What happened to the online travel agency that was going to be so enormously profitable? Or the undersea cable that was going to be a huge game changer? Or the consumer internet services that fizzled? Good idea's that have gone nowhere. But my point of contention is not the business despite the ineptness in execution, it's the ownership structure that's in place, that was designed to benefit Raju at the expense of shareholders and the reason I post.
A decade has now passed since these shares traded for $14.99 with around 33% Institutional ownership and enormous optimism. Even taking into account the over 300% dilution five years ago the shares are now still down 75% and Institutional ownership near zero. Worse still, that high was reached when this company was just a chain of internet cafe's and prior to over $250,000,000 invested in its transformation into the company is it today. The low value and lack of interest from those Institutions previously invested is not a reflection of the business itself but the ownership structure that now exists. Although there may be some trading opportunity this company is in my opinion ( and obviously the Institutions- Hedge Funds, Mutual Funds that invest in micro cap companies etc.) not a long term investment vehicle. Focus on the facts rather than hope and emotion, look beyond what appears on the surface to be obvious for the real reasons for the total lack of interest by those formerly such avid fans, follow the money and be aware it's always the Institutional investors that provide support to a stock never the small retail investor. Good luck to those who may disagree.