Ipo -iifl

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INTRODUCTION
Initial Public Offering (IPO) is a company’s offering of newly issued shares from
treasury to general public .it is generally the first time that a company does so-making the transition
from being a closed –door privately operated company to being a public traded, highly visible,
entity. When doing an IPO, an under writer ,i.e. a share broker firm, handles the distribution of
shares to the public effectively, the brokerage firm subscribers(underwriters) for the shares and then
sell to the clients(investors).After the IPO the shares will then trade on a stock exchange, it is
sometimes refereed to as “going to the public”.enterpreneurs and VCs(venture or” vulture” capalists
sometimes call it “cash in “up until a company is public(i.e. any one can buy or sell its shares) ,it is
private and operates away from the lime light. Companies often go to public to raise huge amount of
money or to give up investor’s liquidity.
An initial public offering is the point at which a company ceases to be privately held and
becomes publicly held and IPO requires that a company become listed on a stock exchange, and that
its shares become publicity traded. Going public places very stringent reporting requirements on the
company and the sale of shares brings in new investment monies that the company can then use to
grow.
An "initial public offering" is a company's first sale of stock to the public. This is why it is also
referred to as "going public". When a company that has already issued stock issues more stock it is
called a "secondary offering".

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DEFINITION of 'Initial Public Offering - IPO'
1. The first sale of stock by a private company to the public. IPOs are often issued by smaller,
younger companies seeking the capital to expand, but can also be done by large privately owned
companies looking to become publicly traded.
2.In an IPO, the issuer obtains the assistance of an underwriting firm, which helps it determine what
type of security to issue (common or preferred), the best offering price and the time to bring it to
market.
3. Initial public offering is the process by which a private company can go public by sale of its
stocks to general public. It could be a new, young company or an old company which decides to be
listed on an exchange and hence goes public.
4. A company's first sale of stock to the public. Securities offered in an IPO are often, but not
always, those of young, small companies seeking outside equity capital and a public market for their
stock. Investors purchasing stock in IPOs generally must be prepared to accept considerable risks for
the possibility of large gains. IPOs by investment companies (closed-end funds) usually include
underwriting fees that represent a load to buyers.
5. An IPO also known as a flotation, is a company’s first release of buyable stocks or bonds to the
market. IPOs are frequently issued by smaller companies looking to expand with the capital selling
equity would bring. However, it is also common for governments to oversee IPOs by offering
services owned by the state to the public. A recent pertinent example was the flotation of “Royal
Mail” shares by the UK government.

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NEED OF THE STUDY
In recent times, in India, the allotment of shares in Initial Public Offerings (IPOs) of the firms has
invited considerable media attention. Securities and Exchange Board of India (SEBI)- the regulator
of the market, has imposed penalties on the Depository Participants (DPs) for not being able to
detect a scam in allotment of shares in IPOs under fictitious names. This raises an interesting
question of why do the investors adopt any means- fair or foul to get allocations in IPOs? It has been
well documented in Finance literature that world over the IPOs are underpriced (Welch and Ritter,
2002). Underpricing means that the IPOs on the day of their listing trade at prices which are higher
than those at which they are offered.
This market inefficiency ensures that investors who are allotted shares in the IPOs can make gains
by selling these shares off at higher prices on the day of listing. Finance literature is however unable
to fully explain the valuation of the IPOs. In other words, very little work has been done on how the
offer prices in IPOs are determined?
Some exceptions are those of Benveniste and Spindt (1989), Kim and Ritter (1999) and
Purnanandam and Swaminathan (2002).
The firms, which are going for IPOs, do not have a market for pricing their shares. The most
common starting point for setting the price of these shares is by comparable firms approach. In this
approach, the under writers take the Price to Earnings ratios (PE ratios) of comparable firms in the
industry and then arrive at a multiple for the firm that is going public.
Now if the earnings of the firm going public can be inflated, the price at which the shares would be
offered to the public would be higher. Since higher prices result in wealth increase for the issuers,
they have a motivation for inflating the earnings during IPOs.

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SCOPE OF THE STUDY
The present study has been taken to observe the mechanism of Initial Public Offers in
the Primary markets. The IPO’s have been taken month of May-June 2015 IPO’s are Indian
companies. The study is confined to primary issues only. Indian Companies on Indian stock market
are studied.

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OBJECTIVES OF THE STUDY
 To study the process of Initial Public Offer.
 To know the allotment process in Initial Public Offer.
 To study the benefits of investing in Initial Public Offer.
 To check whether it is better to sell the stock on the day it is listed or to hold it for long time.
 To observe about some of the latest IPO’s.

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RESEARCH METHODOLGY
Data collection:-
In the present project work the data has been collected from readily available sources
that is secondary data like websites, news paper
The web sites visited are Nseindia .com
Bseindia .com
Value research .com
Data analysis:-
The present project work has been analysis using time series analysis with graphical
presentation.

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LIMITATIONS OF THE PROJECT
Considerable information has been extracted from the financial statements and documents provided
to IIFL by its client companies. Concerned is not furnished in these documents, the same is due to
the confidential nature of the information.
Although initial public offers are issued by many companies, this study is confined to a few
companies only. These are companies that fall with in the clientele to IIFL.
The finding of the study cannot be generalized.

