Reliance Power board considering free bonus shares.

In an unprecedented move, Anil Ambani Group company Reliance Power will give free bonus shares to all its shareholders to compensate the losses they suffered when the company was listed a week ago.

"Reliance Power board will consider issuing free bonus shares to all shareholders excluding the promoters," a group spokesperson said.

On the day of its listing at Rs 547.8 a share, Reliance Power performed miserably at the stock exchanges and closed the day nearly 32 per cent lower.

The IPO had attracted a total demand of about Rs 7,50,000 crore and the company had issued the shares at Rs 450 while giving a discount Rs 20 a share to retail investors.

IPO's Withdrawn.

Emaar MGF has withdrawn its IPO and they will refund the ipo money in next 10-15 days. Even the extended date for the ipo could not help. The ipo has been withdrawn because of the poor response and the challenge for price appreciation post listing. Emaar MGF may consider the IPO at an appropriate time at a later stage.

Wokhardt Hospitals has withdrawn its IPO and investors money will be returned within 15 days. Even after extending the dates, the ipo has recieved poor response. The reasons for the failure of this ipo is higher valuation of the price band and poor market conditions.

Reliance ipo allotment status.

Click here to check R power allotment status.

Reliance Power Limited IPO Allotment

Reliance Power Limited IPO Allotment :

• Reliance Power Limited IPO Allotment today.
• 15 Shares for the application of Rs 96750 or Rs 25875 (maximum) in the retail category.
• No shares will be alloted to those who applied less then Rs 96750 or Rs 25875 (maximum) in the retail category.
• Reliance Power received 49 lakh applications.
• Around 4 lakh applications has been disqualified, due to several reasons.
• Refund process will start from 1 feb.
• Listing will take place around 5 feb.

Source:-123sensex.
(As published in the above web & sources info is mostly reliable.)

Wockhardt Hospitals

Wockhardt Hospitals :

• 14:00 IST - >Wockhardt Hospitals IPO - pending, waiting for SEBI's stance on price change.
• Wockhardt Hospitals IPO opens today and closes on February 5.
• Price band has been revised to Rs 225/- to Rs 260/- Per Equity Share.
• Earlier Price band was Rs 280/- to Rs 310/- Per Equity Share.
• Grade 4 given by Fitch Ratings India.

Source:-123sensex.

IRB Infrastructure Developers Limited

IRB Infrastructure Developers Limited :

• IRB Infrastructure Developers Limited IPO opens today and closes on February 5.
• Price band - Rs. 185/- to Rs. 220/- Per Equity Share.
• Grade 4 given by Fitch Ratings India.
• One can go for listing gain - Subscription expectation is around 3 to 4 times in the retail category.

Source:-123Sensex.

Internet firms plan IPO route on high valuations.

MUMBAI: Indian Internet firms, having successfully ridden the dotcom boom-and-bust of the 90s, are now lining up to sell shares in the domestic market to take advantage of high valuations, company officials said.

Companies such as People Interactive (I) Pvt Ltd (PI), Cleartrip.com, Rediff.com, MakeMyTrip.com, Sify Technologies are among those planning to list their shares in the next two years.

"Yes we have plans to list..it will probably happen in April 2009," said Anupam Mittal, chief of PI which owns matrimonial site Shaadi.com and social networking site Fropper.com. Travel portal Cleartrip's Sandeep Murthy said he had a time frame of 12-24 months for a listing, while rival MakeMyTrip.com is also planning a share sale.

Nasdaq-listed Rediff and Sify will also sell stock to comply with a government rule requiring them to list locally within three years of reporting profits, which both did in 2006/07.

Listing will provide liquidity as well as exit options for investors such as venture funds. For the firms themselves, it means more finance and visibility to boost growth. "Presence of more companies will establish Internet as a IPO-able category in India and give more momentum to investors in that area," said Alok Mittal, managing director of Canaan Advisors Pvt Ltd, which has funded Bharatmatrimony.com.

THE WEB OF VALUATION

Valuation is crucial for a sector with few performance benchmarks.

"Naukri and Rediff will serve as comparables for the broad Internet sector - largely around earnings growth and P/E (price-to-earnings) metrics," said Mittal. At its issue price of 320 rupees a share, the only listed Internet firm, Info Edge, was valued at 28 times its March 2007 earnings.

The company, which owns Naukri.com and Jeevansathi.com, now trades between 930 rupees and 950 rupees. PI's Mittal said the high valuations had to be seen in the perspective of high growth rates in Internet businesses and over a three-four year horizon. Currently, buyers are paying a premium due to a dearth of options among Internet stocks, said Ashish Gupta, Managing Director of Helion Ventures Pvt Ltd.

As more companies start to list, valuations would get rationalised, he added. The Internet sector has differing models. Unlike Info Edge and PI, MakeMyTrip and ClearTrip are single-business entities, which would make again make a difference in valuations.

CONCERNS

For the Web-dependent sector, Internet and broadband penetration in India is an area of concern. India's broadband growth "is slow and below expected level," the telecom regulator said last month.

There are slightly over 60 million Internet users in India and close to 3 million broadband subscribers. Telecom firms would now need to market broadband with aggressive price points, the PI chief said. "But I'm optimistic most of these issues will be resolved in the next 12 months." As the domestic stock market moves higher, enabling easier access to funds, it may also fuel competition for market share among companies in the dotcom space.

However, a rush of listings in the category could well erode share prices by as much as 30 percent, cautions PI's Mittal. The BSE Sensex rose 59 per cent from November 1, 2006 to reach a life high on Jan. 10. It had shed around 16 percent till Thursday, following a global slide.

