Indian IPO

All details about Hot Indian Primary Market.

Wednesday, May 31, 2006

Broadcast Initiatives files DRHP with Sebi

Broadcast Initiatives, the media company that recently launched the news and views channel "JANMAT", promoted by the Adhikari Brothers, has filed draft red herring prospectus, DRHP, with the Securities & Exchanges Board of India, Sebi, to the enter the capital market with an initial public offering, IPO.

The company proposes to issue 85,50,000 equity shares of Rs 10 each for cash at a premium to be decided through the book building process. The equity shares will be listed on the BSE and NSE. The issue would constitute 44.27% of the fully diluted post issue equity capital of the company.

Proceeds from the issue will be used to part finance construction of a studio and purchase of equipments necessary for successful operation of its recently launched news and views television channel "JANMAT" besides other corporate purposes and retiring debts.

The sole book running lead manager to the issue is Allianz Securities.

Tuesday, May 30, 2006

Vigneshwara Exports IPO opens on June 7

Vigneshwara Exports, the company in home textile business of made ups for more than a decade, proposes to enter capital market on June 7th, 2006 with a public issue of 47,60,000 equity shares of Rs 10 each through book building process.

The issue closes on June 13th, 2006 and the price band has been fixed at Rs 121 to Rs 140 per equity share of Rs 10 each.

The issue would constitute 46.21% of the total post issue paid up equity capital of the company.

Karvy Investor Services is the BRLM for the issue and Bigshare Services private is the registrar.

Out of the public issue, 3,60,000 equity shares have been reserved for eligible employees leaving the net issue to the public of 44,00, 000 equity shares. The issue is being made through 100% book building process where in up to 50% of the net issue to the public shall be offered on a proportionate basis to qualified institutional buyers.

Five per cent of the portion available for allocation to QIBs shall be allocated proportionately to mutual funds. Further not less than 15% of the net issue to the public shall be available for the allocation on a proportionate basis to Non-institutional bidders and not less than 35% of the net issue to the public shall be available for allocation on a proportionate basis to retail individual bidders, subject to valid. Bids being received at or above the issue price 3,60,000 equity shares would be allotted on a proportionate basis to eligible employees.

Vigneshwara Exports proposes to set up a textile process and weaving house with an estimated investment of around Rs 200 crore (Rs 2 billion). The company has raised Rs 5.40 crore (Rs 54 million) through private placement and proposes to part finance this projects through a term loan of Rs 130.75 crore (Rs 1.30 billion). Part of the funding will be by way of internal accruals and to meet the balance fund requirement, the company proposes to enter the capital market with this public issue.

The company has a competitive edge by way of the lowest anti subsidy duty for its exports to the European Union. While the rest of the exporters in India have been levied with a duty ranging up to 12%, VEL enjoys an advantage till the January 18, 2009 with 4.4% anti subsidy duty on its exports, a significant portion of which are made to the European Union.

Vigneshwara Exports, the largest exporter of bed linen to Europe, launched its wide range of products in the USA during the New York market week. The company so far was concentrating on European markets only, however, in view of the impending vertical integration into weaving, processing and printing operations, the company had decided to introduce its high and medium segment product range into other markets like USA, Russia and Australia.

The growth in the company’s business can be judged from the fact that its total income has jumped from Rs 46.18 crore (Rs 461.8 million) for the year ended March 31st, 2002 to Rs 145.52 crore (Rs 1.45 billion) for the year ended March 31st, 2005 and the net profit during the same period has increased substantially from Rs 34 lakh to Rs 3.58 crore (Rs 35.8 million) respectively. During the first three quarters of the current year ended December 31st, 2005, the company has increased its net profit to Rs 7.75 crore (Rs 77.5 million) on a total income of Rs 115.56 crore (Rs 1.15 billion).

Monday, May 29, 2006

Renaissance Jewellery files for IPO

Mumbai-based Renaissance Jewellery Ltd (RJL) would be investing close to Rs 33 cr in retail expansion, capacity expansion and modernisation of existing facilities within next two years.

"The company will invest Rs 17 crore in retail ventures, Rs 11.5 crore in capacity expansion of its manufacturing unit at Bhavnagar and Rs 4.5 crore in modernization of current facility in the city,"said, RJL managing director Sumit Shah on sidelines of the launch of their exclusive store of International brand Lucera. In Mumbai
The store was launched by Renaissance Venture Private Limited (RRVPL), a 100 per cent subsidiary of RJL.

Company has plans to open 25 outlets in next 18 months in major cities including, Mumbai, Delhi, Kolkata, Chandigarh, Pune, Hyderabad, Ludhiana.
For its retail outlets company will focus on silver jewellery and 60 per cent of its jewellery in the newly opened store is in silver.
"Taking a call from rising gold prices and placing jewellery as an accessory, our collection is majorly in sterling silver, 18 karat gold and diamonds," he said.
The company is 100 per cent export oriented entity majorly supplying to US markets.
Renaissance has filed draft prospectus for its initial public offer (IPO) with the Securities and Exchange Board of India.

The company intends to offer 35.10 lakh equity shares of Rs 10 each at a price to be fixed through the book-building route.

Rathi Udyog FPO fixes issue price at Rs 50

Rathi Udyog, a leading manufacturer of long steel products in Northern India, announced that issue price has been fixed at the lower end of the price band of Rs 50 per share.

The company had entered the capital market with a follow-on public issue of equity shares to raise an aggregate amount of Rs 98 crore (Rs 980 million), of which the promoter’s contribution was Rs 40 crore (Rs 400 million) and the net issue to public Rs 58 crore (Rs 580 million). The issue, which was done through the book building process, which was opened for subscription/bids on May 19, 2006 and closed on May 25, 2006.

Despite a volatile secondary market during the period, the issue received good response and was oversubscribed by 1.27 times. The qualified institutional buyer’s portion was subscribed by 1.07 times and the retail portion was subscribed by 1.09 times, while the non-institutional investors’ portion received 2.31 times response.

The shares have proposed to be listed on Bombay Stock Exchange and Delhi Stock Exchange Association.

The book running lead manager to the issue was UTI Securities and BOB Capital Markets acted as the Co BRLM.

Saturday, May 27, 2006

Cambridge Tech plans Rs 35cr IPO

Cambridge Technology Enterprises Ltd, a Hyderabad-based IT services provider, is poised to enter the capital market with its maiden issue to meet its expansion plans, reports The Hindu Business Line.

The CFO, Mr Ramesh Reddy, said Cambridge, a SEI CMM Level 5 process company, has identified services oriented architecture as its main technology offering for enterprises globally.

