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Last Updated : Sep 17, 2016 12:41 PM IST | Source: CNBC-TV18

Look at Virinchi, says Porinju Veliyath

Porinju Veliyath, MD & Portfolio Manager, Equity Intelligence India is of the view that one may look at Virinchi.

Porinju Veliyath, MD & Portfolio Manager, Equity Intelligence India told CNBC-TV18, "Virinchi is a small company, Hyderabad based. It is a technology
company. They have got a product called QFund which is a large player in the US market in the microfinance segment. They have their applications and
software which is doing very well, that is what I understand. So, that itself is worth - today its market cap is around Rs 120-130 crore. I feel they are not into
pharmaceutical business, they have diversified into healthcare business, hospitals."

He further added, "Virinchi hospital in Hyderabad is a 358 bed hospital, it is just getting operational now and they are talking about more and more expansion
and the promoters have some two other hospitals privately held with 200 beds. That is also getting merged with this company and the promoter stake is going
up to around 51 percent, that is also very positive. So, I am seeing many things happening in the organisation and it looks like an inflection point from a stock
picking perspective."

"At Rs 120-130 crore you are getting a company with already very good numbers, more than justifiable with the current market cap and in a big way they are
growing into a futuristic business and hospital business, in India there may be some pockets, some cities which are overcrowded with hospitals. But generally
speaking India is still in shortage of hospital beds, so that is where a lot of money can be made by investors," he said.

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First Published on Sep 17, 2016 12:41 pm
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