Indian Stock Market Blog | Stock Market Baba

Adani Power IPO was a huge success and investors should get good listing gains from the IPO. Adani Power IPO listing date should tentatively be the 20th of August

Adani Power IPO Summary
Adani Power IPO Issue Size : 248794681 shares
Total Bids Received for : 5384180945 shares
Total Bids Received at Cut-off Price : 244062845 shares
No. of times issue is subscribed : 21.64

Investors interested in Adani Power IPO allotment status might want to subscribe to the RSS feed to get updated automatically when the ipo allotment is out.

If Swineflu will affect the kind of people that the media is talking about (33% of the country in the next few years), everyone should take note of it and try to prevent exposure to the affected.

At the same time, every prudent investor should take exposure in the Cipla script. Tamiflu is known to be the only medicine that works against Swine flu (H1N1) and Cipla can immediately supply 1.5m doses within 4-6 weeks.

Cipla manufactures the generic version of Tamiflu and can legally sell in India since the patent office in Delhi has rejected Roche’s application in this regard. It is interesting to note that Roche has the marketing rights of Tamiflu.

So in India and all other countries where Roche does not hold the patent, Cipla can supply Tamiflu for H1N1. Even in countries where the patent is applicable, an close to epidemic situation can make the relevant governments override patent laws and import Tamiflu.

cipla tamiflu - Google News
©2010 Google

Power is the mood of the season. Adani power just had a block buster IPO, and NHPC and Indiabulls Power are lined up. Reliance Power is floating tenders for its plant in Dadri, Ghaziabad.

With all this power getting generated, who is the beneficiary before you and me consume the power? Obviously, Power Grid Corporation of India.

That just means, go and accumulate the stock of Power Grid Corporation of India, which is a BUY for medium to long term with a very bright outlook. The Power Grid stock could give 200-300 percent return in 3 years time.

What is Power Grid and what does Power Grid Corporation of India do?

[Read the rest of this entry...]

Within 3 hours of opening, the Adani Power IPO issue has been oversubscribed 3.8 times. There seems to be a huge demand for the Adani Power stock, and looks like it will get oversubscribed around 100 times, the same way as Mundra Port had, last year.

Adani Power Limited will be in the business of developing, operating and maintaining power projects in India, in a way; it will be in the same league as NTPC and Reliance Power.

Adani Power is a part of Adani Enterprise Limited, which has revenues of over Rs.196,097.10 million in the last financial year. Adani Group currently holds over 85 per cent stake in Adani Power and after the public issue the promoter stake will be reduced to 73 per cent. Group’s Mundra port which is a few kilometers away will help in importing coal for the power project.

Various investment analysts and babas have already given their thumbs up to the IPO, so there is a strong demand for the stock. Investors who get the stocks in the IPO can expect decent listing gains

Ok, so the Adani Power IPO opened for subscription today. You must have read stockmarketbaba’s commentary on the IPO. Here is a summary of all publically available expert analysis, analyst views on Adani Power IPO.

Experts and Analysts are of the view as under:-

Adani Power IPO Buy or Not

SP Tulsian: Subscribe

Nirmal Bang: Subscribe

KR Choksey: Subscribe

Anagram: Overvalued

Sharekhan: Overvalued

The consensus price seems to be close to Rs. 90, whereas the price band for the Adani Power IPO has been set as Rs 90-100

 Subscribe to Baba’s RSS feed for updated action on Adani Power IPO and stock market updates

Reliance has a technical target of 2100 followed by 2350. there is a huge supply zone at 2350.

In the short term, that is the current week, Reliance could easily see 2100.

A green shoe option means that an underwriter of a security can choose to sell more stocks of the company going for IPO if the demand of the stocks exceeds the number of stocks made available for the offerring.

This option is also called the over-allotment option

The term is derived from the fact that the ‘Green Shoe Company’ was the first to issue this type of option.

Indiabulls Power has filed its DRHP draft red herring prospectus with SEBI today, July 15th.

As per reports, Indiabulls Power will offer 34 crore shares via this issue and will have green shoe option as well. The company is planning to raise around Rs 1500-1600 crore for its power projects.

Indiabulls Real Estate’s stake in the company will fall from 71% to 57% post issue. Indiabulls Power’s networth will increase from Rs 2400 crore to approximately Rs 4000 crore.

Current investors in Indiabulls Power include LN Mittal & Farallon Capital which together invested 1,580 cr in Indiabulls Power in February 2008 for a 28.6% stake.

Indiabulls is currently developing Five Thermal Power Projects with an aggregate capacity of 6600 MW. These projects include, Amravati Phase-I (1320 MW), Amravati Phase-II (1320 MW), Nasik (1320 MW) in Maharashtra, Bhaiyathan Thermal Power Project (1320 MW) & Chhattisgarh Power Project (1320 MW) in the State of Chhattisgarh.

In addition to the above Indiabulls is also developing four medium size Hydro Power Projects in Arunachal Pradesh aggregating to 167 MW. Indiabulls has also entered into MoUs with the Govt. of Madhya Pradesh and Jharkhand for setting up of 2640 MW & 1320 MW Thermal Power Projects in each of these States respectively. Besides these, several power projects are currently under evaluation in various parts of India.

If someone tells me today that India will be power sufficient soon, I would gladly believe, because there are so many Power IPOs lined up. Adani Power and NHPC are hitting the IPO route. The latest to join the bandwagon is Indiabulls Power IPO

Indiabulls Power is expected to file for its IPO very soon to raise about Rs 1,500 crore, aimed at funding its three upcoming power projects in the states of Maharashtra and Chhattisgarh.

[Read the rest of this entry...]

Adani Power is coming with an IPO in the third week of July. As per the red herring prospectus filed by the company with SEBI, here are the mail risk factors which should be considered before applying to the IPO of Adani Power.

a) The company (Adani Power) has no operating history, so it is difficult to estimate their future performance.

Adani Power has no power projects in operation or other revenue generating operations, and no significant operating history from which the investor can evaluate the business, future prospects and viability.

[Read the rest of this entry...]