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REVIEW OF LITERATURE
Initial public offering:
An initial public offering (IPO), referred to simply as an "offering" or "flotation", is
when a company (called the issuer) issues common stock or shares to the public for the first time.
They are often issued by smaller, younger companies seeking capital to expand, but can also be done
by large privately owned companies looking to become publicly traded.
History:
In 1602, the Dutch East India Company was the first company to issue stocks and bonds
in the world in an initial public offering.
Advantages of IPO:
The Advantages of IPO are numerous. The companies are launching more and more
IPOs to raise funds which are utilized for undertakings various projects including expansion plans.
Advantages of IPO – Overview:
The Advantages of IPO is the primary factor for the immense growth of the same in the last few
years. The IPO or the initial public offering is a term used to describe the first sale of the shares to
the public by any company. All types of companies with the idea of enhancing growth launch IPOs
to generate funds to cater the requirements of capital for expansion, acquiring of capital instruments,
undertaking new projects.

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Major Advantages of IPO:
 The increase in the capital: An IPO allows a company to raise funds for utilizing in various
corporate operational purposes like acquisitions, mergers, working capital, research and
development, expanding plant and equipment and marketing.
 Liquidity: The shares once traded have an assigned market value and can be resold. This is
extremely helpful as the company provides the employees with stock incentive packages and
the investors are provided with the option of trading their shares for a price.
 Valuation: The public trading of the shares determines a value for the company and sets a
standard. This works in favor of the company as it is helpful in case the company is looking
for acquisition or merger. It also provides the share holders of the company with the present
value of the shares.
 Increased wealth: The founders of the companies have an affinity towards IPO as it can
increase the wealth of the company, without dividing the authority as in case of partnership.
Disadvantages of an IPO:
There are several disadvantages to completing an initial public offering, namely:
* Significant legal, accounting and marketing costs
* Ongoing requirement to disclose financial and business information
* Meaningful time, effort and attention required of senior management

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* Risk that required funding will not be raised
* Public dissemination of information which may be useful to competitors, suppliers and
customers
Stock market:
A common platform where buyers and sellers come together to transact in stocks and shares. It may
be a physical entity where brokers trade on a physical trading floor via an "open outcry" system or a
virtual environment.
Stock exchange:
A stock exchange is an entity that provides services for stock brokers and traders to trade stocks,
bonds, and other securities. Stock exchanges also provide facilities for issue and redemption of
securities and other financial instruments, and capital events including the payment of income and
dividends. Securities traded on a stock exchange include shares issued by companies, unit trusts,
derivatives, pooled investment products and bonds.
The role of stock exchange:
Raising capital for businesses:
The Stock Exchange provide companies with the facility to raise capital for expansion through
selling shares to the investing public.[3]

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Mobilizing savings for investment:
When people draw their savings and invest in shares (through a IPO or the issuance of new company
shares of an already listed company), it usually leads to rational allocation of resources because
funds, which could have been consumed, or kept in idle deposits with banks, are mobilized and
redirected to help companies' management boards finance their organizations. This may promote
business activity with benefits for several economic sectors such as agriculture, commerce and
industry, resulting in stronger economic growth and higher productivity levels of firms. Sometimes it
is very difficult for the stock investor to determine whether or not the allocation of those funds is in
good faith and will be able to generate long-term company growth, without examination of a
company's internal auditing.
Facilitating company growth:
Companies view acquisitions as an opportunity to expand product lines, increase
distribution channels, hedge against volatility, increase its market share, or acquire other necessary
business assets. A takeover bid or a merger agreement through the stock market is one of the
simplest and most common ways for a company to grow by acquisition or fusion.
Profit sharing:
Both casual and professional stock investors, through dividends and stock price increases that may
result in capital gains, share in the wealth of profitable businesses. Unprofitable and troubled
businesses may result in capital losses for shareholders.

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Creating investment opportunities for small investors:
As opposed to other businesses that require huge capital outlay, investing in shares is open to
both the large and small stock investors because a person buys the number of shares they can afford.
Therefore the Stock Exchange provides the opportunity for small investors to own shares of the
same companies as large investors.
Barometer of the economy:
At the stock exchange, share prices rise and fall depending, largely, on market forces. Share prices
tend to rise or remain stable when companies and the economy in general show signs of stability and
growth. An economic recession, depression, or financial crisis could eventually lead to a stock
market crash. Therefore the movement of share prices and in general of the stock indexes can be an
indicator of the general trend in the economy.
Have you applied for the shares in an Initial Public Offer (IPO) lately? Did you observe the
statement that claims, 'The company plans to raise Rs 3,600 crore (Rs 36 billion) through book
building method'?
Are you aware what book building is all about? No? Then, read on to know more about this new
method of determining the share price of a company during IPO.
What is book building?
When companies are on the look out to raise money for their business operations,
they use various means for the same.
Two of the most popular means to raise money are Initial Public Offer (IPO) and Follow on
Public Offer (FPO).

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During the IPO or FPO, the company offers its shares to the public either at fixed price or
offers a price range, so that the investors can decide on the right price. The method of offering shares
by providing a price range is called as book building method.
Book building:
Book building is actually a price discovery method. In this method, the company doesn't
fix up a particular price for the shares, but instead gives a price range, e.g. Rs 80-100.
When bidding for the shares, investors have to decide at which price they would like to
bid for the shares, for e.g. Rs 80, Rs 90 or Rs 100. They can bid for the shares at any price within
this range.
Based on the demand and supply of the shares, the final price is fixed. The lowest price (Rs 80) is
known as the floor price and the highest price (Rs 100) is known as cap price. The price at which the
shares are allotted is known as cut off price. The entire process begins with the selection of the lead
manager, an investment banker whose job is to bring the issue to the public. Both the lead manager
and the issuing company fix the price range and the issue size. Next syndicate members are hired to
obtain bids from the investors. Normally the issue is kept open for 5 days.
Once the offer period is over, the lead manager and issuing company fix the price at
which the shares are sold to the investors. If the issue price is less than the cap price, the investors
who bid at the cap price will get a refund and those who bid at the floor price will end up paying the
additional money.

