IPO News – Latest IPO News, Upcoming IPO in India, Views and reviews http://ak57.in Primary Capital Market & Investor Awareness Mon, 19 Feb 2018 06:17:32 +0000 en-US hourly 1 Diamonds and Their Tryst with D-Street http://ak57.in/general/diamonds-and-their-tryst-with-d-street/9460/ http://ak57.in/general/diamonds-and-their-tryst-with-d-street/9460/#respond Mon, 19 Feb 2018 06:17:32 +0000 http://ak57.in/?p=9460 It was an extremely volatile week with the markets unable to make up its mind which way they wanted to trend. In a short four-day week, the markets gained on two and lost on two days. They however threatened to run away on the upside each day but profit taking brought markets down. In the end they were as flat as flat could be. The BSESENSEX gained 5 points or 0.01% to close at 34,010.76 points while NIFTY lost 2.65 points or 0.03% to close at 10,452.30 points.

The weakness in our markets is apparent as in the same time Dow gained 1,028.48 points or 4.08% to close at 25,219.38 points. FII selling is keeping the markets under pressure.

A major scam has hit the country in the form of ‘LOU’. The second largest PSU bank, Punjab National Bank is in the thick of a Rs 11,300 cr hit. There would be repercussions on many other banks where money was effectively taken without collaterals or adequate assets. The people involved are diamantaire Nirav Modi and his family and his maternal uncle Mehul Choksi who owns Gitanjali Gems and the group companies. While every person who commits a scam conveniently leaves the country, these people too have done the same. PNB during the four days has lost Rs 31.15 or 24.79% to close at Rs 125.65. Gitanjali Gems has lost significantly more and is down Rs 21.15 or 56.32% at Rs 37.55. Without casting aspersions on any one, it is becoming clear that the scams are getting larger and larger and is causing concern in the difference between the industrialists and the farmers.

The banking scam has its roots in the way bank Chairman’s and Executive Directors were previously appointed. There is no definite evidence available for the same but everybody knew that you had to grease your way through for such appointments. It was akin to the police department where plum postings would only be available on paying for them on the basis of capacity to earn.

The fall out of this scam would hit the gems and jewellery business and have serious ramifications for the industry. As it is amongst the list 0f top defaulters we have quite a few names from this industry. The lure of quick money and the shine from gold does make many lose their self-respect and their prestige quicker than expected.

In primary market news the issue from Aster DM Healthcare was subscribed 1.31 times. QIB portion was subscribed 1.31 times while HNI was undersubscribed at 0.55 times. Retail portion was subscribed 1.18 times. Yet another example where HNI’s have not subscribed because there was no active grey market in the share and hence there was no way that the same could get subscribed 100 times or more by HNI’s. The 100 times level is a benchmark for getting leveraged funds at a margin of about 1%. Its time SEBI stopped allowing HNI’s to bid for shares that they can never be allotted.

Volatility would continue to dominate proceedings on D-Street. The mood has turned sombre and the market technical distinctly weak. Trade cautiously.

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Aster DM Healthcare Limited – Issue Subscribed 1.31 Times http://ak57.in/general/aster-dm-healthcare-limited-issue-subscribed-1-31-times/9451/ http://ak57.in/general/aster-dm-healthcare-limited-issue-subscribed-1-31-times/9451/#respond Mon, 19 Feb 2018 05:35:46 +0000 http://ak57.in/?p=9451 The primary issue from Aster DM Healthcare Limited was subscribed. The company had tapped the capital markets with its simultaneous offer for a fresh issue to raise Rs 725 crs and an offer for sale of 1,34,28,251 equity shares in a price band of Rs 180-190. The issue was open from Monday the 12th of February and had closed on Thursday the 15th of February.

Earlier the company had allotted 1,54,75,843 shares to 7 anchor investors comprising of 8 entities. The highest allocation was done to SBI Mutual Fund and Sundaram Mutual Fund of 34,25,058 shares a piece which is 22.13% of the anchor book.

