Street signs: More companies could delist, RIL's rights issue, and more

More companies could delist

Delisting of companies could gain traction with some promoters eyeing to wrestle full control, taking advantage of the drop in share prices triggered by the Covid-19 pandemic. Closely after Anil Agarwal-led Vedanta announced its delisting plans, the Street was abuzz that London-headquartered Diageo may soon make a bid to take United Spirits private. Investment bankers refrained from naming specific companies, but more promoters are toying with the idea. “For cash-rich promoters, it is good time to delist. The stock prices as well as investor expectations are low. Also, the new framework for delisting makes it relatively easier,”