[Archived] Venky's shares soar 440% in 2017

[jim mk2]

Perhaps some of the hundreds of millions they're made on the stockmarket this year might filter though to Ewood Park.

Or maybe not. 

 

 

HONG KONG, July 14 (Reuters)

 

Sacred cows are blessing India's chicken industry. Shares of midcap poultry specialist Venky's, part of a group that also owns British football club Blackburn Rovers, have risen around 440 per cent this year fuelled in part by a campaign against beef consumption. Although the Supreme Court on July 11 suspended a recent government ban on cattle slaughter, the country's rising middle class will remain hungry for the birds.

 

Cows are sacred in Hinduism. New Delhi's ban played to the hardline supporters of Prime Minister Narendra Modi and his nationalist government but implementing it would be an economic drag. India's leather industry is a supplier to international brands and hires millions of people. Last year the country exported almost $4 billion of buffalo meat, but "cow protectors" argue beef from cows slips into this market.

 

Banned or not, an increase in violence around this emotive issue has led to a number of high profile lynchings of people suspected of consuming and slaughtering cows. And so Indians with reasonable disposable incomes may look elsewhere for protein. In office canteens, chicken is the default non-vegetarian option. Pork is not eaten by practicing Muslims, the largest religious minority. Mutton and fish are more expensive.

 

India’s consumption of processed chicken meat is rising by as much as 20 percent a year, the USDA says. And appetite has room to grow. The average Indian consumed a mere 1.7 kilograms of poultry in 2015, according to the OECD. That compares with around 6.6 kilograms for Indonesia and 11.6 kilograms for China, where incomes are much higher.

 

Venky's is one of the only pure plays on this trend, although there are other factors underpinning the company's recent outperformance. For example, almost 80 percent of poultry production costs come from feed ingredients like maize and soya, prices for which have fallen after last year's good monsoon.

 

Despite a huge run-up in Venky’s price, the company still trades at a multiple of around 26 times current net income, compared to 24 times for the Nifty Midcap Index. Analysts at Kotak forecast a 42 percent compound annual rate of growth in earnings through to 2019. With or without cow protectors, India will be in a flap about chicken.

 

 

[davulsukur]

Quote

Banned or not, an increase in violence around this emotive issue has led to a number of high profile lynchings of people suspected of consuming and slaughtering cows

  

[bob fleming]

#venkysout #savetheinnocentchickens #deathtoallmoocows

[Pedro]

#equalrightsforchickens

[bob fleming]

#saveachickeneatarao

[tomphil]

People still think these lot are stupid lol They are when it comes to football but it matters not they know exactly what they are using the club for and it's nowt to do with football so just the odd token gesture keeps it from completely imploding.

Con jobs.

[JacknOry]

Please change the title of this thread...anything i see to do with the success of these fraudsters makes me sick on sight.

[bob fleming]

16 minutes ago, tomphil said:

People still think these lot are stupid lol They are when it comes to football but it matters not they know exactly what they are using the club for and it's nowt to do with football so just the odd token gesture keeps it from completely imploding.

Con jobs.

For the sake of clarity, just what are they using it for tomphil? 

Cause I still don't get it. There's a £130m owed to the SBoI by someone. If the bank think Rovers are going to find that by selling 26 Lenihans anytime soon then they're going to be very disappointed.

[Dunnfc]

AGM with balaji, Venky, Mrs Desai in September normally at Pune Marriott. Shareholders invited.........

[tomphil]

4 minutes ago, bob fleming said:

For the sake of clarity, just what are they using it for tomphil? 

Cause I still don't get it. There's a £130m owed to the SBoI by someone. If the bank think Rovers are going to find that by selling 26 Lenihans anytime soon then they're going to be very disappointed.

Loss leader, money pit, not sure what the term might be but in my view possibly redirecting some money covered by profits from elsewhere through the clubs books and using it for setting up businesses elsewhere or maybe a bling pension fund, European spending money fund or something else.

Basically just redirecting money from the main corp.

[47er]

So,if their chicken side of the business is doing so well then they can afford to do something positive for once to help this wonderful old club they've ruined.

if not, why not?

[bob fleming]

Just now, tomphil said:

Loss leader, money pit, not sure what the term might be but in my view possibly redirecting some money covered by profits from elsewhere through the clubs books and using it for setting up businesses elsewhere or maybe a bling pension fund, European spending money fund or something else.

Basically just redirecting money from the main corp.

But it's still debt in their name right? That 130m is still owed to someone, whether it's the main corp, VLL or Balaji Breast Reduction Ltd. Surely? or is it free money?

The SBoI are either: -

i. Prepared to write it off as the other Rao companies have it covered? This loss is merely chicken feed in comparison (Sorry about that, but unfortunately it does fit). Share price quadruples after all.

ii. It's guaranteed against the land in / around Pune that may have been put up 

iii. They'll wait for the covenant on Brockhall to expire before they are able to sell the land for houses - yep in 80+ years time

I'm afraid my money is on i.  This means nothing to them. It never has hurt them and never will. We all know that the only way they'll get their money back is to get back in the Premier League, then bank the parachutes again. I don't think they're in the slightest bit bothered. 

[tomphil]

 

Just my opinion but it's an accounting tool of some sorts these days. One thing that can't be denied is they must have a hell of a relationship with the SBOI, either it basically runs VH etc or the other way around !

 

[Athlete]

33 minutes ago, tomphil said:

 

Just my opinion but it's an accounting tool of some sorts these days. One thing that can't be denied is they must have a hell of a relationship with the SBOI, either it basically runs VH etc or the other way around !

 

and if alan Myers is right with Judan ali then we may as well end it all now and start again...