The company simplifies enterprise technology architecture, thereby saving on enterprise costs and maintenance.

The company has also identified some target for acquisition and the issue would part-fund this expansion strategy. The company also plans to file a draft red herring prospectus with the SEBI by early June.

The company was carved out after the US operations were acquired by Unique Solutions and later renamed CellXchange.

The company was formed with funding from Internet Business Capital Corporation; Mr Bhasker Panigrahi and Mr Krishna Nandyala are core promoters. They expect to raise Rs 30-35 crore from the IPO.

Friday, May 26, 2006

Prime Focus IPO; QIB portion fully subscribed

The Qualified Institutional Buyers, QIB, portion of Prime Focus, initial public offer, IPO, is fully subscribed on the very first day of the opening of the issue today. The number of bids received totalled 12,62,772 in all categories.

The company’s 100% book building public issue of Rs 115 crore opened today with a price band of Rs 450-500 per equity share of Rs 10 each. The issue closes on May 31, 2006. Centrum Capital and ICICI Securities are the BRLMs for the issue.

Adlabs Films is a strategic investor in Prime Focus and has 4.66% of the existing equity capital. Other investors include Reliance Capital, who holds about 14.53% stake in Prime Focus, apart from Rakesh Jhunjhunwala and Rekha Jhunjhunwala, who holds 8.5% stake.

Prime Focus is India’s integrated end-to-end post production and visual effects service house. It has recently acquired a 55% stake in UK based VTR group, a media service company and a leading post-production group. The UK acquisition is part of company’s proposal of setting up studios in US, Dubai and Hyderabad.

Thursday, May 25, 2006

Global Vectra Helicorp files DRHP with SEBI

Global Vectra Helicorp, the largest dedicated offshore helicopter transportation services company in India servicing the oil and gas exploration and production sector, filed its Draft Red Herring Prospectus, DRHP with Securities and Exchange Board of India, Sebi on May 22, 2006 to enter the capital market with its proposed initial public offer.

The company proposes to enter the capital market with an offer of 3,500,000 equity shares of Rs.10 each for cash at a premium to be decided through the 100% book-building process.

Global Vectra Helicorp Limited has 12 Bell 412 helicopters. The company is involved in transporting crew and cargo of oil and gas companies to offshore oil platforms located approximately 50 to 100 Nautical Miles from the coastlines of India for their exploration and production activities. The company plans include expansion of its fleet and construction of its hangar at the Juhu Airport in Mumbai from the proceeds of this issue.

Of the total offer, the company will be issuing 2,800,000 fresh equity shares and the balance 7,00,000 equity shares are on offer for sale by one of the promoters, Azal Azerbaijan Aviation Limited which is a Vectra Group company. Other Vectra Group companies in India include Tatra Trucks India Limited and Terex Vectra Equipment Private Limited. The issue constitutes 25% of the fully diluted post issue equity capital.

The Book Running Lead Managers to the issue are SBI Capital Markets Limited and ICICI Securities Limited.

Unity Infraprojects IPO subscribed 2.37 times

Unity Infraprojects entered the capital market, with a public issue of Rs 34.43 lakh equity shares of Rs 10 each for cash, at a premium, which is to be decided through the book-building process.

The issue has been subsscribed 2.37 times, as per the NSE website at 9 pm May 25.

The qualified institutional buyer, QIB, has been subscribed 3.27 times. The retail portion has been subscribed 1.94 times.

The issue closed on May 24. The price band was fixed between Rs 651-732.

The company intends to use the net proceeds of the fresh issue to purchase capital equipment, prepay debt, invest in build operate-transfer (BOT) projects, fund working capital requirements and for general corporate purposes.

The issue comprises fresh issue of 27.68 lakh equity shares for Rs 10 each and an offer for sale of 6.75 lakh equity shares of Rs 10 each by Mr Avarsekar and other board members.

The company planned to reserve one lakh equity shares for permanent employees of the company and a balance of 33. 43 lakh equity shares would form the net issue to public. The sole book running lead manager to the issue is DSP Merrill Lynch .

Unity Infraprojects is one of India's leading engineering and construction companies. It provides integrated engineering, procurement and construction (EPC) services for civil construction and infrastructure sector projects.

Friday, May 19, 2006

Internet company Info Edge to come out with IPO

India's largest Internet company Info Edge (India) Limited which runs popular job site Naukari.Com, is planning to hit the market with an Initial Public Offering (IPO) in another two to three months.

"We are close to filing for an IPO. We will be coming out with an offer in next two to three months," Chief Operating Officer and Director of Info Edge Hitesh Oberoi said.

He, however, refused to divulge details of an IPO saying that the company is in a quiet period.

Apart from Naukari, the company runs matrimonial site Jeevansathi.Com and real estate website 99acres.Com.

Founded in 1990, majority of the shares of the company are still held by the promoters. It also has venture funding from ICICI and Kleiner Perkins Caufield and Byers.

The stake of ICICI ventures in the company stands at 10 per cent. Two years back the stake of ICICI in the company was 15 per cent, of which five per cent was bought back by Info edge.

Kleiner Perkins Caufield and Byers (KPCB) is the recent investor in the company.

"We brought KPCB as an investor to benefit from their experience in the internet space we had no pressing need for funds. They have funded some of the most successful Internet companies in the world, including Google, eBay and Amazon," Oberoi said.

PFC proposes Rs 60-70 price band for IPO - To file DRHP on May 22 with Sebi

The state-run Power Finance Corporation’s (PFC) price band for its proposed initial public offering (IPO) would range between Rs 60 and 70. The company would file its draft Red Herring prospectus (DRHP) with the market regulator Securities & Exchange Board of India (Sebi) on May 22. PFC’s IPO would be launched from July 1.

The IPO would be managed by Enam, ICICI Securities and Kotak Mahindra. PFC sources told FE, “PFC is looking at the price band of Rs 60-70.

The company will use the proceeds from IPO for pursuing its business plans. The company expects oversubscription of the proposed IPO alike NTPC.”

PFC proposes to raise around Rs 1,500 crore through the issue of 103 million fresh shares, or 10% of PFC’s pre-issue paid-up capital. In addition, the government is expected to sell 5% of its stake in the company’s pre-issue paid-up capital through the IPO.

Post-issue, the company would have 1.133 billion shares. The government’s stake in PFC would be reduced to 86.40% after the issue.

Currently, the government holds 100% equity, or 1.03 billion shares, in the company. The government is divesting 51.5 million shares in the IPO.

PFC, a non-banking finance company for the power sector, would only be the second state-owned power firm to be listed on the stock exchanges after NTPC. PFC chairman and managing director VK Garg declined to comment on the proposed IPO.

