Lagnam Spintex Limited IPO Message Board (Page 7)

Roti, Kapada, Makan. Basic needs. Well managed companies will definitely pay good returns. I think this is one of them.

Will definitely apply for this for long term gains. I feel Listing gains will be very miniscule.

I like this issue. But to me industry is in bit of down trend due to high raw material cost. So, will give this a skip for timebeing and look at it later.
Marshall CNC looks a better option for this period

I think this is a good IPO. Pricing could have been a bit conservative. 30/- per share would have been optimum.

Pros:
1) Company has experienced management, and consistent topline and bottom line growth.
2) Unlike many SME IPOs, company didn't report a sudden jump in EBITA % YoY
3) Company enjoys government subsidy. So it's able to raise funds of 94cr at remarkably low-interest rates. This will help boost sales in future with minimal finance cost.
4) IPO proceeds are not going to promoters.

Cons:
1) The capacity utilization is 99% as of now. So no further top-line growth expected until the new line gets into production (expected Sep 2019)
2) IPO is priced aggressively at current valuations. Vardhman Textiles is available at lower PE than this one.

I think the long-term outlook for this IPO should be positive.

Thanks

99% utilisation isnt much of a con. For a yarn producer, this is very very good. Sintex industries has 97% utilization and Vardhman industry leader has been 95,97 btw 2014 & 2017. If 99% is true, just shows they are operating efficiently

Raw material Cotton prices are at high now , so sector is reeling. But this is right time to invest in this. By the time they finish it and comes online, and cotton price reduce , there will be a really good profit & margin.

Key is to understand whats their working capital cycle and how well they are doing in this cost pressure environment.

When everyone Is Confident of Positive Returns Looking At Previous E2E Returns... I am skipping it... Let everyone Enjoy Returns. Best Of Luck

Nothing against your decision but will you please let us know any specific reason for avoiding it.

@Vendatta
It Is Bit Expensive and Still It will be Oversubscribed and Less chance of allotment.
I will apply For Marshal Machine As It is At Decent prise and Have Fair Chance of allotment. I have Chance To Make Profit On Listing

Bank of India first issue .. will take a call

ye Bank of India bich m kha m se aa tapka Phle Only Holani hi LM tha is Issue m

After a long time good ipo to subscribe in sme.Bank of India for the first time in sme market will deliver good returns.
Management is good & experienced.
Ipo funds are used for expansion which is seen rarely in sme ipo.

vijay kedia ji aap yaha kaise?????????????????????
ye site aap jaise bade logo k liye nahi he..............................

Lol

hhahahha
sir Ye Vijay Kedia nhi h ye Vijaj Kedia ji h

@admin
can you pleass post Dilip Dawda Sir's review on this IPO?

Dear Ankur
LM is Holani. This is second issue for the LM. First is E2E has got 56% return on listing day. But it subscribed 73 times.

@Rajakumar, how can I forget Holani? I got my first ever SME E2E and earned 64K on the listing day.

2018 PAT 4.68cr & paid up equity 11.66cr and post IPO paid up equity 17.66 so post dillution EPS 2.65 Rs & Ipo prize at 41Rs its 15.50 PE co already huge debt in books and for 2nd phase expansions co take another 94cr debt from sbi & Pnb ??? Clear avoid 41 Rs prize is too high conservative valuation at current mkt scenerio is 9- 10PE POST DILLUTION .

The promotor is top shot and well known personaliy in textile industry. He served as head of Mayur suiting earlier.

One of the promoter Mr. Anand is associated with ICICI BANK for 5 years and performed very well there.
Again a MUST APPLY sme ipo.

Apply. This one looks good

aap to fail ho gye mr IPOANYLYS

Dear Members,

Please read the below analysis of the company posted couple of weeks ago:

Lagnam Spintex to raise Rs 24.6 Cr through NSE SME IPO

/article/lagnam-spintex-ipo-nse-sme-bhilwara/323/