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FirstChoiceIPO (Guest)
16th Mar 2016 at 01:04 pm |
A kind of a lootmaar IPO.
The purpose of the IPO appears to be provide an exit route to early investors and create wealth / liquidity for the promoters. BRLMs have shown no concern for the investor s. Out of fresh equity issue( Rs 252 cr) an amount of Rs 147 cr will go towards repayment of debt, leaving little amount for business expansion. The company will have an equity of Rs 87 cr, post IPO. Presuming that the compa ny will post an EPS of Rs 5 for FY17-8, the asking PE is around 40, which i s very
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