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For e.g if the cut off in the above example is fixed at Rs 90, those who bid at Rs 80, will
have to pay Rs 10 per share and those who bid at Rs 100, will end up getting the refund of Rs 10 per
share. Once each investor pays the actual issue price, the shares are allotted.
Book building vs fixed price:
The main difference between the book building method and the fixed price method is that in the
former, the issue price is not decided initially.
The investors have to bid for the shares within the price range given and based on the
demand and supply of the shares, the issue price is fixed. On the other hand, in the fixed price
method, the price is decided right at the start.
Investors cannot choose the price, but must buy the shares at the price decided by the
company. In the book building method, the demand is known every day during the offer period, but
in fixed method, the demand is known only once the issue closes.
Book building vs. Reverse book building:
While book building is used to raise capital for the company's business operations,
reverse book building is used for buyback of shares from the market. Reverse book building is also a
price discovery method, in which the bids are taken from the current investors and the final price is
decided on the last day of the offer. Normally the price fixed in reverse book building exceeds the
market price.

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Book building is the price discovery method in which the investors bid for the shares
of the company during IPO/FPO. They are given a price range in which the investors have to bid for
the shares.
Depending on the demand and supply of the shares, the issue price is fixed. Those who
bid at the price higher than the issue price end up getting refund and those who bid at the price below
the issue price end up paying the remaining amount.
Allotment procedure:
Few things frustrate an investor more than applying for shares and not getting them,
especially when talk of booming share prices leaves them with stars in their eyes.
A number of my friends have been similarly disappointed.
They simply did not get an allotment after they applied for an IPO refers to the first time a
company offers its shares to the public. After the shares are allotted through the IPO, the stock will
be listed on the stock exchange so that the shares can be bought and sold. A number of IPOs are in
the limelight at the moment.
Since many people apply for an IPO, very few end up with the shares. Let me explain why this
happens and how the IPO game works. The company will 'discover' its price Earlier, the company
determined a fixed price for the stock issue. The issue was marketed to the general public through
advertisements and a media campaign. Today, companies prefer a book building process. Book
building is the process of price discovery. That means there is no fixed price for the share. Instead,

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the company issuing the shares comes up with a price band. The lowest price is referred to as the
floor and the highest, the cap. Bids are then invited for the shares. Each investor states how many
shares s/he wants and what s/he is willing to pay for those shares (depending on the price band).
The actual price is then discovered based on these bids.
Who can play the game?
Three classes of investors can bid for the shares:
Qualified Institutional Buyers: QIBs include mutual funds and Foreign Institutional Investors. At
least 50% of the shares are reserved for this category.
Retail investors: Anyone who bids for shares under Rs 50,000 is a retail investor. At least 25% is
reserved for this category.
The balance bids are offered to high IIFL individuals and employees of the company.
How the game is played
Individuals who apply for the IPO put in their bids.
The process is transparent. You can check on the issue subscription at the BSE and NSE Web sites.
After evaluating the bid prices, the company will accept the lowest price that will allow it to dispose
the entire block of shares. That is called the cut-off price.
Let's take an example.
Number of shares issued by the company = 100.
Price band = Rs 30 - Rs 40.
Now let's check what individuals have bid for.
Bid Number of shares Price per share
1 20 Rs 40

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2 10 Rs 38
3 20 Rs 37
4 30 Rs 36
5 20 Rs 35
6 20 Rs 33
7 20 Rs 30
The shares will be sold at the Bid 5 price of 20 shares for Rs 35.
Why?
Because Bidders 1 to 5 are willing to pay at least Rs 35 per share.
The total bids from Bidders 1 to 5 ensure all 100 shares will be sold (20 + 10 + 20 + 30 + 20).
The cut-off price is therefore Bid 5's price = Rs 35.
Bidders 1 to 5 get allotments at that price. Bidders 6 and 7 don't get an allotment because their bids
are below the cut-off price.
How to make bidding work for you
Go for the higher price band.
As a retail investor, you don't have to specify an exact price.
Make out a cheque for the number of shares you are applying for at the highest end of the price
band. If you are applying for 10 shares, the amount wll be Rs 400 (10 x Rs 40 -- the higher end of
the price band).
On allotment, the extra amount paid will be refunded to you. Since the cut-off price is Rs 35, the 10
shares will cost you Rs 350 (10 x Rs 35). The balance Rs 50 will be refunded to you.
How the allotment is done
The bids are first allotted to the different categories and the over-subscription (more shares

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applied for than the shares available) in each category is determined.
Retail investors and high IIFL individuals get allotments on a proportional basis.
Assuming you are a retail investor and have applied for 200 shares in the issue, and the issue
is over-subscribed five times in the retail category, you qualify to get 40 shares (200 shares/5).
Sometimes, the over-subscription is huge or the issue is priced so high that you can't really
bid for too many shares before the Rs 50,000 limit is reached.
In such cases, allotments are made on the basis of a lottery.
Say a retail investor has applied for 5 shares in an issue, and the retail category has been over-
subscribed 10 times, the investor is entitled to half a share.
Since that isn't possible, it may then be decided that every 1 in 2 retail investors will get
allotment. The investors are then selected by lottery and the issue allotted on a proportional basis
among.
That is why there is no way you can be sure of getting an allotment.
How to make an allotment work for you
Put in bids in the names of your family members. The problem is, you will need to open demat
accounts for them first.
Most regular IPO investors try to calculate how much the issue will be over-subscribed and
then put in their bids accordingly.
For instance, if you want 10 shares and feel the retail portion of the issue will be over-
subscribed three times, you should bid for 30 shares.
You could also apply separately in the high IIFL category if you have the money.

