Investors should exit Manpasand Beverages over weak corporate governance

There could be more downside for the stock which is down 78 per cent from the issue price

A stock has no value in the markets if the company does not value corporate governance. This is the case with Vadodara-based Manpasand Beverages (Manpasand) which has been in the news since May 2018 after its auditors resigned. Despite the steep 85 per cent correction in the stock price since hitting its peak, investors should offload existing shares, according to analysts and market experts.

“One should exit from the stock where there are governance issues and the promoter's role is in question,” says Vishal Gutka, vice president, Philip Capital.  

Last week, top executives of the fruit juice maker were arrested