Recently one of my relative came up to me to join in a share holdings of Bizarre group. This was over phone conversation and he introduced me to another person who spoke about the company and its vision and mission etc. Now they have started giving out shares which are currently under prelisting which is to be listed by 2012. He asked me to pay Rs.14500/- now and take 1000 shares of the company along with purchase card which will give 20-30% discount on all the products in their retail store.The person started claiming that when the shares are listed in stock market in 2012 the price of each share will be around Rs.100. Then he started explaining about various branches and other things the company is doing.
Since it was a phone conversation i was able to decline easily by saying various financial reasons for not being part of this. It seem to me like its a scam. I just went through about the company online i got the following link www.bizabizgroup.com.
I have a question,is there a concept called pre listing. If yes how its is possible and on what basis the SEBI allows the Company to sell its shares. What is the guarantee that company will be listed.