The issue was subscribed 1.31 times. The QIB portion was subscribed 2.1 times. The leveraged HNI portion was undersubscribed at 0.55 times. This is yet another issue where the HNI has not applied for simply because there was no grey market activity. Secondly unless the issue in the HNI category is likely to get subscribed about 100 times, they do not subscribe to the same as the margin payable exceeds 1% and could be as high as 5-10%. The so-called risk is reduced significantly by selling shares in the grey market and ensuring that they are adequately covered. The retail portion was subscribed 1.18 times.

The full details of the subscription are given below: –

Aster DM Subscription

Bucket Size Shares Applied for Times Oversubscribed
QIB 10517400 22090848 2.10
HNI 8055905 4457700 0.55
Retail 18797110 22269234 1.18
Total 37370415 48817782 1.31
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Performance of Newly Listed Shares as on 16th February 2018 http://ak57.in/general/performance-of-newly-listed-shares-as-on-16th-february-2018/9445/ http://ak57.in/general/performance-of-newly-listed-shares-as-on-16th-february-2018/9445/#respond Mon, 19 Feb 2018 05:27:24 +0000 http://ak57.in/?p=9445 Name Date of Listing Issue Price Closing Price Closing Price % Gain Loss % Change Over 160218 90218 Over Week lssue Price Reliance Nippon Life Asset Mng Limited 7th November 252.00 283.30 278.15 2.04 12.42 Mahindra Logistics Limited 10th November 429.00 465.20 470.10 -1.14 8.44 Khadim India Limited 14th November 750.00 704.85 699.85 0.67 -6.02 HDFC Standard Life 17th November 290.00 431.15 439.80 -2.98 48.67 Shalby Limited 15th December 248.00 231.40 233.45 -0.83 -6.69 Future Supply Chain Solutions Limited 18th December 664.00 662.05 673.90 -1.78 -0.29 Astron Paper Limited 29th December 50.00 129.60 129.85 -0.50 159.20 Apollo Micro Systems Limited 22nd January 275.00 302.95 322.70 -7.18 10.16 Newgen Software Technologies Ltd 29th January 245.00 233.55 235.70 -0.88 -4.67 Amber Enterprises India Limited 30th January 859.00 1155.20 1195.25 -4.66 34.48 Galaxy Surfactants Limited 8th February 1480.00 1617.45 1665.55 -3.25 9.29 ]]> http://ak57.in/general/performance-of-newly-listed-shares-as-on-16th-february-2018/9445/feed/ 0 Markets Feel the Heat from Global Markets http://ak57.in/general/markets-feel-the-heat-from-global-markets/9442/ http://ak57.in/general/markets-feel-the-heat-from-global-markets/9442/#respond Mon, 12 Feb 2018 09:33:49 +0000 http://ak57.in/?p=9442 Markets continued to be under pressure and it was not just the LTCG effect. Global markets led by Dow, concerns on rising interest rates and also bond yields going crazy in the US. The BSESENSEX lost on four of the five trading days and was down 1,060.99 points or 3.12% at 34,005.76 points. NIFTY lost 305.65 points or 2.92% to close at 10,454.95 points. BSEMIDCAP and BSESMALLCAP gained 0.36% and 1.79% respectively.

Dow Jones was down 1,330.06 points or 5.50% at 24,190.90 points. It has entered negative territory for the calendar year 2018. Global markets have been rattled with the happenings in Dow and after a stellar run, the correction was more than overdue.

The primary market focus has clearly shifted to the SME segment. On the main board you now have far fewer issues than what are coming from the SME segment. There are more than two to three issues opening every week and with NBFC’s more than willing to finance the applications of HNI’s, the issue gets subscribed many times.

