Another case of "diworsification" by a company that seems to be incapacitated to generate returns from the excess cash in its balance sheet and does not wish to return the same to the shareholders. Madras Cements’ decision to venture into sugar manufacturing business at a total investment of approximately Rs 4.5 bn seems to have no logic other than the temporary reversal in sugar cycle. Further, the improved sugar realisations would be offset by higher cane prices. Such instance of companies diversifying into unrelated businesses despite lack of expertise and insufficient rationale is a case of disregard to the rights of minority shareholders.
Learning from #FriendsReunion - Plan Your Bottle Episode While watching Friends: The Reunion a while back ( Yes, i am super late, been a very busy week) something struck with me which the show’s creators said about "budgeting" a term called Bottle Episode. On Friends - Its one of the most successful television sitcoms of all time. From 1994 to 2004, the show never left the list of top 10 most-watched television programs. It was also one of the most expensive television series of all time. By the last two seasons, each of the six main actors earned more than $1 million per episode. From the resources perspective, the show has more than justified that expense since then. As per some estimate Friends earns around $1 billion a year from syndication, merchandising, streaming, and other deals. During the reunion show, creator Marta Kaufman talked about how they planned “bottle episodes” each season to manage the show’s budget....
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