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In 2009, Lodha Developers had filed draft papers with market regular SEBI for its Rs. 2800 Crore IPO but due to global financial crisis and bearish sentiments in the market, the company cancelled the plan to go public. However, after 9 year, finally Lodha Developers Ltd is going public with Rs. 5500 Crore IPO. The market regulator SEBI has already given the nod. The IPO is going to be a mix of fresh issue and offer for sale. The company will issue fresh equity shares worth Rs. 3750 Crore and promoters shall sell 1.8 Crore shares. The company has Rs. 18000 Crore debt. Rs. 4500 Crore shall be used for prepayment of debts of its residential segment. The date of issue and pricing are not yet finalized. The company shall garner Rs. 750 Crore through pre-ipo placements

In the last week of October 2017, Reliance Nippon Life Asset Management Company garnered Rs.1500 Crore through IPO. It was the first company in India to go public in this segment i.e. Asset Management or Mutual Fund Manager. The issue was a mix of fresh issue and offer for sale. During that time, there were bullish sentiments across the market and especially IPO market was booming. As a result, the issue got tremendous response from all the category of investors viz. QIB (118 times), NII (209 times) and RII (6 times). Only lucky one could get the shares and they cheered on listing day as it listed with 17% premium to its issue price. Later, the sentiments turned bad due to various economical factors, the share started falling down. As on July 20, 2018, the share was trading at 14% discount to its issue price. The share is fundamentally strong and will go upwardly in a short to medium term. Now, in the last week of July 2018, yet another Asset Management Company is going public wit...

Incorporated in December, 1997, a Delhi based cloth manufacturing company is going public through its Rs.1125 Crore IPO on July 18, 2018. The issue is closing on July 20, 2018. The issue is a 100% Offer For Sale arrangement. The selling shareholders are off loading 1,57,14,038 shares which are 25.63% of existing shares. The issue details: The selling shareholders: The selling shareholders include promoters viz Onkar Singh Pascricha and Arvinder Singh Pascricha who are selling their 29.05% and 24.29% shares respectively. The other selling shareholders viz promoter group shareholders are selling 25% to 100% of their existing shares and investor shareholder Wanger is offloading 27.72% of its share. The 100% Offer For Sale IPOs are presumed to be risky and when promoters are exiting, it becomes very risky to put hard earned money in the company where its promotors want to exit. It is better to stay away from such IPO.  Category of investors: Out of 1,57,14,03...

June' 2018 has witnessed that IPO market has been picking up its momentum. In April'2018, there was not a single mainstream IPO. In May'2018, IndoStar Capital Finance inaugurated Fiscal 2019 IPO market. The company got good response but failed to give sound listing gain. It listed with meagre premium and went down to below its issue price. Presently, the share is trading at 4% discount to its issue price.  In June 2018, Government PSU RITES Ltd and oleochemical based additives manufacturer Fine Organic Industries Ltd came up with their IPOs. They too have succeeded to get good response in the market. They have registered good subscription figures. However,  results are yet to be seen. The listing day will establish the real success or failure for the investors. There may not be much listing gain but both shares are fundamentally strong and wealth creators in long term. Now, yet another IPO is going to hit the primary market in the last week of June'18. Inco...

Incorporated in May 2002, Mumbai based Fine Organic Industries Ltd is the largest manufacturer of oleochemical-based additives in India and a strong player globally in this industry. The company produces a wide range of specialty plant derived oleochemicals-based additives used in the food, plastic, cosmetics, paint, ink, coatings and other specialty application in various industries.  As at December 31, 2017, it had a range of 387 different products sold under the ‘Fine Organics’ brand. As on December 31, 2017, it had 603 direct customers (i.e., end-users of its products) and 127 distributors (who sold its products to more than 5,000 customers) from 67 countries. The company was founded by Late Ramesh Maganlal Shah and Prakash Damodar Kamat as Fine Organic Industries in early 1970 at Mumbai which was registered in 1973 as a partnership firm.   The company is more than 40 years old. The company has  three production facilities: one in Ambernath (Maharashtra) (the “F...

As per Modi Government's disinvestment plan to garner Rs. 72,500 in Fiscal 2018, in March 2018, three cash rich profit making defense PSUs had hit the primary market with 100% Offer for sale IPOs viz. Bharat Dynamics Ltd ,  Hindustan Aeronautics Ltd and  Mishra Dhatu Nigam Ltd . In spite of having strong fundaments and robust growth opportunities ahead, all the three IPOs got lame response from the investors. The low response was partly due to LTCG applicability from April 1, 2018 and partly due to bearish sentiments in the equity market. On listing day, Bharat Dynamics and Hindustan Aeronautics heavily disappointed their subscribers. The sheer bearishness could be witnessed on that day. BDL listed at a little premium while HAL failed to even touch its issue price. Presently,  BDL and HAL are trading at 7% and 22% discount to their issue prices respectively. However, Mishra Dhatu proved to be a shining star giving outstanding return to its subscribers. Presently, Mishr...