Wednesday, November 30, 2016

LAURUS LABS IPO TO OPEN ON DEC 6, SETS PRICE BAND

Laurus Labs's IPO will open on Dec 6th. The company has fixed the price band at Rs 426-428 per equity share. The IPO is scheduled close on December 8.. The offer consists of fresh issue of equity shares aggregating up to Rs 300 crore and an offer for sale of 24,107,440 equity shares by the selling shareholders.

 Kotak Mahindra Capital Company, Citigroup Global Markets, Jefferies India and SBI Capital Markets are the Book Running Lead Managers to the IPO.


Tuesday, November 29, 2016

SHEELA FOAM IPO GETS VERY POOR RESPONSE ON DAY 1

Sheela Foam IPO has received just 1% subscription on day 1.

FORTHCOMING IPO: MEDIA BROADCAST LIMITED



                                                 ISSUE DETAILS





ISSUE SIZE
RS 400 CR PLUS OFS OF 26,58,518 EQUITY SHARES
FACE VALUE
RS 10
PRICE BAND
--

BUSINESS

MEDIA – FM RADIO CITY
PROMOTERS
JAGRAN PRAKASHAN LIMITED
LISTINGS
BSE, NSE
BRLMs
ICICI SEC

REGISTRAR
KARVY
IPO GRADE
NA

Monday, November 28, 2016

IPO ANALYSIS: SHEELA FOAM LIMITED – INVEST FOR LISTING GAINS


ISSUE DETAILS

ISSUE OPENS / CLOSES ON

29-11/01-12-2016
ISSUE SIZE / OFS

75,00,000 EQUITY SHARES
FACE VALUE
RS 5
PRICE BAND
RS 680-730

BUSINESS
Mfrs   / exporters of mattresses and comfort accessories / foam / lamination

PROMOTERS
SHEELA GAUTAM, RAHUL GAUTAM
LISTINGS
BSE, NSE

BRLMs
ICICI SEC, EDELWEISS FINANCIAL SEVICES
REGISTRAR
LINK IN TIME
IPO GRADE
NA

BUSINESS:

Sheela Foam is one of the leading manufacturers of mattresses and technical PU Foam in the country. Currently it owns and operates 11 manufacturing facilities. Sheela Foam sells mattresses under the brand ‘Sleepwell’.

Sheela Foam has developed a pan-India distribution network that consists of over 100 exclusive distributors, over 2,000 exclusive retail dealers and over 2,500 multi-brand outlets, as on September 30, 2016. The home comfort products are sold to retail end-consumers through exclusive distributors.

OBJECTS OF THE OFFER:

The objects of the Offer are to achieve the benefits of listing the Equity Shares on the Stock Exchanges.
The company will be offering up to 75 lac shares (at the lower end of the IPO).

FINANCIALS:

 (RS IN CRORES)

31-03-2015
31-03-2016
30-09-2016
(6 Months)
CAPITAL
16.26
16.26
24.39
REVENUES / TOTAL INCOME

1428

1567

804
NET PROFIT
43
105
66
EPS
8.75
21.48
13.52
RONW (%)
17
31
16

RISKS:
1. Demonetization effect: Slowdown in the real estate sector will affect the performance of the company.

2. Risks associated with the single product / segment.

3. Change in customer preferences / needs.

4. Increasing debtors’ level - For the Fiscal Year 2016 and the six months ended September 30, 2016, the trade receivables were Rs 117 cr and Rs 134 cr respectively, which constituted 7.47% and 16.65%, respectively, of the total revenues for the same periods.

5. Fluctuation in currency – Certain grades of polyols are imported.

6. The company had delayed payments of statutory dues in the past.

7. Faces stiff competition both from the organised and unorganized players in the market — Kurl-on, Duroflex and Coirfoam besides a few international brands.

STRENGTHS:

1. Well recognized and established brand.
2. Extensive and well developed pan-India sales and distribution network.
3. Quality manufacturing capabilities.
4. Integrated operations and economies of scale.

VALUATION AND RECOMMENDATIONS:

The offer is around 27PE, based FY 17 earnings, which is reasonable. However one should take the earnings of the previous year and current year with a pinch of salt. The net profit margin which was at 3% in FY15 has gone to 6.7% in FY 16 and well beyond 8 percent in the current financial year. BRLMs have to clarify for this kind of jack up of margins in the IPO bound year. Debtors levels are have gone up substantially in the last 12-15 months indicating either ‘manufactured sales’ or less demand for the products.

According to CRISIL the organised market in mattresses in India constitutes around 35 per cent of the total market and is growing at a faster pace, thanks to increasing preference for branded products among consumers. Sleepwell holds 20-23 per cent market share in the organised segment.
Considering high percentage of promoters holding, (post IPO the promoters will hold around 70 percent), there could be listing gains.
INVEST FOR LISTING GAINS.



Thursday, November 24, 2016

FORTHCOMING IPO: SHEELA FOAM LIMITED



ISSUE DETAILS


ISSUE OPENS / CLOSES ON

29-11/01-12-2016
ISSUE SIZE / OFS

75,00,000 EQUITY SHARES
FACE VALUE
RS 10
PRICE BAND
RS 680-730

BUSINESS
Mfrs   / exporters of mattresses and comfort accessories / foam / lamination

PROMOTERS
SHEELA GAUTAM, RAHUL GAUTAM
LISTINGS
BSE, NSE

BRLMs
ICICI SEC, EDELWEISS FINANCIAL SEVICES
REGISTRAR
LINK INTIME
IPO GRADE
NA

Wednesday, November 23, 2016

Popular News This Week



 
Weekly News Digest
 

 
 
 
 
 
Gujarat CM Vijay Rupani dials Arun Jaitley, RBI chief Urjit Patel on co-op banks note swap´┐Żban
 
Gujarat CM Vijay Rupani dials Arun Jaitley, RBI chief Urjit Patel on co-op banks note swap�ban
 
 
financialexpress.com ·

FirstChoiceIPO says:
Pl do not permit co-op banks to swap notes. The very purpose of demonetization will be defeated if that is done.

BSE CHANGES CIRCUIT FILTER FOR 16 STOCKS

BSE has changed circuit filter for 16 stocks with effect from November 23, 2016.


Sr. No.
Scrip Code
Scrip Name
Circuit Filter % Revised to
1
511333
VLS Finance Ltd
10
2
511523
Veerhealth Care Ltd
10
3
530047
Rai Saheb Rekhchand Mohota Spinning & Weaving Mills Ltd
10
4
532910
Anil Ltd
10
5
538476
Capital Trade Links Ltd
10
6
503169
Ruby Mills Ltd
10
7
538542
Gold Coin Health Foods Ltd
5
8
538963
Pact Industries Ltd
5
9
539223
Ambition Mica Ltd
5
10
533608
RDB Rasayans Ltd
5
11
535917
GCM Commodity & Derivatives Ltd
5
12
506734
Mysore Petro Chemicals Ltd
5
13
507794
Khaitan Chemicals & Fertilizers Ltd
5
14
530067
CSL Finance Ltd
5
15
532219
Energy Development Company Ltd
5
16
532711
Sunil Hitech Engineers Ltd
5