Mauritius’ state-controlled Airport Holdings Ltd (AHL) gears for the complete takeover of Air Mauritius (MK) in the coming weeks, which increasingly signifies the end of small shareholders within the national aviation company.
The holding company now owns more than 94% of the shares which allowed it to give a period of 28 days to uncooperative shareholders to agree to sell their shares.
Squeezing Out Rights
But Awadh Balluck, spokesman for MK’s small shareholders, said this is the end of the small shareholding in the national aviation company. He has held shares in MK for almost 30 years, making him one of Air Mauritius’ oldest small shareholders. “This is contrary to the democratization of investment. Now, no one will be able to question the management of MK, because before it was the small shareholders who raised questions. From now on, the people will not know what is happening in MK,” said Awadh Balluck.
AHL will buy these shares at Rs 5.80 per unit. However, Awadh Balluck claims that he bought them at Rs 30 per unit. However, he does not intend to give up, despite the pressure. “We will stand up. As a matter of principle, we are not going to sell.” This small shareholder stresses that he will wait for the end of the period without giving in. “In the end, they will send a cheque and I will be forced to accept.”
For Awadh Balluck, it was a source of pride to be a shareholder in “the jewel of the country”. In just over a month, the small shareholding will no longer exist within MK.
