IPO LISTING - PERSISTENT

The Pune based software product development company’s will be listed in the exchanges shortly. The company issued 41, 39,000 equity shares, apart from offer for sale of 12, 80,706 equity shares of Rs 10 face value, in the upper price band. The share is likely to list in excess of Rs 400/- as against the issue price of Rs 310/-

FORTHCOMING - IPOS

1.AVANTHA POWER AND INFRASTRUCTURE LIMITED.
2.COMMERCIAL ENGINEERS & BODY BUILDERS CO LIMITED.
3.GENUS PAPER PRODUCTS LIMITED.
4.GYSCOAL ALLOYS LIMITED.
5.CAREER POINT INFOSYSTEM LIMITED.
6.MITTAL CORP LIMITED.
7.SEL TEXTILES LIMITED.

ACROPETAL PLANS IPO

NAME OF THE COMPANY	ACROPETAL TECHNOLOGIES LIMITED
ISSUE SIZE	RS 170 CR
PROMOTERS	D RAVI KUMAR AND ASSOCIATES
BUSINESS	IT SOLUTIONS
BRLM	SAFFRON CAPITAL ADVISORS
OBJECTS	TO SET UP DEVELOPMENT CENTER, WORKING CAPITAL, REPAYMENT OF LOANS

RAMKY INFRA MULLS IPO

NAME OF THE COMPANY	RAMKY INFRASTRUCTURE LIMITED
ISSUE SIZE	RS 530CR
PROMOTERS	Alla Ayodhya Rami Reddy and ASSOCIATES.
BRLM	ENAM SECURITIES, Deutsche Equities
OBJECTS	REPAYMENT OF LOANS, WORKING CAPITAL REQUIREMENT

FORTHCOMING IPO - ELECTRO STEEL INTEGRATED LIMITED

NAME OF THE COMPANY	ELECTRO STEEL INTEGRATED LIMITED
ISSUE SIZE	PUBLIC ISSUE OF 368,772,000 EQUITY SHARES OF Rs. 10 EACH AT A PREMIUM
PROMOTERS	ECL
BRLM	EDELWEISS CAPITAL LIMITED ENAM SECURITIES PRIVATE LIMITED SBI CAPITAL MARKETS LIMITED
OBJECTS	To set up Integrated Steel and Ductile Iron Spun Pipes project

DQ ENTERTAINMENT LISTS AT RS 140

DQ ENTERTAINMENT'S SHARES WERE LISTED AT RS 140, AGAINST THE ISSUE PRICE OF RS 80/-

FIRST CHOICE HAD STRONGLY RECOMMENDED FOR SUBSCRIPTION TO THE ISSUE. ONCE AGAIN, THE RECOMMENDATIONS OF THE FIRST CHOICE WERE PROVED CORRECT.

IPO NEWS - GSPC FILES DRHP

NAME OF THE COMPANY	GUJARAT STATE PETROLEUM CORPORATION LIMITED
ISSUE DETAILS	PUBLIC  ISSUE OF 448,000,000 EQUITY SHARES OF Re. 1 EACH.
BUSINESS	one of the leading oil and gas exploration, development and production companies in India
BRLM	JM Financial Consultants, Enam, ICICI Securities, SBI Caps, Kotak Mahindra

IPO INVESTING – KNOW YOUR MERCHANT BANKER

The performamence of IPOs and the BRLMs associated with the issues, listed from 01-01 -10 and listed until date, are furnished below.

