Issue details:
Issue opens: June 11, 2007
Issue closes: June 14, 2007
Price band: Rs. 230-270
The retail chain- Vishal Megamart- operator Vishal retail is tapping the equity market to raise Rs. 110 crore.
The hypermarket player operates 50 stores across India, with prominent presence in Northern India. The issue proceeds are to be used to add 32 more stores. The company focuses on Tier II and Tier III cities. This market is expected to grow at a whooping 50% will certainly surpass the growth estimates in Tier I cities. This offers a large opportunity to this player.
High margins, low PE ratio (24 times FY2007 earnings), a good project execution history in last couple of years are some of the positives. In the non-promoter categoryof shareholders prior to issue, some of the prominent names like Munjals of Hero Honda, Burmans of Dabur along with Benett & Coleman are seen.
The key concern is nothing but the growing competition.
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1 comment:
Sir,
No allottment!
What I do now?
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