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Jindal Steel and Power has dipped 4% to Rs 224, falling over 6% from intra-day high on NSE, ahead of the Supreme Court (SC) decision today the fate of the 194 coal blocks whose allocations it had termed illegal last week.
The stock opened at Rs 235 and touched a high of Rs 239 in early morning deals on NSE. A combined 5.35 million shares changed hands on the counter till noon deals on NSE and BSE.
In last week, the stock tanked 20% from Rs 295 on August 22, after SC declared that coal blocks allocated between 1993 and 2010 as illegal.
For JSPL, the SC ruling not only creates uncertainty on profitability from existing operational coal blocks (Gare Palma IV/I /2/3) but also on the profitability of the US$2.6 billion investment in the Angul Steel & Power project as the associated Utkal B1 block is unlikely to be allocated now, says Chirag Shah, metals, mining & materials analyst Barclays.
The stock opened at Rs 235 and touched a high of Rs 239 in early morning deals on NSE. A combined 5.35 million shares changed hands on the counter till noon deals on NSE and BSE.
In last week, the stock tanked 20% from Rs 295 on August 22, after SC declared that coal blocks allocated between 1993 and 2010 as illegal.
For JSPL, the SC ruling not only creates uncertainty on profitability from existing operational coal blocks (Gare Palma IV/I /2/3) but also on the profitability of the US$2.6 billion investment in the Angul Steel & Power project as the associated Utkal B1 block is unlikely to be allocated now, says Chirag Shah, metals, mining & materials analyst Barclays.
