Published on Sat, Jul 31, 2010 at 11:45 | Source : Moneycontrol.com
Updated at Sat, Jul 31, 2010 at 11:47
Like this story, share it with millions of investors on M3
0
Like this story, share it with millions of investors on M3
Subscribe to Bajaj Corp IPO: Hem Securities
Bajaj Corp, a part of Bajaj Group run by Shishir Bajaj, is coming out with a public issue of up to 45 lakh equity shares of Rs 5 each on August 2, 2010.
Bajaj Corp, a part of Bajaj Group run by Shishir Bajaj, is coming out with a public issue of up to 45 lakh equity shares of Rs 5 each on August 2, 2010. Hem Securities has recommended subscribing the issue.
The issue, which closes on August 5, will constitute 15.3% of the post-issue paid-up equity capital of company. The company intends to raise Rs 283.50 crore at lower end of price band and Rs 297 crore at higher price band.
The report says, "The company is bringing the issue at price band of Rs 630-660 per share which will turn up into P/E multiple of 22-23 at post issue EPS on FY10 basis of Rs 28.44.The company has posted strong growth in its financial in last couple of years . Also, Almond Drops being co's leading product brand has achieved an Indian light hair oil market share of 50.3% for the fiscal year ended March 31, 2010. Therefore looking at the zero debt status, strong promoter base, with portfolio of well recognized brands & leadership position in light hair oil market, we find that company is well poised to cater future business opportunities available in the sector. Hence we recommend investors to subscribe the issue."
Disclaimer: The views and investment tips expressed by investment experts on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.