Eros International Media Ltd IPO Message Board (Page 50)

49. KKD

KKD is right. As per my calculation too the valuation of BEL comes to Rs 2083 cr. Please refer the following porion of ET clipping-

“The capital-raising exercise therefore could happen in two to three tranches as and when the organisation needs equity support for projects,” he said. BEL recently diluted 10.8% stake to two foreign based investors IFC, Washington and India Clean Energy Fund for $50 million. After this stake dilution, the total foreign interest in the company stands at 17%".

As per this company is valued at Rs 2083 cr.
HEG's portion (26%)= 540 Cr &
RSWM's portion (17%)= 350 Cr

Normally strategic invstments are not valued at the market price in the market cap of company.

Comments requested form GEM IPO and KKD.

regards,

Ravi Jhunjhunwala, CMD, HEG in an interview on cnbc tv 18

Q: Can you give us the idea of what equity of the company itself at this point in time?

A: As I said they will bring in about 10%. There are two of them. Each one of them will be bring about 5%, a total of USD 50 million. So the valuation of the company is close to USD 500 million
Q: In that case, can you clarify that HEG still holds about 29% stake in Bhilwara Energy or has that stake come down post this placement?

A: That will come down to that extent. HEG holds 29% as of today.

Q: How much will it come down now?

A: As I said these two players are taking about 10%, so to that extent HEG’s equity will come down by probably a couple of percentage.

Here is complete link. IPO next year.
http://www.moneycontrol.com/news/ipo-upcoming-issues/planning-bhilwara-energy-ipo-next-year-heg_469027-0.html

36. GEM IPO FINDER

I have just gone through. BEL website and ET news clipping.
This surely looks to be an excellent opportunity. When is the IPO expected.


regards

Dear Hitesh,
Please give me the application number & your demat details.I will try to check the problem with them.

i have only one lack in which IPO i will invest

GMP RS.40-45

which is the best one ipo in sep month

Gem

I appreciate your analytical abilities but your valuation of Bhilwara Energy @ whopping Rs. 10000+ crores is incorrect. BEL is implementing power project of very small capacity and plans to come out with IPO size of Rs. 400 crores for 25% stake valuing the Company @ Rs 2000 crores. I have read about BEL plans sometime back hence not sure about accuracy of above details.
Pls recheck the expected marketcap details. As far as RSWM is concerned, it used to trade in the range of Rs. 80-100 for long time before it caught the eyes of operators only in the last 12 months when group co. BEL planned to come out with IPO.

I think rechecking of finer details of BEL will be in the overall interest of boarders who follow you and also update me.

singh

RSWM CURRENT M.CAP = 353 CRORES LETS SAY 19 STEKE IN BEL VALUED AT 2000 CR SO 353 WILL MOVE TO 2000 SO ITS 5.5 BAGGER ALMOST LEAVE THEIR MAIN BUSINESS ASIDE.

HEG CURRENT M.CAP = 1370 CRORES LETS SAY 26% STAKE IN BEL VALUED AT 2700 CR SO 1370 WILL MOVE TO 2700 SO ITS 2 BAGGER ALMOST LEAVE THEIR MAIN BUSINESS ASIDE.

SO U DECIDE WHICH ONE U WILL BUY A 2 BAGGER OR 6.


SRINI

U CAN BUY RSWM FIRST, JAI BALAJI SECOND AND GODAWARI THIRD, RETURN SHOWN WILL DEFINETLY COME AS PER THE TIME OF EVENTS

Shares in Eros International gain as much as 8 percent after the Indian movie distributor says it plans to raise about $75 million through an initial public offering of its shares in India.

'This long awaited move should stimulate further interest in the AIM quoted Plc,' says analyst Adrian Kearsey at Evolution Securities.

Kearsey says the move should highlight the strong growth being generated in the Indian market and provide Eros with additional capital to grow its domestic earnings.

'Given the upbeat tone from management we expect the book building process is going well,' the broker adds, and raises his price target to 320 pence from 280 pence on the 'buy'-rated stock.

itS PLC TRADING IN LSE

@ Sreedhar,SJ there are quite a few IPOs coming, whats ur call on indo solar,eros and career point. Are all 3 good for listing gains. Can you rank it in order of your preference

DEAR ALL,

PLEASE PROVIDE LATEST GMP OF INDOSOLAR AND EROS,

THX

Dear GEM,
So can we purchase these 3 stocks as you are sugessting as multibagger, RSWN, jai balagi, godavari power. At what level we can enter these stocks, I want to invest Rs.6,000 /- each in all 3 scrips, please suggest.
Thanks in advance.

Latest GMP in jaipur

Eros:- 40-42
Indo solar:- 2 RS

Guys stay away from Indo solar, it is "Shri ganesh Jewellery " type of stock
can give u a huge loss, margin of safety very very less

better to apply in Eros for good gains, also it is listed in London Stock exchange and making fresh highs, very very good IPO

Hi gem

Thanks for useful piece of information. It's really great to read such good research.
I have 1 doubt. you recommended buying RSWM based on bhilwara energy going for ipo. RSWM holds 19% stake in bhilwara energy where as HEG holds 26% stake. So buying HEG should be a better bet based on that logic.
please correct me if i am wrong on this.

GEM,
I picked up the latest financials from RHP of Eros.They have even given June 2010 results in it.

Dear Gem

are you sure. Or you are again making fun of me..when i first posted......about jai balaji

Anyways i know jajodia....very well....coz my uncle is into steel business

well u are right.....commodity stocks shud be bought in downtrend...i will buy again at 180 if correction happens iin stock markets...

Gem godawari power is an excellent bet you have chosen........it is also doing lot of backward integration......it is a 3x oppurtunity in next 2 yeara....plz dont sell godawari for small profits
....it is a good bet

go and google nilesh shah of envision capital......view on godawari power.....


Nileshh shah had picked 20 baggers before like financial tech unitech pantaloons in early satges..when no one knew about them

regards

Setu

I REQUST ALL THE BOARDERS TO KINDLY READ MY TWO REPORTS ON

1) JAI BALAJI

2) RSWM

FIRST ONE IS A LT BUY SECOND ONE IS ALSO A LT BUT SMART BUY AND WILL SURE GET RETURN IN SECOND ONE.

my third multibagger after jai balaji and godawari power is

RSWM

here is the reson -

1)its textile co , but i will not talk about textile story, although that is on the roll in india after 5 yrs all co are generating highest profits this yr.

2) it holds 19% stake in BHILWARA ENERGY which is coming with ipo very shortly and valued around rs.15000-20000 crores.

3) RSWM own market cap is Rs.353 crores, and its stake in bhilwara energy is valued at Rs.2000-3000 crores.

4) so when ipo will come, it will sure come the stock can go upto 1000 , correct me if i wrong.

i have seen same thing happened in VENKYS which holds stake in LAVASA IPO , AND THE STOCK ROSE FROM 100 TO 980, IN NO TIME.

FORGET IPOS BUY RSWM AND DONT SELL TILL IPO OF BEL

CHECK SOME LINKS TO VERIFY WHAT I SAID.

http://economictimes.indiatimes.com/markets/ipos/Bhilwara-Energy-plans-IPO-to-raise-up-to-Rs-1200-crore/articleshow/6284763.cms

http://myiris.com/shares/research/ESSBL/HEG_20071218.pdf

http://www.bhilwaraenergy.com/press_releases.aspx