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INDUSTRY PROFILE
Bombay Stock Exchange (BSE)
About the Bombay Stock Exchange
Bombay Stock Exchange Limited is the oldest stock exchange in Asia with a rich heritage. Popularly
known as "BSE", it was established as "The Native Share Stock Brokers Association" in 1875. It is
the first stock exchange in the country to obtain permanent recognition in 1956 from the
Government of India under the Securities Contracts (Regulation) Act, 1956.The Exchange's pivotal
and pre-eminent role in the development of the Indian capital market is widely recognized and its
index, SENSEX, is tracked worldwide. Earlier an Association of Persons (AOP), the Exchange is
now a demutualised and corporatized entity incorporated under the provisions of the Companies Act,
1956
BSE (Corporatisation and Demutualisation) Scheme, 2005 notified by the Securities and Exchange
Board of India (SEBI) with demutualisation, the trading rights and ownership rights have been de-
linked effectively addressing concerns regarding perceived and real conflicts of interest. The
Exchange is professionally managed under the overall direction of the Board of Directors. The
Board comprises eminent professionals, representatives of Trading Members and the Managing
Director of the Exchange. The Board is inclusive and is designed to benefit from the participation of
market intermediaries.
In terms of organisation structure, the Board formulates larger policy issues and exercises over-all
control. The committees constituted by the Board are broad-based. The day-to-day operations of the
Exchange are managed by the Managing Director and a management team of professionals.

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The Exchange has a nation-wide reach with a presence in 417 cities and towns of India. The systems
and processes of the Exchange are designed to safeguard market integrity and enhance transparency
in operations. During the year 2004-2005, the trading volumes on the Exchange showed robust
growth.
The Exchange provides an efficient and transparent market for trading in equity, debt instruments
and derivatives. The BSE's On Line Trading System (BOLT) is a proprietory system of the
Exchange and is BS 7799-2-2002 certified. The surveillance and clearing & settlement functions of
the Exchange are ISO 9001:2000 certified.
History of the Bombay Stock Exchange :
The Bombay Stock Exchange is known as the oldest exchange in Asia. It traces its history to the
1850s, when stockbrokers would gather under banyan trees in front of Mumbai's Town Hall. The
location of these meetings changed many times, as the number of brokers constantly increased. The
group eventually moved to Dalal Street in 1874 and in 1875 became an official organization known
as 'The Native Share & Stock Brokers Association'. In 1956, the BSE became the first stock
exchange to be recognized by the Indian Government under the Securities Contracts Regulation Act.
The Bombay Stock Exchange developed the BSE Sensex in 1986, giving the BSE a means to
measure overall performance of the exchange. In 2000 the BSE used this index to open its
derivatives market, trading Sensex futures contracts. The development of Sensex options along with
equity derivatives Followed in 2001 and 2002, expanding the BSE's trading platform.
Historically an open-cry floor trading exchange, the Bombay Stock Exchange switched to an
electronic trading system in 1995. It took the exchange only fifty days to make this transition.

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NATIONAL STOCK EXCHANGE:
The National Stock Exchange (NSE) of India became operational in the capital market
segment on 3rd November 1994 in Mumbai. The genesis of the NSE lies in the recommendations of
the pertains committee 1991. Apart from the NSE, it had recommended for the establishment of
national stock market system also. The committee pointed out some major defects in the Indian stock
market. The Defects specified are
1. Lack of liquidity in most of the markets in terms of depth and breadth.
2. Lack of ability to develop markets for debts.
3. Lack of infrastructure facilities and outdated trading system.
4. Lack of transparency in the operations that effect investor’s confidence.
5. Outdated settlement systems that are inadequate to cater to the growing volume, leading to
delays.
6. Lack of single market due to the inability of various stock exchanges to function cohesively
with legal structure and regulatory framework.
These factors led to the establishment of the NSE.
OBJECTIVES:
1) To establish a nationwide trading facility for equities, debt instruments and hybrids.
2) To ensure equal access to investors all over the country through appropriate communication
network.

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3) To provide a fair, efficient and transparent securities market to investors using an electronic
communication network.
4) To enable shorter settlement cycle and book entry settlement system.
5) To meet current international standards of securities market.
PROMOTERS:
Industrial Development Bank of India (IDBI)
Industrial Credit and Investment Corporation of India (ICICI)
Industrial Financing Corporation of India (IFCI)
Life Insurance Corporation of India (LIC)
State Bank of India (SBI)
General Insurance Corporation (GIC)
Bank of Baroda
Canara Bank
Corporation Bank
Indian Bank
Oriental Bank of Commerce
Union Bank of India
Punjab National Bank

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Infrastructure Leasing and Financial Services
Stock Holding Corporation of India
SBI capital market
MEMBERSHIP:
The membership is based on the factors as capital adequacy, corporate structure, Track
record, Education, Experience etc. Admission is a two-stage process with applicants required to go
through a written examination followed by an interview. A committee consisting of experienced
professionals from the industry, to assess the applicant’s capability to operate as an exchange
member. The exchange admits members separately to wholesale debt Market (WDM) segment and
the Capital market segment. Only corporate members are admitted to the debt market Segment
whereas individuals and firms are also eligible to the capital market segment.
Eligibility criteria for trading membership on the segment of WCM are as follows:
1. The person eligible to become trading members are bodies corporate, companies,
institutions including subsidiaries of banks engaged in financial services and such other
persons or entities are may be permitted from time to time by RBISEBI.
2. The whole-time Directors should possess at least two years experience in any activity
related to banking or financial services.
3. The applicant must be engaged solely in the business of the securities and must not be
engaged in any fund-based activities.
4. The applicant must possess a minimum of Rs.2crores

