In companies like this with huge reserves, not only the EPS, but also the enterprise value will be taken into account. Thats why I doubted that it could be priced a little higher.
The government will be little bit careful in pricing the MOIL as they are lining-up with lots of FPOs and IPOs. Also powergrid is listing 2 or 3 days before the opening of MOIL. I expect the price band will have something on the table for retail investors as like coal india.
For FY 10 MOIL has reported net sales of 963 cr.vs.1282 cr.in FY 09. and net profit at 466 cr. vs.664 cr.,PAT margin slipped at 48% vs. 51.75%,EPS was down at 27.76 vs. 39.51.
CK Shah 11 From where the hell did u get this false information see the information below in moneycontrol.com http://www.moneycontrol.com/news/ipo-upcoming-issues/manganese-ore-ipo-likely-to-hit-markets-by-nov-end_498680.html
Company is raising about 1000 Crore by issuing about 3.2 Cr shares, and with EPS of 27 and 1000 Cr issue the price band works out to some where closer to 300 Rs.
5. Pandit Ji| Link| Bookmark|
November 15, 2010 12:09:32 PM
Top Contributor (400+ Posts, 200+ Likes)
Manganese Ore India Ltd (MOIL) IPO opens on 26.11. 2010, please keep funds ready
Upcoming state offers include Manganese Ore India Ltd's IPO to raise up to $270 million, Hindustan Copper's $1.6 billion share sale, and Shipping Corp of India's $320 milion share sale.
MOIL EXPECTED IPO SIZE IS 1K CR..THATS LESS THAN 10 PERCENT SIZE OF COAL IPO..EXPECTED ALLOTMENT IN MOIL IS 5K RS PER LAKH APPLICATION..RETURN IN MOIL WILL BE MINIMAL..