Innoventive Industries Ltd IPO Message Board (Page 12)

My My 42 your from where is Rs. 500/- for 1 lac?

high risk
high return...........

so dont ignore

here says first day comm. on 1lac 500/- & 1000/- on 2lac
experts whats your review for innovative can some one apply or not?????

reply with gmp & latest kostak

ANY DISCOUNT IN APPLY FOR FIRST DAY HERE IN JAMNAGAR BROKER GIVEN RS. 250/- ON 1 LAC APPLICATION ON FIRST DAY ANY BODY GIVE COMMENT ON INNOVENTIVE IPO CAN WE APPLY FOR LISTING GAIN.

very good ipo looking very for long term .....

Mr bangalore king at 37: I beg to differ with your comment that Tulsian is "half mad". I opine he is "full mad".

We should also thank him for his "Expert" views because we gain by doing opposite of what he preaches

Tulsiyan- Analysis :

Coming onto the financials - In FY09, company reported consolidated sales of Rs. 362 crore, EBITDA of Rs. 70 (EBITDA margin 19.4%) and PAT of Rs. 16 crore. In FY10, sales rose 16% to Rs. 421 crore while EBITDA jumped 64% to Rs. 115 crore (EBITDA margin 27.3%) while PAT more than doubled to Rs. 35 crore, thanks to the reduction in raw materials consumed to Rs. 228 crore in FY10 from Rs. 232 crore in FY09.



During April-December 2010, company posted sales, on consolidated basis of Rs. 453 crore and EBITDA of Rs. 123 crore, maintaining EBITDA margin at 27.1% and PAT of Rs. 42 crore. On equity of Rs. 38.46 crore, EPS after accounting for minority interest, stood at Rs. 9.6.



The company’s inventory holding period of 4.3 months, as of 31-Mar-2010 and 3.8 months, as of 31-Dec-2010 is very high, given the industry it operates in. Also, its outstanding debtors suddenly rose to Rs. 38 crore, as of 31-Dec-2010 which have historically been as low as Rs. 1.3 crore (on 31-Mar-10) and Rs. 1.8 crore (on 31-Mar-09).



As on 31-Dec-2010, company’s networth stood at Rs. 149 crore which increased to Rs. 179 crore, post pre-IPO placement worth Rs. 30 crore. The company’s present equity stands at Rs. 41.06 crore which will rise to about Rs. 57 crore via IPO, based on price discovered. Promoter holding, currently at 65.60%, will fall to around 47%, post-IPO.



At the upper end of price band at Rs. 120, company is issuing shares at PE multiple of around 9x, considering expected EPS of Rs. 13.50 for FY11. This is on the higher side when compared with peer Lumax Auto Technologies, as done in the RHP. On page 107 of RHP, a comparison has been made between company’s 9mFY11 numbers with peer’s FY10 numbers, which is not an apple-to-apple comparison. Also standalone numbers have been compared, again fundamentally wrong, thereby mis-leading the prospective investors. Lumax Auto Technologies is currently ruling at PE multiple of 5.3x, considering expected EPS of Rs. 30 for FY11. Thus the issue is aggressively priced.



Given the company’s operations in the competitive precision tube and auto component industry, with track record of differential issue to shareholders and aggressive pricing, the issue does not seem very exciting and one can give it a miss!

Dear Sreedhar,

I plan to skip Paramount, Future Capital & Servalakshmi and apply in Innoventive.

What is your call in the upcoming ipos?

Gundu Anna

You have said avoid in this column and have given subscribe in Recommendation Column. Which one you go by?

Businessline figures are wrong. their report does not even match with rhp figures? The p/e of company is 9 to 10X and their report says 14? Bizzare. Except the mistake by business line all online and web portals and news have recommended strong buy?
I believe its better to believe in Private equity and forign players like STANDARD CHARTERED BANK. If they have bought 2600000 lac share for 117 then it is a sure shot buy for short term and long term

According to Business line Aviod Inoventive and future venture ipo.

First Choice IPO ANALYSIS -

Wednesday, April 20, 2011IPO ANALYSIS: INNOVENTIVE INDUSTRIES LIMITED –ATTRACTIVELY PRICED - INVEST

VALUATION AND RECOMMENDATIONS
The promoters have long standing experience in the industry and have close control on operations. The expansion plans are not yet crystallized. A part of the IPO amount (Rs 50cr) goes for repayment of long term debt. The post issue capital would be around Rs 50cr. The PAT /Operating Income margin has gone up substantially in the recent years

At Rs 117-120, the issue is priced around 11PE, on the expected FY 12 earnings, on the post issue capital. The pricing looks attractive. INVEST.

it is a much better bet than finance companies, or unknown business. This company is doing good engineering business for 10 years and grown rapidly.
gmp expects 20-25 rs. i will not sell in grey market or on listing. expect Rs.250 a big newspost listing is expected in June /july

looks a good company. they have given stake to employees. sep preferential allotment is to employees. it is a very very strong sign. Like L&T.
i think shud give good returns as they have grown 100% for 8 years

innaovative latest grey premium 3300rs.but it is wise to do not sell application atleastt it will give 9900rs if it subscribed near 2.5 times

saharanpuriji

i m to informe u that out of my last years income i have bought 2 lands one is 10 katha other is 5 katha,

on 10 katha i m planning to built a home for my parents and me as i m still unmarried.......

5 katha is for investment

hi, i am new in IPO study center.
How do operaters manupulate in big IPO? plz explain.

Innoventive______ AVOID

This is more than 200 Cr issue(like shri ganesh jewellery).... So cannot be manipulated easiely....... risk/reward in favour of risk....

Investors can refrain from taking exposure to the IPO of engineered steel products maker Innoventive Industries. Though the company plans to expand capacities in a lucrative, high margin segment of steel products, the company's significant debt servicing obligations and execution risks associated with its ambitious expansion plans make this offer a risky exposure. At the price band of Rs 117-120, the offer is priced 14.2-14.6 times annualised FY-11 earnings, a premium to listed peers such as Tube Investments and Bhushan Steel. - BUSINESS LINE.

WHAT IS THE GMP OF INNOVENTIVE IND ?