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Eligibility criteria for the capital market segment are:
1. Individual, registered firms, corporate bodies, companies and such other persons may be
permitted under the SCR Act, 1957.
2. The applicant may be engaged in the business of securities and must not be engaged in any
fund-based activities.
3. The minimum net worth requirements prescribed are as follows:
 Individuals and registered firms-Rs.75Lakhs.
 Corporate bodies-Rs100Lakhs
 In case of partnership firm each partner should contribute at least 5% of the net
worth of the firm.
4. A corporate trading member should consist only of individuals (maximum of 4) who should
directly hold at least 40% of the paid-up capital in case of listed companies and at least 51%
in case of these companies.
5. The minimum prescribed qualification of graduation and two years experience of handling
securities as broker, Sub-broker, authorized assistant etc., must be fulfilled by
 Minimum two directors in case the applicant are a corporate
 Minimum two partners in case of partnership firms
In case of individual or sole proprietary concerns. The two experienced directors in a
corporate applicant or trading member should hold minimum 5% of the capital of the company.

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Base year average is changed as per the formula:
New Base Year Average =Old Base Year Average * (New Market Value/Old Market Value)
RECENT DEVELOPMENTS IN INDIAN STOCK MARKET:
Many steps have been taken in recent years to reform the Stock Market such as:
 Regulation of Intermediaries.
 Changes in the Management Structure.
 Insistence on Quality Securities.
 Prohibition of Insider Trading.
 Transparency of Accounting Processes.
 Strict supervision of Stock Market Operations.
 Prevention of Price Rigging.
 Encouragement of Market Making.
 Discouragement of Price Manipulations.
 Introduction of Electronic Trading.
 Introducing of Depository System.
 Derivates Trading.
 International Listing

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COMPANY PROFILE
IIFL Holdings Limited (formerly known as India Infoline Limited) is the apex holding company of
the entire IIFL Group, which is a leading financial services company in India, promoted by first
generation entrepreneurs. We have a diversified business model that includes credit and FINANCE,
wealth management, financial product distribution, asset management, capital market advisory and
investment banking.
We have a largely retail focused model, servicing over 2 million customers, including several lakh
first-time customers for mutual funds, insurance and consumer credit. This has been achieved due to
our extensive distribution reach of over 2,700 business locations and also innovative methods like
seminar sales and use of mobile vans for marketing in smaller areas.
Our evolution from an entrepreneurial start-up to a market leadership position is a story of steady
growth by adapting to the changing environment, without losing the focus on our core domain of
financial services. Our NBFC and lending business accounts for 71% of our consolidated income in
FY14 and has a diversified product portfolio rather than remaining a mono-line NBFC. We are a
leader in distribution of life insurance and mutual funds among non-bank entities. Although the
share of equity broking in total income was only 11% in FY14, IIFL continues to remain a leading
player in both, retail and institutional space.
Location: Mumbai
Corporate office :IIFL Center, B Wing, Trade Centre, Kamala Mills Compound, Off Senapati Bapat
Marg, Lower Parel, Mumbai - 400 013.

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Maharashtra Registered office IIFL House, Sun Infotech Park, Road No. 16V, Plot No. B-23, Thane
Industrial Area, Wagle Estate,Thane - 400 604. Maharashtra
Year of incorporation :1995
Industry Financial Services :Key businesses Credit & FINANCE, Wealth Management, Financial
Product Distribution, Capital Market
Related Employees 14,000+ Business locations Around 4,000 locations in 900 cities and towns
Global reach Singapore, Dubai, New York, Mauritius, UK, Hong Kong, Switzerland Listings NSE,
BSE Listing date 17 May, 2005
Registrars Link Intime India Pvt. Ltd.
Short term debt rating ICRA A1+
Long term debt rating ICRA AA/(Stable)
Domains www.indiainfoline.com, www.iiflfinance.com, www.ttweb.indiainfoline.com,
www.flame.org.in
ISIN code INE530B01024
Bloomberg code IIFL IN EQUITY
Reuters code IIFL.BO

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Vision
• To become the most respected company in the financial services space in India
Values
• Values are IIFL are summarised in one acronym: GIFTS
• Growth with focused team of dynamic professionals
• Integrity in all aspects of business – no compromise in any situation
• Fairness in all our dealings – employees, customers, vendors and shareholders all included
• Transparency in what we do – and in how and why we do it
• Service orientation is our core value, imbibed by all sales as well as support teams
Business strategy
• Steady growth by adapting to the changing environment, without losing the focus on our core
domain of financial services
• De-risked business through multiple products and diversified revenue stream
• Knowledge is the key to power superior financial decisions
• Keep costs low and continuously strive for innovation
Customer strategy

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• Remain largely a retail focused organisation, driving stickiness through knowledge and
quality service
• Cater to untapped areas in semi-urban and rural areas, which is relatively safe from cut-throat
competition
• Target the micro, small and medium enterprises mushrooming across the country through a
cluster approach for lending business
• Use wide multi-modal network serving as one-stop shop to customers
People strategy
• Attract the best talent and driven people
• Ensure conducive merit environment
• Liberal ownership-sharing
Our logo
The Shree Yantra is regarded in India as the most powerful and mystically beautiful of all yantras
(Sanskrit word for a symbol used to focus the mind). It predates the Vedas and is supposed to be the
favourite Yantra of Lakshmi, the Goddess of Wealth and Prosperity. This powerful symbol, said to
promote harmony and tranquility as well, has endured for many centuries. IIFL is engaged in the
business of creating wealth and the adoption of the Shree Yantra as its logo was but natural.
Positioning