[Stuart]

10 hours ago, bob fleming said:

But it's still debt in their name right? That 130m is still owed to someone, whether it's the main corp, VLL or Balaji Breast Reduction Ltd. Surely? or is it free money?

The SBoI are either: -

i. Prepared to write it off as the other Rao companies have it covered? This loss is merely chicken feed in comparison (Sorry about that, but unfortunately it does fit). Share price quadruples after all.

ii. It's guaranteed against the land in / around Pune that may have been put up 

iii. They'll wait for the covenant on Brockhall to expire before they are able to sell the land for houses - yep in 80+ years time

I'm afraid my money is on i.  This means nothing to them. It never has hurt them and never will. We all know that the only way they'll get their money back is to get back in the Premier League, then bank the parachutes again. I don't think they're in the slightest bit bothered. 

If that's the case then we should never ever hear again that they are honourable people who aren't selling the club due to pride. If they really aren't bothered about the money then the only reason to keep us struggling and not chuck some of their pittance at putting right some of the wrongs - is spite.

And for what 1% of the fanbase? One snowball?

Just doesn't add up at all.

[SIMON GARNERS 194]

The ONLY thing I care about is Blackburn Rovers Football Club and its welfare in connection with the dreaded name 'Venkys'.

Right here,right now our club is in a ruinous state of affairs.

Absolute C#?!s the lot of 'em! 

[RevidgeBlue]

On 7/14/2017 at 23:16, bob fleming said:

For the sake of clarity, just what are they using it for tomphil? 

Cause I still don't get it. There's a £130m owed to the SBoI by someone. If the bank think Rovers are going to find that by selling 26 Lenihans anytime soon then they're going to be very disappointed.

You should know better than spoil the usual close season orgy of self flagellation and woe is me ness with facts and common sense bob.

On my hols at the moment, been pleasantly surprised with Mowbray staying and the fact he seems to have identified his targets for this level and seems to have been  given the funding to go out and get them. Also pleasantly surprised at how well the ST sales have held up.

Yes we'd all like to still be in the Premiership and there's no doubt numerous mistakes have been made over the years but as Uncle Jack once said, you can't unboil an egg.

Quite looking forward to the new season. Of course might be proved completely wrong and it might be the San Miguel talking at 1.20 in the morning CET but we'll see.

[Tony Rover]

11 minutes ago, RevidgeBlue said:

You should know better than spoil the usual close season orgy of self flagellation and woe is me ness with facts and common sense bob.

On my hols at the moment, been pleasantly surprised with Mowbray staying and the fact he seems to have identified his targets for this level and seems to have been  given the funding to go out and get them. Also pleasantly surprised at how well the ST sales have held up.

Yes we'd all like to still be in the Premiership and there's no doubt numerous mistakes have been made over the years but as Uncle Jack once said, you can't unboil an egg.

Quite looking forward to the new season. Of course might be proved completely wrong and it might be the San Miguel talking at 1.20 in the morning CET but we'll see.

Yes you can't unboil this sorry mess Venkys  have put us in. Don't like that great mans name being mentioned in the same bracket as those shysters, @#/? all over his legacy. Sorry if that comes across a bit strong, must be the doom bar talking at 00.39 in the morning...

[RevidgeBlue]

I see the point you're making but i would reiterate that you cant turn back the clock and you are coming across slightly in common with many others thst you dont want us to start doing better whilst Venky's are still here.

[Skiptonrover]

56 minutes ago, RevidgeBlue said:

I see the point you're making but i would reiterate that you cant turn back the clock and you are coming across slightly in common with many others thst you dont want us to start doing better whilst Venky's are still here.

I get that very same impression. You can't turn the clock back at all once time goes it goes what's important is the clock that's in front of you & that will determine the course of the future. Uncle Jack was a good man who cared deeply about the club, 1 on his own not many clubs (if any) will experience that. Using that as a yardstick against any new owners will always bring disappointment.

[SIMON GARNERS 194]

Their tenure has been one disaster after the next these last Seven years....they have been successful in abject failure.You have to give them ample credit for that achievement let's be fair

Fair enough Rev if you feel there is hope under these fools,each to his own.Nobody can escape the reality of what we have become.

Let the doom fest of reality continue...

[den]

The thing with eggs is don't boil them in the first place if you don't like 'em - and don't keep boiling 'em when you know you're spoiling 'em. And if that eggs still unnecessarily boiling, better to turn the pan off ASAP knowing that they're spoiling beyond return. Trying to unboil it is just plain stupid. Don't boil it in the first place, or at least recognise what's happening - and still happening - is the answer to that particular problem. 

[AggyBlue]

Boiled eggs for breakfast this morning Den?

[den]

Porridge.  ?

[Stuart]

8 hours ago, RevidgeBlue said:

I see the point you're making but i would reiterate that you cant turn back the clock and you are coming across slightly in common with many others thst you dont want us to start doing better whilst Venky's are still here.

I wanted us to stay in the Premier League. I didn't want them to appoint Kean. I wanted us to get back to the Premier League. I wanted us to at least reach the play-offs at some stage. I wanted Bowyer to play attacking football with our squad of attacking footballers. I wanted us to keep hold of our talismanic goal scorer. I wanted their promises to Lambert to be genuine. I didn't want them to appoint Coyle. I wanted us to stay in the Championship.

I want a positive future and a successful Rovers.

I can't see either happening under Venkys watch. The opposite of what I'd like to happen keeps happening so why would I feel optimistic while they continue?

If that makes me negative rather that wearily realistic then so be it. What I want is immaterial under these shysters but somehow saying so makes me the problem. No, I'm afraid I'm merely another symptom.