Business and Economic Commentary by Christopher Ram Part 9

Introduction

Today’s Commentary returns to the saga of Banks DIH Limited and its share exchange which has roiled the market, creating a huge problem for insurance companies, commercial banks and pension schemes. Meanwhile the company displays hubris and disdain for its shareholders, almost inviting them to go to court. Like the politicians, Banks claims that it “has the votes”, less than ten percent of shareholders by number – but with four shareholders accounting for 82% of the votes cast – to compel all shareholders to exchange their shares in a company that has operated successfully for 68 years to become a shareholder in a shell holding company.