Cantabil Retail India Ltd IPO Message Board (Page 36)

SJ,

I M USING THAT CRAZY PROCESS FROM NTPC'S IPO IN 2005, I HAVE MY OWN 9 A/CS AND 5 FROM MY FRIEND'S FAMILY WHOSE ALL THE A/C WAS OPENED BY ME 5 YRS BACK WITH MY OWN MONEY I HAVE THEIR CHEQUE, DEEMAT CONTOLS PERMANETLY.I GIVE 10% OF THE PROFIT VOLUNTARLY IF I USE THEIR A/CS.

BOSS I DONT HAVE THAT MUCH MONEY AS U HAVE HA HA HA ......
I THINK I NEED ATLEAST 80-90 LACS TO ENCOUNTER ALL THESE ONLY GOOD IPO.

I HAVE SEEN THAT IN CASE OF IPO FUNDING LET SAY IF I GO TO ICICI BANK THEY WILL ASK ME TO OPEN DEEMAT IN THEIR BANK FIRST AND THEN....... REST OF THE PROCESS SO COST OF THIER PROCESS IS HIGH AND TIME CONSUMING.

DO U KNOW ANY FINANCIER INSTUTION THAT GIVES MONEY FOR IPO FUNDING WITHOUT OPENING DEEMAT A/C WITH THEM IN THIS CASE THEY ASK FOR A POWER OF ATTORNEY FROM THE BROKER WHERE I HAVE DEEMAT, THAT CAN NOT BE GIVEN EASILY AS THE PREVIOUS POA GIVEN BY ME TO MY BROKER WILL BE CANCEELD AND AGAIN .......... TO MUCH LAPHDA.....

THE ONLY WAY I HAVE LEFT IS JUST SEE THE SPECTACULER LISTING OF ALL IPO WHERE I MAY NOT HAVE INVESTED.........

funding

is instant Gem....within 2-3 days take fully prepared doccuments that generally are asked like tax return etc etc...or ask them before visting

Itne sare banks hain dalhouise mein....jake pata kar ek din...weekday mein

I am sure you will get easliy....coz you have so many shares to give in seciurity for loan

Plus you are CA professional....so source of income is not issue for them

ALthough if you had screwed your previous credit history it can be an issue...but kisi agent ko jo bank loan deta hai thoda commision ya kuch khila pila dena ..paas kardega..


Regards

Ha Ha Ha Ha

Gem you are right

Yaar tu CA hoke bolta hai ki tere paas paise nahi hai..stop joking ok........lol......!!..kidding...he he


Yes obviously

Ab jaise mere ek client ne aisa SKS mein kiya tha meri advice pe

usko 500 share bhi mil gaye Funding bhi mil gayi....usne 13 demat account se apply kiya tha.....

Usko lagan pada 4 lakhs 9 lakhs was funded

He got 500 shares out of 12-13 applications (i cant recall exactly)

Now demat accounts through which he applied

1)Dad's account (Mother has expired)

2)His own account

3) His son's who is 19 years old

4) His wife

5) HUF account

6) His Sasur and

7)Sas's Account

8) His Mam's Account

9) His Chacha and

10) Chachi's Account

11) He took my HUF account ( coz i applied thru grey market for 1000 shares and hence did not need application)

12) His nephew's account who is doing MBA currently

His relatives paid him refund of balance of 1 application and also sold the shares at his price of 1140 and gave him cheque of profit for 1140-935 per share of 1 lakh application he put in.

So you can do that

Takes some crazy effort...looks funny also

But once done for first time

You can apply in your favourite IPOs like Jubiliant SKS Va tech

And get maximum returns

Even if you plan to hold for 1 month to six months

You wanted 500 shares and had funds for that...

you knew that you will not get 500 shares from application thru demat accounts you have

som you folowed the avbove mentioned strategy and got the amount you planned

You sold after 1 month on handsome gains as in case of sks and jubiliant

You did not take loan....as you repaid balance 9 lakhs for 15 day interest that is 25 percent annual interest divided by 15 days or divided by 24 i.e. 1% interest rate.

