Globally DVRS trade between 10 % - 15 % discount to its Equity shares depending upon the extra dividend offered to DVR, for e.g. If a company's equity shares trades at Rs.100/sh and dividend declared is Rs.10/sh and its DVR holders gets Rs.10.50 as dividend (Rs.0.50 extra because he let go its voting rights) means that its DVR should be trading at Rs.89.50/share. But since the Indian audiences are not aware about this beautiful instrument, DVR trends to trade at 40 % - 50 % discount to its Equity shares. One should buy DVR at 40 % - 45 % discount to its EQ SH & Sell when DVR comes near to 10 % - 15 % discount to its EQ SH.
After Tatamotor , Pantaloon Retail India & Gujarat NRE Coke have also issued its DVR shares.
Pantaloon Retail India issued 1 bonus share with different voting & dividend rights for every 10 held in 2008. the new class is called "B" shares with 5% more dividend than ordinary shares & would have 1 vote for 10 shares held.
Gujarat NRE Coke issued DVR in May 2010 as bonus shares in ratio of 1 DVR bonus shares for every 10 Equity shares held, here the DVR bonus shares would hold 1 voting right to 100 shares held.
|DVR's||Tata Motors DVR||Guj NRE Coke DVR||Pantaloon Retail DVR|
|Total number of DVR Shares||6,41,76,680||5,07,14,292||1,59,29,152|
|Promoters Holdings||2,32,64,396 - 36.26 %||2,41,01,468 - 47.51 %||74,07,693 - 46.53 %|
|Number of Shares Holders||16,700||1,53,382||18,998|
|COMPANY||Country||Voting rights (ord)||Per Share DVR||Extra Dividend||Business|
|Bombardier||Canada||10||1||$0.001563||Aircraft & Train Mfg|
|Forest City||US||10||1||----||Real Estate|
|Haverty Furniture||US||10||1||5 % of FV||Others|
|Lennar Corp||US||10||1||----||Real Estate|
|Telephone & Data System||US||1||No||----||Telecom|
|Tata Motors||India||1||1/10th||Re 0.50||Automobile|
|Pantaloon Retail||India||1||1/10th||Re 0.10||Retail|