IRB InvIT Fund IPO Message Board (Page 16)

i have money to apply for 1 lot. Will apply only for listing gain. Please guide me if I can apply or not. Not planning for long term.

Any kostak rate

18,000/-

As retail investor if we invest 10 lac & non QIB portion subscribes 20 times.. is there any chance of allotment ??

It will be 1/20 or 5% bcoz in case of oversubscription allotment will be done by lottery

i am applying.. min 10%listing gain

disclaimer: only risk savy investors should apply as amount involved is high

frnds few brokers arr telling to avoid, so i am also backing out, cant take that much risk on loan as i have used money in Zota already

Not recommended for retail investors: Following points need to be noted:
1) Minimum investment 10 lacs - too high
2) Minimum market lot 5000 shares - there will be liquidity problem and it will be difficult to get buyer when you want to sell
3) Projects are under BOT which means after 16 years there will be zero income - it will affect long term cash flow and income
4) Profitability in long term can get affected due to internal and external factors
5) Due to change in political parties at center and state can affect the project implementation
6) Difficult to predict future project acquisition and hence cash flow

There will be no GMP, as there is no retail quota. 75% is reserved for Institutional investors. The rest 25% would be allotted on a proportionate basis. Also, there is no minimum lot allotment to everyone who applied as there is no quota. If it gets subscribed 100 times in this category then for a minimum application of Rs 10 lakhs you will get an allotment of only approx Rs 10000. And the money would be blocked for around 16 days as ASBA in your bank account.

The whole amount of Rs 10 lakhs (or more if you wish), would be blocked till allotment is finalized.

As mentioned in RHP TRADING LOT WILL BE 500000 THEN IS IT POSSIBLE THAT WE GET MINIMUM 500000 RS ALLOTMENT

In saving account could we get interest during Lian time

I have read the complete prospectus of IRB InvIT fund. Salient points are give here, you can form your judgement based on them.
1. enterprise value of this trust is 8000 cr. and Equity value is around 3000 cr. based on discounted cash flow method. In layman terms it means that current value of all the future income(dividends) in this IPO is Rs. 3000 crores, while ipo selling price is at Rs. 4500 crore rupees. (in value investing terms you are buying 1 rs. worth assets in 1.5 Rs.) Discount rate to calculate current value of future assets is taken by valuers as approximately 11%, which is on a bit higher side considering lower interest rates in current scenario.
2. The 6 toll generating road covered under this trust are on BOT model. So after expiry of operation/maintenance contract these roads will be transferred to NHAI. So with passing years Value of invested capital will gradually become zero.
3. Income in subsequent years through dividend will increase, due to traffic growth, projected at 10-11%. (that increase has been taken into account in discounted cash flow method).
4. Cash generated projection during initial 3 years 2017/ 451 cr, 2018/ 631 cr, 2019/ 728 cr. 90% of which is to be distributed among unit holders. Dividends will be tax free in the hands of unit holders and trust. Dividend income from unit allotted in IPO in first 3 years will be approximately 10%, 12.5% & 14.5 %.
5. Considering initial higher yields, market appreciation of capital is possible on listing and in initial years.
Final opinion: Not for value investors (long term investors). Speculators may invest for listing and initial years capital gains.

we are all waiting for gmp by our favourite experts

Can someone tell expected dividend per share per year after listing based on the prospectus and objectives of trust....that should help in deciding to apply or not...

I feel the IPO of IRB InvIT is decent but the prospectus is not telling the full story.
Few unanswered questions:

1. Will the investors get 10-12% yearly return on the purchase price of Rs 100.
2. What happens to other new projects.
3. Will Modi allow this corrupt company to get new projects in the future.
4. Is this a way for Gadkari to cash out the dirty scam?
5. Do we as investors should really be a part of all this scam ??
6. Id BJP also going Congress;s way. Should a corrupt person like Gadkari be sacked?
7. is he the Robert Vadra of BJP ?

One must also understand the political connection between IRB and Sharad Pawar and Nitin Gadkari. People were murdered, RTI activists kidnapped, burnt alive etc etc. Well all this is in the prospectus.

THESE R PROJECTS WHOSE LIFE IS 16 YEARS AND U WILL GET 10 TO 12 PERCENT YEARLY RETURN... SOUNDS GOOD.. BUT THERE IS A CATCH WE WON''T GET OUR INVESTMENT BACK. SO ITS LIKE FD WHERE U WILL GET 10 TO 12 PERCENT RETURN PER YEAR BUT U WON''T GET UR PRINCIPAL BACK

SUPER SMART AYUSH PLEASE read n understand my comment, these are BOT projects, please google BOT projects and first learn then comment..... Mr. SINGH COMMENT IS SPOT ON ......

Till some clarification is made by the learned experts, I also agree with TheLearner that the InvIT fund shall have Ownership Rights to collect toll charges for 15-22 years Only. The tolls shall eventually be transferred to the government on expiry of respective concession periods under Build- Own- Transfer plan without any consideration. Although return of 12% looks attractive, but SUPPOSEDLY if the InvIT fund does not buy any other toll project and goes for winding up after 15-20 years, How the investment shall be redeemed needs to be clarified.

I feel its a great opportunity for people who are suffering low interest tayes of the FD rates from banks.

This is a instrument in between the Equity and a Debt. Its liquid however the minimum size would be Rs 5 lakh after listing (at IPO rs 10 lakh).

MOST IMPORTANT: 16 projects with a much higher current Market value is being transferred from IRB to IRB InvIT. This is great opportunity for the unit holders.

Thi is the first time, (okay second....Noida Toll Roads was another much smaller company), that retail investors can participate in a infrastructure road Toll projects.
If you drive more often and cross these Toll Plazas and feel that they make too much money..............well this issue is giving you the opportunity to get those cash floes and be the part owner of the road !!

Gains on listing............10-12% and in six months you would be getting another 6% as dividend.

I feel being anew instrument, the Govt wants to safeguard the small investors, hence the lotsize is Rs 5 lakhs. My estimate is that The scrip would become free of any lotsize restriction once a few semi annual dividends are paid out.

On the outset trhis should have been tailor made for the small investors, but i guess SEBI wants to take baby steps because of the newness of the instrument in India.

Noida Toll Roads was a fraud venture from the start. There withe the Congress Govt a few bureaucrats nicely looted the country. That company is defunct under PM Modi and will soon cease to exist.

This company should not be compared to Noida Toll Bridge. IRB is transferring at cost the main roadways, which are existing, operational and income generating. Though existing IRB shareholders are forgoing the certain profits.

I think the dividend will be on Rs. 10 face value and not on issue price. Else who will not like 10% tax free return ?

I have 10lac to invest but confused .
From ZOTA and IRB in which I should go ?
For ZOTA I have 10 demat Acc.
Can anyone pls guide me?

irb invIt listing date: 24 may

Expect listing gain.
If u have funds so u must go for it..

Retail investors even if you have money to invest rs 10 lakhs pl donot try your luck

When this IRB InvIT is in LOSSES for a number of years then how this is good for investment. I do not understand. Please throw light in this issue.
For the year ending March 2016, the total income of the company was Rs 1,003.8 crore and the total expenses at Rs 1,062.8 crore. During the same period the company reported a net loss of Rs 76.4 crore. For the year ending March 2015 and 2014, the company reported net loss of Rs 123.7 crore and Rs 47.3 crore, respectively.

I have 10lac to invest but confused .
From ZOTA and IRB in which I should go ?
For ZOTA I have 10 demat Acc.
Can anyone pls guide me?