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Sampada Chemicals


Sampada Chemicals is an investment company with substantial asset trading activity.

Historic profitability doesn’t add much insight to a business trading assets – but the record is mixed with losses and marginal profits.  The balance sheet is largely tied up in inter-corporate deposits of 15 crores in addition to liquid investments worth 2 crores and offset by unsecured loans of 17 crores.

Management haven’t declared dividends with the usual excuse to ‘conserve resources’ and ‘to improve financial position’.  The point that’s missed (or conveniently ignored), and raised elsewhere in this blog, is that management isn’t performing an activity that shareholders can’t do themselves (i.e. owning securities) and hence, should return their assets.
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