i am big fan of udyan(managing editor of cnbc), i trust him blindly what he said, he is not allowded to trade in stock market. what he said about syncom is as under
Healthcare company––Syncom, seems like an okay pace. Like many other companies they make formulations and do a bit of contract manufacturing on the side. However, they want more than Cipla’s valuations. They want to do an issue at 22-23 times. Which pharmaceutical company in the midcap space sells at 23 PE? I am sure that will not fly as well and if it does it will bomb on listing
i will be suprised if syncom list above its issiue price as its PE is higher then CIPLA(no pharmasuitical company trade @ 23PE), and if it happen then it means our stock market not working on fundamantal but purely on the hand of operator(satodiya)
#61 @Arpit - The EPS pre-issue for year ended March 31,09 is 3.85. It says this clearly on the IPO form Page 10. I don't know where did you get the figure of EPS 7. Post-issue the EPS for the same year would be even lesser. Also annulaised EPS pre-issue for year ending March 31,2010 is expected to be 4.51. Looking at these details and the post issue annaulised EPF for 2010 I feel at around a PE of 20 times it doesn't look attractive. But you may get listing gains. Can't quite predict on the future of this company but I would suggest selling this stock if it ends up opening in the positive.
Hi All, One can really think of buying this stock on Monday if it lists around 85 odd levels... The EPS for last year is around Rs.7 and for this FY company is going to post an EPS around Rs.9 For a small sized pharma company,if we give 12-13 P/E,the prize works out to be 110-115. Happy investing...!!
Indore-based Syncom Healthcare Limited, which has entered the primary market recently, will set up a unit in Special Economic Zone in Pithampur (near Indore) with an investment of Rs 20.48 crore.
It will also modernise its existing manufacturing unit in Dehradun with an investment of Rs 6.62 crore.
The company, in a statement issued to Business Standard, has said it will also set apart Rs 15 crore for working capital requirements and expend another Rs 7 crore for opening of an export office in Mumbai and for brand and product registration approval. The total cost of the project outlay is Rs 49.10 crore, which it will raise through public issue.
The company has said the SEZ unit will have ultra-modern facility and will manufacture general dose drugs with a production capacity of one billion tablets and 1.5 billion capsules annually. The unit will also have another manufacturing block to produce Cephalosporin drug both in tablet and dry syrup form. This block will have production capacity of 4.5 million tablets per year and 7.5 million dry syrup phials per year.
The company, which markets and manufactures drugs and formulations has gone public to raise funds through the issue of Rs 75 crore for 7.5 million shares through 100 per cent book-building.
Sub: Listing of Equity Shares of Syncom Healthcare Limited (IPO)
In pursuance of Regulation 3.1.1 of the National Stock Exchange (Capital Market) Trading Regulations Part A, it is hereby notified that the list of securities further admitted to dealings on the National Stock Exchange (Capital Market segment) with effect from February 15, 2010 MONDAY .Thankk........u Babu Saaaa--------b