Jaypee Assc up on the buzz

Jaiprakash Associates is up almost 3% at Rs.38.35, its current intra day high. Volumes remain muted at just over 4 lakh shares being traded this morning.

The stock is up once again on news that it has shortlisted two cement units in Himachal Pradesh for sale and once again these sales are for trimming its high debt.  Both these units are located in Solan district, one is a 2 million tones plant and another is a 2 million tones grinding unit. This was commissioned in 2010 and enjoys excise benefits.  The balance sheet of the group is extremely stretched and debt is estimated at a staggering Rs.64,000 crore. Jayee aims to reduce debt by Rs.15,000 crore in the current fiscal.