A2Z Maintenance & Engineering Services Ltd IPO Message Board (Page 12)

Indian Bank is planning to come up with a Follow-on Public Offer (FPO), which may hit the streets in the near future. Currently, the majority of the stake, about 80% is held by the Government, which is expected to come down to about 9% post the Follow-on Public Offer

Indian Bank is a premier bank owned by the Government of India, which was established on 15th August 1907 as part of the Swadeshi movement

retailers should only invest for 1 lakh,why because a2z is over priced,sometimes it will come down in listing.and dont get exited by the factor that rakesh junjunwala is the director.he invested rupees 20crores in 2006 and now his profit is 680 crores,and now he is partially profit booking by selling 5% stake.

Thanks Sreedhar,

I also bought 100 shares of Hanung @ 219.70. will add another 100 if reaches to 215

Bought at 221 & will buy further at 215.Will wait till 250 is reached.

Friends,will try to nibble at Hanung toys today at lower rates.It is a quality company which has fallen heavily due to rumors.

A2Z is those company where rakesh jhunjhunwala invest 20 crore before 4 years, and purchase 30% share. Now 20 crore became 780 crore at issue price per share. Rakesh tu si great ho.

minor can be apply or not? in this ipo?

20. Who can Bid? 1. Persons eligible to invest in the Equity Shares under all applicable
laws, rules, regulations and guidelines. 2. Indian nationals resident in India who are not
minors in single or joint names (not more than three) or in the names of minors as
natural/legal guardian

CARE 4/5 rating rationale :

The grading reflects A2Z’s strong business profile marked by its demonstrated track record of a healthy growth and profitable operations in Engineering Procurement and Construction (EPC) in the power transmission & distribution business, proven execution abilities, healthy order book position and above average profitability and return metrics. The grading also takes into account the strength derived from the experienced & qualified promoters and management team, its ability to successfully identify and scale up in opportunities in the Renewable Power Generation (RPG) & Municipal Solid Waste (MSW) business, policy incentives such as preferential tariffs, Renewable Purchase Obligations (RPOs) etc, provided by the Government of India (GoI) in renewable power in
order to make such projects commercially viable.

The grading, however, is constrained by significant capex planned over the next two years in new business lines, project implementation risks associated with various RPG and MSW projects where A2Z has no prior track record, the relatively higher cost of power generation from RPG and risks on account of the availability and sourcing of biomass fuel.

sreedhar,

Piramal healcare is trading @440 now. Shares buy back offer from company is @600. Company got shareholders nod for this buyback also. Do you think this is good to buy this stock now to benefit taxfree 160 rs/share in just 2 months time.

thanks for advice in advance.
Gane.

sreedhar,

suggest me few gud stock....

MOIL IPO WAS CHEPAER THAN A2Z

scores over the A2Z Maintenance & Engineering Services IPO for the following reasons.

a)      At the upper price band of Rs.410/-, it hopes to rake in Rs. 675 crores, against the MOIL IPO, which planned to rake in Rs.1260 crores, at its upper price of Rs.375/-. The MOIL IPO was oversubscribed by a record 32.86 times in the Retail category, 49.16 times in the QIB category and a whopping 143.3 time in the Non Institutional category. No wonder!

b)      While the CARE rating for MOIL was 5/5, that for A2Z has been lower, is 4/5. Even if A2Z was also awarded the 5/5 CARE rating, its pricing ought to have been lower than that of MOII. Let me explain. While MOIL income on 31.3.2010 was Rs. 1087.85 crores, its net profit @ Rs.466.35 crores was highly impressive at 42.87% of its income. In the same period, A2Z, on the other hand, had a higher income of Rs.1225.3 crores, but a much, much lower net profit of Rs. 98.52 crores, which works to a mere 8.04% of its income.

c)      A2Z is using part of its proceeds to repay the loan borrowed from L&T, and for setting up 15MW bagasse based cogeneration power plants, in two locations, a business activity . in which it is entering for the first time.

I feel therefore that the A2Z issue is over priced. It is unlikely that this issue will be anywhere as heavily oversubscribed as has been the MOIL IPO. In the absence of heavy oversubscription, the premium commanded by it shares on listing will not be attractive for those who investment in IPOs for earning profit on listing.

I feel therefore that it is better to wait and study the relevant details of the other IPOs which are expected to be announced next week, rather than rush and commit investment in this IPO.

      

hi sreedhar,

is it gud to invest in A2Z?

VALUATION AND RECOMMENDATIONS:

On a turnover of Rs 1225cr for FY 10, the debtors outstanding are to the extent of Rs 825cr. That means more than 66% of the reported revenue is yet to be realized. One has take, this kind of turn over and debtors outstanding in an IPO year, with a pinch of salt. The CAGR, profitability has no meaning, since the company has experienced negative cash flow for the last four years.

At Rs 400-410, the company is demanding a valuation of 30x on FY10 earnings, on its post issue capital of Rs 75.60cr, which is very expensive. The company is not into exiting business to demand such high valuation. The company derives most of its income from EPC segment. The revenue from the other verticals are yet to pick up. Do not be mislead by the big name, IPO grading, associated with the issue. Even SKS Micro had the big names like Sequoia, Sores, Narayana Murthy and the same IPO grading. Within 3 months of its listing the share are down 30%, to its offer price.

AVOID THIS ISSUE.

Sorry, my previous post was meant for MOIL forum.

Mr Patel @ 1238,
"Past market performance may not be a true indicator and may not be repeated" - as per the statuary declaration in any investment vehicle.
MOIL will list to a premium and there will be hoopla all around, that's true. But please do not expect too much and bet on it. I believe the fair price of MOIL is around Rs 450 - 500 (Govt is not in a donating spree to provide us something at huge discount). Market drives the price further, that's a different issue all together.

100% Returns On Listing.Believe in Rocket Ghunghunwala

Rakesh Jhunjhunwala Is the Director Of This Company

Above average rating, business in EPC etc., should do well. I am thinking of not only applying but keeping it long term in my portfolio.

HI friends...can i hav u r insights on a2z ipo...wether 2 apply r not

thanks