Technofab Engineering Ltd IPO Message Board (Page 21)

GAMMON INDIA IS AN INVESTOR IN TECHNOFAB, THAT HELPS IT TO BID FOR LARGE PROJECTS, BY INCRESING ITS NETWORTH AND EXPERTISE

HI, EVERYBODY

I M BACK, I WAS BUSY IN MY EXAMS AND THEN I WAS BUYING A SUV AND LOOKING FOR A FLAT.

I THINK I M BACK IN TIME, SOME OF THE "NOT BAD IPO" ARE OPENING SOON LIKE TECNOFAB AND HIND.MEDIA. THESE 2 MIGHT BE " ANDHO MEIN KANA RAJA" TYPE IPO.

LETS READ FIRST AND THEN DECIDE. HI SREEDHAR HOW R U .

Fair Value seen in the range of 220-230 levels

agar technofab ka ipo se aapke pass share aa gaye to yeh weste water treatment plant ki jagah aapki capital ka treatment kar dega ! HOSHIYAAR

Sreedhar,

I am doubtful about 3 PSU stocks in single month. Lets see. June is really dry month for IPOs.

Gane.

SahranpuriJi,
July will be a good month for IPOs.Atleast four quality IPOs will be hitting the markets.
1)Technofab
2)UCO Bank FPO
3)Punjab Sind bank
4)EIL FPO

GSPC will be delayed & not expected in near future.

hi,

this could be a good IPO after a long waiting time....
please share any other information about this IPO... like price band, lot size any any other thing about the company which help to decide for applying in this issue or not..

happy investing

Forgot to mention RONW of Technofab is 36%.

Friends,
Finally an IPO worth looking at.Technofab is hoping to raise 750 million by selling approx 30 million shares.Hence it is looking at a price of 250.It had a profit of 19.1 crores on sales of 200 Cr.TEL is engaged in the business of providing Engineering Procurement and Construction (EPC) services, and executing a wide range of Balance-of-Plant (BoP) and electro-mechanical projects on a complete turnkey basis.

Technofab Engineering provides EPC services to domestic and overseas markets across a number of industrial and infrastructure sectors which includes conventional power, nuclear power, oil & gas, water & waste water treatment, electrical distribution & rural electrification and other industrial & infrastructure sectors. Apart from India, the company has presence in international markets like Ethiopia, Kenya and Fiji. Between FY 2008 to FY 2010, the company’s sales increased at a CAGR of 48% and PAT has grown at a CAGR of 189%. Its order book stands at Rs 5337.40 million as on 31st March, 2010 which is 2.7 times sales of FY 10.
So on a post equity base of 1.04 Cr EPS works out to 19 So issue is coming at 12.5 trailing PE.Compare this with other EPC companies for period ending FY09-10
PE RONW Orderbook
1)Hindustan Dorr Oliver- 15 21.3 1.7
2)Shriram EPC 26 11.2 1.5
3)Sunil Hitech 11 9.2 2.4

So it is looking promising in all parameters & the key thing is it is a small company with high potential to grow.Even its order book indicates the same.

Sunil Hitech is cheaper but it has reasons for that.It has just stepped into balance of plant business while Technofab is well entrenched in it.Just look at an interview question to Mr Gutte of Sunil Hitech
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Just to get your opinion on this one you bagged an order from Mahagenco could you highlight a little bit on that?

Yeah, it is first balance of plant order for the company so market was basically looking at emergence of one more company in the power sector to do a balance of plant in operation work. So the first order that has come to us from Mahagenco will put us in a different league altogether and it will put us in the league of all those BOP operators in the country and it opens up a huge opportunity because roughly BOP in totality is almost 2 Crores per megawatt for thermal power plants and if you look at the opportunity that is there in the 11th plan as well as the 12th plan there is a huge amount of market waiting for us to be tapped.
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So Iam looking forward to it & highly confident it will be well received by QIB investors.Mark my words.