NAME OF ISSUER	ISSUE PRICE	LISTING PRICE	CURRENT PRICE	MERCHANT BANKERS
JSW Energy	RS 100	RS 102	RS 115	JM Financial. Kotak Mahindra , ICICI Securities , IDFC-SSKI, JP Morgan , SBI Capital Markets , Morgan Stanley and IDBI Capital
GODREJ PROPERTIES	RS 490	RS 510	RS 504	ICICI Securities, Kotak Mahindra, IDFC- SSKI LIMITED and Nomura Financial Advisory.
DB CORP	RS 212	RS 250	RS 254	Enam Securities, Citi Corp Markets, Kotak Mahindra Capital.
MBL INFRA	RS 180	RS 190	RS 215	Motilal Oswal
BIRLA SHLOKA	RS 50	RS 49	RS 70	Ashika Capital
INFINITE COMP	RS 165	RS 178	RS 197	IIFL, SPA Merchant Bankers
JUBILANT FOODS	RS 145	RS 162	RS 338	Kotak Mahindra
SYNCOM	RS 75	RS 88	RS134	Chartered Capital
VASCON	RS 165	RS 170	RS 147	Kotak Mahindra, Enam Securities
AQUA LOGISTIC	RS 220	RS220	RS 259	Saffron Capital, Centrum Capital
EMMBI	RS 45	RS 45	RS22	Keynote
DB REALTY	RS 468	RS 430	RS 452	Enam Securities, Kotak Mahindra
HATHWAY	RS 240	RS 242	RS 205	Morgan Stanley, UBS Securities, Kotak Mahindra
ARSS INFRA	RS 450	RS 640	RS 932	IDBI Capital Markets, SBI Capital Market
REC	RS 203	RS 230	RS 250	Kotak Mahindra Capital,  DSP Merrill Lynch, ICICI Securities, JM Financial Consultants, RBS Equities
TEXMO PIPES	RS 90	RS 101	RS98	Almondz Global
MAN INFRA	RS 252	RS 330	RS 383	IDFC – SSKI, Edelweiss Capital.
UNITED BANK	RS 66	RS 77	RS 67	SBI Capital Markets, Edelweiss Capital, Enam Securities.
NMDC	RS 285	RS 320	RS 304	UBS Securities, CITI group global, Edelweiss Capital, Kotak Mahindra Capital, Morgan Stanely and RBS Equities.

FORTH COMING IPO - 1. RDB RASAYANS LIMITED 2. SKS MICRO FINANCE

1.

NAME	RDB RASAYANS LIMITED
PROMOTERS	. SUNDER LAL DUGAR, MR. VINOD    DUGAR AND MS. SHEETAL DUGAR
ISSUE	ISSUE OF 45,00,000 EQUITY SHARES OF RS.10 EACH FOR CASH AT A PREMIUM
BRLM	Chartered Capital And Investment Limited

2.

NAME	SKS MICRO FINANCE LIMITED
PROMOTERS	SEQUOIA
ISSUE SIZE	RS 1150CR
OBJECTS	EXPANSION, WORKING CAPITAL

INTRASOFT SUBSCRIBED 19 TIMES

IntraSoft Technologies's IPO received good response.Its issue of 37, 00,000 equity shares of Rs 10/- each in the price band of Rs 137-145 was subscribed by 19 times. FIRST CHOICE HAD RECOMMENDED FOR SUBSCRIPTION TO THE ISSUE.

FORTH COMING IPO - RUSHIL DECOR LIMITED

NAME OF THE COMPANY	RUSHIL DÉCOR LIMITED
PROMOTERS	GHANSHYAMBHAI AMBALAL THAKKAR. KRUPESH GHANSHYAMBHAI THAKKAR, KRUPA KRUPESH THAKKAR AND ASSOCIATES
ISSUE SIZE	56,43,750 EQUITY SHARES
BRLM	CORPORATE STRATEGIC ALLIANZ LIMITED, INDBANKING MERCHANT BANKING SERVICES LIMITED

IPO NEWS GUJARAT PIPAVAV

NAME OF THE COMPANY	GUJARAT PIPAVAV PORT
ISSUE SIZE	RS 500CR
OBJECTS	INFRASTRUCTURE DEVELOPMENT, REPAYMENT OF LOANS
PROMOTERS	PRAKASH TULASIANI

IPO NEWS - MICROSEC FILES DRHP

NAME OF THE COMPANY	MICROSEC FINANCIAL SERVICES LIMITED
ISSUE SIZE	80,00,000 EQUITY SHARES
BRLM	SBI CAPITAL MARKETS LIMITED
OBJECTS	EXPANSION OF BROKING BUSINESS
IPO GRADING	2/5 CRISIL
PROMOTERS	B L MITTAL, RAVI KANT SHARMA, RAKESH SONI

IPO NEWS - BEDMUTHA INDUSTRIES LIMITED PLANS IPO

The Nashik based steel wire manufacturer, is planning to raise funds, through IPO. The company intends to issue 1,00,00,000 equity shares of Rs 10/- face value, at a premium. Keynote Corporate services limited and Ashika Capital limited are the BRLMs.

IPO NEWS - GREATSHIP INDIA MULLS IPO

Graetship (India) Ltd, a subsidiary of GE Shipping Company Limited is considering IPO for raising funds for business expansion.

