There will be a new IPO coming soon. Its Calata. The distributor of many agricultural products and animal feeds. I personally know this company. Since I grew up in the same town where this company is based. And I also read the prospectus. And I didn't like what I see.
Let me tell you something though. Calata is partly owned by the Mayor of the town. A town in which he owns all the large businesses and franchises. He owns all the Jollibees, Chowking and other fastfood restaurants in town as soon as he took seat. Sounds familiar? He also rejects all business competition that would like to be established on his town. Since owning Jollibee, he rejected any business permit that would allow McDonalds to be built. You know what I mean? He's a kind of a dictator in some way and only cares about the money for himself. He monopolizes it.
Now let me tell you another thing, if you own a share of this company Calata, with majority stake by this government official. I hope and pray that you won't get the shorter end of the stick. Because the people owning the company is after only 1 thing. That is to make money for themselves and not for you, the shareholder. Though I love the company. I just don't trust the people running it.
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