ABAN OFFSHORE Cmp Rs.1276 looking weak below 1200 on closing basis caution advised http://www.abanoffshore.com/
Aban Offshore, which along with its Singapore-based subsidiary Aban Singapore has Rs 16,635 crore of debt on its balance sheet, has admitted that it has failed to meet some of the conditions set by its bankers. http://economictimes.indiatimes.com/Engineering/Aban-Offshore-admits-it-breached-loan-contracts/articleshow/5302168.cms
Trouble started due to global recession: ABAN Offshore’s Singapore subsidiary, Aban Singapore Pte Ltd raised close to Rs 13,000 crore to acquire Norwegian company, Sinvest in 2006. The rest of the loan is on the books of the Indian company. The slowdown last year along with volatile oil prices led to many of its rigs lying idle. At present of its 20-odd rigs, three have not been deployed.
ABANOFFSHORE had raised Rs 697.50crs through private placement of shares with QIP on 17/Nov/2009 by approving the allotment of 5,697,135 shares at Rs 1,224.30 a piece.
ABAN Singapore to list on SGX, raise $400m: Sources
Technically the stock would be a break-down below Rs.1200 and next support on downside can be Rs.1040 & 865 and this is just to caution investor.
Caution: Whenever caution is given it is just to inform about the possible negative or positive impact on the stock and these are misunderstood and many short sell the stock to lose money. Whenever a IPO, QIP or a foreign listing is done the prices of stocks normally moves up and corrects @ latter point of time, JSWSTEEL is @ very high levels as JSWENEGRY IPO is on, and these kind of move always happens investors should take informed decision based on their own judgment after studying everyone view.
