InterGlobe Aviation Ltd IPO Message Board (Page 15)

Company is fooling people, trying take out every single penny before listing, high dividend payout just before listing, net value -ve still demanding such a high premium. And with so many new low cost carriers entering the market future is not going to be so easy.

dilip ji is also recomending to avoid.

Friends
Sorry
I actually rumored that ipo of indigo is coming at 400-418
Whereas it was valued at 700 around
I rumored this on twitter FB and also many Watsap group followed this

As a result of that many brokers took this price and shared everywhere
Now many analyst also agreed at this
Markets started anticipated this price.
Even many news channel followed this band and thus reluctantly believed this as a result of which such value now seems to be high.

Though negative worth is still a big concern along with cumulative dividend practices

Once again sorry to create a buzz all around which actually created a panic

Though this company is fairly priced at 600 rs.


Pinky jain

Also chittorgarh should block me for wrong practice

I apologize people.

This was done to benefit big brokers.

why do you apologise you have shared the info which you got if the info is false that is not ur mistake.... Pls do keep us updated with regards to Indigo it is Big AVOID

Hi All,
This IPO looks very risky and dangerous better to stay away from investing..

Guys whatever u earn to take
So shareholders take that as dividend

Now question of interim dividend for Fy 16

Dear they already earned at 640cr + 860cr for this fiscal

So approx 1500 cr they earned
But only paid Rs 1200 cr for interim dividend still 2 quarter to go


Its a Green signal go for listing gain

Indigo posted profit of 867 cr profit in quarter 2 Fy16

Networth now positive as on 30/09/2015.


Cash as on 30/06/2015 is still 365cr.

Why has Number of shares issued been reduced by Promoter

To show that they are not greedy and still interested in company after ipo.

Nc ji

What to do in indigo

Also M GUPTA ji plz tell

A company that reports a consistent improving profits has a negative networth........magic created by accountants

Yeah @NC ji I know they paid dividends.....buy as @Septa ji is saying taking all before going this........may be they know aviation is not that a great long term bet.....it''s good till crude is down for may be 2 years then it will again turn bankrup......lets see spicejet is trading at more than 15 times of EV/EBIDTA.......and Jet and indigo has less so wait and see.....

@Septa - your argument doesn''t make much sense. They have been paying dividends every year and so they have paid this year. Nothing new, nor is company bankrupt. Everyone can take a decision whether to invest or not. But in all probability spirit airline has higher chance of going bankrupt than Indigo airline

I agree that Indigo is priced expensively and buying at this price would be risk. But then by same logic buying spirit airline would be suicidal.

Feku Amit Shah

Avoid
Reliance Power onc3 again back

Avoid this ipo from greedy promoters

When is PFC Tax Free bonds allotment ? Anybody has any information?

Allotment finalised on 17th itself.

Though bonds have not been credited, amount debited from ASBA account.

The ratio of allotment is 14 for 100 Bonds applied.

People buy Jet at 420
Which has a net worth og -4k cr
Which has just posted a profit of 200cr in Quarter1 Fy 16

But do not Indigo
Which has posted a profit of 640cr
With same revenue

The net worth now of indigo after Quarter 2 Fy16 stands positive

Even Fresh issue of Rs 1272 cr from ipo will add to its worth

Now u decide
200cr profit share at 420
640 cr profit share at 765

Does any one know what IDeAS is about in https://eservices.nsdl.com/

I keep getting email to register so that I can view my demat balances. I have an ICICI securities account and I can view my balances there.

It is a service initiated by NSDL as per government directive. It basically gives consolidated view of all your investments (including stocks, mf units, bond holding etc.) based on your PAN and demat details. Practically you can see most of details in ICICIdirect, but in case if you are buying MF or bonds through someone else, it can be helpful.

Highly priced IPOs(above 500 Rs issue price) are always risky, take the case of Monte Carlo, UFO Movies, Power Mech etc. Best of Luck to people who want to fish in troubled waters. I am not going to APPLY in this IPO.

indigo is a big issue, there will be huge demand from the institutional / long only / Mutual funds / insurance cos. the price of 700+ may look stretched but it may be worth the premium to pay for the brand that has been created in last 7-10 yrs, the expansion plans they have and the service levels that this co is operating.

Jet never seemed to have had the right strategy - you see they moved from full service carrier (FSC) only to both full service and low cost, then acquired sahara, then again killed the LCC model.

it would be advisable to wait and see what kind of anchor response it there for the issue, this being almost a USD 500 Million issue, is going to have a vary good analysis by the experts so the decision should be made only closure to opening date.

frankly with the view that the oil is not going to run ahead fast, its cost will going to remain in control for few years to come, the scalability can be achieved with better resources utilizations and hence this would be a great long term play.

I would again maintain my view that for retail investor this should be used a play where in partially divest upon listing, bring the holding cost down to say 500 or so! then enjoy this flight with seat belts tightened for a long haul flight!

FULL ALLOTMENT , IN RETAIL , BIG ISSUE ,
NET WORTH NEGATIVE AS PER LATESTEST DETAIL ,
AVOID

AVOID

AVOID

OR LOOSE MONEY

NEW DELHI: Low-cost carrier (LCC) IndiGo may have been consistently profitable for the past seven financial years but it had a negative net worth of Rs 139 crore at the end of June, 2015, meaning its liabilities were more than its assets by this amount. The fall in net worth came between March 31, 2015 and June 30, 2015 when it slipped from positive to negative.

