Power Finance Corporation Ltd FPO (Power Finance FPO) Detail

May 10, 2011 - May 13, 2011

Power Finance FPO is a book built issue of Rs 4,578.20 crores.

Power Finance FPO bidding started from May 10, 2011 and ended on May 13, 2011. The shares got listed on BSE, NSE on May 27, 2011.

Power Finance FPO price band is set at ₹193 to ₹203 per share. The minimum lot size for an application is 28 Shares. The minimum amount of investment required by retail investors is ₹5,684.

Bofa Securities India Limited, Goldman Sachs (India) Securities Private Limited, ICICI Securities Limited and Jm Financial Limited are the book running lead managers of the Power Finance FPO, while Kfin Technologies Limited is the registrar for the issue.

Refer to Power Finance FPO RHP for detailed information.

Power Finance FPO Details

IPO Date	May 10, 2011 to May 13, 2011
Listing Date	May 27, 2011
Face Value	₹10 per share
Price Band	₹193 to ₹203 per share
Lot Size	28 Shares
Total Issue Size	229,553,340 shares (aggregating up to ₹4,578.20 Cr)
Issue Type	Book Built Issue FPO
Listing At	BSE, NSE
Share holding pre issue	1,030,450,000
Share holding post issue	1,147,766,700

Power Finance FPO Reservation

Power Finance FPO offers 229,553,340 shares. 114,638,937 (49.94%) to QIB, 34,391,682 (14.98%) to NII, 80,247,257 (34.96%) to RII, 275,464 (0.12%) to employees. 2,865,973 RIIs will receive minimum 28 shares and (sNII) and (bNII) will receive minimum 1,008 shares. (in case of oversubscription)

Investor Category	Shares Offered	Maximum Allottees
Anchor Investor Shares Offered	-	NA
QIB Shares Offered	114,638,937 (49.94%)	NA
NII (HNI) Shares Offered	34,391,682 (14.98%)
Retail Shares Offered	80,247,257 (34.96%)	2,865,973
Employee Shares Offered	275,464 (0.12%)	NA
Total Shares Offered	229,553,340 (100%)

Power Finance FPO Lot Size

Investors can bid for a minimum of 28 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.

Application	Lots	Shares	Amount
Retail (Min)	1	28	₹5,684
Retail (Max)	35	980	₹198,940
Lot Size Calculator

Power Finance FPO Promoter Holding

Share Holding Pre Issue	100%
Share Holding Post Issue	89.78%

About Power Finance Corporation Ltd

Incorporated in 1986 by Government of India, Power Finance Corporation ltd is India based Financial Institution (Non Banking Financial Company) providing funding to Power Sector projects. The company has status of Nav-Ratna PSU by Government of India.

PFC provides large range of Financial Products and Services including Project Term Loan, Lease Financing, Direct Discounting of Bills, Short Term Loan, Consultancy Services etc. for various Power projects in Generation, Transmission, and Distribution sector as well as for Renovation & Modernization of existing power projects.

PFC went public on Friday, February 23, 2007 by selling its 10.22% shares through PFC IPO. Company is currently listed in BSE (Scrip Code: 532810) and NSE (Symbol: PFC).

Company Financials

Particulars	For the year/period ended (in Rs. Million)
	31-Dec-10	31-Mar-10	31-Mar-09
Total Income	74,870.43	81,265.75	65,897.25
Profit After Tax (PAT)	19,470.18	22,500.89	14,695.99

Key Performance Indicator

KPI	Values
RoNW	13.06%

Check Power Finance FPO Peer Comparison here.

Objects of the Issue (Power Finance FPO Objectives)

The objects of the issue are:

1. Augment capital base to ensure compliance with requisite capital adequacy norms and to meet future capital requirements arising out of growth in business; and
2. General corporate purposes.

Power Finance FPO Subscription Status (Bidding Detail)

The Power Finance FPO is subscribed 4.34 times on May 13, 2011 8:00:00 PM. The public issue subscribed 2.00 times in the retail category, 6.92 times in the QIB category, and 1.20 times in the NII category. Check Day by Day Subscription Details (Live Status)

Category	Subscription (times)
QIB	6.92
NII	1.20
Retail	2.00
Employee	0.91
Total	4.34

5% Discount for Retail Bidders and Eligible Employees

The promoter of PFC, Government of India, has offered 5% discount to retail investors and eligible employees in PFC FPO shares. The PFC FPO discount will be applicable on the price fixed for PFC shares through this FPO.

