Engineers India Ltd FPO Message Board (Page 47)

72. GEM IPO FINDER
Its face value is Rs. 5/-. Then how dividend will be Rs. 100/- per share?

WHEN THE POWERGRID FPO COMING?

CAN WE EXPECT IN AUGUST MONTH?

Regards,
Vishal

Ha Ha Engineers India,now at 310.Mr Ravi asked to buy at 337.I said even a kid knows Engineers India will fall till FPO.

lot size 20 shares
price band 270-290
5% discount on offer price determined pursuant to the completion of the book building process shall be offered to retail individuals and eligible employees.

Dear 1 Idiot,
I am very confident about EIL subscription,Just check on 29. My hopes of making a killing in EIL has dashed now post the SKS price band announcement,but I got a golden opportunity this morning & bought a fair quantity of EIL shares at 297.I will sell these shares above 330 post the stupendous subscription of EIL.One more thing I do not consider trailing EPS as an indicator of stock movement,but forward EPS which at expected 17 will make EIL a steal at 275.

fall in the share price is good till the issue closes because-

1) most of the selling from the weaker hands will be over hoping the price post ipo will be below par. so post listing only fpo shares will be sold not old shares.

2) more bids may come at 270 and if priced at 270 very attractive.

short eil today

naam bade darshan khote....total avoid

SREEDHAR,

MY HEART SAYS GO FOR 100% IN EIL
BUT MY MIND SAYS AT MOST GO FOR 50:50.

NOW I M EAGERLY WATING FOR SKS PRICE BAND IF IT IS MORE THAN 600-620 AFTER DISCOUNT FOR RETAIL I WIL BE EVEN MORE SKEWED TOWARDS EIL MAY BE 60:40 IN FAVOR OF EIL

the fpo price band is 270-290. there will be a 5% discount from this price

SREEDHAR,

I WAS THINKING OF ALLPYING IN EIL AND IN SKS AS FOLLOWS-

1) 10 DAYS BACK IT WAS 0:100 IN FAVOR OF SKS.
2) 5 DAYS BACK IT WAS 25:75 IN FAVOR OF SKS.
3) TODAY AFTER PRICE BAND OF EIL 45:55 IN FAVOR OF SKS.

NOW THE SKS WILL FEEL THE HEAT IN DECLARING THE PRICE BAND BECAUSE EIL HAS DECIDED A VERY ATTRACTIVE PRICE BAND, I THINK EIL WILL BE SUBCRIBED AT 290, NO HOPE TO GET IT AT 270, RETAILER WILL GET AT 275.5/SH AND I M SURE WILL GET AT LEAST A LITTLE LESS THAN 300 TO SALE IN BAD MKT CONDS BECAUSE MARKETS ARE ON A 2 YR HIGH AND CORRECTION EXPECTED.

Dear 73. Shreedhar

I fully agree with u. at a price of 290 (upper band) and after considering a discount of 5% it looks good.

But we all should know that annualised EPS of EIL is only Rs.13 (Apox) and a price of 260- 275(after discount) means a PE multiple of around 20-22 times.

Altough the pricing is not very attractive, but looking at the prices of most of high growing PSUs and the sector in which company operates, PE of 20-22 looks reasonable. Since allotment will be atleast 50000 per one lac application, and chances of loss very low at this price band, one should definitely go for it.

Howver, we all should wait for QIB response for the IPO, i.e. one day before issue closure.

at this time, EIL looks better than SKS.

Regards

1 Idiot

I would consider myself to be a lucky person if EIL is subscribed only once but since the Institutional appetite will be known 1 day before & there will be heavy subscription in that category,I don't think there is any chance of such hope.Institutional investors go for Unique play's & EIL is definitely a Unique play.

GOOD THING ABOUT THE CO-

PRICE BAND DECIDED AS 270-290
THERE IS A 5% DISCOUNT FOR RETAIL AND EMPLOYEE.

BAD THING ABOUT THE CO -

GOVT HAS PAID 1000% DIVIDEND BEFORE IPO @100/SH TOTALLING RS. 561.65 CRORES OF WHICH GOVT GOT RS. 507.65 CRORES AND DIVIDEND TAX OF RS. 96 CRORES. IT SUBTANTIALLY REDUCED THE CASH RESERVE OF THE CO MAKING IT LESS ATTRACTIVE


ALL IN ALL @ 290/270-5% DISCNT = 275 / 256 IS VERY ATTRACTIVE PRICE

BAKWAAS FPO. FIRSTLY IT IS RAISING 9000 CRORE AND IT REQUIRES HIGH LIQUIDITY TO CONTRL THE PRICE. DONT THINK IT CAN HOLD MORE THAN 240 RS AFTER FEW DAYS.