What more do you want...?

Also banks also know that in good IPOs investors will get less shares and hence most of their funds will be paid back soon

So they are readily funding also...plus they do not charge penalty for early payement of loan coz they give it specially for IPO fiunding and know that principal of loan is not entirely used in IPO incesting

So Enjoy

And apply to your most preffered IPO by funding...!!..No harm risk low ....and not a bad thing....or TABOOO as other people potray it to be

Regards

sj,

i dont know much about ipo funding.

but i have knowledge of the fact that for ipo finding u need to have deemat a/c with the financier and they will provide 70% of the investnt.if i use ipo funding only for one ipo my cost will be higher,

how much time they take for funding, do we have time????

more inf on ipo funding ???????

SJ,
right advice at wrong time.

the need of the hr is money not deemat a/c, as we have more ipo than deemat a/c we have.

tell some way to get money yaarrrrr hahahahahahaa

Daman

No body can answer that fully unless you tell wether you are looking for listing gains or you are looking for 1 month or 6 months or 1 hyear type of holding period

Boss it is 6 lakhs 60 thousand you are investing not 66 rupees

At least give basic information before asking question....!!

Hi Guys..

I have Rs.66000 to put in current IPO's.I am thingking to invest half in Eros & half in Carrer Point or Ashoka....pls advise....

Cheers !!
Daman

my identity is intact

dear sj
thanx again for such valuable advice.electrosteel, other than cost over runs and potential disturbances due to maoist problem this issue looks too good to be true. i fully agree this stock on long term perspective will not disappoint.
regards
bhola

Bhola

Electrosteels Ltd IPO of fully owned subsidiary of kolkata based prestigous and ggod quality management Electosteel Castings looks interesting and is like betting on something with good management which is still yet to start its business. It is the best time although highly risky to bet on some project in its commisioning stage.

But when does retail inbvestors like you and me get such a good oppurtunity...to invest in a company at its installation phase....? Only PE investors and Financial Institutions get that oppurtunity.

We should thank the management that they are giving us such an oppurtunity and that too close to face value

Can you remember when you got any IPO at face value..?

Now agreed that management needs funds as they have 70% pledged shares in this subsidary that is 35% of the group electrosteel parent group. But IPO will reduce there debt and give them funds tom install thsi project.

I also agree that just that it is giving shares at face value it is good IPO. In fact many people here might be suspicious that why are they giving IPO at face value..? There is something fishy..?

But what is wrong...in that..? If the project is already started and just in inital stages hence they are giving face value.....Had it been completed and started operations do you think management would have been foolish enough to give you shares at face value

Management is saying that they themselves with high debt are taking gamble in this project and hence giving the same oppurtunity to you Bhola...

I know there quality since i am from Kolkata and i know the management quality is good

Go and see in moneycontrol there last several year performance

There book value is 48 share price at 50. They were sitting at heavy debt and losses in slowdown couple of years ago.. Every other commodity stock from Tatas to Jindals suffered in their steel business at that time. So electrosteel is no exception. But now they willl perform better and your money can double in the parent company Electrosteel Casting in next 1 year.

You know Bhola ....Yesterday i was watching Investor Summmit of ET NOW feauturing Madhu Kela Nilesh Shah Ramesh Damani Nirmal Jain of IIFL.

In that Madhu Kela gave a very interesting example of a big commodity bet he took in 2003.

Yes you will be suprised that the company name was Jindal Steel and Power

He said:

" Back in 2003 when I would have mentioned someone that Jindal name and I am investing in Jindal Steel And Power they would have seen me with irritaing looks and said that wether i was Son in law of Jindals that I was touting Jindal like chor perceived group at that time. But the fact was that I bought a company that had gone thru debt restructing and had good production capability good funds for Capex and had mines in physical assets to show. TODAY IT IS MORE THATN 20 TIMES return for me."

