1. At a Glance
Jaiprakash Associates Ltd, flagship of the Jaypee Group, once built dams, highways, and cement plants like a desi Elon Musk on steroids. Today, it’s a ₹1,000 crore market cap penny stock, trading at ₹4.03, drowning under ₹55,372 crore in loans under insolvency. Sales are shrinking (-12% TTM), losses are deep (-₹2,823 Cr FY25), and book value is a negative ₹-21.7.
2. Introduction
In its glory days, JAL was everywhere – hydropower, cement, real estate, hospitality. Then came debt-fuelled expansion, sector slowdowns, and financial engineering that aged like milk in May. The result? CIRP (Corporate Insolvency Resolution Process) is now its second home, with creditors playing referee while assets are auctioned.
Yet, retail investors can’t resist a ₹4 stock with a “turnaround” dream. It’s the classic Bollywood arc – fallen hero, courtroom drama, and maybe a redemption song if the CoC finds a buyer with deep pockets.
3. Business Model (WTF Do They Even Do?)
On paper:
- Engineering & Construction – hydropower, river valley, civil infra.
- Cement Manufacturing – multiple plants via subsidiaries.
- Real Estate & Hospitality – Jaypee Greens, hotels, resorts.
- Power & Fertilizer – scattered across SPVs.
In reality: Most of this is in various stages
of being sold, shut, or handed over to lenders.
4. Financials Overview
P/E? Forget it – negative EPS since forever.
| Metric | FY25 | FY24 | YoY |
|---|---|---|---|
| Revenue | ₹5,796 Cr | ₹6,568 Cr | -12% |
| EBITDA | -₹159 Cr | ₹381 Cr | Collapse |
| PAT | -₹2,823 Cr | -₹1,339 Cr | Loss widened |
| OPM | -3% | 6% | Down |
| ROCE | -2% | 3% | Down |
Commentary: The only growth here is in insolvency committee minutes.
5. Valuation (Fair Value RANGE only)
Valuation models are pointless for a CIRP company – asset sales, haircut terms, and resolution plan decide price, not earnings.
Still, for education:
- Replacement Value of Assets (net of debt) is negative.
- Market Pricing implies optionality – a ₹1,000 Cr bet on a miracle buyer.
FV Range = ₹0 to ₹5 (purely liquidation/revival optionality).
Disclaimer: This FV range is for educational purposes only and is not investment advice.
6. What’s Cooking – News, Triggers, Drama
- CIRP Ongoing: 18th CoC meeting held Aug 1, 2025.
- ₹55,372