However, at a seminar on the power sector held in Mumbai on Sunday, Mr Garg said that PFC plans to increase its disbursements to $5 billion in 2007-08 from $2 billion in 2005-06. He said PFC’s disbursement for the current fiscal would be $3 billion.

Hutch Essar may not list this year

Hutchison Essar may not list on the bourses this year. The Indian arm of Hutchison Telecommunications International (HTIL) was expected to come out with an initial public offer (IPO) this year after it restructured the shareholding pattern in March to comply with FDI norms. But, HTIL CEO Dennis Lui said on Tuesday that the company is not in a hurry to tap the market as Hutchison Essar has strong capital reserves, international media reports said.

“We don’t want to set a timetable on this issue as there are too many factors out of our control,” he was quoted as saying. “The Indian unit could still grow as fast as we expected without going public,” he added. Hutchison Whampoa’s group MD Canning Fok said in March that he expected Hutchison Essar to list this year. “The simplified structure is an important step to prepare for a potential listing of Hutchison Essar and conforms to India’s new regulations on foreign direct investment in mobile telecommunications operators in India,” HTIL had said in March.

But, it had not specified any timeframe for the proposed listing. India is the biggest contributor to HTIL’s revenues, accounting for 72.9% of total subscribers. HTIL said earlier it would invest up to HK$10bn in the India market this year. Post-restructuring, Asim Ghosh, MD, Hutchison Essar and Analjit Singh, founder, Max Telecom, had become shareholders in the company. HTIL holds 49.8% in Hutchison Essar while Mr Ghosh has 4.7%, Analjit Singh (7.6%), Essar group (33%) and Hindujas (5.1%).

Meanwhile, the acquisition of BPL Group’s mobile business may have expanded Hutchison Essar’s footprint, but it has shrunk the telco’s average revenue per user per month (ARPU). Hutch, which had a blended (pre-paid and post-paid) ARPU of Rs 511 in the quarter ended December ’05, has seen a drop of Rs 57 during January-March ’06. This is the highest ever quarterly fall in ARPU witnessed by Hutchison.
On a year-on-year basis, Hutch’s ARPU has fallen 20% from Rs 568 in the quarter ended March ’05 to Rs 454 in the corresponding period of the last fiscal, according to figures announced by Hutchison Telecommunications International (HTIL) in its quarterly results.

The acquisition of BPL Mobile’s operations in Tamil Nadu, Maharashtra and Kerala circles in January ’06 brought 1.6m customers to Hutch, the strongest net additions to its customer base in a single quarter. Hutch had nearly 15.4m users in India, of which, nearly 3m are pre-paid while the rest are post-paid.

However, this subscriber addition resulted in reduction of Hutch’s pre-paid ARPU from Rs 310 in the December ’05 quarter to Rs 285 in the March ’06 quarter while for post-paid users, it went down from Rs 1,155 to Rs 1,118 during the period.

“The acquisition of BPL Mobile’s subscribers, which did not have high ARPUs, has affected the average revenue per user for Hutchison Essar. The company is unlikely to recover in forthcoming quarters as ARPUs continue to fall following reduced tariffs and increasing number of low-end subscribers,” said an analyst.

In line with industry trends, Hutch’s ARPU, has been reducing every quarter. However, due to the sudden dip, Bharti Airtel is closing the ARPU gap with Hutch. In the December quarter, Bharti’s blended ARPU was Rs 470 as against Rs 511 of Hutch, a difference of Rs 41. In the March quarter, while Hutch’s ARPU was Rs 454, Bharti was just Rs 12 away at Rs 442.

Unison Hotels in Rs 3,000 cr spread

Unison Hotels Ltd is considering an initial public offer or issue of shares to a foreign private equity partner this fiscal to fund a Rs 3,000 crore expansion plan, a top official said.

The plan, to be spread over four years, would involve setting up hotels in India's high technology cities, managing director Umesh Saraf said. "An IPO also seems like a good route to raise money. We are also open to an offer of foreign equity," said Saraf.

Unison's revenue stood at Rs 110 crore and net profit reached Rs 35 crore in the year to March. Saraf, whose family owns Unison and also has a 16% holding in Asian Hotels Ltd, said he expected the hotel industry in India to grow by about 15% each year.

Sunstar Overseas gets SEBI nod for IPO

Rice exporter Sunstar Overseas Ltd today said it will raise money from the capital markets through an initial public offer to fund its expansion plans.

The company has got SEBI approval for the IPO, it said in a release here.

The offering would be made through a 100 per cent book building issue, the company said.

The company would float an issue of 56 lakh equity shares of Rs 10 each of which 2.8 lakh shares would be issued to employees through an open offer while a net of 53.2 lakh equity shares would be offered to the public, it added.

The issue would constitute 34.96 per cent of the fully diluted post issue paid-up capital of the company.

Unity Infraprojects issue opens today

Unity Infraprojects issue opens today and will close on May 24. It has decided a price band between Rs 651 and Rs 732. The company will raise over Rs 220 crore with a public issue of Rs 34.43 lakh equity shares of Rs 10 each for cash, at a premium, which is to be decided through the book-building process.

The company intends to use the net proceeds of the fresh issue to purchase capital equipment, prepay debt, invest in build operate-transfer (BOT) projects, fund working capital requirements and for general corporate purposes.

The issue comprises fresh issue of 27.68 lakh equity shares for Rs 10 each and an offer for sale of 6.75 lakh equity shares of Rs 10 each by Mr Avarsekar and other board members.

The company has planned to reserve one lakh equity shares for permanent employees of the company and a balance of 33. 43 lakh equity shares would form the net issue to public. The sole book running lead manager to the issue is DSP Merrill Lynch .

Unity Infraprojects is one of India's leading engineering and construction companies. It provides integrated engineering, procurement and construction (EPC) services for civil construction and infrastructure sector projects.

Thursday, May 18, 2006

JRG Sec lists at Rs 55 on BSE

JRG Securities has listed on the stock exchange above its issue price at Rs 55 on the BSE. The stock was issued at Rs 40 per share.

On the BSE, at 10.08 am, the share is quoting at Rs 44.75, with volumes 5,45,154 shares. It has touched an intraday high of Rs 55 and an intraday low of Rs 43.10.

The share's BSE ID is 532745. It was subscribed 4.47 times.

JRG Securities had entered the capital market with intial public offer, IPO of 36.25 lakh equity shares with a face value of Rs 10 and premium of Rs 30.

The issue was meant to mobilise Rs 14.50 crore (Rs 145 million) for the up-gradation of the existing IT infrastructure, establishment of 30 new regional offices and for overseas expansion, Giby Mathew, Executive Director of JRG said.

