The Prakash Constrowell Company which is in the construction business of infrastructure development and civil construction in India, is now coming out with its Initial Public Offering or IPO. The IPO size is not that large, its a 60 Crore Rs. IPO.
In this article, we will look at the Review, Analysis and Details of the Prakash Constrowell IPO.
Prakash Constrowell IPO: Review Analysis & Details
Some basic details first about the Prakash Constrowell IPO, which are available as of now: Image sourced as screenshot from official website of Prakash Constrowell
- The size of Prakash Constrowell IPO is around Rs 60 crore INR
- It is primarily a construction company based in Nashik Maharashtra and has multiple streams of construction business - civil, infrastructure development, residential as well as commercial real estate development
- It has worked for many Government and semi-government projects
- Also worked on lots of projects on BOT - Build, Operate & Transfer basis using the PPP - Public-Provate Partnership model
What is the issue size of the Prakash Constrowell IPO?
Around 60 Crore Rs is the estimated size of the Prakash Constrowell IPO
What is the price band of Prakash Constrowell IPO?
The price band for Prakash Constrowell IPO is not yet decided, it will be available just prior to the IPO opening dates. Final price will be decided through 100% book building process.
How many shares will be sold in the Prakash Constrowell IPO?
The total no. of shares to be sold through this IPO is not known as of now
What are the IPO dates for Prakash Constrowell IPO
The IPO dates for Prakash Constrowell IPO are from September 19, 2011 to September 21, 2011.
How will the capital raised by Prakash Constrowell IPO be used?
The capital raised through this IPO will be used for the following:
- Investment in subsidiaries
- Purchase of construction related equipments
- Rest will be for working capital requirements
See List of All IPO Articles here
Any ratings given to Prakash Constrowell IPO?
No info about that as of now.
What are the analysts recommendations and business results for Prakash Constrowell IPO?
The company is in the real estate business in multiple streams - Government/Civil projects, residential and commercial real estate space. Overall, the development of business and related companies within this sector is heavily dependent on the economic conditions and these businesses are highly rate sensistive (as listed in the Interest Rate Sensitive Stocks & Sectors List). With the current scenario of high interest rates and unclear economic situation both at the domestic as well as international markets, the work and business growth in this sector is difficult to predict.
Although the company is reporting to have robust growth - around 69% of annual growth rate from 2007 to 2011 - the income from operations has grown from Rs. 26.4 Crores to 126.9 Crores in the same period.
Profit after tax or PAT has increased from 3.06 to 10.65 in the same period, which indicates the annual growth rate of around 51.47%.
All nos. look good, but as investors are aware that past performances are no guarantee for future returns. Many IPO's are coming out even in these volatile times - some are taking big hits (like the Brooks IPO), while some are generating mediocre profits.
Ultimately investors need to take the call as per their risk appetite. Real estate sector has its own ups and downs.
Other market expert opinions will be updated here as and when the details are available, as the IPO dates come to close.
Intensive Fiscal Services is the BRLM or Book Running Lead Manager to the IPO
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