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10. VALUE INVESTOR  May 2, 2016 9:23:01 AM IST Reply

Parag Milk Foods Ltd IPO

Grey Market Premium of Thyrocare & Ujjivan IPOs Jumped.
But, Parag Milk Foods IPO Crashed
10.1. Shivajee  May 2, 2016 11:32:39 AM IST

Parag Milk Foods Ltd IPO

what is the jumped gmp of Ujji and Thyro?
9. VALUE INVESTOR  Apr 29, 2016 9:34:26 AM IST Reply

Thyrocare Technologies Ltd IPO

ICICIDIRECT SITE IS NOT WORKING. anybody else facing similar problem?
9.1. Deepika rana  Apr 29, 2016 9:39:47 AM IST

Thyrocare Technologies Ltd IPO

not working on mozilla

try on google chrome
9.2. Septa  Apr 29, 2016 9:43:33 AM IST

Thyrocare Technologies Ltd IPO

it is working on my MAC
9.3. BULLS OF INDIA  Apr 29, 2016 9:50:32 AM IST

Thyrocare Technologies Ltd IPO

now working on firefox too.
9.4. VALUE INVESTOR  Apr 29, 2016 9:51:26 AM IST

Thyrocare Technologies Ltd IPO

Look like old site is working, but new site is not working. Please file ipo application before old site also goes off.
9.5. VALUE INVESTOR  Apr 29, 2016 9:52:16 AM IST

Thyrocare Technologies Ltd IPO

Looks like old site is working. File ipo application using old site link. New site is not working.
9.6. VALUE INVESTOR  Apr 29, 2016 9:54:09 AM IST
8. VALUE INVESTOR  Apr 26, 2016 7:35:02 PM IST Reply

Ujjivan Financial Services Ltd IPO

SP Tulsian analysis of UFSL:
New issue (IPO) Analysis:
An Attractive Debut

Ujjivan Financial Services is entering the primary market on Thursday 28th April 2016, to raise Rs. 358 crore via a fresh issue of equity shares of Rs. 10 each and an offer for sale (OFS) of upto 249.68 lakh equity shares, both in the price band of Rs. 207 to Rs. 210 per share. The total fund raising aggregates to Rs. 883 crore, at the upper end of the price band, of which, OFS portion is Rs. 525 crore. Representing 35.5% of the post issue paid-up capital at the upper end, issue closes on Monday 2nd May.

Bengaluru based Ujjivan Financial is a microfinance company serving over 27.7 lakh customers, through its 470 branches pan India, enjoying a market share of 11.15% of India’s NBFC-MFI business. Having received an in-principle approval from RBI to set up a small finance bank (SFB), foreign shareholding in the company is to be brought down to 49% or less, by April 6, 2017, and hence existing foreign investors are pruning their holding to ~44%, from current 77.10%, via this IPO.

For FY15, Ujjivan recorded a stupendous 57% YoY growth in net interest income (NII), at Rs. 328 crore vis-à-vis Rs. 208 crore in FY14, with net assets under management (AUM) almost doubling to Rs. 3,219 crore as of 31-3-15, from Rs. 1,617 crore, a year ago. All this, with asset quality remaining steady - Net NPA of just Rs. 60 lakh, representing 0.02% of Net Advances. Company ended FY15 with PAT of Rs. 76 crore, against Rs. 58 crores YoY, up 31%, leading to an EPS of Rs. 11.24, against Rs. 8.91.

Coming on to the just concluded fiscal, NII of Rs. 408 crore posted during first 9M of FY16, has already surpassed FY15’s Rs. 328 crore, by 24%, that too in just 9 months’ time. PAT of Rs. 122 crore is a smart 60% rise, again in just 9 months, although asset quality has softened a tad bit, with Net NPA of Rs. 1.79 crores, representing 0.04% of Net Advances, as of 31-12-2015. However, this is not a concern at all, the number being so minute! Company has improved its NIM to 12.31%, RoA to 3.74% and RoE to 20.4%, which are all very robust parameters, besides bringing down cost-to-income ratio to 62% from 73%+, recorded in the previous fiscal.