This would probably the first time that FIIs, Mutual Funds, banks and Indian institutions have shown so much interest in such a small issue.

Deccan Aviation issue opens today

Deccan Aviation will hit the capital market with its inital public offer, IPO of 2.45 crore equity shares today. The issue will close on May 23 and the price band has been fixed at Rs 150 to Rs 175.

The company proposes to raise Rs 368.19 crore (Rs 3.68 billion) at the lower end of the price band and Rs 429.55 crore (Rs 4.29 billion) at the higher end of the price band. The issue will constitute 25 per cent of the fully diluted post issue paid-up capital of the company.

Enam Financial Consultants Private and ICICI Securities are book running lead managers for the issue and Karvy Computershare Private is the registrar to the issue.

The issue is being made through the 100 per cent book building process wherein at least 50 per cent of the issue shall be allotted to Qualified Institutional Buyers, QIBs on a proportionate basis out of which five per cent shall be available for allocation on a proportionate basis to mutual funds only.

Further, up to 15 per cent of the issue or the issue less allotment of the QIB portion and allocation to retail individual bidders will be allocated to non-institutional bidders.

The equity shares of the company are proposed to be listed on the NSE and the BSE.

The company proposes to utiltise the funds in setting up a training centre at Bangalore, setting up a hangar facility for base and medium-level maintenance checks at Chennai; and setting up infrastrucuture at airports.

Deccan Aviation Limited, a Bangalore based company operates Air Deccan, a low - cost commercial passenger airline and Deccan Aviation, a private helicopter and airplane chartering service in India. Air Deccan which began operations in Aug, 2003 was the first Indian airline to follow a no - frills, low - cost passenger airline business model. The business strategy focuses on offering low fares to attract cost conscious middle class and corporates, selecting new routes and reducing costs. Such a strategy seems to have worked well so far, as the airline has managed to corner a market share of 16% in three years of its operations. Deccan Aviation, India’s largest private heli - charter company provides heli - services for company charters, tourism, medical evacuation, off-shore logistics etc.

Gangotri Textiles issue opens today

Gangotri Textiles, the Coimbatore-based manufacturer of ‘Tibre’ brand of trousers and other textile products, will enter the capital market today with its public issue of equity shares of Rs 5 each. The company will raise funds aggregating Rs 55 crore. The issue closes on May 23.

The company has fixed the price price band of Rs 41-46 for the FPO.

SBI Capital Markets Ltd and Keynote Corporate Services Ltd are the BRLMs for the issue and Intime Spectrum Registry Ltd is the registrar.

The public issue is to part finance its expansion-cum-integrated production projects involving spinning, weaving, processing and garment facilities.

It will partly fund an expansion project of Rs 351 crore. The majority part comes in the form of term loans from different bankers. The company plans to put around Rs 140 crore in the weaving project and spinning will take around Rs 150 crore.

The company will be investing Rs 8 crore in garments, which will enhance the company's production capacity from 1000 garments to 4000 garments per day. The company expects the whole project to be completed by October 2007.

The company has also tied up with Switzerland based Trailer Ltd, which will help the company in establishing itself as an international brand. Trailer has got its own retail stores in several countries of Europe. They are present in 250 multi-front outlets in Europe, where Gangotri lacked European marketing experience. Trailer will promote the company's brand and help take it from national to international level.

Wednesday, May 17, 2006

Major investment to be made in textile sector: Hanung Toys

CMD of Hanung Toys & Textiles, Ashok Kumar Bansal says after the quota abolition, there is a lot of potential in textiles. Therefore the company plans to make a good amount of investment in it, he says.

But he also says that the toys business would not be ignored and the company is planning to increase its capacity in that segment by 25%.

Discussing the IPO that the company is planning, Bansal says the company's requirement is Rs 175 crore.

Excerpts from CNBC - TV18’s exclusive interview with Ashok Kumar Bansal:

Q: You intend to invest in soft toys and home fabrics textiles from the IPO proceeds. What would be the break up?

A: Our major investment will be in the textile sector because after the quota abolition, there is a lot of potential in textiles. But simultaneously, we are also going to expand our toys business. In toys, we are going to increase our capacity by 25%, which will be met through internal sources.

Q: How much land are you looking to acquire? What kind of development plans do you have on that land?

A: We have already acquired 24 acres of land and we are going to put up a weaving plant, processing plant and a made-up unit on it. The total capacity of the weaving plant would be 21,000 meters per day, that of processing would be 1,00,000 meter per day and of the made up unit would be 16,000 sets per day.

Q: When will they become operational?

A: It will go operational within this financial year.

Q; A major chunk of your revenues come from export market. Are you looking at diversifying your client base?

A; We are not depended on one buyer. We have more than 40 buyers and all our export turnover is scattered there. Right now, our domestic market is 10% and we want to focus more on the domestic market as more and more organized retail selling is coming up. We have already tied up with most of the new comers and our intention is to increase the domestic turnover to 25% of our total turnover.

Q: Will textiles be the key driver for you in FY07 and the years ahead?

A: Both out businesses will drive the company's growth because we are going to increase our turnover from the toys business too. In toys, as skilled labour is required, which India does not have much, we will be increasing the turnover by 25% only. In case of textile, huge quantum of machinery and labour is there. We are increasing our turnover very rapidly in the textile segment.

Q: How much money do you intend to raise through the IPO and what is your total requirement because you intend to go in a mix of debt as well as equity?

A: Our total requirement is Rs 175 crore. We have already tied up with various bankers for debt. It depends on how much we are able to raise from the market and accordingly we will utilize that portion.

Gangotri Textiles fixes price band of Rs 41-46 for FPO

Gangotri Textiles, the Coimbatore-based manufacturer of ‘Tibre’ brand of trousers and other textile products, proposes to enter the capital market on May 18 with a public issue of equity shares of Rs 5 each through book building process to raise funds aggregating Rs 55 crore. The issue closes on May 23.

The company has fixed the price price band of Rs 41-46 for the FPO.

SBI Capital Markets Ltd and Keynote Corporate Services Ltd are the BRLMs for the issue and Intime Spectrum Registry Ltd is the registrar.

The public issue is to part finance its expansion-cum-integrated production projects involving spinning, weaving, processing and garment facilities.

It will partly fund an expansion project of Rs 351 crore. The majority part comes in the form of term loans from different bankers. The company plans to put around Rs 140 crore in the weaving project and spinning will take around Rs 150 crore.

The company will be investing Rs 8 crore in garments, which will enhance the company's production capacity from 1000 garments to 4000 garments per day. The company expects the whole project to be completed by October 2007.