Power Finance FPO Prospectus

› Power Finance FPO DRHP
› Power Finance FPO RHP
› Power Finance FPO Application Form Download

Power Finance FPO Rating

737

3.3

Rating:

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Power Finance FPO Listing Details

Listing Date	May 27, 2011
BSE Script Code	532810
NSE Symbol	PFC
ISIN	INE134E01011
Final Issue Price	₹203 per share

Pre-Open Session - NSE Pre-Open Session - BSE

Listing Day Trading Information

Price Details
Final Issue Price
Open
Low
High
Last Trade

BSE
₹203.00
₹197.60
₹191.40
₹200.70
₹199.45

NSE
₹203.00
₹196.00
₹191.50
₹200.70
₹199.50

Check IPO Performance…

Power Finance Corporation Ltd Contact Details

Power Finance Corporation Ltd
'Urjanidhi', 1, Barakhamba Lane,
Connaught Place,
New Delhi 110 001, India
Phone: +91 (11) 2345 6000
Email: fpo@pfcindia.com
Website: http://www.pfcindia.com

Power Finance FPO Registrar

Kfin Technologies Limited

Phone: 04067162222, 04079611000
Email: einward.ris@karvy.com
Website: https://kosmic.kfintech.com/ipostatus/

Power Finance FPO - Buy or Not

Power Finance FPO Recommendation Summary

Review By	Subscribe	Neutral	Avoid
Brokers	7	0	0
Members	0	0	0

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Power Finance FPO Lead Manager(s)

Lead Manager Reports

Power Finance FPO FAQs

Power Finance FPO is a main-board FPO of 229,553,340 equity shares of the face value of ₹10 aggregating up to ₹4,578.20 Crores. The issue is priced at ₹193 to ₹203 per share. The minimum order quantity is 28 Shares.

The FPO opens on May 10, 2011, and closes on May 13, 2011.

Kfin Technologies Limited is the registrar for the FPO. The shares are proposed to be listed on BSE, NSE.

The Power Finance FPO opens on May 10, 2011 and closes on May 13, 2011.

Power Finance FPO lot size is 28 Shares, and the minimum amount required is ₹5,684.

You can apply in Power Finance FPO online using either UPI or ASBA as payment method. ASBA IPO application is available in the net banking of your bank account. UPI IPO application is offered by brokers who don't offer banking services. Read more detail about apply IPO online through Zerodha, Upstox, 5Paisa, Nuvama, ICICI Bank, HDFC Bank and SBI Bank.

The finalization of Basis of Allotment for Power Finance FPO will be done on [.], and the allotted shares will be credited to your demat account by [.]. Check the Power Finance FPO allotment status.

The Power Finance FPO listing date is on May 27, 2011.

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Power Finance FPO Message Board

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1213 Comments

1213. bangalore king | Link | Bookmark |July 15, 2011 1:01:24 AM (400 Posts)

Highest traded counter on NSE with major breakout.

Bank of America-Merrill Lynch has resumed coverage on Power Finance Corp with a 'buy' and has set a target price of 260 rupees post follow-on offering on better earnings as structurally power financing remains a focused priority for the government. "PFC's valuations remain very attractive and the stock is trading at 15-25 percent discount to its peers Rural Electrification Corp, IDFC despite better risk-profile," the Wall-Street Bank said in a note. It also expects PFC to report a net profit growth of 24 percent in FY12/13 citing loan growth and improving margins.

1212. satyaaa | Link | Bookmark |July 1, 2011 8:38:41 PM

PFC will touch 300 by September 2011 provided that NIFTY touches 6000 or sensex 20000.

1211. SUB | Link | Bookmark |June 21, 2011 6:27:02 PM

15% crash in 5 days!!!

1210. sachin kapil | Link | Bookmark |June 20, 2011 5:37:36 PM

pfc @ 176
shud we buy it at this level for longterm ?
experts pls give some suggestions...

1209. SUB | Link | Bookmark |June 17, 2011 3:29:01 PM

In last 3 days market has fallen by 2.5%,whereas PFC fell about 10%.

1208. ARCHIT SHAH | Link | Bookmark |June 17, 2011 12:11:22 PM

sreedhar

Can we buy at this level.

please reply.

1207. gundu anna | Link | Bookmark |June 12, 2011 5:01:34 PM (500+ Posts, 100+ Likes)

PFC is going to be a very good investment option from one year perspective.

1206. prashant patwardhan | Link | Bookmark |June 1, 2011 4:38:51 PM

Auction rate is decided as highest traded rate within settlement period (T+2), that is why it is said, one's pain is going to be broker's delight.

1205. n kumar | Link | Bookmark |June 1, 2011 3:49:43 PM

Prashant patwardhan,

Thanks for the advice.
Auction completed for the shares i shortsold at 200.67 on 30/11/2011. Apart from that Rs250 is charged for STT. So total i was charged at Rs200.91.They had debited the amount also, but the digital contract sent doesn't contain any information of the trade timings and the highest price of PFC on 30/05/2011 is 200.41 only. i was little curious about the trade timings as from morning to afternoon it was around 199 but they seems to have auctioned after 2.30PM.

1204. bangalore king | Link | Bookmark |June 1, 2011 11:55:23 AM (400 Posts)

If you want a reason why you should be long term on PFC , see this :

http://www.motilaloswal.com/researchreport/Downloadfile.aspx?mode=112&filename=634407213360060466.pdf

have patience.

