Shares of Jindal Steel and Power today fell by 6.3 per cent after government rejected its bids for 3 coal mines, eroding the company's market value by Rs 951.5 crore.
During the day the stock slumped nearly 15 per cent to touch intra-day low of Rs 140.25 on the BSE. The stock, however, gained some lost ground and settled for the day at Rs 154.55, down 6.30 per cent.
Accordingly, the market capitalisation of the company declined by Rs 951.5 crore to Rs 14,139.84 crore.
On Saturday, the government rejected JSPL's winning bids saying the assets were undervalued during the auction of coal blocks held recently.
"Bids for Gare Palma IV/1, IV/2, IV/3 and Tara coal blocks not accepted," Coal Secretary Anil Swarup said in a late night tweet on Saturday.
Jindal Power had emerged as successful bidder for Gare IV/2, Gare Palma IV/3 and Tara Coal blocks while Bharat Aluminium Company(Balco) had emerged as successful bidder for Gare Palma IV/1 coal block.