Source - The Economic Times

Forth comming IPO's.

OnMobile Global Limited
Issue Date – Jan 24 to Jan 29
Issue Price – Rs 425 – 450 /- Per Equity Share

KNR Constructions Limited
Issue Date – Jan 24 to Jan 29
Issue Price – Rs 170 – 180 /- Per Equity Share

Bang Overseas Ltd
Issue Date – Jan 28 to Jan 31
Issue Price – Rs 200 – 207 /- Per Equity Share

IRB Infrastructure Developers Limited
Issue Date – Jan 31 to Feb 05
Issue Price – Rs 185 – 220 /- Per Equity Share

EMMAR MGF Land Limited
Issue Date – Feb 01 to Feb 06
Issue Price – Rs 610 – 690 /- Per Equity Share

Source:-123SENSEX

IPO RELIANCE POWER>

Reliance Power (RPL), part of the Reliance Anil Dhirubhai Ambani Group (R-ADAG) company,a unit of India's second-biggest utility by market value,is engaged in the construction and development of various gas- and coal-based thermal power projects and hydroelectric power projects in various parts of the country.


Reliance Power won rights to develop a 4,000-MW mega power project at Sasan in the central state of Madhya Pradesh in June. Its parent, Reliance Energy, is building a 1,200-MW power plant at Rosa in northern Uttar Pradesh state..


The 4,000-MW project is expected to be the largest pit-head coal-fired power project at a single location in the country and is scheduled to be commissioned during the XI Plan. At the same time, the company expects to complete the Rosa Phase-I, 600-MW coal-fired project in Uttar Pradesh, now under construction, by March 2010. The Rosa Phase II (600-MW expansion project) is scheduled to be commissioned by September 2010. The other identified projects are located in Western Region (12,220 MW), Northern region (9,080 MW) and North-Eastern region (2,900 MW). It is also making a big foray into the hydro power projects in Arunachal Pradesh. The power projects include six coal-fired projects (10,620 MW) to be fuelled by reserves from captive mines and supplies from India and abroad, two gas-fired projects (10,280 MW) to be fuelled primarily by reserves from the Krishna Godavari Basin off the East Coast and four hydro power projects (3,300 MW), three of them in Arunachal Pradesh and one in Uttarakhand.


Objects of the issue ;

• Achieve the benefits of listing on the stock exchange
• Raise capital to fund subsidiaries to part-finance the construction and development costs of certain of 12 power generation projects currently under various stages of development..
• General corporate purposes.

# Open - 15 Jan
# Close - 18 Jan
# Issue Type -100% Book Building Issue
# Issue Size - ------ Equity Shares Of Rs. 2 Each
# Issue Price - Rs 405/- to Rs 450/- per Equity share
# Maximum Subscription Amount for Retail Investor - Rs 100,000/-
# Minimum and Maximum Order Quantity -
# Listing - BSE, NSE
# Lead Manager- Kotak, UBS, ABN AMRO, Deutsche, Enam, ICICI Securities, JM Financial and J.P. Morgan.
# Registrar - Karvy Computershare Pvt Ltd
# Phone - 040 2342 0815/ 0816
# Email - reliancepower.ipo@karvy.com

Regitered Office :
Reliance Power Limited,
H Block, First Floor,
Dhirubhai Ambani Knowledge City,
Navi Mumbai 400 710, India
Phone : (91 22) 3038 6010
Fax : (91 22) 3037 6633

YOU CAN PAY IN PHASES. THE SHARES CAN BE BOUGHT BY PAYING A PART AMOUNT NOW.

TO INVEST PLEASE CONTACT CHIRAG FOR THE FORMS ON +919833771136.

Blindly treading the IPO route may lead to losses.

The sequence is unmistakable. First, there would be a prolonged bull run in the secondary market. Next is the turn of the primary market to follow the action. It happens always, and it is no different this time. Want some proof ? Look up the number of initial pubic offers or IPO (the first public issue of shares by a company) lined up in the recent past. Read some of the names. Does it ring a bell? None, right? Well, that is the whole point, say financial advisors.

According to them, many dubious companies are in the process (some already have) to cash in on the investors fancy for stocks, following a continuous bull run in the market for the last four years. “There is nothing new in the trend. Every time you see the market booming, you will also notice that a lot of companies are readying up their initial public offers . In fact, they have been waiting for the right time,’’ says a prominent broker in Dalal Street. “The sad part is along with genuine companies, a lot of dubious characters also get into the market. They know they can cash in the favourable sentiment in the market.’’

That says it all. Sure, we have glorious example of Dhirubhai Ambani, who raised money from the stock market to build companies of his dream. However, there are hundreds of dubious characters who also sold dreams and raised money from the market, only to vanish overnight with investors’ hard earned money. “When the market is booming, everyone wants a piece of the pie. It is difficult to get allotment in good IPOs in a booming market. Disappointed investors would then turn to dubious issues, thinking they can make quick bucks. When the tide turns, they end up with dud shares,’’ says an investment advisor.

The intention is not to dissuade investors from subscribing to IPOs or forcing them to look at every IPO suspiciously. It is to make them aware that the rule of the game is not different for IPOs. It is the same as you buy any stock. You have to do your research if you want to make money . Don’t think every IPO would fetch you profit on the day of listing at the stock exchange . “Be it the secondary market or primary market, you should always remember that you can make money only on quality stocks. For that you have to look at the track record of the company, its management, the industry..., ’’ warns the broker.

Source - The Economic Times