The New World: Karuturi Global and how (not) to invest in Ethiopia

The African nation of Ethiopia is famous for its cuisine, long distance runners and arabica coffee. Few however think of Ethiopia as a rising African power.

  • Since 1990, the rate of return on foreign direct investment in Africa has averaged 29%, nearly tripling FDI in Europe.
  • The Ethiopian economy has grown at a rate of 10% over the last 10 years.
  • Ethiopia has its own space program.

Continue reading “The New World: Karuturi Global and how (not) to invest in Ethiopia”

Speciality Restaurants: Narrative Bias and the need for a focussed strategy

This post is not buy/sell/hold advice. Please see the disclaimer at the end before reading further

Speciality Restaurants Ltd, the owner of the popular Oh! Calcutta, Mainland China: Asia Kitchen and Hoppipolla brands is going through bad times.

2012 was its best year – when it went IPO. Things have tumbled downhill.

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D-Mart IPO: Business Quality Premium or Smart Timing?

This post is not buy/sell/hold advice. Please see the disclaimer at the end before reading further

With all the hype around it, the D-Mart IPO sounds like a noisy baarat plodding through Dalal Street. The promoter of D-Mart is R. K Damani, who is a stock market heavyweight. The legend goes on to say that back in 1992, R.K Damani was shorting the stocks that Harshad Mehta was buying.

R.K Damani has since done the unthinkable: quit the stocks markets and entered the gritty world of retail business. Today Damani’s Avenue Supermarts, the parent of D-Mart, runs brick and mortal retail stores selling mostly Food and Beverage categories that generates 23% ROE.

Continue reading “D-Mart IPO: Business Quality Premium or Smart Timing?”