04 Jul 07 BEML FPO Subscription Details

The subscription for BEML FPO has ended. BEML FPO has performed extremely well. The BEML FPO has been subscribed by about 30.65 times (oversubscribed 29.65 times). The good thing about the BEML FPO is that retail category has only been subscribed by about 3.19 times (oversubscribed by 2.19 times). This means retail investors will get a decent allotment and since the FII category is heavily oversubscribed (oversubscription ratio : 62.33 times), the BEML stock price in the secondary market has already received a boost and is likely to remain strong in the coming days. All retail investors who applied in the BEML FPO for a quantity of over 15 shares will get firm allotment.

I feel BEML FPO will provide good listing gains for those who invested in the FPO.  BEML shares are already listed both on the NSE and the BSE and hence investors looking for listing gains can sell as soon as they get allotment. Investors who are risk averse and who feel that the price of BEML shares are likely to fall in the coming days can book their gains right now by using the arbitrage strategy which was described in a detailed manner in the ICICI Bank FPO post. However please be informed that the arbitrage strategy involves substantial capital requirements. Further, the transaction costs involved and the additional capital infused will dilute your overall ROI. Investors who have invested in the BEML FPO can expect to receive the FPO refund in the fourth week of July through ECS. Allotment is likely to be made on the third week of july. The allotment status of BEML FPO and the details for checking the allotment status online will be posted here as soon as they are available.

04 Jul 07 Vishal Retail Listing Price

Vishal Retail Limited listed today on the markets. Those who got allotment would have made a killing today. Unfortunately I was among the many who were not lucky enough to get allotment. Though I applied for 1050 shares (350 each in 3 applications) I didnt get any allotment. Vishal retail listed at around Rs. 650 and closed the day at 753, after touching a high of 784.5. Those who had got allotment would have made a listing gain of over Rs.11,000 if they had sold today. One wonders why the Vishal retail IPO was priced so cheaply. I believe it was a huge valuation mistake done by the investment bankers who managed the Vishal Retail IPO.

01 Jul 07 Allied Digital Services Limited IPO opens for subscription

Allied Digital Services Limited IPO will open for subscription tomorrow. Allied Digital Services Limited is a company based in Mumbai which operates in the IT / ITES space. With so many IPO’s hitting the market these day investors have lots of options to choose from. I’ve personally run out of capital to invest in IPO’s. I guess I’ll have to wait for the refunds to come in before applying for any further IPO’s.

01 Jul 07 DLF Listing Date

The DLF listing date is July 05 2007. DLF will list on both the NSE and the BSE. DLF will also be traded in the futures and options segment on listing. DLF is likely to list at a premium to its FPO issue price because of the institutional interest involved in the IPO and also because of the current secondary market conditions which seem encouraging. Further most retail investors will not be able to sell at listing because most of them have opted for part payment option and will end up having non tradable partly paid shares. This will decrease the selling pressure on listing.

01 Jul 07 HDIL IPO Subscription Details

The HDIL IPO which opened for subscription on Thursday has received decent subscription interest from institutional investors. CLSA says that the HDIL IPO has been priced at a 20-30% discount to its forward NPV. The only concern however is the fall in retail demand for property because of high interest rates. The HDIL IPO is good and investors should watch the subscription figures closely and take a call on whether to apply or not on 3rd July which is the final day of subscription.

01 Jul 07 Orbit Corporation Ltd. to enter metropolitan Mumbai

Orbit corp which is a leading real estate company is currently developing 17 properties consisting of a total space of 1.1 million sq ft space. Orbit Corp plans to start developing properties inside metroplolitan Mumbai. However, Orbit Corp has informed that it is experiencing over 30% drop in enquiries. Hope its entry into metroplolitan Mumbai changes this trend.

01 Jul 07 Reliance Retail faces problems in Mumbai

Reliance Retail has ambitious plans of having 100 Reliance Fresh stores in Mumbai by this year end. However Reliance retail is facing severe margin pressures becasue of the extremely low prices offered and also due to the high cost of inventory stored. Sources from reliance retail say that they are willing to incur losses initially in order to boost their market share. Reliance sure has the financial power to follow the loss-leader strategy and kill smaller competitors.

01 Jul 07 Everonn Systems India Limited IPO

Everonn Systems India Limited, a Chennai based knowledge management and training company, is coming out with an IPO through the book building process. Everonn Systems IPO will open for subscription on 5th July 2007 and will close for subscription on 11 July 2007. Everonn Systems India Limited has fixed the price band for the IPO between Rs. 125 and Rs. 140 per share. As per the DRHP, Everonn Systems India Limited will use the proceeds of the IPO for expansion of two of its business units and to build a war chest for mergers and aquisitions. Everonn Systems India Limited had recently raised about Rs. 14 crores at Rs. 96 per share through a pre IPO placement. Post IPO, the shares of Everonn Systems India Limited will be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). The lead manager for the Everonn Systems IPO is Centrum Capital Limited. The registrar for the Everonn Systems IPO is Cameo Corporate Services Limited. For updates on the subscription / oversubscription ratio of Everonn Systems Ltd IPO and to know the IPO allotment status, refund details and listing date of Everonn Systems IPO, do check this blog regularly.

Everonn Systems India IPO Prospectus
For more information, read the Draft prospectus of the Everonn Systems India IPO Issue.

01 Jul 07 Kernex Microsystems to issue bonus shares

The board of directors of Kernex Microsystems have recommended an issue of bonus issue in the ratio of 1 : 10 (1 bonus share for every 10 shares held), to the existing shareholders of Kernex Microsystems as appearing in the company’s register of shareholders, on the record date, which will be announced in a few days time. The bonus issue will be made by capitalising the free reserves of Kernex Microsystems.

01 Jul 07 Banco products to issue bonus shares

The board of directors of Banco products have recommended an issue of bonus issue in the ratio of 1 : 1 (1 bonus share for every 1 shares held), to the existing shareholders of Banco products as appearing in the company’s register of shareholders, on the record date, which will be announced in a few days time. The bonus issue will be made by capitalising the free reserves of Banco products.

01 Jul 07 Opto Circuits to issue bonus shares

The board of directors of Opto Circuits have recommended an issue of bonus issue in the ratio of 1 : 2 (1 share for every 2 shares held), to the existing shareholders of Opto Circuits as appearing in the company’s register of shareholders, on the record date, which will be announced in a few days time. The bonus issue will be made by capitalising the free reserves of Opto Circuits.