The main board has one issue which opens on Monday the 12th of February and closes on Thursday the 15th of February from Aster DM Healthcare Limited which is in the business of running hospitals, clinics and pharmacies in the GCC and India. The company has 19 hospitals, 98 clinics and 206 pharmacies, the bigger part of which is in the GCC and the smaller part in India, primarily in Southern India. Total revenue for the company is Rs 5,931 crs and a profit after tax of Rs 266.7 crs. The EPS for the year ended March 2017 is Rs 4.28 which values the company at a PE multiple of 44.29-44.39 based on March 2017 numbers. The company in terms of revenues is a close second to the Apollo group of hospitals. The price band is between Rs 180-190. The issue consists of a fresh issue to raise Rs 725 crs and an offer for sale of 1.34 cr shares. With GCC operations being well set and fairly matured, the focus of the company is in India where the opportunity seems to be ever expanding. The company has a total of 4,754 beds and besides setting up new hospitals, is also looking at the acquisition route to grow faster.

It has been decided that Indian stock indices would not trade overseas as they currently do in Singapore and Dubai. The exchanges would give notice and close down trading within six months. This is to ensure that liquidity from India is not sacrificed to trading overseas. This move would ensure that in the longer-term trading volumes in India would increase and the pressure that Singapore Nifty exerted on our markets would cease to happen. This augurs well for Indian bourses and one would see higher volumes and better price discovery in future as well.

Markets may have bottomed out in terms of price correction but time correction is certainly a long way off. It would take time for indices to settle down, consolidate before any meaningful rally begins all over again. We have recovered a mere 20% of the fall and have a long way to go before getting back to 29th January highs. Further global markets too need to consolidate. Wait for right opportunities as plenty of them would come your way.

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Galaxy Surfactants Limited – Debuts with Gains of Over 14.74% http://ak57.in/general/galaxy-surfactants-limited-debuts-with-gains-of-over-14-74/9436/ http://ak57.in/general/galaxy-surfactants-limited-debuts-with-gains-of-over-14-74/9436/#respond Mon, 12 Feb 2018 09:29:23 +0000 http://ak57.in/?p=9436 Shares of Galaxy Surfactants Limited debuted on the bourses on Thursday. The company had tapped the capital markets with its offer for sale of 63,31,674 equity shares in a price band of Rs 1,470 -1,480. It had earlier allotted 18,99,500 equity shares to 25 anchor investors comprising of 30 entities. The issue was very well subscribed.

The public issue was subscribed 20 times overall with the QIB portion subscribed 54.27 times. Non-institution portion was subscribed 6.96 times and retail portion subscribed 6.01 times. This was the second attempt at tapping the capital markets by Galaxy Surfactants Limited. The first time it had failed to get QIB portion fully subscribed.

The discovered price was Rs 1,520 on the BSE and Rs 1,525 on the NSE. The high was Rs 1,732 on the BSE and Rs 1,735 on the NSE. The low was the open itself on both the exchanges. The close was Rs 1,698.10 and Rs 1,700.45 respectively. The share gained Rs 218.10 on the BSE or 14.74% while it was Rs 220.45 or 14.90% on the NSE.

Exchange Open High Low Close Net Change % Gain/ Loss Wt.Avg Volume Delivery Del %age
BSE 1520.00 1732.00 1520.00 1698.10 218.10 14.74 1633.16 1349330 315255 23.36
NSE 1525.00 1735.00 1525.00 1700.45 220.45 14.90 1630.36 8538388 2588210 30.31
Total 9887718 2903465 29.36

The traded volume on the two exchanges combined was 98.87 lac shares which was 1.56 times the IPO size of 63.31 lac shares. Delivery volume was 29.03 lac shares which was 29.36% of the traded volume but 45.86% of the IPO size. If one considers the fact that the anchor portion is locked in for one month, the delivery volume was 65.51% of the non-anchor portion which is considerable. The weighted average of the day was Rs 1,633.16 on the BSE and Rs 1,630.36 on the NSE which is significantly lower than the day’s close. There were no institutional trades either on the buy or sell side which is a little intriguing.

The share has done well and a gain of 14.74% is significant.