SJVNL WHICH WAS ONLY 1000 CRORE ISSUE WITH 4 RATING IS RULING AT 12% DISCOUNT EVEN THOUGH WAS S AMALL ISSUE.

IT DOES NOT HAVE BONDS NOR A FINANCE COMPANY LIKE RECLTS SO GOING BELOW ISSUE PRICE IS DEFINTE FOR THIS COMPANY.

IT WILL BE SUBCRIBED BY 1 TIME WITH LIC FORCED TO SUBCRIBE MOST OF SUBSCRIPTION.IT WILL NOT BUY AFTER LISTING DUE TO LACK OF LIQUIDITY. IT WILL BE JUST STARTEGY FOR GIVT TO SAIL IT THROUGH.

I WOULD LIKE THIS TO GET 0 SUBSCRIPTION IN RETAIL .THOSE WHO WILL APPLY WILL LOSE THEIR 25% OF INVESTMENT .

AKAL LAGAO AUR SEEKHO GOVT KA KYA MAKSAD HAI

The government today set Rs 270-290 as the price band for the follow-on public offering of state-run Engineer India Ltd.

A Group of Ministers headed by Finance Minister Pranab Mukherjee set the price band at a discount to Friday's closing of Rs 337.65 for the sale of government's 10 per cent shareholding in the engineering consultancy firm.

The government will raise about Rs 9,000 crore at the lower end of the price band and over Rs 9,700 crore at the upper end, official sources said.

EIL's public offer of 33.69 million equity shares will open on July 27 and close on July 29 for qualified institutional buyers and on July 30 for the rest (retail and HNIs).

The Government holds 90.4 per cent stake in EIL, which provides design and engineering services for petroleum, power and fertiliser companies.

Post FPO, government holding in EIL will fall to 80.4 per cent. Sources said 712,000 equity shares have been reserved for company employees who would be entitled to the discount that retail investors will get in the offer that is being done through book building route.

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Half of the net offer of 32.98 million shares (after

deducting employees quota) have been reserved for Qualified Institutional Buyers and retail investors would get up to 35

per cent of 11.54 million shares. The rest has been earmarked for non-institutional buyers.

HSBC Holdings Plc, ICICI Securities, SBI Capital Markets and IDFC Capital are book running lead managers for the FPO.

EIL had reported a 25.43 per cent rise in consolidated net profit to Rs 440.47 crore for the 2009-10 fiscal.

THERE IS NO MENTION ABOUT RETAIL DISCOUNT.
From Indian express 25-07-2010

sreedhar & others applying EIL.

AS A MATTER OF PRINCIPLE I CANT APPLY IN AN IPO/FPO WHERE 100% ALLOTMENT IS CONFIRMED.I GENERALLY NOW APPLY 10-14 FULL APPLCN AND CAN TAKE ALLOTMENT UPTO 40% OF SHARES APPLIED, IF THE PRICE FALLS BELOW IPO PRICE I CANT BOOK LOSSES, I DONT BOOK LOSS.

IN CASE OF 9 OUT OF 10 GOVT FPO THE MARKET PRICE WILL COME DOWN TO ISSUE PRICE FOR 1-2 MONTHS POST LISTING AND IN SOME CASE ERODE UR CAPITAL TOO.

THAT IS NOT THE CASE WITH SKS, WHERE MY CAPITAL IS PRESERVED AND RETURN IS MORE PROMISED THAN EIL ALTHOUGH IT MAY BE LOWER ON YEILD BASIS.

I FOLLOW PRINCIPLE FOLLOWED BY BUFFET AND SOROS, SOME RELEVANT PRINCIPLE IN THIS CASE ARE-


Winning Habit Number 1:
• Believes his priority is always preservation of capital.

Winning Habit Number 2:
• Risk Averse

Winning Habit Number 23:
• Puts his money where his mouth is.

EIL PRICE BAND DECLARED 270-290

hi, k.k. NATARAGAN
WE KNOW YOU PEOPLE ARE OPERATORS MISGUDING PEOPLE
IN IPO

Give first preference to eil then sks u will get allotment in eil not in sks