Nelcast Limited IPO Message Board (Page 3)

30 shares alloted nelcast

where can i see allotment on internet,, which site,, bigshare site is not opening , please give site name where i can see my allotment status

allotment status is not Available on net ?

allotted 30 shares.

allotted 40 shares.

just dial 022-40430200 to get the status.

Got Allotted 70 shares ......

allotment is done. status will be out in few hours.

Nelcast Ltd. 15 June 2007 -

Price P/E * Remarks

Rs 219 8.9x Issue Price (FY09E EPS)

Hold
Nelcast, established in 1982, is one of the largest iron casting manufacturing company with total capacity of 1.02 lakh tonne manufacturing both grey iron (GI) and spheroidal graphite (SG) / ductile iron casting in India . The company has two plants, one located in Gudur (Andhra Pradesh) and Ponneri (Tamil Nadu) with installed capacity of 42,000 MT and 60,000 MT respectively operating at an average utilization rate of around 80%.

The company manufactures around 200 different casting in SG and GI cylinder blocks, flywheels, flywheel housing, housing hubs, spring shackle, brackets, transmission case, axle housing, and exhaust manifolds etc. catering the needs of commercial vehicles and tractor industry. The company has also started serving the Indian railways by supplying small components recently.

Nelcast, a Rs 305 crore company, is tapping the capital market diluting its equity capital by 25% raising fund Rs 95 crore (on upper price band). The funds requirement is mainly to finance its capacity expansion project and working capital requirements. The company issued 17,400,000 equity shares in the price Rs 219 per share to collate around Rs95 crore. The shares will be listed on BSE and NSE. After the dilution, promoter’s stake would dilute to 68% from current levels of 91%.

Nelcast is steadily growing company and raised sales from Rs 87.9 crore in FY03 to Rs 305.8 crore in FY07. EBITDA margins improved 440 bps to 13.8% in FY07. Despite higher taxation provisions mainly due to income tax and higher deferred tax, the company reported 171% jump in net profit to Rs 19.9 crore. This translates into an EPS of Rs 15.2 per share on an expanded equity of Rs13.1 crore as against EPS of Rs 5.2 on equity base of Rs 12.8 crore in FY06.

Going forward, with capacity expansion, and positive outlook on realization, we expect net sales to rise at a CAGR of 28.7% to Rs 439.3 crore and Rs 506.6 crore in FY08 and FY09 respectively. EBITDA margin to improve to 15.5% from 13.3% in FY07, supporting net profit growth. We project net profit to rise to Rs 32.5 core and Rs 42.8 crore in FY08 and FY09 respectively, translating into an EPS of Rs 18.7 and Rs 24.6 respectively on the post issue equity of Rs17.4 crore during the same period.

The equity shares will be listed on the BSE and NSE. The issue was subscribed 7.36x the issue size.

Particulars % Allocation Over-subscription

Reservation for QIBs 50% 11.22

Reservation for Non-QIBs 15% 0.93

Reservation for Retail Investors 35% 4.59

Total 7.36


Valuation

Nelcast’s share are offered at a price Rs 219 discounting its FY09E EPS by 8.9x. we expect the company to perform well enhancing its top and bottomline in coming years. We recommend subscription to the issue.

Low risk appetite investor can consider the issue for listing gains while high risk appetite investors can consider the same from long-term investment perspective.

hai guys i am once again forced to give my opinion to my fellow friends and well wisher who are worried on nelcast ipo, everybody is worried about the slow down in auto sector or mutual fund/fii subscription figure of the issue let me put it straight this way that yes it has placed shares to fii at rs. 155/- but does anyone knows that it was done in the year 2006, i think no one knows the facts clearly and try to malign the company by some operator/broker just to put away small investors to sell their holding on 1st day of listing this is brokers game to garner as much share as they can then they manipulate the share, just look at mic electronics and time technocraft what they have done through this portel by different names is to sell their holding as shares are not worthy or whatever. i once again advice small investors to do your homework before investing and set their goal on price before selling their precious holding in every share they hold. bye

@TB
I totally agree to u sir and Ialso go by fundamentals of the company, but if you are looking out for listing gains, I think thats not the only thing to consider.
You have talked aboiy DLF.
Some facts about DLF:-
-The issue is Undersubscribed by retail byers (Toal subscribtion - 97.52%)
-The earning per share for DLF ~Rs 3.50 which is ~143 times the floor price and ~157 times the cut off price.
-DLF fixed the issue price @525, which clearly shows that issue was heavily priced. They were not able to issue @ cut off price.
-Most of the Real estate Scripts like Parsvnath and SOBHA are trading @ < 25 odd P/E ratio as compared to SLF which has fixed the issue only @ 150 P\E.

Only (+) to go with DLF
-DLF has invested heavily in Land. As the land prices would go up in long term, this script would give high return.

Best Stratergy for DLF
-Wait till the script is listed and am sure the rate would come down drastically. Let it stabalise and invest for long term.

Fundamentally a great stock but here timing the market for this one is really crucial, as its still not listed.

Sir,is the allotment out for nelcast? no news on bigshare till 6:15 pm today

dont go by rating go by fundamentals of company.
also see if there is support for stock.if some mutual fund or big investor is ready to take stake in it.
nelcast is not so gr8 to command any premium it is a little below average issue.morever auto buisness is not that gr8 with other quarter not been too good plus allotted shares at 155 then why selling at 219 binani cement also give jp morgan at 24 rs which they sold at 75.
see i believe in fundamentals strong company.
check the listing of dlf which will have decent gains and will go higher and higher.tomm dlf sez getting approval too
dlf listing will be at 605 and will reach 750-800 in 1 months time.
same with icici bank.excellent managed company.will fetch good returns.
even though cairn went down on listing but still its gr 8 to buy now as it can go up anytime and will reach 180-200 in 1-2 months as its going to complete 6 months now and all big companies start giving decent return after some time.see prime focus and allcargo logistics which went down on listing and see where they are now.

As per Rating Nelcast get 4 Rating point out of 5 and
as per market its PE ration also good still people are
telling that its will not open with good premium ?
what was logic behind people still not believe in this issue? Any one suggest me?

Can anybody tell me when the allotment out for nelcast?

Is the allotment status out?

Sir,is the allotment out for nelcast? no news on bigshare till 1 pm today

allotment status will be out today

TB, From the prospectus :
"In terms of clause 4.14.1 of the SEBI Guidelines, the entire pre-issue capital, other than that locked in as promoter’s contribution shall be locked in for a period of one year from the date of allotment in the present issue."

So, how can the promoters get out of stock, as you have mentioned.
2 lakh shares (1.15% of post-issue equity) were allotted to Menakuru Infrastructure Pvt. Ltd. at issue price of Rs. 155 on 17-11-2006.

nelcast will go down may reach 150-160 levels.prmoters getting out of stock.have bought shares at 155 and theya re selling at 219. morever no non instituitional interest. looking at bad auto ancillary bizness this quarter.this stock will go anywhere between 10-15% down on listing

Raghu, where did you find this pre-ipo info ?