Jubilant Life being 'dumped'
Jubilant Life had hit a new 52-week low last Thursday, 25th July after it issued a Press Release, after market closure, about an anti-dumping investigation against the company by Ministry of Commerce China (MOFCOM). If this news came in post market closure what is worse is that MOFCOM announced the provisional duties on May 28, 2013 of 24.6% against Jubilant Life Sciences, 57.4% against all other Indian producers and 47.9% against Japanese producers. It raises corporate governance issues against the company – why did it sit on this penalty news for two months? This has really perturbed the marketmen and traders and even today, they have decided to sell the stock. Shareholders and even SEBI needs to investigate as to why it took the company two months to announce this price sensitive information.
The stock opened today slightly higher over Fridays close at Rs.91.50 and it is not at its intra day low at Rs.87.60, down over 3.5%.