07-Sep-2007
Power Grid Corporation IPO fully bid on day one
IPO gets bids for 61.91 crore shares
The IPO of Power Grid Corporation, India’s principal power transmission company, was fully bid on day one. The IPO got bids for 61.91 crore, compared to the issue size of 57.39 crore shares. The IPO opened for subscription today, 10 September 2007. IPO closes on 13 September 2007.
At the offer price band of Rs 44-Rs 52, the PE range works out to 17-20.10, based on FY 2007 EPS of Rs 2.60.
The issue constitutes 13.64% of the fully diluted post-issue capital of the company. Along with the IPO, the government is also selling 5% of its shares in the company.
Power Grid Corporation of India owns and operates most of India’s interstate and inter-regional electric power transmission system.
The company registered net profit of Rs 453.91 crore on sales of Rs 975.46crore in Q1 June 2007. It clocked net profit of Rs 1087.65 crore on sales of Rs 3589.85 crore in FY 2007 (year ended 31 March 2007). Source : Capital Market
MJ
On 9/10/07, KKP_Investor wrote: > > > Is this a good IPO to get into? The name sounds great…..the business > of transmission is key since it must take a lot of effort to get > electricity produced in one remote area transmitted to various villages, > towns and cities. Right of way (land ownership) is the main thing > needed to put up large multi-story towers to transmit high voltage > electricity for distribution to businesses and residences. > > The above para is without reading the prospectus….. > > Thanks ERji, Esherji, Samirji, Feltra/Ramanji as always for keeping us > posted with many latest stories. > > KKP > > >