Having Net AUM of Rs. 4,540 crore, as at 31-12-15, Ujjivan is being valued at 1.75x on pre-issue book value of approximately Rs. 120 (as on 31-3-16), at the upper price band of Rs. 210, while it works out to 1.58x post IPO, which is quite attractive, considering the present comparable peer Equitas Holding, which has received excellent response from institutional investors on its listing last week, currently ruling at a multiple of over 2x. SKS Microfinance, with over 1,300 branches and Gross Loan Portfolio of Rs. 6,177 crore (as on 31-12-15 ex AP & Telangana), is currently ruling at price to book of 5.7x.

Ujjivan is likely to close FY16 with an EPS of about Rs. 16.50, on equity base of Rs.101.20 crore, leading to a PE multiple of less than 13 times, on historic basis. This is cheaper than Equitas Holdings on earning multiple as well, the latter’s PE being close to 22.5x. Equitas is currently a holding company, and this should not make much of a difference, as Ujjivan will also eventually become a holding company, when its existing business will be transferred to SFB upon commencement of SFB operations.

It may be noted that since RBI has issued 10 licenses for SFB and in due course of time, all of them will get listed, which will taper off valuations of the existing listed peers. However, having posted NII and PAT CAGR of over 50% and Net AUM CAGR of whopping 69% over the past 3 fiscals, with handsome NIMs and return ratios (RoE and RoA), fundamentals of the company remain very strong. Moreover, due to the valuation gap vis-à-vis peers, the issue has left a lot of money on the table for prospective investors.

Microfinance industry has started seeing healthy loan volume upticks and players like SKS Micro and Equitas Holdings are leapfrogging with rising profitability. Good monsoon forecast for this season can only make MFI players show higher growth for the next couple of years as well.

To conclude, Ujjivan IPO is attractively valued and investment is advised for listing gains, as also, with a MT view, due to its robust operating performance, professional management, good corporate governance and favourable industry dynamics. Go for it!
7. VALUE INVESTOR  Apr 23, 2016 5:40:16 AM IST Reply

Thyrocare Technologies Ltd IPO

SP Tulsian Review on Thyrocare:
New issue (IPO) Analysis:
Diagnosing correctly

Thyrocare Technologies is entering primary market on Wednesday, 27th April 2016, with an offer for sale of upto 1.07 crore equity shares of Rs. 10 each, in the price band of Rs. 420 to Rs. 446 per share. Offer for sale by promoters comprises 5% of the issue, while balance 95% is being offered by PE investor CX Partners. Representing 20% of the post issue paid-up capital of the company, the issue will raise Rs. 451 crore and Rs. 479 crore at the lower and upper price band respectively and will close on Friday, 29th April, 2016.

Thyrocare Technologies is a Mumbai-based preventive healthcare and diagnostic chain, with a central processing laboratory at Navi Mumbai and 5 regional processing laboratories, offering 198 tests and 59 profiles of tests, having presence in 466 cities through 1,041 service providers. It’s wholly owned subsidiary Nueclear Healthcare Limited (NHL) operates molecular imaging centers in New Delhi, Navi Mumbai and Hyderabad.

For FY15, standalone revenue from operations grew 19% YoY to Rs. 187 crore, with total samples processed rising 30% YoY to 91 lakh. However, EBITDA only rose 6.5% YoY, to Rs. 80.25 crore (42.9% EBITDA margin vis-à-vis 48.1% in FY14), due to a whopping 43% YoY rise in employee cost to Rs.17 crore. Thus, net profit growth contracted to just 5% annually, with net profit coming in at Rs. 48.45 crores, to yield an EPS of Rs. 9.60 for FY15. Since subsidiary NHL is loss making, consolidated PAT for FY15 came in at Rs. 44.44 crores, with EPS of Rs. 8.80.

