Asian Petroproducts & Exports - Operator Driven Black Sheep

Asian Petroproducts & Exports yesterday moved to 52 week high on BSE at Rs. 63.40, while it has been hitting UC for last over 45 days. Can you believe that this company is non operative, with Book value of negative Rs. 6.55 per share, on face value of Rs. 10. Equity capital of Rs. 6.28 cr had negative Reserve & Surplus of Rs. 10.40 cr, as at 31-3-21, thus having negative net worth of Rs. 4.12 cr.

FY 21 had trading income of Rs. 58 lakh and PAT of Rs. 26 lakh. For Q1 FY 22 it had an income of Rs. 6 lakh and net loss of Rs. 4 lakh. However promoters are converting loan given to the company in equity every year. In FY 21 they issued 9.80 lakh shares to themselves at par, which increased their stake from 36.21% as at 31-12-20 to 46.17% as at 31-3- 21. As promoter stake got raised by more than 5% in a year, this has trigerred open offer. But who cares? BSE and SEBI will definitely be looking into it.

Now promoters are issuing 22.68 lakh warrants in the coming months, to convert part of Rs. 5.14 cr loan of promoters, with relevant date of issue taken as 23-8-21. So, business is to issue shares, operate the share price, and take it to 52 week high at an unrealistic levels.

Share which should rule at 10 paise per share is now ruling at Rs. 63. Many members buy such shares, to lose their shirt and then call stock market as Casino or Gambler Den.

One of our member even tried to push this stock, by asking query on it. So, request and advice to all, to stop listening to fraud experts and unreliable media, who otherwise land you to buy such junk.

This is not a Buy recommendation, but BIG CAUTION, while stock recommendations are provided exclusively to our paid members in the Member Zone.