RE: Mercantile Ports & Logistics25 May 2026 07:52
Actually I thought this was an interesting post on MPL …
‘ The only issue with this company is how genuine is the balance sheet. It would appear the value was building costs for buildings that were overpriced or weren't built. I could spend gbp1 million decorating a mini for my company and write it down as an investment with my brother in law doing the work being paid 10k a day.....but does that mean I should value it at £1m? If not not then what are the auditors doing here? Perhaps the only real value here is as a listed shell.’
If the Indian authorities think the MPL Directors were trying to be clever and not genuinely trying to build this business then perhaps that’s why they so readily handed it over to the Adani Group, knowing they had the funding, nous and ambition to get on with it rather than this end up being a money spinning company just for Directors and pals for years, with absolutely no sense of urgency. There are hundreds if not thousands of companies that exist purely for that reason. Would explain why they didn’t bother paying off their debt until someone else came in to do it for them and they were forced to. As I say, turns out it was all too late. Directors spent years raising funds and paying themselves handsomely, saying they were doing this and that, whilst barely moving things on at all. Why would they when uk retail investors are happy to fund their lifestyles? Finally caught out and the Indian authorities, far from being improper, were acting in the interests of getting the asset working for their local economy.
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