Experts/Company

Poll Result

Experts view

R S Iyer

(KR Choksey)

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Looking at the good response to DLF, where investors got full allotment and markets at 15000 mark, it's an easy entry for other issues. In that league, one is Simplex projects. It is a good issue. Investors can apply for the same.

Manish Bhatt

(Prabhudas Lilladher)

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Simplex Projects looks to be good issue. Investors can subscribe the issue.

SP Tulsian

(Investment Advisor)

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The company is a construction and engineering firm providing construction services for civil and structural construction and infrastructure sector projects. The company has to catch on, for which huge working capital would be required. During FY 04 to FY 06, growth of the company on topline and bottomline was mediocre. The presence of the company is mainly into eastern region.

The company has chalked out a capex plan of Rs 55 crore mainly for working capital (Rs 35.55 crore), Rs 13.88 crore for plant and machinery and Rs 6 crore for investment in its subsidiary for car park projects. This project is quite interesting and has huge scalability. Only concern is whether the company would be able to exploit its potential on Pan-India basis as many other players are preparing themselves to enter into this field.

The past performance, baring FY 07, does not attract as also its higher equity base of Rs.12 crore and lower topline volume. Regional presence is also negative. However, car park project is quite interesting. Share at upper band is definitely not worth and even at lower band is quite expensive. But still if someone wants to plunge in, can take it by considering it as chhota Simplex.