The company has also tied up with Switzerland based Trailer Ltd, which will help the company in establishing itself as an international brand. Trailer has got its own retail stores in several countries of Europe. They are present in 250 multi-front outlets in Europe, where Gangotri lacked European marketing experience. Trailer will promote the company's brand and help take it from national to international level.

Zenith Birla files draft for Rs 131cr

Steel pipe manufacturer Zenith Birla (India) has filed its draft prospectus with the market, for a public isuue of Rs 131 crore (Rs 1.31 billion), reports The Economic Times.

Zenith is raising funds primarily to set up additional facilities for manufacture of mechanical tubes for application in the auto components sector and also for augmenting the working capital requirement for its existing operations, it said in a release on Monday.

IDBI Capital Market Services and Keynote Corporate Service are the lead mangers of the issue.

Monday, May 15, 2006

Barak Valley Cements looking to raise Rs 40-50 cr from IPO

Barak Valley Cements Ltd (BVCL), a North-East based cement company, is looking to raise Rs 40-50 crore from its IPO to fund a slew of expansion initiatives.

The company, promoted by three North-East based entrepreneurs, plans to raise current capacity of cement production from 460 tonnes a day to 600 tonnes.

It is also in the process of putting up a biomass-based power station of 6 MW capacity close to the plant site.

BVCL, which manufactures ordinary Portland cement and Pozzolona Portland cement, is planning to put up a clinker-grinding unit with a capacity of 300 tonnes a day.

The company's production facilities in Badarpurghat, near Silchar, include laboratory facilities and employees around 400 people. Besides this, it also has a limestone crushing plant in Meghalaya.

"Taking advantage of the tax incentives schemes in the North-East, the company is looking at getting into the steel business with plans to set up a re-rolling plant in the future. It would use surplus power from its proposed power station to run the steel plant," said Mr Kamakhya Chamaria, Managing Director.

On the cement front, the company estimates a 1.5-million-tonne gap in demand and supply situation in the 2.4-million-tonne-a-year cement market in the North-Eastern States and plans to capitalise on the business opportunity in the region, which includes hydel projects being set up by NHPC, Jaiprakash Hydro, and others.Valley Strong Cement and Valley Strong Super are the company's main brands.

DLF files DRPH with Sebi


DLF Group today filed Draft Red Herring Prospectus, DRPH with the Sebi. The company has filed for USD 3-3.2 billion IPO issue.

The group has filed the IPO for 20.2 crore shares (202 million) excluding greenshoe of 1.7 crore shares (170 million).

It will use its IPO proceeds in part to acquire land, complete on-going projects and retire debts. The company’s land acquisition programme will cost Rs 6500 crore (Rs 65 billion), while the completion of on-going projects will cost about Rs 3100 crore (Rs 31 billion). The company also plans to repay loans to the extent of about Rs 4000 crore (Rs 40 billion).

The company has received approval to set up four special economic zones of a large size. Out of which, three are going to be a multi purpose special economic zone and one is going to be a collection of product specific zones in Amritsar.

Spice IPO likely by Nov, lines up Rs 2000cr capex

Spice Telecom may join Bharti Airtel and Reliance Communications Ventures (RCoVL) on the bourses, reports The Economic Times.

The telco, which offers mobile services in Punjab and Karnataka, has been valued at USD1 billion and may go for an initial public offer, IPO by November ’06.

The board of Spice is being reconstituted after Telekom Malaysia acquired 49% stake in the company. “The new board will be in place this week. It will subsequently consider listing of Spice,” the sources added. The valuation of Spice, which has around 2 million users, has been done by Deutsche Bank and Morgan Stanley.

It translates into USD 500 per subscriber and is half of what Vodafone paid for 10% stake in Bharti (USD 1,000 per subscriber). Bharti offers services in all the 23 telecom circles. If the Spice board decides to go ahead with the IPO, it will be the fourth telco to get listed after MTNL, Bharti and RCoVL.

Hutchison Essar and Idea Cellular are also contemplating similar moves. But no announcements have been made so far. Meanwhile, Telekom Malaysia has completed the acquisition of 49% stake in Spice by paying around USD 180 million to the company.

The new nine-member board will have three representatives each from Telekom Malaysia and BK Modi’s MCorp, which owns 51% in Spice. Three others will be independent directors. The new board will have Mr Modi as chairman and Spice MD Umang Das and Dilip Modi as members.

Yusof Annuar Yaacob, Prabhakar NK Singam and Shridhir Sariputta Hansa Vijayasurya will represent Telekom Malaysia. The three independent directors include Ernst & Young ex-chairman KN Memani and ITC former chairman KL Chugh, said sources. MCorp will look after day-to-day management in Spice.

The telecom company has also chalked out a Rs 2,000 crore (Rs 20 billion) plan for expansion in Karnataka and Punjab over the next two years. “Spice has arranged USD 50 million loan for capex from Development Bank of Singapore, DBS. The rest will be funded through internal accruals,” said sources.

Spice had also raised a USD 215 million debt from DBS. It has been used to repay shareholder and vendor loans. “The company has paid all debts as part of its restructuring exercise,” sources said.

Malwa Industries plans IPO

Malwa Industries plans IPO files DRHP with SEBI

Thursday, May 11, 2006

Reliance Petroleum lists at Rs 101.95 on BSE

Reliance Petroleum RPL had entered for subscription with a public issue of 135 crore equity shares of Rs 10 each for cash at a premium to be decided through 100% book building route.

The company has listed on the stock exchanges at Rs 101.95 on BSE and at Rs 99.95 on the NSE. The stock was issued at Rs 60 per share.

On the BSE, at 10.20 am, the share is quoting at Rs 89, with volumes of 53,51,429. It has touched an intraday high of Rs 101.95 and an intraday low of Rs 81.10.

On the NSE, at 10.06 am, the share is quoting at Rs 90, with volumes of 5,36,15,882. It has touched an intraday high of Rs 105 and an intraday low of Rs 88.05.

Its BSE ID is 532743 and the NSE ID is RPL.

Wednesday, May 10, 2006

5 movies to be produced in a yr: Asthavinayak Cinevision

Asthavinayak Cinevision is coming up with an IPO to expand its film production business.

CFO at Asthavinayak Cinevision, Shyam Sundar says, the company is looking at raising over Rs 50 crore through this issue. According to him, the company is coming out with an IPO to maintain pace of growth. The company is aiming at producing an average of five movies a year, he informs.

As of December 31, he says, the company did 66% business in production and 32% distribution, he says. Going forward too, the company's focus will be film production, says Sundar.

