Vardhman Acrylics Free Lunch or Value Trap?

Vardhman Acrylics:

http://www.vardhmanacrylics.com/

This stock is at an interesting Juncture right now.Believe it or NoT, this company which has made  net profit of about 43.66 cr in recent financial year and 24.40 crore the year before ,it seems is available for free.

Now,how is that possible??

Lets take a look at the Balance Sheet data as on 31st March'2014 as available in the Annual Report.

Current Investments:11736.48 Lakhs

Non-Current Investments:7675.78 Lakhs

Cash & Cash Equivalents:582 Lakhs

Total: 19,994.26 Lakhs= Approximately 199 Crore. Now How much is Market Capitalization of this Company ? It's about 193 Cr.(approx.).

Now,The Company has negligible amount of Debt and has made profit in each of last five years.

So, right now  the market is not giving any value to its Operating Business which produced profit of about 43.66 cr. latest financial year.

Lets look at where the company has invested, are they kind of investments which are illiquid in nature?

They current investments of about 11,736.48 Lakhs are in Bonds and Mutual funds.

The Non-current investments of about 7675.78 Lakhs are in Equity Shares,Bonds and Mutual Funds.

How do we justify market cap-of 193(approx) cr for a company which has about 199 (approx)cr of  liquid investments and produces 43.66 cr(approx.) net profit and has negligible debt;did not make loss any of last five financial years? I am confused..

Disclosure:I happen to own the stock in my portfolio so it should be considered that I am positively biased.we do not vouch for the accuracy of facts and figures they are as per publicly available information and approximate data.THIS IS NOT A STOCK RECOMMENDATION ,ANY ACTION BASED ON THIS ANALYSIS MAY PROVE HAZARDOUS FOR YOUR PORTFOLIO.