Company sources, however, said the negative net worth was due to interim dividend and then the cash build-up has started again, dismissing fears about the company''s business model or viability. It is learnt that the company has got a ''phenomenal'' response to roadshows held for its IPO. "The healthy dividend payouts, which led to the negative net worth on a certain date, is no reflection of the airline''s profitability. It shows IndiGo is a company that takes care of its shareholders'' interests just as well as it takes cares of its passengers," said a source.

"The net worth of our company was Rs 426.2 crore and Rs 139.4 crore (negative) as on March 31, 2015 and June 30, 2015, respectively, as per the restated financial statements of our company prepared in accordance with Indian GAAP... Further, there can be no assurance that we will be able to achieve a positive net worth in periods going forward," says the offer document for IndiGo, whose IPO is slated for October 27-29.


InterGlobe, IndiGo''s holding company, says in the document that if this financial position continues, it may be "more difficult or expensive to obtain future financing or meet our liquidity needs". The company has a price band of Rs 700-765 to raise up to Rs 3,268 crore from IPO. The proceeds will be mainly used to fund aircraft acquisitions, purchase ground support equipment.

The document added that IndiGo has been able to meet its working capital requirements through income from operations and has not taken any working capital loans. "Our cash-flow from operating activities increased from Rs 895 crore in fiscal 2012 to Rs 2,383 crore in fiscal 2015 becaof the growth in our profitability," the company said.

IndiGo and Wadia Group''s GoAir are the only two profitable airlines in India. IndiGo has been profitable since 2009. It posted a profit of Rs 640.4 crore in the quarter ended June 30, 2015 when the total revenue was Rs 4,317.2 crore. For the financial year 2014-15, the LCC had a net profit of Rs 1,295.6 crore on revenue of Rs 14,309.1 crore.

IndiGo is the largest Indian carrier in terms of passengers flown within the country with a market share of between 35.3% (August) and 38.9% (May) this calendar year.

Meanwhile, Wadia Group''s GoAir, the only profitable Indian airline apart from IndiGo, may also launch its IPO by the end of this fiscal or next one.

Somebody please share the deatils about the other IPO coming up - S.H. Kelkar. Worth an investment? Please discuss about this IPO as well.

IPO-bound profitable IndiGo has negative net worth

NEW DELHI: No-frills carrier IndiGo''s parent InterGlobe Aviation, which is gearing up for Rs 3,200-crore initial share sale, may be profitable, but its net worth has come down significantly in three months ended this June.

Remaining profitable for nearly seven years, InterGlobe, however, saw its net worth slip to a negative Rs 139.39 crore at the end of June 2015.

After a prolonged wait, InterGlobe which is running the country''s most profitable carrier under the brand name IndiGo will be hitting the market for its little over Rs 3,200-crore IPO on October 27.

The IPO will be the largest in nearly three years.

"The net worth of our company was Rs 4,262.20 million (Rs 426.22 crore) and Rs (1,393.87) million (Rs 139.39 crore) as of March 31, 2015 and June 30, 2015, respectively, as per the restated financial statements of our company prepared in accordance with Indian GAAP and restated in accordance with the ICDR Regulations," it said in the offer document.

Noting that it had a net negative worth at the end of June, InterGlobe said if this financial position continues, it may be "more difficult or expensive to obtain future financing or meet our liquidity needs".

"Further, there can be no assurance that we will be able to achieve a positive net worth in periods going forward," the document said.

Net worth is the aggregate of the paid-up share capital, share premium account, reserves and surplus. The figure excludes aggregate of miscellaneous expenditure.

A negative net worth implies the company''s liabilities are more than its assets.

The carrier has been profitable since fiscal 2009.

In the latest June quarter, IndiGo posted a net profit of Rs 640.44 crore. During the same period, total revenues stood at Rs 4,317.19 crore.

For the year ended March 2015, the carrier recorded a net profit of Rs 1,295.58 crore on revenues of Rs 14,309.14 crore.

The Gurgaon-based entity is also the largest domestic carrier by market share, having flown over one-third of the total passenger traffic carried by Indian airlines in August.

The company has fixed the price band for its initial share sale at Rs 700-765, through which it could raise up to Rs 3,268 crore. It will run on October 27-29.

Under the offer, InterGlobe will have fresh issue worth Rs 1,272.2 crore as well as an offer for sale of little over 2.61 crore shares.

Proceeds from the fresh share issue will be utilised towards aircraft acquisition, purchase of ground support equipment for airline operations and general corporate purposes.

The much-awaited IndiGo IPO will also be a test case for revival of the primary market as the smaller public issue of Coffee Day Enterprises saw a lukewarm initial response even though it managed to sail through last Friday.

"Our cash flow from operating activities increased from Rs 8,956.69 million (Rs 895.66 crore) in fiscal 2012 to Rs 23,838.84 million (Rs 2,383.88 crore) in fiscal 2015 becaof the growth in our profitability," the company said.

InterGlobe added that it has been able to meet all working capital requirements through the cash generated from operations and has not taken any working capital loans to finance various regular expenses such as employees'' salaries, aircraft fuel, aircraft rentals and charges.

At the end of August, the airline had a fleet of 97 aircraft. It has also placed orders for 430 new Airbus 320 planes the largest by any domestic carrier.

"Except for InterGlobe Services and Technologies FZ-LLC, InterGlobe Information Technologies (Dalian) Company Ltd, The Navigator Tourism & Travel LLC, ARC Hospitality Private Ltd, Acquire Propbuild Private Ltd and InterGlobe Education Foundation, none of our group entities had negative net worth in fiscal 2015," the document noted.