The wait is over. The first slab rolls out.
https://twitter.com/i/status/1674969106976755712
Anyone here any updates, patience for me literally testing this story to play out, things are moving very slowly, it might be usual in case of any demerger entity but this one definitely moving slowly.
If anyone can know whatâs next from here will be great, I havenât seen any news for official bids.
Also waiting to see their production performance. I am hoping the production is a success to act as a catalyst for this stock rather than the strategic sale. Some stocks just take their own time. A few quarters might shed more light on this story.
Thanks @siyaram7 for clarifying, I agree it should be only the assets and not the liabilities/borrowings and if that is the case, the Book Value would be 58
big news coming NMDC STEEL PALNNT wont be privatised says amit shah.
@siddhakkohli - Is this such a bummer that market is reacting it so negatively. Although, I agree all along the idea was to make this sell steel plant and or may be run by private players. How does ânot sellingâ plant anegative news for shareholders?
Selling majority stake involves âControl Premiumâ, so by not selling that premium has vanished.
Private steel plants often operate more efficiently, as they are profit-driven. They can innovate, adopt new technologies, and adapt quickly to market changes.
BJPâs win in chattisgarh extremely positive for divestment prospects of the company.
Wasnât it Amit Shah who promised people of Chattisgarh that NMDC Steel Nagarnar plant will not be privatised?
I really hope this is one of those promises that are only meant for election time.
I think it was just for the election period. I heard a couple of DIPAM official interviews where they were still talking about NMDC steel. And this was after Mr. Shahâs statements.
State elections are over long back and also considering stable government at state and central , and plant commercial production with full quarter result expected , already gave a good spike and corrected again ⌠is still good buy to consolidate for medium term investment , may give best returns after parliament election
Normally steel companies trade at 6x EV/EBITDA, and assuming this one does Rs8000-10000/t EBITDA on 2.8mnt full production. One is looking at an EV range of Rs13400-16800cr. Stock is already at Rs19500cr+ EV.
@Rakesh_Arora thanks for starting this post and also for detail post, this has given good clarity for person like me who is new to steel industry.
can you pls share list of competitors, their production capacity comparision and other Key details against competitors.
this will be really helpful.