30
When we pioneered ONLINE TRADING in India with the launch of our brand 5paisa, the tag line
was “It’s all about money, honey”.
We recently realigned our positioning from “Knowledge is the Edge” to “When it’s about Money” .
The IIFL brand is associated with trust, knowledge and quality service. But more importantly, the
brand stands for timely assistance provided to the country’s under-banked customers.
1996
A small group of professionals formed an Information Services Company*
The company was formed in October 1995 with a vision to produce high quality, unbiased,
independent research on the Indian economy, business, industries and corporates.
*The company was originally incorporated as Probity Research and Services Pvt.Ltd. The name of
the company was later changed to India Infoline Ltd.
2013
The biggest AIF and all time high income and profits
We launched AIF raising Rs6.28bn, the largest AIF fund in India, till date. Over the years, our
business model has been de-risked and is no longer dependent on cyclical capital markets. Reported
all time high income of Rs26.65bn and PAT of Rs2.79bn.
OUR STERNGTHS:
Managerial depth

31
Our promoters individually are first-generation Indian entrepreneurs with meritorious academic
backgrounds and impeccable professional careers.
Nirmal Jain, Chairman, is a rank holder Chartered Accountant, Cost Accountant and an MBA from
IIM Ahmedabad and Mr. R. Venkataraman, Managing Director, is an Electronics Engineer from IIT
Kharagpur and an MBA from IIM Bangalore.
The Promoters have built the business from scratch, without pedigree of a large family business or
inherited wealth and steered it towards a market leading position by dint of hard work and enterprise.
We have consistently attracted the best of the talent from across the financial sector – private sector
banks, foreign banks, public sector banks and established NBFCs. The senior management team
have years of experience and backgrounds similar to promoters and leads competent teams. IIFL has
uninterrupted history of profits and dividends since listing. We have delivered total shareholder
returns of 34.3% CAGR from listing till March 31, 2013.
Governance
The Promoters have demonstrated an exemplary track record of governance and utmost integrity.
There have been no notable regulatory strictures or oversight ever in the group’s history. This is
despite a widespread and broad range of operations governed by multiple regulators including RBI,
SEBI, IRDA, FMC and NHB. In addition, we have eight licensed subsidiaries in major global
financial centres.

32
Our Board has independent directors, highly respected for their professional integrity as well as rich
financial and banking experience and expertise. We have an advisory board comprising stalwarts
with long and immaculate careers in banks, public service and legal profession.
None of the promoters’ family members has held managerial or board position or have related-party
or financial transaction of any significance, since listing. Further, we have not lent to any related
party or associated concerns. The promoters do not have any other business interests and are
committed to the core business of financial services under the IIFL umbrella.
People
Our people form the backbone of our organization and are the foundation of our success. We have
significant ownership by employees with a credo of ‘owners work, workers own’, which has enabled
us to maintain a highly motivated staff driven by ‘owner mindset’. We create owners out of our
employees not just by offering a financial stake but also through autonomy to take decisions, make
mistakes and grow confidence, competence and career.
Knowledge
IIFL is a knowledge driven organization and has over the years developed and institutionalized
knowledge about its businesses at all the levels.
Our roots are in original research on economy, sectors, companies, capital markets and global
financial trends. Our in-house research capabilities gives us an edge in understanding industry
trends, macro-economic situations, business cycles, inflation and interest rate trends, technological

33
changes, regulatory and legal updates, environmental factors impacting labour, raw material supply,
pollution norms and for intermediate products- trends in end user sectors and for consumption
products- trends in customers habits.
We have strong origination and KYC processes across our businesses to get deep understanding of
customer’s needs and profile.
Innovation
We have successfully executed a number of innovative and disruptive ideas in the financial services
industry to rise from a start-up to leadership position in less than two decades. For instance:
We gave away all our research free on indiainfoline.com and acquired millions of readers
We pioneered ONLINE TRADING and revolutionized broking at lowest rate of 5 basis points
We Inducted a high profile institutional team from a foreign brokerage house in a first of its kind
deal in India broking industry
Distribution reach
We are present in around 4,000 business locations across more than 900 cities in India.
Our global footprint covers Colombo, Dubai, New York, Mauritius, London, Geneva and Singapore.
De-risked business

34
IIFL has a de-risked and diversified business model across multiple revenue streams.
We offer multiple products across all segments of financial services.
Risk management
The basis of our risk management and hence our sustainability is our underlying conservatism. The
objective of our risk management process is to insulate the company from risks associated with the
business while simultaneously creating an environment conducive for growth.
The effectiveness of our risk management practice emanates from our rich experience. It is derived
from a deep understanding of the Indian economy, sectoral trends and corporate fundamentals.
Our ability to manage organizational risk cascades from our board of directors, comprising
professionals with rich and varied experience. The risk appetite defined by our board is reflected in
our business plans and integrated into our operations.
We identify risks through appropriate systems, indicators and risk surveys reinforced by our
mangers. The company’s well-defined organizational structure, documented policies and standard
operating procedures, authority matrix and internal controls ensure efficiency of operations,
compliance with internal and regulatory requirements.
We continuously strengthen our risk measurement tools customized to the nature of each business
segment. Many critical decision levels for INVESTMENTS, major lending and policy initiatives are
institutionalized trough appropriate committees’.

