Unfortunately, the promoters are becoming more and more non-transparent. The promoters secretly announced another round of preferential allotment, bigger than last year and probably at a much lower price, which unfortunately hasn't been disclosed yet. Last year, the company called for an EGM and then at a price disclosed to shareholders, made allotment of 27,50,000 shares which diluted the company's equity by 12% and increased promoter holding from 53.83% to 58.78%. Now allotting 33,00,000 shares would dilute the equity more by 12.85% and after the allotment, promoter holding again would go up to 63.63%. The amount of money the company is getting for this dilution may be just 130 crore. And remember, the promoters sold their 10.47% stake to one of the citigroup company in 2008 at exorbitant price of INR 1000+ which got them around INR 150 crore. So they are again bying the stake in the company by shelling out lesser amount to get higher stake.
The minority shareholder is not even being thought about. Since the price of the share is depressed, it would be a good idea to go for rights issue the way Tata Motors did in 2009. And when a minority shareholder does not subscribe to rights shares, promoter can replace it and increase his stake in the company. But this is not TATA. This is JINDAL.
I would recommend to stay away from people who has got sudden wealth leading to corruption. I myself is rethinking my own purchase of this company. Happy investing!!!!