Omaxe attractively priced, may see Rs 450 on listing
Published on Fri, Jul 20, 2007 at 11:04 | Source : Moneycontrol.com
Updated at Sat, Jul 21, 2007 at 14:12
Like this story, share it with millions of investors on M3
0
Like this story, share it with millions of investors on M3
Omaxe attractively priced, may see Rs 450 on listing
Omaxe is fairly dominant player in the northern part of the country, present in all the markets and most people believe that the NAV works out between Rs 400-450 per share for Omaxe.
Q: There will be some interesting figures to talk about by the end of the day on Omaxe?
A: There should be because it seems attractively price for a real estate IPO. I do not remember as far back but I remember till Parsvnath and Akruti Nirman, the last gush of issues, which came. But I cannot think of too many issues, which came with such a big discount to NAV specially good quality paper. Omaxe is not bad quality paper at all; it's a large company, large issue. It's fairly dominant player in the northern part of the country, present in all the markets and most people believe that the NAV works out between Rs 400-450 per share for Omaxe at the higher end, you are getting the stock at Rs 300-310.
Potentially there is a 50% kind of appreciation on listing for you; it depends on whole host of other things but can Omaxe get to one time NAV in a context of how other real estate stocks are trading; I think it's entirely possible. So buy at Rs 310 if you are lucky to get some allotment you could possibly see Rs 450 on listing as much as that. I do not think too many real estate IPOs left that much on the table in recent times. So I think you will see very good subscription, you are already seeing quite a bit of subscription before the last day and there will be more to come today and I think people will make money on Omaxe.
Q: There will be some interesting figures to talk about by the end of the day on Omaxe?
