Electrosteel steels- v v high risk vv high return

http://indiaer.blogspot.co.uk/2012/10/electrosteel-steels-chinese-equipment.html ELECTROSTEEL STEELS: Chinese equipment & engineering enable savings in capital cost; Motilal oswal, ELECTROSTEEL STEELS: Chinese equipment & engineering enable savings in capital cost Phase-wise trial runs on at 2.5mtpa ISP; watch for plant efficiency on full-scale operations )- We visited the 2.5mtpa integrated steel plant (ISP) that Electrosteel Steels (ELSS) is setting up at Siyalijori village, near Bokaro in Jharkhand. )- It is India’s first steel plant based almost entirely on Chinese equipment and engineering, enabling savings of 20-25% on capital cost. The total project capex is INR96b, of which INR87b has already been incurred. Most facilities are complete and trial runs are being carried out. )- Parent, Electrosteel Castings (ELSC) will supply 30% of the coking coal and 100% of the iron ore requirement on cost plus 20% for 20 years. This will help ELSS to save on raw material cost, too. ELSC has begun partial production at the coking coal mine and is awaiting stage-II forest clearance for the iron ore mine. )- ELSS targets 1.5m tons of saleable steel production in FY14 and expects EBITDA margin of 35% on full-scale operations. As at end-FY12, D/E was 3.2x. The stock trades at 0.9x FY12 BV. Not Rated.

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Anybody tracking this space…Vendata has been confirmed the deal with 5000Cr.
11000 cr of debt, 587Cr market cap, 2.5MMT capacity. Fixed Assets inc CWIP is approx 11700cr.
TTM sales 3126cr with EBIDTA of 233Cr

So what will happen to electrosteel steel has a company and what will happen to the existing shareholders. Will the minority shareholders value go to zero??

Unitil we get some information onm the no. of new shares that will be issued to vedanta and lenders …all NCLT cases are just a gamble…there is value in electrosteel till current public holders do not get diluted below 2% by some rough calculations

Hello, I heard Electrosteel last day of trading is 11 June. Existing shareholders will get an offer to accept 19 paise per share. My question is: if I foregone this offer and want to stick on to my holding, what happens next? I.e
Is it possible to ‘no’ to buy back offer? Or shareholders are bound to accept the offer as per insolvency law.

@satsat @arvind_aries : Are you still following this stock. Say the delisting offer at 9.54 per share? Why does the price does not reflect the market price and the market price keeping going up…any insights really appreciated?

I also saw that today. Why it is at Rs 38.25 when Vedanta planned to offer 9.54 rs?

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