You should watch that programmme to where veterans like ramesh damnai who bet on Jet airways at 150 nirmal jain who betted on Hul in 2000.
It will be repated in night after 8 pm or in day 2-5 pm probably on ET now . Also wath Ramdeo Agarwal on ET Now on basics of investing and how he picked multibaggers....TELLING TO STUDENTS in Narsee munjee institute of Management.

The point i am making is Good quality Management taking a bet in a good business in growing economy and consumption growth in india should be taken a bet on...

Same is the case of ELectro Steel IPO.

1)The group is setting up a 2.2 MTPA Integrated Steel and Ductile Iron Spun Pipes project in Jharkhand. The total cost of the project is Rs 7384.00cr

2) The company has raised debt amounting to Rs 5447cr from various banks and the balance is to be funded through equity, including the share premium. The promoter group has contributed Rs 700cr towards equity.

3)The project is being set-up in technical-cum-financial collaboration with Stemcor Mesa DMCC, UAE - a group company of Stemcor, UK. So ggod investors backing the project and more funds can be bought in if required

4)The company will have a debt-equity ratio of 2.84:1.

5)The promoter group company, ECL, is in the business of manufacturing Cast Iron pipes for over four decades and Ductile Iron Spun Pipes since the last 15 years. Hence experienced management

6)Experienced Promoters. Integrated operations including captive power plants. Locational Advantages.

7)ECL has already, in place, a well-developed and established marketing network and clientele in India and abroad for DI pipes, which is proposed to be used by EIL for marketing its own production of DI pipes.

8)EIL proposes to install Captive Power Plant aggregating 150 mw, which shall steadily supply about 120 mw of power enabling to meet about 84% of the total power requirement. The balance requirement will be met from Damodar Valley Corporation, for which the necessary application has been made.


However following are current risks:

1)The original cost of the project was at Rs 5000cr and the project should have gone on stream, in Sept 2009. There is delay and cost over run.

2)The operation requires significant raw materials and non-availability of the same at competitive prices, may adversely affect results.

3)The project is still under implementation stage, there many loose ends to be tied up. The time and cost over-run will take a heavy toll on the company. There are certain uncertainties, including availability of raw materials at competitive rates. Due to high fixed cost, products pricing will be challenging.


So keeping advantages and risks in mind

This is a pure long term invetsment of 3-5 years if you want to apply in THis IPO

Market crash will not affect it coz they are still developing the project although it can be delayed in slowdown or developed economies crash or slowdown

Hence if you are looking for listing gains do not apply. Although it can be easliy manipulated as price is just 10 rupees. But why take that risk with your money when you have other great secondary markwt oppurtunities that can give you 30-40% returns in next 6 months and even ggod quality IPOS that are in plenty that can give good returns..?

So my advice it accumulate this stock in systematic inestment form. Allocate 10 percent of your total current or planned portfolio of stocks.

By in phases. At rs 10 and in stock market crash or correcting at price below 10. It can fetch you exceptional returns if held in that form for next 3-5 years. Trust me.

I have adviced same to my clients.

Regards

DON'T WASTE SPACE OF THIS VALUEABLE I P O BLOG,

TO POST VERY LARGE SIZE MESSAGES. & WHICH ARE RELATED TO ONLY IPO,

NOT SECONDERY MKT.

KINDLY SEND MIMIMUM & VERY SHORT SIZE MESSAGES.


.

dear sj i thank you for ur kind advice. even i m also thinkin on same lines. its better to book listing gain in career and cantibal and may be eros too. va and ashoka can be held for some time. whats ur call on electrosteel.. looks attractive at face value but may not see a upslide in near future?
regarda
bhola

MY DEAR FRIEND SREEDHAR,U HAVE SAID MONEY WILL BE LESS AT THE TIME OF CANTABILL,VATECH ,ASHOKA,AND TECHPRO,BUT LET ME TELL, MONEY ALREADY USED IN EARLIER IPO WIL BE REFUNDED BECAUSE LINK INTIME IS REGISTAR IN CAREER POINT AND EROS AND ALSO IN VATECH WABAG AND ASHOKA.. I THINK MONEY WILL BE REFUNDED IN TIME BY INTIME..

