BSE to delist Garden Silk, Jaihind from Jan 28
From January 28 trading of two stocks - Garden Silk Mills and Jaihind Projects - will stop functioning. As per the circular issued by Bombay Stock Exchange (BSE), stocks of both the companies will get delisted from stock exchange.
Mumbai: From January 28 trading of two stocks - Garden Silk Mills and Jaihind Projects - will stop functioning. As per the circular issued by Bombay Stock Exchange (BSE), stocks of both the companies will get delisted from stock exchange. The suspension order for their delisting has been issued in pursuant to Resolution Plan approved by NCLT. "Both the companies namely have become penny stocks as both of them have been incurring heavy losses due to fall in demand and coupled with higher debt, which has impacted their financial numbers too," Avinash Gorakshakar, head research, Profit Mart Securities told Bizz Buzz.
In the last financial year, Garden Silk incurred a net loss of Rs 20 crore, while Jaihind made a loss of Rs 7 crore.
Garden has a huge debt mountain of Rs 1,900 crore, while carry forward losses stand at Rs 558 crore as on 31 March, 2020.
Jaihind projects also has a large debt of Rs 573 crore, whereas its carry forward losses stood at Rs 358 crore. Jaihind has taken a voluntary decision to get delisted.
Hence it looks like both these companies will die a natural death as any chances of revival look remote.
Jaihind Projects Limited (JPL) is engaged in laying of pipelines for supply of liquid petroleum gas (LPG), oil and gas, crude oil, all other activities and corrosion coating, and doing job as contractor. JPL provides engineering, procurement and construction (EPC), which focuses on the hydrocarbons, water and infrastructure sectors. The company provides EPC services ranging from oil and gas, which includes onshore and near-shore/marshy pipelines, tankage and terminals, horizontal directional drilling, Micro reo tunnelling/boring, and onshore and offshore fabrication; process; which includes refineries; civil infrastructure - water supply and sewerage, turnkey and rail; thermal power plants; revamping/refurbishing/maintenance, and asset preservation and maintenance.
JPL specialises in large scale oil and gas pipeline construction, along with water transmission projects by leveraging new age construction technologies for over four decades now. JPL has laid over 14,000 kilometre pipeline which is highest in India.