Titaanium Ten Enterprise BSE SME IPO review (Subscribe)

Review By Dilip Davda on Jun 28, 2016

Titaanium Ten Enterprise Ltd (TTEL) is engaged in trading of yarn, grey cloth and knitted fabrics as well as manufacturing of knitted fabrics. Its plant is located at Surat a “The Textile Hub of the Nation” and enjoys customers’ satisfaction. 

To part finance its working capital requirements, the company is coming out with a maiden IPO of 1816000 equity share of Rs. 10 each at a fixed price of Rs. 15 to mobilize Rs. 2.72 crore. Issue opens for subscription on 30.06.16 and will close on 05.07.16. Minimum application is to be made for 8000 shares and in multiples thereon, thereafter. Post allotment shares will be listed on BSE SME., Issue is solely managed by Pantomath Capital Advisors Pvt Ltd and Bigshare Services Pvt Ltd is the registrar to the issue. After initial equity issue at par, it has issued equity shares at a price range of Rs. 100 to Rs. 197 per share during 2009 to September 2015 and has also converted equity at a price of Rs. 15 per share in May 2016. It has also issued bonus shares in the ratio of 1 for 10 (in June 2014) , 1 for 5 (in Sept 2015) and 12 for 1 (May 2016). Post IPO its current paid up equity capital of Rs. 4.91 crore will stand enhanced to Rs. 6.73 crore.

On performance front, for last three fiscals the company has posted turnover and net profit of Rs. 96.14 cr./  Rs. 0.33 cr. (FY13), Rs. 104.60 cr./ Rs. 0.36 cr. (FY14) and Rs. 105.05 cr./ Rs. 0.32 cr. (FY15). For first nine months ended on 31.12.15 it has reported net profit of Rs. 0.15 crore on a turnover of Rs. 65.57 crore. If we annualize these earnings and attribute on fully diluted equity post issue then asking price is at a P/E of 50.

On merchant banker’s front, this is 20th mandate from its stable. Earlier mandates have shown mixed trends.

Conclusion: Issue pricing appears to be on higher side as the cow is already milked, risk aver investors with surplus cash may consider long term investment, as the sector has received some sops recently.


Conclusion / Investment Strategy

Issue pricing appears to be on higher side as the cow is already milked, risk aver investors with surplus cash may consider long term investment, as the sector has received some sops recently.

Reviewer recommends Subscribing to the issue.

Review By Dilip Davda on Jun 28, 2016

Review Author

DISCLAIMER: No financial information whatsoever published anywhere here should be construed as an offer to buy or sell securities, or as advice to do so in any way whatsoever. All matter published here is purely for educational and information purposes only and under no circumstances should be used for making investment decisions. Readers must consult a qualified financial advisor prior to making any actual investment decisions, based on information published here. With entry barriers, SEBI wants only well informed investors to participate is such offers. With crazy recent listings, SME IPOs have started drawing attention of investors across the board. However, as SME issues have entry barriers and continued low preference from broking community, any reader taking decisions based on any information published here does so entirely at own risk. Investors should bear in mind that any investment in stock markets are subject to unpredictable market related risks. Above information is based on information available as on date coupled with market perceptions. Author has no plans to invest in this offer.

(SEBI registered Research Analyst-Mumbai).


About Dilip Davda

Dilip Davda, a freelance journalist

Dilip Davda is veteran journalist associated with stock market since 1978. He is contributing to print and electronic media on stock markets/insurance/finance since 1985.

Dilip Davda is a leading reviewer of public issues and NCDs in the primary stock market in India. The knowledge he gained over 3 decades while working in the stock market and a strong relationship with popular lead managers makes his reviews unique. His detail fundamental and financial analysis of companies coming up with IPO helps investors in the primary stock market. Dilip Davda has a special interest in analyzing the SME companies and writing reviews about their public issues. His reviews are regularly published online and in news papers.

Email: dilip_davda@rediffmail.com

Titaanium Ten Enterprise IPO FAQs

  1. 1. Why Titaanium Ten Enterprise IPO?

    The initial public offer (IPO) of Titaanium Ten Enterprise Ltd offers an early investment opportunity in Titaanium Ten Enterprise Ltd. A stock market investor can buy Titaanium Ten Enterprise IPO shares by applying in IPO before Titaanium Ten Enterprise Ltd shares get listed at the stock exchanges. An investor could invest in Titaanium Ten Enterprise IPO for short term listing gain or a long term.

  2. 2. How is Titaanium Ten Enterprise IPO?

    Read the Titaanium Ten Enterprise IPO recommendations by the leading analyst and leading stock brokers.

  3. 3. Titaanium Ten Enterprise IPO what should investors do?

    Titaanium Ten Enterprise IPO offers an opportunity to buy IPO shares before they get listed at the stock exchanges. Read the Titaanium Ten Enterprise IPO Notes, Analysis and Recommendations by leading stock brokerage firms and experts in the above answer.

  4. 4. Is Titaanium Ten Enterprise IPO good?

    Our recommendation for Titaanium Ten Enterprise IPO is to subscribe.

  5. 5. Is Titaanium Ten Enterprise IPO worth Investing?

    As per the analysis by our lead analyst Mr. Dilip Davda, we suggest you to subscribe to the Titaanium Ten Enterprise IPO.

  6. 6. When will Titaanium Ten Enterprise IPO allotment status?

    The Titaanium Ten Enterprise IPO allotment status will be available on or around [.]. The allotted shares will be credited in demat account by [.]. Visit Titaanium Ten Enterprise IPO allotment status to check.

  7. 7. When will Titaanium Ten Enterprise IPO list?

    The Titaanium Ten Enterprise IPO will list on Thursday, July 14, 2016, at BSE SME.

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