Abstract

The case provides a detailed insight into the events during a decade-long dispute between Modi Rubber (Modi) and its lender/owners financial institutions (FI). It examines the FI’s threat to sell their stake in Modi in the open market, which led to a major debate regarding the role of FIs in the companies in which they had an equity stake.

Learning Objectives

The case is structured to achieve the following Learning Objectives:

• Dual role of Financial Institutions as owners and lenders, Corporate Governance.

Keywords

Insight, decade-long, Modi Rubber, Modi, lender/owners, financial institutions, FI, Modi, open market, equity stake