SP Tulsian of sptulsian.com told CNBC-TV18, "I am not trying to say that the cement positives are seen getting factored in Jaiprakash Associates. That maybe partly true because the company is a significant player and we have been seeing good realisations, maybe the situation was different about six months back when people used to take as a cement play or maybe as an infrastructure play. Now the entire focus on company is whether they are going ahead with reducing its debt or monetisation of the assets or not."
He further added, "Yesterday we have seen the statement from company that they are looking to monetise or divest some of their Himachal Pradesh cement plants. So I think this seems to be a continuous exercise."
"We have JP Power asset monetisation in the pipeline. I am talking of the JP Associates on a consolidated basis, I am not talking of the standalone, If they are able to monetise about 1,300 megawatt (MW), which they have been talking about Rs 12,000-13,000 crore. They have a significant cement capacity, they have very good plants at an ideal location. The process of the debt reduction may start continue," Tulsian said.
He further said, "You have very limited downside, but largely because of the cement plant sales, which they have indicated will help the stock to move up."
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
