SP Tulsian positive on Jain Irrigation

Tulsian told CNBC-TV18, “I have been keeping a positive view on Jain Irrigation in spite of all the kind of problems and the unfortunate part when they launched this proposal of NBFC about 8-10 months back, that was the trigger for the stock to really correct, but now in view of the RBI permission having received it and if you see the focus which the company has said that first they will only be focusing on Maharashtra that seems to be a very calculated and very positive move on part of the company.”

He further added, “As easing the working capital pressure on the company, plus increase in their volume because this is the first private sector company which is coming truly for the agricultural sector because all along we have been seeing the only government giving all kind of relief but looking to their largest position as a micro irrigation company into the drip irrigation and second largest in the world and in fact for lat may be about couple of years or may be last 18 months the company virtually got stagnant at that level at the operational level of the parent company Jain Irrigation. So, probably this NBFC will really be giving push to ramp up the performance of Jain Irrigation and that will be vastly re-rating the stock and in fact I am taking this as a very positive move for the stock as well.”