Your wealth will double in one night… Hearing this, you must be feeling like winning some big prize on a lottery ticket. Something similar happened with Radhakishan Damani too. His wealth increased by 100% in just 24 hours. After listening to these things, the question must have arisen in your mind who is this person and how did his wealth double? Let us know how an investor became a millionaire overnight and joined the list of the top rich in the country.
Radhakishan Damani had only one retail company till 20 March 2017, but as soon as he rang the Bombay Stock Exchange (BSE) bell on the morning of 21 March, his wealth increased by 100 percent.
On the morning of March 21, when the IPO of Radhakishan Damani’s company was listed in the stock market, his wealth exceeded that of the Godrej family and Rahul Bajaj. The share of DMart was listed at Rs 604.40, while the issue price was kept at Rs 299. This is a return of 102%. In the last 13 years, no share price has increased so much on the day of listing.
Radhakrishnan Damani, the owner of supermarket retail chain D-Mart, has made it to Hurun India’s rich list. Referring to Damani, the report said that the 62-year-old retail king saw the biggest increase of 321 percent in wealth.
Radhakrishnan Damani started the business of ball bearings in the early days but was closed due to loss. After the death of his father, he started trading in the stock market with his brother. He started investing in smaller companies in search of better opportunities. By the year 1990, he had earned crores by investing. Then he thought of getting into the retail business and slowly his business took off.
Stay away from Limelight Radhakishan Damani always stays away from Limelight. He always wears white clothes and is popularly known as Mr. White and White among stock market veteran Investors.
Startup by Radhakrishnan Damani
He started the retail business in 1999, at a time when even the footsteps of Kumar Mangalam Birla and Kishore Biyani of Future Group had not ventured into this space. Tracking Long-Term Investments: Like the world’s biggest investor Warren Buffett, Damani is also a value investor who keeps an eye on long-term investments. Even when he became an entrepreneur, he retained his vision and he built D-Mart without using any shortcuts.
Damani started small and showed no hurry to expand. The small scale allowed them to control the supply chain and focus on profits from the very beginning. D-Mart has made profits every year in the 15 years of its existence. Ability to give importance to his people Damani started his business by taking franchisees of his market. From that time on he started building personal relationships with vendors and suppliers. He looked after both and never let both of them down and his store never had a stock situation.
Buy cheap, sell short :
Damani knows very well what he is doing. They provide daily use products to the consumer at huge discounts. One of the ways they work is that they try to pay suppliers and vendors within a day, as opposed to industry norms, which is about a week. Due to the initial payment, these people provide their goods at cheap rates.
Avoid Credit:
Credits and delayed payments are risky in a retail business, as they can badly affect your supplies and costs. Damani stays away from credit and tries to pay off his suppliers as quickly as possible.
So This was the story about D-mart founder Radhakrishnan Damani aka Mr. white. Tell us in a comment what you learned from Radhakrishnan Damani’s Story