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Aster DM Healthcare Limited – Completes Anchor Allocation http://ak57.in/general/aster-dm-healthcare-limited-completes-anchor-allocation/9430/ http://ak57.in/general/aster-dm-healthcare-limited-completes-anchor-allocation/9430/#respond Mon, 12 Feb 2018 09:15:14 +0000 http://ak57.in/?p=9430 Aster DM Healthcare Limited which is tapping the capitals markets with its simultaneous offer for sale and fresh issue completed allocation to anchor investors. The company allotted 1,54,75,843 shares to 7 anchor investors comprising of 8 entities. The highest allocation was done to SBI Mutual Fund and Sundaram Mutual Fund of 34,25,058 shares a piece which is 22.13% of the anchor book. The shares were allotted at Rs 190.

The issue consists of a fresh issue to raise Rs 725 crs and an offer for sale of 1,34,28,251 equity shares ina price band of Rs 180-190. The issue opens on Monday the 12th of February and closes on Thursday the 15th of February.

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Performance of Newly Listed Shares as on 9th February 2018 http://ak57.in/general/performance-of-newly-listed-shares-as-on-9th-february-2018/9420/ http://ak57.in/general/performance-of-newly-listed-shares-as-on-9th-february-2018/9420/#respond Mon, 12 Feb 2018 06:49:16 +0000 http://ak57.in/?p=9420 Name Date of Listing Issue Price Closing Price Closing Price % Gain Loss % Change Over 90218 20218 Over Week lssue Price Reliance Nippon Life Asset Mng Limited 7th November 252.00 278.15 266.00 4.82 10.38 Mahindra Logistics Limited 10th Novemeber 429.00 470.10 470.45 -0.08 9.58 Khadim India Limited 14th November 750.00 699.85 693.25 0.88 -6.69 HDFC Standard Life 17th Novmber 290.00 439.80 447.80 -2.76 51.66 Shalby Limited 15th December 248.00 233.45 233.95 -0.20 -5.87 Future Supply Chain Solutions Limited 18th December 664.00 673.90 673.85 0.01 1.49 Astron Paper Limited 29th December 50.00 129.85 123.65 12.40 159.70 Apollo Micro Systems Limited 22nd January 275.00 322.70 326.05 -1.22 17.35 Newgen Software Technologies Ltd 29th January 245.00 235.70 234.10 0.65 -3.80 Amber Enterprises India Limited 30th January 859.00 1195.25 1225.60 -3.53 39.14 Galaxy Surfactants Limited 8th February 1480.00 1665.55 NA 12.54 12.54 ]]> http://ak57.in/general/performance-of-newly-listed-shares-as-on-9th-february-2018/9420/feed/ 0 Galaxy Surfactants Limited – Issue Subscribed 20 Times http://ak57.in/general/galaxy-surfactants-limited-issue-subscribed-20-times/9415/ http://ak57.in/general/galaxy-surfactants-limited-issue-subscribed-20-times/9415/#respond Mon, 05 Feb 2018 08:54:16 +0000 http://ak57.in/?p=9415 The offer for sale from Galaxy Surfactants Limited was subscribed 20 times. The company had through an offer for sale offered 63,31,674 equity shares in a price band of Rs 1,470 – 1,480. The issue opened on Monday the 29th of January and closed on Wednesday the 31st of January. The company allotted 18,99,500 equity shares to 25 anchor investors comprising of 30 entities.

The issue received excellent support from QIB who subscribed their portion 54.27 times. Something went wrong with the funding arrangements and the HNI portion was subscribed 6.96 times. Retail portion was well subscribed and received bids for 6.01 times the bucket size.

Full details of the subscription are given below: –

Galaxy Surfactants Subscription

Bucket Size Shares Applied for Times Oversubscribed
QIB 1266336 68725080 54.27
HNI 949752 6610610 6.96
Retail 2216086 13312860 6.01
Total 4432174 88648550 20.00
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LTCG Knocks the Wind Out Of Markets http://ak57.in/general/ltcg-knocks-the-wind-out-of-markets/9413/ http://ak57.in/general/ltcg-knocks-the-wind-out-of-markets/9413/#respond Mon, 05 Feb 2018 07:34:37 +0000 http://ak57.in/?p=9413 The budget has come and gone and the bullish fervour has taken a severe drubbing. The much talked about LTCG has been brought back. I have in the last few weeks talking about the same and it has happened. The budget is populist in nature and has been presented with the general elections in mind. The spate of state elections scheduled with some NE States followed by Karnataka have something built in for them as well. Markets reacted in the manner they know best and fell on budget day to recover. However, the recovery was short lived as we had a black Friday thereafter.