International Tractors plans IPO

International Tractors, ITL is planning to go in for an initial public offering, IPO and is in talks to offload a further 10-per cent stake to a private equity player to raise funds for its overseas expansion plans, reports The Hindu Business Line.

According to Mr L.D. Mittal, Chairman, ITL, the company is likely to go in for an IPO in the beginning of 2007. "Further we are in talks with a few private equity firms to offload about 7-10 per cent in ITL. This transaction, which should materialise in a month's time, would take the total number of private equity/strategic investors in ITL to four," he said.

ITL, which makes the Sonalika brand of tractors, had recently offloaded 10 per cent stake to private equity major 3i. Citigroup already holds 10 per cent stake in ITL, while Japanese tractor maker Yanmar has a stake of 12 per cent.

ITL plans to use the funds to set up/acquire tractor assembly units outside India. The company has identified Africa as a focus region and plans to set up two units in the continent. "The units should come up at a cost of Rs 100 crore each. This would be done in tie-up with a local joint venture partner," Mr Mittal said. ITL already has a marketing/distribution tie-up with the Tata Group to sell its tractors in Africa.

The company is also in talks to acquire a tractor company in Eastern Europe, which would allow it to build an export base for all of Europe. Setting up a manufacturing base in Eastern Europe has become advantageous after most countries in the region joined the EU, as these countries can now be utilised as a low-cost export base.

Tuesday, May 09, 2006

GMR Infra plans IPO

The Bangalore-based GMR Infrastructure had filed a red herring prospectus with the Securities and Exchange Board of India, Sebi, for an initial public offering, IPO.

Sources indicated that the monies garnered from the IPO would be used to finance capital projects including construction of roads and to undertake the modernisation of the New Delhi airport.

A consortium headed by GMR that includes Fraport, the operator of Frankfurt airport, and Malaysian Airport, has been selected by the Government to take up modernisation of the Delhi airport.

A quick look at GMR Infrastructure IPO:

Issue snapshot

* To raise Rs 1000 crore (Rs 10 billion)
* Issue of 4.533 crore shares of Rs 10
* No of shares pre issue: 28.575 crore
* No of shares post issue:33.1084 crore
* Equity dilution of 15%


Business

* 91% of revenues from power division
* 8.8% from road operations


Objects of the issue

* Investments in various SPV's
* Repayment of unsecured loans


Latest news

* ICICI venture picked minority stake in GMR
* Bought 5% stake for Rs 250 crore

Orient Craft to raise Rs 350cr

Leading apparel exporter Orient Craft will come out with an initial public offer, IPO later this year to raise about Rs 350 crore (3.5 billion) to fund expansion plans and will set up a Special Economic Zone (SEZ) in Gurgaon, reports The Economic Times.

"We are in the process of finalising the IPO and have appointed Kotak Mahindra as merchant banker," said, OCL Chairman and managing director Sudhir Dhingra.

Dhingra said the company will expand facilities and build infrastructure as part of growth plans. "Part of the money raised through the IPO will be used for setting up new facilities over the next two years," he added.

The company plans to invest Rs 200 crore for setting up new facilities in the National Capital Region. It already has 23 facilities in the area and manufactures 30 lakh garments in a month.

On the company's SEZ plans, Dhingra said it will be a 600-acre textile SEZ with an expected investment of Rs 2,000 crore (20 billion).

"We have already bought 400 acres and the rest will be purchased in a couple of months," he said, adding that the company will initially invest Rs 300-400 crore to set up manufacturing units in the proposed SEZ.

OCL is also "seriously contemplating" entering the domestic market. "We would enter the domestic market in collaboration with foreign brands this year," Dhingra said. Orient Craft is in talks with 3-4 international brands from the US and Europe who are currently not represented in India.

The company had a net profit of Rs 27 crore (270 million) in 2005-06 which it hopes will touch Rs 64 crore (640 million) this fiscal. Top line in the fiscal ending March 31, 2006, stood at Rs 745 crore (7.45 billion) and it expects this to rise to Rs 1,000 crore (10 billion) in 2006-07.

Sunday, May 07, 2006

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Air Deccan IPO opens on May 18, price band at Rs 150-175

Air Deccan is entering the capital market on May 18, 2006. It has fixed a price band of Rs 150-175 per share for its initial public offering, IPO.

Its issue size is between Rs 368-430 crore (Rs 3.68-4.30 billion).

R Gopinath, Managing Director of Air Deccan said that the company has kept the price band low keeping in mind the interest of short term investors as well as long term players.

Deccan Aviation incurred a net loss of Rs 19.5 crore (Rs 195 million) for the year-ended March 2005, on a net income of Rs 305.5 crore (Rs 3.05 billion). The loss for six months ended September 2005, was Rs 72.5 crore (Rs 725 million), on a net income of Rs 328.86 crore (Rs 3.28 billion).

Friday, May 05, 2006

DLF to file draft prospectus for its IPO by next week

Real estate major DLF group said it would file the draft prospectus for its initial public offering, IPO, with the Securities and Exchange Board of India, Sebi, by next week and hit the market some time in June or July, reports agencies.

"We are working for a regulatory approval. We will file the prospectus within next week. The IPO will come in June or July," DLF Group Chairman K P Singh.

DLF plans to raise over Rs 10,500 crore (Rs 105 billion) from the largest ever public issue, but before that it will issue bonus shares to existing shareholders, split stocks and privately place 3.5 crore of equity, for which the company has acquired nod of its stakeholders in EGM on April 20.

"The DLF's issue would be larger than the ONGC public offer (which had raised Rs 10,500 crore) to fund its expansion programmes and future growth," DLF Chief Financial Officer Ramesh Sanka had said but without disclosing the exact amount of mop-up.

Before coming out with 20 crore equity issue by June-end, the company would issue 7 bonus shares against each held by the existing shareholders, split stocks of face value of Rs 10 into Rs 2 and place 3.5 crore shares with foreign institutional investors or domestic institutional investors.

The company’s shareholders, at the extraordinary general body meeting in last month, gave approval to these decisions.

Plethico Pharmaceuticals lists at Rs 408 on BSE

Plethico Pharmaceuticals has listed at Rs 408 on the BSE and at Rs 366 on the NSE. The stock was issued at Rs 300 per share.

On the BSE, 09.56 am, the share is quoting at 490, with volumes of 49,605 shares. It has touched an intraday high of Rs 500 and and intraday low of Rs 408.

On the NSE, 09.56 am, the share is quoting at 499, with volumes of 12,997 shares. It has touched an intraday high of Rs 499 and and intraday low of Rs 366.

Its BSE ID is 532739 and the NSE ID is PLETHICO.

