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Jindal Drilling & Industries slips as arbitration award passed against company

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Capital Market
Last Updated : Dec 02 2016 | 10:47 AM IST

Jindal Drilling & Industries fell 4.57% to Rs 177.50 at 10:38 IST on BSE after an arbitration award was passed against the company to pay $31.76 million by way of damages.

The announcement was made after market hours yesterday, 1 December 2016.

Meanwhile, the BSE Sensex was down 229.57 points, or 0.86%, to 26,330.35.

On the BSE, so far 21,000 shares were traded in the counter, compared with average daily volumes of 14,274 shares in the past one quarter. The stock had hit a high of Rs 184 and a low of Rs 176.05 so far during the day.

The stock hit a 52-week high of Rs 216.55 on 19 October 2016. The stock hit a 52-week low of Rs 102.60 on 12 February 2016. The stock had underperformed the market over the past 30 days till 1 December 2016, falling 4.52% compared with the 3.51% decline in the Sensex. The scrip had, however, outperformed the market in past one quarter, rising 7.14% as against Sensex's 6.91% decline.

The small-cap company has equity capital of Rs 14.49 crore. Face value per share is Rs 5.

An arbitration award had been passed against Jindal Drilling & Industries, making it liable to pay $31.76 million with other expenses and interest charges. The company said it is taking necessary steps to contest in relation to the award.

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Net profit of Jindal Drilling & Industries declined 3.7% to Rs 9.48 crore on 11.2% rise in net sales to Rs 92.66 crore in Q1 June 2016 over Q1 June 2015. The company will announce Q2 results on 12 December 2016.

Jindal Drilling & Industries is engaged in providing drilling and related services to entities involved in exploration of oil and gas. The company provides offshore drilling for oil & gas, horizontal & directional drilling and mud logging services.

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First Published: Dec 02 2016 | 10:33 AM IST

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