Scripscan:Gontermann Peiper (India) Ltd
cmp:11
Code:504701
Story:Gontermann- Peipers (India) is very much in the news. The buzz around the stock is that its promoters, brothers, Vinod and Pramod Mittal, younger brothers of steel tycoon Lakshmi Narayan Mittal are scouting around for a buyer for the company, which makes rollers for steel mills. The Mittals own 56.13% stake in the company. The news is that they had approached Sajjan Jindal with a proposal for the buyout but it did not go through. But that is understandable given the company’s financial health, or rather, lack of health.In the first two quarters of the current fiscal, in Q1 and Q2, the company was in the red. It had posted a net loss of Rs.3.91 crore in Q1FY12 and in Q2FY12, the net loss was at Rs.2.90 crore. The fact that it remains in the low levels of around Rs.11 despite the news of possible sell out is due to the investors who are peeved at the company’s plans, which included an unrelated diversification into setting up a commodity bourse, announced a year back but not pursued in right earnest. It recently expanded its capacity by 5700 tonnes to 21,000 tonnes and the plant went on stream at Pailan in West Bengal. Though the company is fundamentally strong, being the the largest steel roll manufacturer, management is the cause for disenchantment. Keep a watch on the counter as buyout news could spike up the stock.
Search This Blog(Over 800 companies covered in the blog).
Archives : Old artciles
Important Disclaimer&Privacy policy
This blog does not share personal information with third parties nor do we store any information about your visit to this blog other than to analyze and optimize your content and reading experience through the use of cookies.You can turn off the use of cookies at anytime by changing your specific browser settings.This privacy policy is subject to change without notice and was last updated on 20.3.2013. If you have any questions, feel free to contact me directly here: arunsharemarket@gmail.com
Investment in equity shares has its own risks.Sincere efforts have been made to present the right investment perspective.The information contained herein is based on analysis and up on sources that I consider reliable. I,however,do not vouch for the accuracy or the completeness thereof.This material is for personal information and am not responsible for any loss incurred based upon it & take no responsibility whatsoever for any financial profits or loss which may arise from the recommendations above.The stock price projections shown are not necessarily indicative of future price performance.The information herein, together with all estimates and forecasts, can change without notice.