GMP activity started in Gujarat for Cantabil last night
Mainly buyer at 36-38.

Bhola

By that premise you should also avoid Careerpoint for listing gains

Who cares about long term esp. when big grash is expected in next 6-9 months

Yes still ashok and Va tech will correct only till issue price coz they may double by that time and then correct 50% in crash of Sensex

But if you atre also looking for listing gains

Then go for Cantabill and Careerpoint

Maximum Gains can be expected from these two

See i could have told you Microsec Tirupati also for listing gains. But i have said avoid to them. WHy..? Bcoz their business model is questionable and management quality also is questionable...?

So for 6 months:

Go for Ashoka, Va tech Wabag, Tech pro Eros

For listing gains or 1 month type short term gain go for:

Careerpoint and Cantabill

Regards

point taken, but the ipo is coming along with va and ashoka. will it still be prudent to venture in this.

yes bhola

just bcoz you have never seen it doesnt make it fake.....it is promibent in north north west......go to their website and search.....

Plz also buy worrst ever collections of pantaloons koutons zodiac provouge etc. And never buy good looking collection from cantabil van huesen wills lifestyle etc.....

Regards

sj

lol........ha ha ha

i have never come across any of these 400+ stores, even the brands are also quite unheard of... find this ipo a bit overpriced.... any GYAN on this guys?

agreed with you Shreedhar

look at the branch growth and the phenomenal CAGR of Cantabill

it has three franchise models

1 direct

2 branding and promotion self settting up and sales commision partner

3 establishment self and annual fees franchise model for partner....

That way it has 400 stores

its collection is better than koutons pantaloons provouge zodiac...etc etc.......and is akways available at 70 percent discount

i always used to buy formals in my MBA times from its Connuaght Place branch in delhi and hence know the quality of its products.....

Compared to the stupid brands listed on stock exchanges...which i never bought this one iss really above the rest kind of issue.....

Posting anonymous coz i dont know how to type underscore in username as i am posting from cellphone that has querty.

I doo not buy that i do not wear.....

So i am advising my clients to go for this
issue for handsome listing gains...

Regards

Sj

SREEDHAR & SAHARANPURI,

PLZ LOOK AT THE FINANCIAL POST IPO OF CANTABIL :-

1) FY'10 SALES = RS.263.64 CR, PAT = 14.68 CR, NW = 134.5 CR.
2) FY'10 EPS = RS. 8.95 , BV = 82
3) ASKING PE BASED ON FY'10 NOS IS 15 TIMES @ 135, P/BV = 1.65 TIMES.

NOW TAKE LOOK AT THE PEERS:-

1) KOUTONS FY'10 AND FY'09 FOR BOTH THE YR SALES IS = 1204 CR, EPS = 26, CMP 296, SO PE OF 10, BUT ITS Q1FY'11 NOS ARE SCARY EPS = 2, IF ANNULISED LESS THAN 10.

2) KKCL FY'10 SALES 175 CR, EPS = 26, CMP 400, SO PE =15. P/BV = 2.81

BOTH OF ITS PEERS HAVE WELL KNOWN BRANDS, KKCL HAS KILLER, INTEGRITY, EASIES, ETC AS BRANDS.I DONT KNOW ANYTHING ABOUT CANTABIL'S BRANDS.

CONCLUSION : IT IS CLOSELY COMPARABLE WITH KKCL THAT TRADES AT 15 PE, 2.81 P/BV, MARKET CAP OF 492.75 CR. CANTABIL ASKING PE IS 15, P/BV IS 1.64, MARKET CAP @ 135 IS 221 CR. KKCL HAS NPM 2X OF CANTABIL.

SO THIS IPO MAY BE GOOD FOR ONLY 15% RETURN, I WILL AVOID IT.BETTER BUY KOUTONS HAS ATTRACTIVE VALN IN THE SECTOR AND BIGGEST OF ALL RETAILERS.