an option to withdraw bids. “It is not the first time such a thing has happened. In such scenarios, generally investors have not been seen withdrawing their bids,” a merchant banker said.

Among many such IPOs, VA Tech Wabag had given investors the option to withdraw their bids in its recent share sale as certain errors came to light in its offer documents.

“Generally speaking, we have not seen investors withdrawing their bids from the company due to this,” the banker said.
Meanwhile, Coal India maintained that there has been no change in the total income of the company or the company’s standalone summary statement of profit and loss in the offer document due to the error.

[Story Source] [Contest win Rs 1000-100,000 now]

This post was submitted by Chinmaya Kumar Nayak.

Related Posts
Coal India to hire 1,400 executives

Coal India to hire 1,400 executives

Maharatna firm Coal India is set to hire 1,400 executives by October to bolster its workforce, ahead of crucial expansion and other projects."We will recruit about 1,400 management trainees by O...
 	Diwali gift for Coal India investors as stock zooms on debut

Diwali gift for Coal India investors as stock zooms on debut

Mumbai: It was a welcome Diwali gift for retail investors of Coal India (CIL), when the company's shares got listed at Rs 287.75 and zoomed to a high of Rs 340 during mid-session on the Bombay Stock E...
Coal India makes a strong debut, trades over Rs 300

Coal India makes a strong debut, trades over Rs 300

Coal India, the world's biggest coal producer, made a strong debut on the bourses on Thursday, amid a lot of expectations from the investors. The last time the Street saw such excitement was when Reli...
Google Nexus 6P to go on sale in India in November

Google Nexus 6P to go on sale in India in November

Chinese smartphone maker Huawei will begin selling the Nexus 6P in India next month, in batches, to meet unprecedented demand of the new Google phone.The high-end smartphone which was available for pr...
South Africa to 3/2 ODI Series Win in India

South Africa to 3/2 ODI Series Win in India

Mumbai: Quinton de Kock, Faf du Plessis and AB de Villiers all hit centuries as South Africa thrashed India by 214 wins on Sunday to clinch the five-match one-day international series. (Scorecard | Bl...
Gujarat and Karnataka Lift Ban on the Sale of Maggi Noodles

Gujarat and Karnataka Lift Ban on the Sale of Maggi Noodles

In a new twist of events, Karnataka and Gujarat have lifted the ban on manufacture and sale of Maggi noodles, paying way for its return. The announcements by the two states came after a clean chit was...

Leave a Reply

 
We will keep You Updated...
Get Free Email Newsletter from VoteUpIndia Sign up for our free email newsletter. (Help?)
Read latest headlines in your favorite news reader
Follow VoteUpIndia  on Twitter Become a VoteUpIndia Fan on Facebook Subscribe to VoteUpIndia in Google Reader Add VoteUpIndia  to My Yahoo Add VoteUpIndia  to Netvibes Subscribe to Free Techie Buzz RSS Feed
Sponsored Links
Advertisements
Featured Video
Amazon
Best Storytellers
Powered by Authors Widget
Recent Posts

McDonald's Suspends Employee, Probes Child's Eviction From Pune Outlet

PUNE: After reports emerged that an eight-year-old destitute child was thrown out of an outlet of...

Why Arjun Made a Humble Request to Cast Sonakshi in Tevar

It's all about wearing your Tevar, this new year. Arjun Kapoor looked dapper at the initial promotions...

5 things Modi needs to do ASAP, after Bihar loss

It's not correct to transpose the outcome from a state election as a referendum on the central government,...

Sehwag's half century in All Star tournament.

The first match has been really special. We thoroughly enjoyed being here. New York, you were brilliant....

Bihar Defeat May Lead to Silent Rebellion in BJP Against PM, Amit Shah: Arun Shourie to NDTV

NEW DELHI: In the aftermath of the BJP's debacle in Bihar, Arun Shourie, one time admirer of Narendra...

Court Refuses to Stop Gillette Razor Ad Starring Deepika Padukone

New Delhi: The Delhi High Court has refused to stop a Gillette razor advertisement starring Deepika...

Bigg Boss 9: Roopal Tyagi voted out of the house

TV actor Roopal Tyagi was evicted from reality show Bigg Boss on Sunday’s episode. Roopal is the...
Recent Comments
How i can submit my story...? and where i can see the staus of votes for this?
IFFI lose its art value,so it became lose it commercial value
Dear sir I am sending an article which is based on true story and needs your help to lime light such incidents which never come in
Thanks for the interesting article. Great Post. Keep it up
It is indeed heartening to learn that LSE, the world leader in higher education, will join hands with the most admired Reliance Foun
Tag Cloud