Invest at cut off: Atlanta Limited-IPO

Brief facts of IPO:
Number of shares: 4,300,000.
Price Band: Rs. 130 to Rs.150.
Proposed Listing: BSE & NSE.
Issue Opens: September 1, 2006.
Issue Closes: September 7, 2006.

Atlanta Limited an EPC (engineering procurement and construction) contractor in the road segment trying to venture into BOT projects. The company is also having exposure to mining operations. Good project execution record of the company and ability to work as a partner with larger entities make it a worthwhile investment. The mining operations may further add to bottomline of the company as the volumes go up.

At Rs.150 the stock is available at 15 times its March 2006 earnings on fully diluted equity capital. This leaves some scope for listing gains. The attractive valuation makes it a must buy for the investors.