For 9 months ending 31-12-15, standalone total income is placed at Rs. 175 crores, with EBITDA at Rs. 74.50 crores, resulting in a margin of 42.7%, almost stagnant from FY15, rather a drop of 22 basis points! PAT for 9M FY16 was Rs. 43.60 crores, translating in an annualized EPS of Rs.11 for FY16. As of 31-12-15, company has no debt on its books, while cash and equivalents are Rs. 62 crores.

While its revenue has grown at a CAGR of 16% from Rs. 140 crores in FY13 to Rs. 187 crores in FY15, sadly, EBITDA CAGR has been much lower at 8%, with EBITDA rising from Rs. 69 crores to just Rs. 80 crores during FY13-15, while PAT has actually fallen from Rs. 56.80 crores in FY13 to Rs. 48.45 crores in FY15. Higher personnel cost and depreciation are the culprits for this de-growth in bottom line.

At the upper end of price band of Rs. 446 per share, market cap of the company will be Rs. 2,396 crores and enterprise value (EV) Rs. 2,330 crores. EV/EBITDA multiple based on estimated FY16 EBITDA of Rs. 105 crores, given that Q4 is seasonally stronger for the company, is at 22 times. For FY16, company is likely to report an EPS of closer to Rs. 11 per share, resulting in PE ratio of 40 times, based on FY16 earnings.

Dr. Lal Pathlabs, with 172 labs, 1,554 centres and 7,000+ pick-up points, is currently ruling at PE multiple of over 55x and EV/EBITDA multiple closer to 39x, despite 9MFY16 EBITDA margin of only 26.2%, much lower than Thyrocare’s 40%+. This implies that the latter is valued at a discount to its listed peer, may be due to its lower size, as compared to Dr. Lal.

Although Thyrocare has comparatively lower network strength vis-à-vis Dr. Lal PathLabs, its superior margins coupled with double digit growth are seen positive. Thanks to focus on preventive and wellness health segments by diagnostic chains rather than focus on disease, backed by increasing awareness of the younger generation, preventive diagnostic services segment is poised to grow steadily, which is beneficial for the sector as a whole and this company, in particular.

Historically, diagnostic stocks are ruling at abysmally high PE multiples, which is unsustainable over a longer term, as new players get listed on the bourses, leading to a fairer price discovery. But, as of now, we have to live with expensive valuations for such stocks (partly due to the sector growth rates and partly due to scarcity premium being accorded to them) or be left out in the process to invest.

While the pricing of Thyrocare issue is not cheap, one can apply for listing gains, as also, with a MT view, as an investor.
6. VALUE INVESTOR  Apr 21, 2016 8:00:55 PM IST Reply

Equitas Holdings Limited IPO

I sold my 3 lots @ 142 average price. Happy!!! did not buy considering upcoming two ipos.
5. VALUE INVESTOR  Apr 14, 2016 5:35:09 PM IST Reply

Equitas Holdings Limited IPO

Got in 3 out of 4 applications on icicidirect. Happy!!!
4. VALUE INVESTOR  Apr 7, 2016 7:56:54 PM IST Reply

Equitas Holdings Limited IPO

If karvy is registrar, there is going to be heavy rigging and cornering of shares. I have a history of poor allotment with karvy. Let''s see. I like link intime compared to karvy. No Calculation done by us will work by us as they follow their own for their own benefit !!!!
4.1. Septa  Apr 7, 2016 8:09:54 PM IST
4.2. Arup  Apr 7, 2016 8:43:12 PM IST

Equitas Holdings Limited IPO

Karvy is most bogus register
4.3. Shivajee  Apr 7, 2016 8:50:00 PM IST

Equitas Holdings Limited IPO

Don''t say like that, their office near Banjara Hills. I like Banjara herbal fruit face pack and make up items and facial kit.

