InvestorQ : Why has the stock of Dish TV been rallying so hard?
Rashi Mehra made post

Why has the stock of Dish TV been rallying so hard?

Archita Jajjoo answered.
12 months ago

It looks like Dish TV India has been celebrating the fact that the original promoters may be asked to totally exit the company. In fact, the stock was locked in 20% upper circuit on BSE with heavy volumes. The stock is already up very sharply since Yes Bank sent a notice to the company to remove their top management personnel, including the managing director Jawahar Goel. It has seen volumes of over 10 crore shares on Thursday.

It may be recollected that YES Bank is the largest shareholder of Dish TV India and holds 47.19 crore shares in the DTH operator, representing 25.63% stake in the paid-up equity share capital of the company. YES Bank had already sent notices to the company to remove Jawahar Goel and others from the top management of the company to ensure its smooth functioning since the Zee group had almost entirely sold out its stake.

While Dish TV is yet to respond to the notice, YES Bank has claimed in a letter to the board that it was not acting in line with good corporate governance standards. YES Bank had also said that the current board was not a proper reflections of the current ownership structure and the significant shareholders of Dish TV.