Details

Case

Educator Copy

Gatron Industries Limited

Bashir A Khan


INDUSTRY : Textile

AREA : Finance

ORGANIZATION : Gatron Industries Limited

LENGTH : 17

LUMS No : 02-409-95-1

PUBLICATION YEAR : 1995

DESCRIPTION

KEYWORDS:

Gatron Industries Limited,Finance,Textile,Share Price,Market Context,Role of Government,Capital Market


DESCRIPTION:

This case examines the issue of pricing of shares in an underdeveloped market context. It focuses on two critical themes. First, the role of the Government in regulating the capital market in Pakistan through the Corporate Law Authority is considered. Second, the mechanism of share pricing in Pakistan is examined, including premium offers, valuation techniques, and the ad hoc nature of regulation. 


LEARNING OBJECTIVES:

The case is intended for second year students taking Finace courses. It highlights techniques of share pricing, regulatory issues, institutional wekanesses. E.g. The absence of competitive underwriting in Pakistan.


SUBJECTS COVERED:

Finance