The initial public offer of Precision Pipes and Profiles Company, a Delhi-based OEM supplier to the automobile industry, has received good response, subscribed 9.97 times, till 5 pm, as per NSE website.
The public issue received bids for 5.34 crore equity shares as against 53.57 lakh shares on offer.
The company had entered capital market with an public issue of shares of face value of Rs 10 each at a price band of Rs 140-150 per equity share.
The company is hoping to raise around Rs 75 crore from the issue to fund its expansion initiatives.
Post the issue, the promoter and promoter group holding would be reduced to between 62.69 and 64.29 per cent.
The company is currently in the process of increasing its production capabilities from 4.75 million kg to 9.14 million kg by 2008-09. It is also setting up a new plant for manufacturing of auto components and also a new plant for electrical outlet system products for Power and Data Corporation Pty Ltd, Australia.
UTI Securities Limited and Nexgen Capitals Limited are book running lead managers while Intime Spectrum Registry is registrar to the issue
Source: Moneycontrol.com
Showing posts with label Precision Pipes and Profiles Company IPO. Show all posts
Showing posts with label Precision Pipes and Profiles Company IPO. Show all posts
Thursday, December 20, 2007
Tuesday, December 18, 2007
Apply for Precision Pipes IPO
Prabhudas Lilladher has come out with report on Precision Pipes and Profiles Company. The firm has recommended subscribing to the issue.
PPAP, a Delhi-based OEM supplier to the automobile industry, has opened for subscription with an initial public offering (IPO) of 50-lakh shares of face value of Rs 10 each at a price band of Rs 140-150 per equity share. The bids will close on December 20.
Prabhudas Lilladher report on Precision Pipes and Profiles Company IPO
Precision Pipes and Profiles Company (PPAP) is an OEM supplier of plastic extrusion products to nearly all brands/models produced by Maruti Suzuki, Honda Siel, General Motors and Toyota Kirloskar. With a number of global auto majors setting up their manufacturing base in India, the country is set to witness tremendous boom in the auto component industry. In order to cater to this growing demand from customers, PPAP is expanding its capacity from the current 4.75 million kg to 9.15 million kg at a cost of Rs915m.
Additionally, PPAP has entered into an agreement with Power and Data Corporation (PDC), Australia to manufacture and supply the worldwide patented Novell Mainline system (low voltage electrical outlet system) to authorised distributors of PDC for which it is setting up a new plant at Badarpur, Delhi at an estimated cost of Rs43.5m. The capacity expansion with an outlay of Rs 1,060 million would be part funded by the IPO and the balance by a term loan of Rs 250 million and internal accruals.
The company has sound fundamentals with three year revenue CAGR (upto FY07) of 25%, operating margin at 25%, and ROCE and ROE at 27.2% and 36.9% respectively. Our preliminary estimate of net profit is Rs170m for FY08E and Rs260m for FY09E. At the offer price of Rs140–150, the stock is available at 8.1x FY09E earnings of Rs18.5 at higher band and 7.7x FY09E earnings of Rs18.1 at lower band. Considering its impressive financials and robust growth prospects, we recommend Subscribe to the issue.
Source: Moneycontrol.com
PPAP, a Delhi-based OEM supplier to the automobile industry, has opened for subscription with an initial public offering (IPO) of 50-lakh shares of face value of Rs 10 each at a price band of Rs 140-150 per equity share. The bids will close on December 20.
Prabhudas Lilladher report on Precision Pipes and Profiles Company IPO
Precision Pipes and Profiles Company (PPAP) is an OEM supplier of plastic extrusion products to nearly all brands/models produced by Maruti Suzuki, Honda Siel, General Motors and Toyota Kirloskar. With a number of global auto majors setting up their manufacturing base in India, the country is set to witness tremendous boom in the auto component industry. In order to cater to this growing demand from customers, PPAP is expanding its capacity from the current 4.75 million kg to 9.15 million kg at a cost of Rs915m.
Additionally, PPAP has entered into an agreement with Power and Data Corporation (PDC), Australia to manufacture and supply the worldwide patented Novell Mainline system (low voltage electrical outlet system) to authorised distributors of PDC for which it is setting up a new plant at Badarpur, Delhi at an estimated cost of Rs43.5m. The capacity expansion with an outlay of Rs 1,060 million would be part funded by the IPO and the balance by a term loan of Rs 250 million and internal accruals.
The company has sound fundamentals with three year revenue CAGR (upto FY07) of 25%, operating margin at 25%, and ROCE and ROE at 27.2% and 36.9% respectively. Our preliminary estimate of net profit is Rs170m for FY08E and Rs260m for FY09E. At the offer price of Rs140–150, the stock is available at 8.1x FY09E earnings of Rs18.5 at higher band and 7.7x FY09E earnings of Rs18.1 at lower band. Considering its impressive financials and robust growth prospects, we recommend Subscribe to the issue.
Source: Moneycontrol.com
Monday, December 17, 2007
Precision Pipes IPO opens for subscription
Precision Pipes and Profiles Company, a Delhi-based OEM supplier to the automobile industry, is open for subscription with an initial public offering (IPO) of 50-lakh shares of face value of Rs 10 each at a price band of Rs 140-150 per equity share. The bids will close on December 20.
The company is hoping to raise around Rs 75 crore from the issue to fund its expansion initiatives.
Post the issue, the promoter and promoter group holding would be reduced to between 62.69 and 64.29 per cent.
The company is currently in the process of increasing its production capabilities from 4.75 million kg to 9.14 million kg by 2008-09. It is also setting up a new plant for manufacturing of auto components and also a new plant for electrical outlet system products for Power and Data Corporation Pty Ltd, Australia.
The total investment is expected to be around Rs 106 crore, out of which Rs 75 crore will be from the IPO, Rs 25 crore through term loans and the remaining Rs 6 crore from internal accruals.
The company for the financial year ended March 31, 2007, had a turnover of Rs 109.28 crore compared with Rs 80.35 crore posted during the same period of the previous year.
The net profit for the last financial year was at Rs 13.87 crore compared with Rs 7.99 crore recorded for the financial year ended March 31, 2006.
UTI Securities Limited and Nexgen Capitals Limited are book running lead managers while Intime Spectrum Registry is registrar to the issue.
Source: Moneycontrol.com
The company is hoping to raise around Rs 75 crore from the issue to fund its expansion initiatives.
Post the issue, the promoter and promoter group holding would be reduced to between 62.69 and 64.29 per cent.
The company is currently in the process of increasing its production capabilities from 4.75 million kg to 9.14 million kg by 2008-09. It is also setting up a new plant for manufacturing of auto components and also a new plant for electrical outlet system products for Power and Data Corporation Pty Ltd, Australia.
The total investment is expected to be around Rs 106 crore, out of which Rs 75 crore will be from the IPO, Rs 25 crore through term loans and the remaining Rs 6 crore from internal accruals.
The company for the financial year ended March 31, 2007, had a turnover of Rs 109.28 crore compared with Rs 80.35 crore posted during the same period of the previous year.
The net profit for the last financial year was at Rs 13.87 crore compared with Rs 7.99 crore recorded for the financial year ended March 31, 2006.
UTI Securities Limited and Nexgen Capitals Limited are book running lead managers while Intime Spectrum Registry is registrar to the issue.
Source: Moneycontrol.com
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