If you are into IT/Software Sector or say in any sector and can bring overseas contracts (or any domestic business related to the software sector), with a stress on Digital Marketing/Content Writing/Website Development/Reputation Management/SEO/SMM, etc, then you can join me as a partner or associate.
We will give you, the business development portfolio and pay you handsome amounts for your efforts. It does not matter, in which part of the world you are, as long as you can bring businesses. If you are interested, please send me at mail at: suman2005s@rediffmail.com.

Sunday, August 10, 2014

Potluri Vara Prasad: A Serial Entrepreneur or a Successful Crook? 
Anjali and Potluri Vara Prasad
According to Wikipedia: Potluri Vara Prasad is a serial entrepreneur, philanthropist and educationalist. Then it goes on to adorn  him with all sorts of adjectives--but the question is: does he deserve to be called so, after having amassed a huge fortune for himself, while the shareholders of his flagship company PVP Ventures Ltd (which bears his initials) have remained poor? The share price of PVP Ventures Ltd (Rs.6.35) is trading not only below its book value of Rs.27.60, but has a dismal EPS (Re.0.33). 

Therefore, before we step further, let us take a look at  PVP Ventures Ltd and  how it is faring.  I also want to clarify that I do not not hold any shares of the company but have recommended, it a number of times here  in this blog, based on personal charm of its CMD and thinking that some day, the company would turnaround. But alas like earlier times this time too it has disappointed me, as far as Q1FY15 results are concerned. 

Though the June, 2014 quarter numbers are a bit better both on sequential basis and also on Y-o-Y basis, but the question remains how a BSE listed company, having a politician (with connections with the ruling NDA led by Narendra Modi) as its CMD comes up with net profit of only Rs.57 lakhs in Q1FY15, when even a medium sized "Kirana" shop in Mumbai or Pune rakes up this kind of figures? 

In this context it is pertinent to mention that some days back, some relatives of Potluri Vara Prasad, came up with a mega-shopping mall in the heart of Vijayawada. 

According to Potluri Sai Padma, managing director of PVP Square (The Hindu Business Line, July 31, 2014), it has invested over Rs.125 crore on this shopping mall-cum-multiplex and it aims to break-even in the coming 10 years. Ms. Padma further said, “It’s the world class and biggest mall in Andhra Pradesh. With over 4.27 lakh square feet space and association of global brands, the mall stands tall in the new State.”

Now who is the promoter of PVP Square : Ms.Jhansi Sureddi, the wife of Potluri Vara Prasad. This company, PVP Square Mall has no connection with PVP Ventures Ltd but is still using PVP Logo and name. PVP Ventures Ltd is silent on the matter till now, with no official bulletin coming  in the stock exchanges, as how this is possible? 

Anyway, now if we look at the shareholding patterns of PVP Ventures Ltd we would find that a company named Platex Ltd holds around 54.12% of the shares of the company. The rest of the promoters are Sureddi Jhansi, the wife of Potluri Vara Prasad, who holds 2.81%, while Potluri Sai Padma  holds 0.61%.  

So, while being the promoter of PVP Ventures Ltd, Sureddi Jhansi, could not bring much charm for the shareholders, but in between she was able to spin another company worth crores of rupees. Doesn't it look fishy? Where is the money from PVP Ventures Ltd going? 

Moreover, the parent company of PVP Ventures Ltd, Platex Ltd is continuously showing losses on the books and the money is being pumped from the former to trim the same. Really what to say? Shall I have to explain more, what is happening in PVP Ventures Ltd? 

Unfortunately,  we have lot of regulators in India, in the form of SEBI, SAT, IT departments, etc. but it seems, some people are able to obfuscate ever departmement, and do "Day-light Robbery of Innocent Shareholders". 

Now, India's vocal media is also silent on the issue. In such circumstances, where will the shareholders go to get their problems addressed?

Is PVP Ventures Ltd (Rs.6.32) turning out to be another SEL Manufacturing Ltd? Only time will tell? 

But I want to know from you: what will be your nomenclature for Potluri Vara Prasad--a Serial Entrepreneur & Producer or a Successful Crook?
Post a Comment