They make me glow with facial kits and girls stare at malls.
3. VALUE INVESTOR  Apr 4, 2016 3:53:41 PM IST Reply

Infibeam Incorporation Ltd IPO

Not great profit people who sold in beginning made 20 Rs whereas people who held for some time made 30 Rs, so 20*34 = 680 Rs and 30*34= 1020 Rs respectively. Not worth it anyways, considering poor subscription and no anchor investors. People who applied should consider themselves for not seeing discount listing like coffee day, HCG and quickheal.
2. VALUE INVESTOR  Apr 3, 2016 9:54:47 AM IST Reply

Equitas Holdings Limited IPO

IndiaInfoline take on equitas
Equitas Holdings Ltd. – Subscribe
Issue Opens: 5-Apr-16, Issue Closes: 7-Apr-16, Price Band: ₹109-110
Equitas Holdings is well diversified in financial services and provides MFI, vehicle finance, MSE finance, and housing finance to customers underserved by the formal financial system. Equitas was founded in 2007 by P. N. Vasudevan, who previously worked with Cholamandalam as vehicle finance head from 1991 to 2005 and later with DCB Bank as head of the consumer banking division. Equitas has exhibited high standards of corporate governance and transparency in conducting business. It has received an in-principle approval for an SFB license by RBI and needs to be compliant before April 7, 2017. Conversion into an SFB would lead to upfront investments on employee addition and training, induction of key management personnel, branding, distribution and delivery of various asset-liability products. After becoming a bank, provisioning expenses will increase on shift to 90 dpd NPL recognition and there would be a negative cost of carry on CRR and SLR. However, Equitas would derive sizeable benefits from lower cost of funds from access to public deposits.
The IPO comprises of a fresh issue of ~6.6cr equity shares and OFS of up to 13.2cr equity shares by existing investors at a price band of ₹109-110. The valuation of Equitas would stand at ~₹3700cr at the upper end. Through the fresh issue, company would raise ~₹720cr. The overall issue will be purely for domestic investors as the intention is to reduce foreign shareholding from 92.6% to ~35%. This is to comply with regulatory requirements of maximum 49% foreign investment in the proposed SFB.
Reasonable valuation – Subscribe
At the upper band, the stock is priced at ~1.85x FY16 P/Adj. BV on post-money basis. We believe that pricing is reasonable given that it is lower than well run private sector banks and it also seems to sufficiently capture the likely compression in RoA over the next couple of years due to required investments. While there is no precedent of this conversion process, given impressive execution track-record, strong reach and substantial customer base of Equitas, we believe it should be able to navigate the challenge successfully and evolve as a profitable SFB after 3-4 years. Long-term investors can subscribe in the IPO.
1. VALUE INVESTOR  Mar 18, 2016 2:06:14 PM IST Reply

Infibeam Incorporation Ltd IPO

India InfoLine(IIFL) View:
Infibeam Incorporation Limited - Avoid
Issue Opens: 21-Mar-16, Issue Closes: 23-Mar-16, Price Band: ₹360-432
Infibeam is promoted by Mr. Ajit Mehta, Mr. Vishal Mehta, and Mr. Malav Mehta. The company provides domestic e-commerce products and solutions in India. Unlike other e-commerce startups, Infibeam has opted to raise Rs.450cr directly from the primary market. Notably, there were some instances in recent times, wherein valuations of e-commerce companies were either marked down in the unlisted space or have corrected in the global listed space. However, Infibeam has not compromised on its valuations. Furthermore, the exit of two investment bankers just before RHP calls for concerns. It will be a challenge for Infibeam to compete with the existing e-commerce giants. Furthermore, to raise additional funds in the future, the company may go in for equity dilution or increase its debt. This can be a caof concern for investors. In addition, future cash flow generated from the high-margin service business could be utilized by the e-commerce business. Post listing Market Cap of ~₹2300cr appears expensive based on annualized FY16 sales of ~₹350cr, PAT of ~₹13cr.
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