1203. SOMPRASH | Link | Bookmark |May 31, 2011 7:35:13 PM

It is not always necessary to play the IPO game for first day
listing gain or loss. It is a POWERFUL TOOL to earn handsome
money with some longer term view.

It is my 25 years experiance that I am sharing with all of you.

So , please do not under-estimate the " POWER " OF " POWER-FINANCE ".

1202. pakka hindustani | Link | Bookmark |May 30, 2011 5:32:56 PM

PFC is nicely consolidating at 200 levels. ready to take off in 1 or 2 days. My target is 210-215. Cheers!!!!

1201. prashant patwardhan | Link | Bookmark |May 30, 2011 4:56:31 PM

Mr kumar:: sorry to say you that you have bought shares to compensate your shortsell is futile. Both transactions are independently registered by broker. But just don't panic and watchout for payin instructions and follow it instantly. If not, auction will not be executed, till then. If the market rate increases you will be prone to further losses unnecessarily. It appears that share rate may not run away, still it is advisable to payin as instructed by broker. Initially payin will be asked as MR plus 50% extra, but you will get balance debited to your acount once auction happens. Take care that your bank balance is as much as required on above lines. Don't loose slip over it, there is no penalty as such if you make payin instantly.

1200. Market guru | Link | Bookmark |May 30, 2011 3:11:38 PM

Hold on... this will be back to 210+ levels...

1199. n kumar | Link | Bookmark |May 27, 2011 7:24:31 PM

Ravi Bangalore,

I kept Sanghvi, Apollo and Jubiliant in my watch list.
As i did a silly mistake with PFC now i hold 1000 shares of PFC which i bought today to compensate yesterdays short sell which will be auctioned on 30th May.

any strategies to comeout with least loss.

1198. Ravi, Bangalore | Link | Bookmark |May 27, 2011 7:23:08 PM (300+ Posts)

1193. n kumar

There is always a risk in selling shares before they come into your account. Looking at price and volume action from past two days, it is obvious that some investors have already sold their allotted shares. There is a good chance (95%+) that the shares will be credited by today morning. Please check-up once again. However, there is no guarantee that the credit of shares won't be delayed.

Remember what happened with NMDC FPO? People who sold the shares too early (22nd March 2010 and 23rd March 2010) gave short delivery and then had to face auction (26th March 2010 and 29th March 2010). The auction quantities for 26th and 29th were 115883 and 473652 respectively.

The exchanges don't care if the seller has the shares or not. The seller just has to deliver the shares on T+2 day. Sharekhan allows its clients to sell shares that they don't have in their demat account where as ICICIDirect don't allow. Probably, your broker will be able to give delivery because, I have also sold yesterday & I am not facing any problem so far. In the past, I had sold early in EIL FPO.

1197. n kumar | Link | Bookmark |May 27, 2011 5:51:28 PM

Rajiv rastogi,

Thanks for the update.
I didn't get mail for the first 500 shares which i shortsold on 25/11/2011. so am i safe with the 500 shares i got from fpo shares. my current dp is showing dpbalance as 500 and netavailablebalance as 1500

1196. rajiv rastogi | Link | Bookmark |May 27, 2011 5:46:35 PM

Time to take some rest after having sleepless nights. PFC story ends here, superb tralior but bad bad movie, just like Akshay Kumar's past 5 movies.

1195. rajiv rastogi | Link | Bookmark |May 27, 2011 5:40:53 PM

Kumar, you should have number of shares shorted in sharekhan dp by 30th. Since next 2 days do not have settlements cos of saturday and sunday, you will get shares you bought today in dp as earliest by monday night and in higher chances by tuesday morning which means you will be late for providing shares. Instead of buying you should have contacted sharekhan for sorting out. Since its FPO and most people sell in advance thus you see most auctions I'm sure sharekhan would also not able to help you. If it was a case of default in margins or bad buying/selling (bought 100 and sold 110 or vice versa by mistake) sharekhan might have helped you but it's highly impossible your dealer might be having pfc shares. So your buying today was futile and did not helped in cause. Sorry.

1194. rajiv rastogi | Link | Bookmark |May 27, 2011 5:30:31 PM

Yes there will be double brokerage payable. As I told if your broker is not able to arrange shares he'll go for auction. He won't pay charges from his pocket. And he'll definitely charge twice as once he sold for you and once he arranged shares by amount payable by you so exhange transfer shares to person who has bought shares that day from you. You are forgetting simple reason of auction. When there is a seller there is a buyer too hence to reconcile shares defaulted your beoker buys shares on your behalf at a penalised rate, exchange transfers it to party who suffered from your neglegence. I stated clearly if you are able to arrange shares you can save brokerage but have to pay auction price but if you couldn't, you'' pay double charges.

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