The BSESENSEX lost 983.69 points or 2.81% to close at 35,066.75 points. NIFTY lost 309.05 points or 2.87% to close at 10,760.60 points. This does not seem to be enough as Dow Jones too had a Black Friday amidst concerns of rising interest rates. It was a bad day and a week as the Dow lost 665 points on Friday and suffered a weekly loss of 1,095 points or 4.29%. The Indian Rupee too came under pressure and lost 51 paisa or 0.80% to close at Rs 64.06.

The markets saw pressure across sectors. Some interesting data point show the extent of damage in the small and midcap segments. The high of BSEMIDCAP was 18,321 points made on the 9th of January and the closing was 16,579 points on Friday evening. The fall was 1,742 points or 10.51%. In the case of BSESMALLCAP the fall was 2,336 points with the high being made at 20,183 points on 15th of January. The percentage fall was 13.09%. The BSESENSEX and NIFTY made a high on 29th January which was the budget week itself and fell 3.93% and 3.82%. The key takeaway from this is the fact that the markets were being setup in a manner to distribute stock in the most vulnerable sector or segment and they peaked out well ahead of the rest of the market. While the benchmark indices were still rising they had already begun their correction. This is probably midway for more pain to follow. While there is opportunity in these stocks, one has to be extra careful as well.

Inflation is under pressure with rising crude oil prices. It would be important to see what RBI does in its next meeting slated for the 6th and 7th of February. While any hopes of rate cu have been dashed sometime ago, we could be in for a nasty surprise if they decide to take a hawkish stance and tighten rates directly and/or indirectly. One should brace oneself for that as well.

The income tax department has clarified that LTCG would apply only from 1st April 2018. This effectively means that one can still book gains under the old regime. This clarification would keep the markets under pressure and there may not be any substantial rally in the immediate short term. Volatility would continue to dominate the market place. Trade cautiously.

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Performance of Newly Listed Shares as on 2nd February 2018 http://ak57.in/general/performance-of-newly-listed-shares-as-on-2nd-february-2018/9402/ http://ak57.in/general/performance-of-newly-listed-shares-as-on-2nd-february-2018/9402/#respond Mon, 05 Feb 2018 07:32:04 +0000 http://ak57.in/?p=9402 Name Date of Listing Issue Price Closing Price Closing Price % Gain Loss % Change Over 20218 250118 Over Week lssue Price Godrej Agrovet Limited 16th October 460.00 584.45 584.60 -0.03 27.05 MAS Financial Services Limited 18th October 459.00 611.75 631.10 -4.22 33.28 IEX Limited 23rd October 1650.00 1580.90 1601.75 -1.26 -4.19 General Insurance Company Limited 25th October 912.00 729.90 772.85 -4.71 -19.97 Reliance Nippon Life Asset Mng Limited 7th November 252.00 266.00 300.25 -13.59 5.56 Mahindra Logistics Limited 10th Novemeber 429.00 470.45 498.40 -6.52 9.66 Khadim India Limited 14th November 750.00 693.25 699.15 -0.79 -7.57 HDFC Standard Life 17th Novmber 290.00 447.80 447.80 0.00 54.41 Shalby Limited 15th December 248.00 233.95 239.20 -2.12 -5.67 Future Supply Chain Solutions Limited 18th December 664.00 673.85 689.00 -2.28 1.48 Astron Paper Limited 29th December 50.00 123.65 145.15 -43.00 147.30 Apollo Micro Systems Limited 22nd January 275.00 326.05 389.40 -23.04 18.56 Newgen Software Technologies Ltd 29th January 245.00 234.10 389.40 -63.39 -4.45 Amber Enterprises India Limited 30th January 859.00 1225.60 389.40 97.35 42.68 ]]> http://ak57.in/general/performance-of-newly-listed-shares-as-on-2nd-february-2018/9402/feed/ 0