Dear Readers,
On 10th Oct’11, we had covered the Risk arbitrage operation in Atul Auto Ltd. We recently closed the same with ~250% pre-tax return in a matter of just 2 months.
While we were expecting the stock to go down to Rs 80/- per share (considering the market condition and the equity dilution), the stock didn’t correct much and gave ample opportunity, recently, to all the Right issue subscribers to book profit around Rs 110/- per share against the issue price of Rs 30/- per share.
The whole investment operation lasted a total of 2 months, thus allowing us to make a pre-tax gain of 250% in just 2 months.
Happy Investing,
Ekansh Mittal – [[email protected]]