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Letters: False claim

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Business Standard New Delhi
Last Updated : Jan 20 2013 | 10:13 PM IST

This refers to C Sivasankaran’s claim that he was forced by Dayanidhi Maran to sell his stake in Aircel to Maxis. Sivasankaran is known to buy companies when their valuations are low and sell them when they peak. The Aircel case is just one example. There are many other cases like that of Dishnet, Barista, Tamil Nadu Mercantile Bank and so on. The money thus made is used to invest in other sectors. In the case of Aircel, Sivasankaran bought 79 per cent stake in RPG Cellular for Rs 210 crore in December 2003 and the remaining for Rs 208 crore in 2005. He sold his stakes for $1.08 billion in December 2006 (equivalent to more than Rs 4,000 crore). This does not seem like a distress sale or a sale under duress. Hence the claim that he sold his stake in Aircel to Maxis under pressure should be taken with a pinch of salt.

T T Krishnan, Mumbai

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First Published: Jun 13 2011 | 12:23 AM IST

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