Plethico Pharmaceuticals, one of India's fastest growing pharmaceutical companies in herbal and nutraceuticals, had entered the capital market with an initial public offering, IPO, of 36,66,667 equity shares for raising Rs 110 crore (Rs 1.1 billion) from the market.

The shares offered constituted 10.76% of the fully diluted post issue paid up capital of the company, which stands at Rs 34.07 crore (3,40, 66,667 shares). As a result the promoter's shareholding had come down to 87.01% of the post issue paid up capital.

Plethico has chosen the path of being a multi-product company, with a large global presence and has the following product range: Herbal and Allopathic Formulations, Consumer Healthcare Products and Nutraceuticals, Food Supplements, Disposables and Hospitals Consumables, and Veterinary Products. The company has a portfolio of more than 400 formulations in more than 39 therapeutic segments.

Plethico has two fully integrated state-of-the-art manufacturing units located near Indore, which serve as the backbone of the entire operations. These facilities are being upgraded as per stringent norms of UK MHRA.

Anand Rathi Securities was the sole book running lead manager and Enam Securities was the syndicate member, while Intime Spectrum Registry was the registrar to the issue.

Thursday, May 04, 2006

DCB to raise Rs 300cr through IPO route

The Development Credit Bank, an emerging private sector bank in India, would shortly go in for its initial public offering, IPO to raise Rs 300 crore (3 billion), reports The Economic Times.

The Aga Khan Fund for Economic Development, AKFED, an institution that supports economic development activities in the Third World, is its largest single shareholder and holds 69% of DCB's equity.

This IPO would reduce the AKFED stakes considerably, a top bank executive said.

P Vasudevan, Head, Consumer banking group of the bank told that the bank had applied for Sebi's permission for the IPO.

Being the first bank, which had been converted from a co-operative bank to private commercial bank, it wanted to increase its presence and make it a 'Pan India' one, he said.

The bank today launched its unique 'M-Power Current Account', claimed to be the first such in the country.

Under the scheme, the depositors need not maintain an average quarterly balance, but could still avail of several facilities like getting demand drafts up to Rs 50 lakh without paying any charges, free payable at par cheques up to Rs 50 lakh per month and electronic fund transfer facility upto Rs one crore a month, he said.

The depositors should pay an annual fee of Rs 2,500 for using these facilities, he said.

GMR Infra files red herring prospectus for IPO

The Bangalore-based GMR Infrastructure has filed a red herring prospectus with the Securities and Exchange Board of India, Sebi, for an initial public offering, IPO, reports The Hindu Business Line.

While company officials were tight-lipped about the IPO size, industry analysts estimate that it is expected to be in the range of Rs 800-1,000 crore (Rs 8-10 billion).

Sources indicated that the monies garnered from the IPO would be used to finance capital projects including construction of roads and to undertake the modernisation of the New Delhi airport.

A consortium headed by GMR that includes Fraport, the operator of Frankfurt airport, and Malaysian Airport, has been selected by the Government to take up modernisation of the Delhi airport.

JRG Sec IPO subscribed 4.47 times, to list in 3rd wk of May

JRG Securities intial public offer, IPO of 36.25 lakh equity shares with a face value of Rs 10 and premium of Rs 30, was subscribed 4.47 times, reports The Hindu Business Line.

The issue was meant to mobilise Rs 14.50 crore (Rs 145 million) for the up-gradation of the existing IT infrastructure, establishment of 30 new regional offices and for overseas expansion, Giby Mathew, Executive Director of JRG said.

Addressing a press conference, Regi Jacob, managing director thanked the retail investors, NRIs, companies, financial institutions, banks and foreign institutional investors, FIIs, for making the public issue a success. This would probably the first time that FIIs, Mutual Funds, banks and Indian institutions have shown so much interest in such a small issue.

With committed management and substantial investment in technology, the JRG management is highly confident of bringing to the common investor, the best that the country can offer in the investment arena, Regi Jacob said. The company expected the listing to be completed by the third week of May, for commencement of trading at the BSE.

JRG Sec IPO subscribed 4.47 times, to list in 3rd wk of May

JRG Securities intial public offer, IPO of 36.25 lakh equity shares with a face value of Rs 10 and premium of Rs 30, was subscribed 4.47 times, reports The Hindu Business Line.

The issue was meant to mobilise Rs 14.50 crore (Rs 145 million) for the up-gradation of the existing IT infrastructure, establishment of 30 new regional offices and for overseas expansion, Giby Mathew, Executive Director of JRG said.

Addressing a press conference, Regi Jacob, managing director thanked the retail investors, NRIs, companies, financial institutions, banks and foreign institutional investors, FIIs, for making the public issue a success. This would probably the first time that FIIs, Mutual Funds, banks and Indian institutions have shown so much interest in such a small issue.

With committed management and substantial investment in technology, the JRG management is highly confident of bringing to the common investor, the best that the country can offer in the investment arena, Regi Jacob said. The company expected the listing to be completed by the third week of May, for commencement of trading at the BSE.

25 new stores from IPO proceeds: Renaissance Jewellery

Renaissance Jewellery is coming out with an IPO to fund its expansion plans.
ED at Renaissance Jewellery, Hitesh Shah confirms that the money raised through the IPO will be used to set up 25 stores and for the working capital of the retail venture of the company.

Shah also says the company is planning to diversify its markets by foraying into the retail market in India through company-owned stores and in the overseas and export markets.

Renaissance Jewellery files draft prospectus for IPO

Mumbai-based Renaissance Jewellery has filed draft prospectus for its initial public offer, IPO, with the capital market regulator, the securities and exchange board of India, Sebi, as per the company announcements.

The company intends to offer 35.10 lakh equity shares of Rs 10 each for cash at a price to be discovered through the book-building route. The issue would constitute 35% of the fully diluted post issue paid-up capital of the company.

“We have filed the red herring draft prospectus with Securities and Exchange Board of India on April 28 last, and when to hit the market depends on market conditions,” Hitesh Shah, Executive Director, Renaissance Jewellery said.

A 100% export oriented unit, EOU, Renaissance Jewellery is a leading manufacturer of studded gold, platinum and silver jewellery for over 10 years. The company has manufacturing unit at Mumbai (two units located at SEEPZ, SEZ, Andheri, Mumbai) and one unit at Bhavnagar, Gujarat.

The product portfolio includes rings, earrings, pendants, bracelets, necklaces etc. The company product development team, on an average develops about 400 new designs every month. Among the other, the products are sold to global retail chains and distributors who in turn sell it to the end customers.

The company has won laurels from Wal-Mart as “Supplier of the Year” for the year 2004 as also from Rio Tinto Diamonds which conferred it with “Business Excellence Model”, BEM certification.

