Coal India Limited IPO Message Board (Page 204)

Dear Milinds

Lol...

Dear SJ,
I did'nt know that you are good "boxer" too, apart from very good cotributor to this forum. LOL!!
milinds

Many people have said about price band of Va tech Wabag

Well if you check drhp recent allotment to inevtors has ben done at 900-1100 Rs. after split at 5 face value and ex 1:8 bonus.

So price band can be upwards of 1000. Thats for sure

Book value of Vatech will be 390 post IPO.

Eps diluted is 43 i guess.

So price band expectation above 1000 is no suprise.

Grey market premium too early

although i confirmed today it is 300. But before price band announcement it is too early to predict. It can be highly volatile. Hence it is no sense to apply in grey rite now.

Dear Sreedhar

Thanks for posting that article.

It only focusses the point that it is aiming at being global leader in niche space, has first mover advantage in India and the sector is futuristic and technology is hard to immitate for new comers and will take time for them to launch.

Regards

Would like more inputs of yours on it.

http://www.globalwaterintel.com/archive/10/12/general/100m-wabag-ipo-seen-in-autumn-2010.html

TIP to earn Rs 10000 plus for one year to Retail Investors (a) who apply for IPOs (b) frequently (c) with own funds (d) for maximum lots (e) under ASBA procedure.

(1) Invest Rs 222222 in Bank FD for 3 years at 7.75 % p.a Earn Rs 17556 Interest on FD for one year.

(2) Obtain Overdraft Limit Rs 200000 (90% of FD) to apply for IPOs and Pay Rs 10746 Interest on OD at 9.75 % p.a. (calculated on daily balances) for a period of six months in one year. It is assumed that OD facility could be availed for two IPOs every month or one- half month only on average

(3) When IPO Applications are submitted under ASBA procedure, Application money is only “blocked” but continues to remain in Savings Account; hence earn Rs 3531 Interest at 3.50 %

This approach will result in a net benefit of Rs 10341 (Rs 17556 Interest earned on FD minus Rs 10746 Interest suffered on OD plus Rs 3531 Interest earned on SB A/c)

The above rates of Interest and Margin are for ICICI Bank with which I am operating. Similar arrangements could perhaps be made with any Bank. For calculation purposes, effective rates of interest are adopted after considering frequency of interest payment or compounding with the help of http://www.1728.com/compint.htm

If possible, it is better make FD in the name of a senior citizen to earn a little more

Dear Shreedhar

this is what i got from First Choice
___________________________
VA Tech Wabag Limited is in the business of providing turnkey solutions for water and waste water treatment to municipal and industrial users. After buying majority stake from Siemens, Wabag Austria and its subsidiaries became subsidiaries of this company. Wabag on a consolidated basis has presence across North Africa, Middle East, Fast East-China, and South East/Central/Eastern Europe.

The Company currently has 13 subsidiaries, all of which are incorporated outside India. Of the 13 subsidiaries, two are direct subsidiary and the remaining are indirect subsidiaries.

The company is into turnkey project execution for water/waste treatment facilities including drinking water treatment, effluents treatment, sewage treatment, sludge treatment, desalination and de-mineralization, for both municipal and industrial customers. Wabag has executed more than 100 projects for clients, which includes various municipal corporations and industrial units belonging to the power, steel and oil and gas sector. On an overall basis, the Wabag group has implemented close to
2250 projects over the last three decades in more than 19 countries

DEMAND OUT LOOK:

Indian water and waste water treatment market size which is estimated at $ 4 billion, is expected to grow at a rate of 10-12% per annum, with government related projects contributing for close to 50% of the revenues in this market (Source : IMaCS Virtus Global Partners/ industry reports). The domestic potential is expected to remain favorable, with Government’s thrust on improvement and augmentation of water/waste water treatment infrastructure. GOI is implementing various initiatives including Jawaharlal Nehru National Urban Renewal Mission (JNNURM) currently covering about 65 cities.

________________________

So you can see it has competition from global players. So it has not one specific country risk

And see the demand for sea water desalination in middle easter and african countries. it is huge and technology with few companies that too with patents.

CHEMCHO,WHAT IS YOUR CONTRIBUTION TO THIS WEBSITE,EXCEPT BLAMING SUCH GEMS LIKE SHREEDHAR,SJ,GEM IPO AS OPERATORS.THEY ARE DOING WONDERFUL SERVICE WITHOUT EXPECTING ANY RETURNS.GO & TAKE PAY SERVICE FROM MARKET EXPERTS WHO COME ON TV.2 OUT OF 5 CALLS OF THE TV EXPERTS WILL BE CORRECT .WE HAVE BENEFITTED FROM MANY CALLS LIKE SKS,EIL,GUJ PIPAVAV,HMVL ETC.EVEN INTRACALLS ALSO SUCCESS.THEY SAVE US FROM OPERATORS BY CORRECTLY PREDICTING WHICH SHARES ARE OPERATOR DRIVEN ALSO.OPERATORS TRY TO CHEAT INNOCENT PUBLIC WHILE THESE PEOPLE SAVE US FROM THE CHEATS.
GIVE YOUR SUGGESTION INSTEAD OF THROWING USELESS ACCUSATION.