35
Well capitalized
The Group has networth of around Rs20 billion.
The company has a significantly unutilized capacity to leverage.
Technology
Right from inception, IIFL has incubated and developed next generation technology for its core
businesses.
IIFL’s front office software is seamlessly integrated to a highly automated proprietary back office,
risk management and MIS software.
IIFL Trader Terminal is an entirely home grown proprietary technology, which allows trading in
Equities Cash & Derivatives, Commodities, FOREX, Mutual Funds, NFOs and IPOs on a single
screen.
Customer service
Our existing customer service organization has evolved with the singular goal since inception that
our customer experience should be the best. We offer services through multiple customer touch-
points such as personal interaction at our offices, call centre, email, and online web-based interface.
We have made significant INVESTMENT in systems, technology, people and their training, to
ensure high service standards. We have also won an award for Best Customer Service in Financial
Services 2013. Some key elements of our service approach are ‘first time right’ and ‘lightning fast’
response time. We have taken several proactive steps to reduce the incidence of grievances.

37
DATA ANALYSIS AND INTERPRETATION
PNC Infratech ltd:
PNC Infratech Ltd is an Indian infrastructure construction, development and management company,
with expertise in the execution of major infrastructure projects, including highways, bridges,
flyovers, power transmission lines, airport runways, development of industrial areas and other
infrastructure activities.
PNC provide end-to-end infrastructure implementation solutions that include engineering,
procurement and construction ("EPC") services on a fixed-sum turnkey basis as well as on an item
rate basis. We also execute and implement projects on a "Design-Build- Finance-Operate-Transfer"
("DBFOT"), Operate-Maintain-Transfer ("OMT") and other PPP formats.
They have executed projects across various states in India including Rajasthan, Punjab, Haryana,
Uttarakhand, Uttar Pradesh, Delhi, Bihar, West Bengal, Assam, Madhya Pradesh, Maharashtra,
Karnataka and Tamil Nadu. Company has executed 42 major infrastructure projects on an EPC
basis.
Company Promoters:
The promoters of the company are:
1. Mr. Pradeep Kumar Jain;
2. Mr. Naveen Kumar Jain;
3. Mr. Chakresh Kumar Jain;
4. Mr. Yogesh Kumar Jain;

38
5. PNC Project Private Ltd;
6. PNC Cold Storage Private Ltd and
7. Shri Parasnath Infrastructures Pvt Ltd
Company Financials:
Particulars For the year/period ended (in Rs. Million)
31-Mar-14 31-Mar-13 31-Mar-12 31-Mar-11 31-Mar-10
Total Income 11,561.91 13,076.74 12,796.98 11,429.55 7,539.69
Profit After Tax (PAT) 669.39 764.98 783.78 711.07 443.57
Objects of the Issue:
The objects of the issue are:
1. Funding working capital requirements;
2. Investment in subsidiary, PNCRHPL for part-financing the Raebareli Jaunpur Project;
3. Investment in capital equipment;
4. Repayment / prepayment of certain indebtedness; and
5. Funding expenditure for general corporate purposes.
Issue Detail:
»» Issue Open: May 8, 2015 - May 12, 2015
»» Issue Type: 100% Book Built Issue IPO
»» Issue Size: 12,921,708 Equity Shares of Rs. 10
»» Issue Size: Rs. 488.44 Crore
»» Face Value: Rs. 10 Per Equity Share
»» Issue Price: Rs. 355 - Rs. 378 Per Equity Share

39
»» Market Lot: 35 Shares
»» Minimum Order Quantity: 35 Shares
»» Listing At: BSE, NSE
PNC Infratech IPO Reviews:
1. PNC Infratech Limited IPO review by Dilip Davda
Issue Subscription Detail / Current Bidding Status
Number of Times Issue is Subscribed (BSE + NSE)
As on Date & Time
Qualified
Institutiona
l Buyers
(QIBs)
Non
Institutiona
l Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Employee
Reservation
s
Total
Shares Offered / Reserved 2,574,342 1,930,757
4,505,098
500,000
9,510,197
Day 1 - May 8, 2015 17:00 IST 0.0000 0.0000 0.0200 0.0600 0.0100
Day 2 - May 11, 2015 17:00
IST
0.2100 0.2300 0.0600 0.9500 0.1400
Day 3 - May 12, 2015 18:40
IST
4.5100 0.6500 0.2800 1.1100 1.5600
VRL Logistics ltd:
VRL Logistics Ltd (VRL) is one of the leading pan-India surface logistics and parcel delivery
service provider. It owns and operates the largest fleet of commercial vehicles in the private sector in
India. VRL provides general parcel and priority parcel delivery (less than truckload services,
“LTL”), courier and full-truckload (“FTL”) services through its widespread transportation network
in 28 States and four Union Territories across India. Company’s operational infrastructure for the
goods transportation business as of December 31, 2014 comprised 624 branches (comprising 604
leased branches and 20 owned branches) and 346 agencies across India, and of such 624 branches,
48 (41 leased branches and seven owned branches) served as strategic transshipment hubs for
operations.