MINI ANALYSIS OF IPOS IN NEWS ARTICLES BENGALURU BLOG

FOR MINI ANALYSIS OF IPOS LOG ON TO NEWSARTICLESBENGALURU.BLOGSPOT.COM

REVIEW OF RECOMMENDATIONS

NAME OF THE COMPANY	ISSUE  PRICE	INITIAL LISTING PRICE	FIRST CHOICE RECOMMENDATIONS
1. EURO MULTIVISION	RS  75	BELOW OFFER PRICE	AVOID
2. INDIA BULLS  POWER	RS  45	BELOW OFFER PRICE	AVOID
3. DEN NET WORKS	RS 195	BELOW OFFER PRICE	AVOID
4. COX & KINGS	RS 330	ABOVE OFFER PRICE	APPLY
5. JSW ENERGY	RS 95	ABOVE OFFER PRICE	APPLY
6. GODREJ PROPERTIES	RS 490	ABOVE OFFER PRICE	APPLY
7. BIRLA SHLOKA	RS  50	BELOW OFFER PRICE	AVOID
8. INFINITE COMPUTERS	RS 165	ABOVE OFFER PRICE	APPLY
9. VASCON ENGINEERS	RS 165	BELOW OFFER PRICE	AVOID
10.HATHWAY CABLES	RS 240	BELOW OFFER PRICE	AVOID
11. REC	RS 203	ABOVE OFFER PRICE	APPLY
12. MAN INFRACONST.	RS 252	ABOVE OFFER PRICE	APPLY
13. UNITED BANK	RS 60	ABOVE OFFER PRICE	APPLY
14. DB REALTY	RS 468	BELOW OFFER PRICE	AVOID
15.EMMBI	RS 45	BELOW PRICE	AVOID

IPO ANALYSIS: GOENKA DIAMOND AND JEWELS LIMITED – MAY NOT GLITTER IMMEDIATELY – AVOID.

Goenka Diamond and Jewels, which is in the business of diamond manufacturing and retailing of diamond jewellery, plans to raise Rs 145cr from the market through IPO. The issue will open on 23-03-10 and closes on 26-03-10.  The company is offering 1, 00, 000, 00 equity shares of Rs 10 each, in the price band of Rs 135-145. CARE has awarded grade -2 for the IPO.  SBI Capital Markets Limited is the sole BRLM.

BUSINESS

The company is  one of the  leading  manufacturer  and  trader  of  cut  and  polished  diamonds  (CPDs)  in  the  country.  The company is also engaged in manufacturing and marketing of studded jewellery through its retail stores - G Wild and CERES. Goenka has state of the art facilities at Surat (Gujarat) and Goregaon (Mumbai).

Goenka Diamond initially was in the business of export of coloured stones and has since then expanded into diamond trade in 1994 and manufacturing of diamond studded jewellery in 2003. The manufacturing activity got boost in 2006, when the company established its own diamond-processing unit at an SEZ in Surat for processing of rough diamonds.  In 2007, the company also set up a facility for processing of rough diamonds in Mumbai to cater to the local market and for in-house jewellery making operations. Goenka  scaled  up the  diamond  jewellery  making operations  by  establishing  a  dedicated manufacturing  facility  in Mumbai  and  launched  the  first  jewellery retail store in July 2008.

OBJECTS OF THE ISSUE

The company intends to utilize the proceeds from the issue, among others, for retail expansion, for working capital requirements and establishing a jewellery manufacturing facility.

        FINANCIALS                   (RS IN CRORES)

	07	08	09
TOTAL INCOME	73.61	200.62	451.29
NET PROFIT	2.70	12.41	27.38
EPS (RS)	1.93	9.56	20.60
RONW (%)	7.55	27.34	37.14

           COMPARISON WITH THE PEERS

	TURN OVER (FY 09)	NET PROFIT	EPS	P/E	BV
CLASSIC DIAMOND	677.20	3.50	16.60	7.5	57
GEETANJALI	2693.90	126.90	14.60	7.20	226
SU-RAJ	2417.80	33.40	5.40	6.5	123
SHRENUJ	911.40	13.40	1.90	14.80	29
GOENKA	451.29	27.38	20.60	**	55

  

RISKS FACTORS

1.The company  faces  execution  risks  in scaling up  the  retail business, where  its    track  record  is limited.

2. The diamond processing facility is geographically located in one area.  Any localized unrest, political disturbances in the area could adversely affect results of operations. 

3. The requirement of high working capital will put pressure on the margins.

4. Family owned, controlled business enterprise.

VALUATION AND RECOMMENDATIONS

Other than Rajesh Exports Limited (Leading gold jewellery exporter), the stocks in this sector are not fancied by investors. Su-Raj Diamonds and Geetanjali Gems, whose turnover, net profit and BV is much more than the Goenka Diamonds are available at less than 7.5 P/E. At Rs 135-145, the valuation looks expensive compared to the established players in the industry.  Investors may stay away from the issue.