Dear Shreedhar

Agreed

But it has first mover advantage

To immitate the technology the big names will take 2-3 years

Anyways potential is huge.

So i am not concerned about competition for 3-4 years

Lets say demand is 1000 va tech is meeting 20 some big company will meet 50 some other bigger company may meet 100.

Still all of them combined will not be able to meet future demands.

And there are some niche infrastructure businesses that have huge potential.

See what happened to C&C construction it is making new and new highs...unlike other infra companies

Similarly this is a niche company and is current leader and will enjoy scarcity premuim for 2-3 years.

I think it can be a multibagger like IVRCL in 2004-2007.

ipofinder,
Some rumors of 1100-1150 price band.GMP around 300.IPO date between 15-18.

CHEMCHO,I THINK THERE IS ONLY ONE BIG OPERATOR ....THAT IS .............YOU ..YOUR SELF...SREEDHAR,SJ,GEM IPO ,R REALLY GEM FOR RETAIL INVESTOR

RATING AGENCY CRISIL HAS ASSIGNED 5/5,I THINK,1ST TIME EVER.CIL PRICE BAND MAY BE ARROUND RS.200/-.

Dear ipofinder,
No idea about priceband.Has GMP started for these companies.Looks like all IPOs will come after Jain samvatsari I.E after Sep 12.

Princebhai,
I am also thinking of exiting first at 64 if oppurtinity presents itself.Now operator play is also being heard.Any how I will exit at 64 & enter afterwards if I see any sign of aoperator play.Anyhow 60-61 is the HNI breakeven.Any fall below 60-61 will create lot of preesure on HNIs .So I will be buyer only above 60-61 range.

SahranpuriJI,GEM & SJ,
Vatech is at present the only major company involved in Water management but very soon lot of big comapnies are planning to foray into the lucrative water management prominent among them is our own Engineers India , Patel engineering etc.Sajjan Jindal is also preparing a blueprint so in future it may face competition from these biggies. So it will be yet another infrastructure play after few years.

Dear Shreedhar and Saharanpuri

Yaar forget about order book and forget about price band.

Va tech Wabag is in the revolutionary future sea water desalination sector. It is an MNC and has presence in 6 countries.

It is company engaged in the business of future with future technologies comparable to shale gas nano technology string theory etc.

As Legendary investor and commodity investor Jim Rogers has said that if water was to trade on commodity exchange as a commodity he will be first one to bet on it...coz WATER is and will be even greately scarce resource on earth in the next 10-20 years.

So even if price band is expensive i will blindly jump coz there is no pure play listed on exchanges on this sector...Boss.

Lets see what financials and price band will it come out and track record it has

But on the face of it it is in a unique and revolutionary business

GEM,
Mittal foresees about $300 million of revenues for the fiscal year ending 31 March 2010, with net profits expected to reach $12 million.So that works out to 1380 Cr of revenue & 52 Cr of profit for FY10.

SahranpurJi & GEM,In Jan 2010, Va Tech Wabag has bagged a Rs. 1,033-crore order to design, erect and operate a desalination plant from Chennai Metropolitan Water Supply and Sewerage Board, commonly known as Chennai Metro Water.

"We will design, build and operate the plant for seven years. The plant capacity will be 100 million litres per day and sea water will be converted into drinking water, using reverse osmosis technology," company managing director Rajiv Mittal said here Tuesday.

The plant will come up on 40 acres at Nemmeli near here.

The contract value is divided into two parts -- Rs. 533 crore towards design and building of the plant, and Rs. 500 crore as operation and maintenance charges spread over seven years.

So already by Jan 2010 it has 3000 Cr order book to beexecuted in 2 years.

GPPL LatestPremium Rs.11-11.50

saharanpuriji,

FOR VATECH WABAG-
in year 2008 it has sales of Rs.623 crores , pat Rs. 4.53 crores and in 2009 it had sales of Rs. 1155 crores, pat of Rs.41 crores,so growing at 100% on yoy basis for sales, no clear trend for profit growth its 10 times in one yr for the 6 months ended sept '09 it had sales of Rs. 475 crores, pat of Rs.3.45 crores.

lets wait for managment guidance on tv to assess the correct position of the co in 2008 its eps was 4 in 2009 its 43 in 6 months in 2010 its 6, there is no trend seen no extraordinary income found in 2009

it will be best among next 3 ipo for % gain, will be heavily oversubscribed due to its smaller size of i guess Rs 200-250 crores as the fresh issue is only for Rs 120 crores rest 23.5 laks are offer for sale.