Indosolar Ltd IPO Message Board (Page 36)

CRISIL has assigned IPO grade "3/5" to the proposed initial public offer of Indosolar Ltd, which indicates that the fundamentals of the issue are average relative to other listed equities.

The grading assigned reflects CRISIL’s view that the depleting energy reserves and the consensus among various nations to cut emissions and focus on an alternative clean source of energy is positive for the solar industry. The grading also reflects the strong track record of the promoters with respect to their previous technology-intensive venture at Halonix (Earlier Phoenix Lamps). However, the grading is tempered by the fact that the technology for manufacturing SPV (solar photo voltaic) cells is still evolving and, therefore, carries the risk of obsolescence for existing players including Indosolar. The company also has no prior experience in the solar PV cells business and is expected to face competition from large and established players.

Further, the grading takes into consideration the fact that the growth of the solar industry would depend entirely on governmental support as the cost of power generation currently is very high and the solar industry would take several years to achieve grid parity (cost of generation). Indosolar is also entitled to capital subsidy from the government subject to fulfillment of certain conditions, which would help in reducing capital cost of the company.

Indosolar started manufacturing SPV cells in July 2009 following the commissioning of Line 1 with an annual manufacturing capacity of 80 MW. The company has state-of-the art manufacturing facility in Noida, Uttar Pradesh commissioned on a turnkey basis by Schmid, one of the leading global technology providers.

Indosolar is looking at expanding its manufacturing capacity. Expansion through Line 2 with an annual capacity of 80 MW is under progress and is expected to be commissioned by March 2010. The company has incurred a capital expenditure of Rs 6,670 million for Line 1 and Line 2, funded through a mix of debt (of Rs 4,600 million) and equity contribution from the promoters.

The company plans to raise around Rs 4,000 million through the IPO mainly to fund the expansion of Line 3 which would have an annual manufacturing capacity of 100 MW. As on January 5, 2010 the company has a strong order book of 78.08 MW with a contract value of Rs 5,063.9 million.

indo solar is a clear avoid ipo. Because it it is going to raise 400 crores through ipo.400 crores ipo can not be manupulated easily by the operators.There is no demand even in the European countries of this segment companies.If it is company who want to produce electricity through uranium than we can think of applying in it. In other words it is another suzlon energy.

ssue Size: 13,79,31,035 Shares
INDOSOLAR
Retail: 4,82,75,862 Shares
Price Band: Rs.29/- to Rs.32/-
Opening Date: 13th September`10 HNI: 2,06,89,655 Shares
Closing Date: 15th September`10 Bid Lot 200
Listing on NSE & BSE

Cut off 32 Shares Amount
Shares Amount 1600 51200
200 6400 1800 57600
400 12800 2000 64000
600 19200 2200 70400
800 25600 2400 76800
1000 32000 2600 83200
1200 38400 2800 89600
1400 44800 3000 96000 copy and paste from money control.com

indo solar ipo opens from 13 to 15 September.I will not apply this ipo.Even if god comes on the earth and ask me to apply this ipo.No interest of the Fii in the power sector and specially hydropower, windenergy and solar energy. Those who wanted to hold upto 2030 can apply in the issue.I am holding solar cooker which is of no use to me . Any buyer please reply.The people do not misguided by the recent incident of plain which is working on the solar energy.The plain which work on solar energy needs 1 crores cells to take of flight.Look at the ntpc the stock is struggling from the last six month.