Khodrocar - As asset revaluation has always been cited as a boost to the automotive industry, these days, the emphasis is on getting it done as quickly as possible, while capital market participants believe it is. If it increases the capital and assets of the automaker and increases the hope for the future, it can also affect stock prices and theoretically there is no possibility of a stock revaluation increase with a revaluation.
"The most important dilemma for automakers before revaluation is the shareholder structure, so it must be determined and revised before revaluation." Hossein Khezli, cheif expert of financial market told khodrocar reporter.
"In this case, the government must also allocate the shares under its jurisdiction, which the Ministry of Industry also ordered." he added.
"What drives automakers today is the lack of a long-term strategic shareholder who can manage and control the situation, while also raising economic and financial issues." He continued.
"At present, the structure of shareholders in automakers is unclear, and the change every few months has made the CEO aggravated by the need to first define and refine the structure." he said.
"A strong private sector with a 10-year plan can bring operating profits back to automakers, given the reassessment of the location of assets and the sale of non-produced assets and its quality and sales car to market needs. Right now we are seeing capital market professionals tend to buy and sell stocks of automakers and this is not the case with ordinary people." He added.
"Ordinary people are reluctant to enter stocks because they have a good operating profit in the last quarter of 1997 and the year before petrochemicals, iron ore, steel and ... There are no harmful companies that are even subject to Article 141 of the Commercial Code." he mentioned.
"Theoretically, after the revaluation, every year the price does not necessarily rise, but the share price does not change proportionally to the increase in capital unless there is information to raise capital and improve the situation to increase stock prices. Therefore, what is needed and prioritized before the car dealership is divested is to reform the financial structure." he said finally.