The book running lead manager for the issue is UTI Securities and the registrar to the issue is Bigshare Services.

Renaissance Jewellery files draft prospectus for IPO

Mumbai-based Renaissance Jewellery has filed draft prospectus for its initial public offer, IPO, with the capital market regulator, the securities and exchange board of India, Sebi, as per the company announcements.

The company intends to offer 35.10 lakh equity shares of Rs 10 each for cash at a price to be discovered through the book-building route. The issue would constitute 35% of the fully diluted post issue paid-up capital of the company.

“We have filed the red herring draft prospectus with Securities and Exchange Board of India on April 28 last, and when to hit the market depends on market conditions,” Hitesh Shah, Executive Director, Renaissance Jewellery said.

A 100% export oriented unit, EOU, Renaissance Jewellery is a leading manufacturer of studded gold, platinum and silver jewellery for over 10 years. The company has manufacturing unit at Mumbai (two units located at SEEPZ, SEZ, Andheri, Mumbai) and one unit at Bhavnagar, Gujarat.

The product portfolio includes rings, earrings, pendants, bracelets, necklaces etc. The company product development team, on an average develops about 400 new designs every month. Among the other, the products are sold to global retail chains and distributors who in turn sell it to the end customers.

The company has won laurels from Wal-Mart as “Supplier of the Year” for the year 2004 as also from Rio Tinto Diamonds which conferred it with “Business Excellence Model”, BEM certification.

The book running lead manager for the issue is UTI Securities and the registrar to the issue is Bigshare Services.

IPO proceeds to fund buyouts, capex: HOV Services

HOV Services is one of the very few BPO companies that are listed and is coming out with an IPO now. It provides BPO services to finance and accounting business sector

Tuesday, May 02, 2006

Dr IT Planets` IPO by year-end

Chandigarh-based Dr IT Planets, which is in the business of software development and bringing up call centres, has major expansion plans in Northern India, reports Business Standard.

Its turnover is expected to go past Rs 50 crore (Rs 500 million) from the current Rs 10 crore (Rs 100 million), after the completion of its project by the end of this year. To funds its expansion plans, the company will be coming up with an initial public offer, IPO, by the end of the year.

With its focus on the international arena, the company has decided to open a 1,200-seat call centre each in Noida and Mohali. Also, the company is going to come up with an IT SEZ in Greater Noida.

Deepti Mahajan, director, Dr IT Planets, said the total investment for the three projects was going to be approximately Rs 15 crore (Rs 150 million).

"In Mohali, a 1,200-seat call centre and a BPO unit will come up in a one-acre plot. Along with it, the Noida call centre, which is going to be operational by August, will be catering largely for the international market," Mahajan said.

Work on the IT SEZ in Greater Noida will start soon, where incubation facilities for six to seven IT companies will be available. The SEZ will be spread over four-five acres.

The seven-year-old company provides integrated business process outsourcing solutions, contact centre operations, voice-based and web-based, high-end IT training, call centre operations, and software development, for domestic and global clients from its operations centres in India.

With its presence in Chandigarh and Jaipur, and with an overseas subsidiary in New Zealand, the company is now thinking of opening offices in the UK, Australia, and the US. The Chandigarh and Jaipur centres are both 500-seat call centres cum BPO units.

Going on the backward integration path, the company has plans to start an information technology educational institute near Banaur in Patiala, where it has purchased 30 acres.

Monday, May 01, 2006

Public issue on schedule, says DLF

Real estate major DLF group, said that its mega IPO is on scheduled with the Rs 13,000 crore (Rs 130 billion) issue to hit the market some time in June-end or the first half of July, as per original plans. “Short-term fluctuations will not impact our IPO,” Ramesh Sanka, CFO, DLF group said, reports The Economic Times.

On being queried about the group’s plan of action, if it were not able to raise the entire Rs 13,000 crore from the primary issue, Sanka said the group would then approach banks for raising debt to meet the shortfall. As per objects of the issue, the group plans to pre-pay loans to the company to the tune of Rs 4,000 crore (Rs 40 billion), while earmarking Rs 6,500 crore (Rs 65 billion) for land acquisitions and Rs 3,100 crore (Rs 31 billion) for development and construction costs of existing projects.

Commenting on objections raised by certain minority shareholders and complaints filed to Sebi, he refuted those claims and said that the group has already sent its response to the market-watcher and will go by whatever decision Sebi takes in this matter.

As per consolidated financial performance of the group, it recorded sales turnover of Rs 1,291 crore (Rs 12.91 billion) in FY05-06, with net profit of Rs 199.4 crore (Rs 1.99 billion), based on percentage completion method over the last five years. However, according to Sanka, if one were to calculate the group’s net profit and turnover by percentage completion method, for only one year, the net profit would swell to Rs 410 crore (Rs 4.10 billion) over turnover of Rs 1,960 crore (Rs 19.60 billion).

He said, around Rs 6,000 crore (Rs 60 billion) worth of projects were currently under development. Of these, around Rs 4,000 crore (Rs 40 billion) related to residential and retail space, while the remaining was commercial office space.

L&T Infotech plans IPO in 2008

L&T Infotech, the wholly owned IT subsidiary of the USD 4-billion L&T, plans to go public with an initial public offering in 2008, by when the mid-tier firm would have added 6,000 people to its strength, reports DNA.

“Though we do not have to raise funds from the market, we intend to go public in the next two years to unlock the value of our Infotech subsidiary,” L&T chairman and managing director A M Naik said.

He said the public listing would help the infotech arm to be a mid-sized software and services firm that has adopts corporate governance and offer value to shareholders.

Naik, however, declined to spell out details, including the dilution of the parent company’s stake and the amount to be raised from listing.

L&T Infotech is planning to consolidate its operations with an investment of Rs 600 crore (Rs 6 billion) to set up three software development centres and expand its headcount to about 9,000 people in the next 18 months. L&T Infotech currently employs 3,000 professionals and plans to locate new campuses in Faridabad, Chennai and Bangalore, besides Mumbai.

“Unlike other stand-alone or captive IT majors for software services and applications, we are positioning Infotech as a provider of end-to-end solutions to domestic and overseas customers,” Naik said.

Naukri.com owner Info Edge plans to come out with IPO

Info Edge (India) Limited, which runs popular job site Naukri.com, is planning to hit the market with an initial public offering in another two to three months.

Apart from Naukri, the company runs matrimonial site Jeevansathi.com and real estate website 99acres.com.

Info Edge was founded in 1990 and has received venture funding from ICICI and Kleiner Perkins Caufield and Byers