PLC prospectus out !!!!

sperera · 26 Re: PLC prospectus out !!!! Thu Oct 06, 2011 1:16 pm

sperera

Equity Analytic

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Join date : 2011-06-21

Rs. 1000,000 bet this is gonna be oversubscribed my many times..

cse.alpha · 27 Re: PLC prospectus out !!!! Thu Oct 06, 2011 1:23 pm

cse.alpha

Senior Manager - Equity Analytics

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Join date : 2011-01-28

nkalansu wrote:

Performance for 3 months up to 30.06.2011

Profit attributable to equity holders----------------------------> Rs. 1,727.42 Million (Group)

PLC's June 2011 net profit has been lifted by a one-off reversal of general loan loss provisions - see page 92, 93 (section 11.4) of prospectus.

At a Company level, net of tax, the effect of the non-recurring reversal is Rs 1,063 mn. This is a non cash benefit too.

So the recurring June 2011 profit of PLC (company) is Rs615 mn, against the reported Rs1,678 mn (company) and Rs1,727 mn at group level.

abc · 28 Re: PLC prospectus out !!!! Thu Oct 06, 2011 1:33 pm

abc

Senior Equity Analytic

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Join date : 2011-02-09

Also recent boom in leasing industry was partly due to vehicle tax reduction. With the increase in tax again, the activity level of leasing industry may go down to normal level.

wiki · 29 Re: PLC prospectus out !!!! Thu Oct 06, 2011 9:50 pm

wiki

Assistant Vice President - Equity Analytics

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At the moment market is struggling get funds to finance all these rights, PP and warrant conversions..
foreigners exiting... Brokers are restricted in giving credit.. This IPO will suck another 7 B from market...

And there can be high selling pressure too (due to above mention reasons)

So there is chance get this below IPO price at secondary market

WildBear · 30 Re: PLC prospectus out !!!! Fri Oct 07, 2011 10:10 am

WildBear

Assistant Vice President - Equity Analytics

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sperera wrote:Rs. 1000,000 bet this is gonna be oversubscribed my many times..

People's bank and the government want this IPO to be a success, So that, Government related funds, EPF,ETF,SLIC will largely apply to this

smallville · 31 Re: PLC prospectus out !!!! Sat Oct 15, 2011 11:02 pm

smallville

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Academic wrote:
As per Nkalansu analysis PE and NAVPS based valuations of PLC are attractive compared to current sector ratios.However I have following concerns on short-term post IPO price.

Since the issue is large and bad taste in the mouths of retailers due to recent IPOs, it is likely that institutional investors may get large allocation. Thus, would there be enough buyers in the secondary market?

Further, note that People's Bank can't sell from newly issued shares, but is there any restriction that they can't sell from previously acquired shares (shares acquired 1 years before the listing)? They can keep 51% controlling ownership still selling 336 million shares from previously acquired. In other words, SEC regulations on private placements do not literally apply to People's Bank here?

As pointed out by others here, employees got free shares would most likely dump by July 1, 2012.

As soon as I saw Nkalansu's analysis, first thing that come to my mind was the option 2 Wink

, u brought it up..thanks.. We should not go behind an IPO blindly especially a large one where literary a massive number of shares are on sale..
Who can give a guarantee that PB wont sell their shares which could worth 10 rupees to the investors from say 15-20 range even? They can always buy back and comply with the holding requirement..

All the calculations are a tight fit until this "one-off reversal" of a bad loan loss come into the picture.. Just do a simple math and find out whether the earnings are fruitful...

I just thot of staying out on this one just to be on safe grounds.. But everything goes well u can earn 1-2 rupee profit at least..