SRHHL , the holding Co. of TGV group, comprising of 1) Sree Rayalseema Alkalies and Allied Chemicals 2) Sree Rayalseema Hi-strength Hypo 3) Sree Rayalseema Power 4) Sree Rayalseema Green Energy 5) Sree Rayalseema Paper and a few others; is a debt FREE company with a BV of Rs. 25, and assets worth more than Rs. 35 crores comprising of 1.9 MW of Wind Power, 6 MW of Bio Mass Power Generation,Hatchery with an installed capacity of 80 million, land and buildings. Add to this the value of investments comprising of 1.12 Cr. shares of 1) , 9.6 lakh shares of 2) and many more companies listed and unlisted. A rough estimate of Investment valuation is Rs. 37 crores.This adds up to a total valuation of Rs. 72 crores vs. market cap. of only RS. 6 crores based on Rs. 5 CMP of the Rs. 10 paid up share of the Company..
For almost 2 years, Company is planning to diversify into Gas Compression business and once the project is complete there will be another revenue stream besides Investments, rent from property ,Power, and hatcheries..
In short , here is a company with market cap of only Rs. 6 crores and enterprise value of Rs. 72 crores..
Buy at CMP is recommended with atleast one year HOLD..
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