40
VRL's goods transportation service business serves a broad range of industries, including the fast
moving consumer goods (FMCG) sector as well as other industries including food, textiles, apparel,
furniture, appliances, pharmaceutical products, rubber, plastics, metal and metal products, wood,
glass, automotive parts and machinery. The company operates through a hub-and-spoke operating
model which enables to transport various parcel sizes and provide its customers with access to
multiple destinations for booking and delivery of goods. Its extensive network enables the company
to provide "last mile" connectivity to even remote areas in India.
Company Promoters:
1. Dr. Vijay Sankeshwar and
2. Mr. Anand Sankeshwar
Company Financials:
31-Dec-14 31-Mar-14 31-Mar-13 31-Mar-12 31-Mar-11 31-Mar-10
Total Income 12,793.80 15,037.77 13,353.24 11,352.78 8,929.15 7,146.13
Profit After Tax (PAT) 716.90 571.76 457.03 767.22 516.64 287.54
The object of the issue are to:
1. Purchase of goods transportation Vehicles;
2. Repayment/pre-payment of certain borrowings.
Issue Detail:
»» Issue Open: Apr 15, 2015 - Apr 17, 2015

41
VRL Logistics IPO Reviews:
1. VRL Logistics Ltd IPO review by Dilip Davda
As on Date & Time
Qualified
Institutional
Buyers (QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total
Shares Offered / Reserved 4,711,006 3,467,400 8,090,600 16,269,006
Day 1 - Apr 15, 2015 17:00 IST 0.3600 1.0500 0.5900 0.6200
Day 2 - Apr 16, 2015 17:00 IST 1.2700 1.8200 2.3800 1.9400
Day 3 - Apr 17, 2015 17:00 IST 58.2200 250.8600 7.9200 74.2600
UFO Moviez ltd:
Incorporated in 2004, UFO Moviez Ltd is India's largest digital cinema distribution network and in-
cinema advertising platform (in terms of numbers of screens), according to CRISIL. They operate
India's largest satellite-based, digital cinema distribution network.
In fiscal year 2014, they digitally delivered more than 1,500 movies in 22 languages to 4,703 screens
with aggregate seating capacity of approximately 2.14 million viewers spread across India. Since the
beginning of their operations, they have digitally delivered more than 8,100 movies in India. UFO's
global network spans 6,611 screens worldwide, including 4,912 screens across India and 1,699
screens across Nepal, the Middle East, Israel, Mexico and the USA.

42
Company Promoters:
1. Mr. Sanjay Gaikwad
2. Mr. Narendra Hete
3. Valuable Technologies Ltd
4. Valuable Media Ltd and
5. Apollo International Ltd
Company Financials:
31-Dec-14 31-Mar-14 31-Mar-13 31-Mar-12 31-Mar-11 31-Mar-10
Total Income 3,572.30 4,210.89 3,374.97 2,076.50 1,099.71 735.05
Profit After Tax (PAT) 406.18 500.95 390.67 61.52 (158.24) (237.75)
The objects of the offer are to:
1. Achieve the benefits of listing the Equity Shares on the Stock Exchanges; and
2. Sale of Equity Shares by the Selling Shareholders.
Issue Detail:

43
UFO Moviez IPO Reviews:
1. UFO Moviez Ltd IPO review by Dilip Davda
As on Date & Time
Qualified
Institutional
Buyers
(QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total
Day 1 - Apr 28, 2015 17:00 IST 0.2200 0.0400 0.0900 0.1200
Day 2 - Apr 29, 2015 17:00 IST 0.4600 0.1700 0.2600 0.3000
Day 3 - Apr 30, 2015 18:00 IST 4.4900 1.1700 1.0200 2.0400

44
MEP Infrastructure developers ltd:
Incorporated in 2011, MEP Infrastructure Developers Ltd is engaged in tolling operations of the road
infrastructure sector, with a pan-India presence. Company focus on pure toll collection projects as
well as OMT projects, which involve maintenance obligations in addition to toll collection on
operational roads (including highways) constructed by third parties.
They have completed 68 projects, with an aggregate of 122 toll plazas and 783 lanes, and have an
overall experience of over 12 years in this business across 12 states in India. Some of the significant
toll collection projects completed by them include project for collection of toll at:
1. Five Mumbai Entry Points where they currently operate an OMT contract pursuant to a re-award;
2. Chalthan toll plaza, Gujarat;
3. Toll plazas located at Ahmedabad, AUDA Ring Road, Nadiad, Anand and Vadodara on the
Ahmedabad Vadodara Expressway, Gujarat;
4. Rajiv Gandhi Sea Link, Mumbai, Maharashtra;
5. Chirle toll plaza and Karanjade toll plaza, Maharashtra; and
6. Toll plazas on Hanumangarh – Kishangarh road, Rajasthan.
MEP Infra currently operate 23 toll collection projects with an aggregate of 40 toll plazas, five OMT
projects covering 2,530.04 lane kilometres with an aggregate of 15 toll plazas and one BOT project
covering 42.02 lane kilometres with five toll plazas. These ongoing projects are located across nine
states in India.
Company Promoters:
The Promoters of the company are:
1. Dattatray P. Mhaiskar;
2. Jayant D. Mhaiskar; and
3. Ideal Toll & Infrastructure Pvt Ltd.
Company Financials:
31-Oct-14 31-Mar-14 31-Mar-13 31-Mar-12 31-Mar-11 31-Mar-10
Total Income 11,415.18 12,401.34 13,020.65 11,366.02 4,635.80 3,291.29
Profit After Tax (PAT) (981.58) (1,205.60) (929.38) (530.94) (815.29) (12.73)
The objects of the Issue are:
1. Repayment / pre-payment, in full or part, of certain loans availed by our Subsidiary, MIPL; and
2. General corporate purposes.

45
Issue Detail:
MEP Infrastructure IPO Reviews:
1. MEP Infrastructure Developers Ltd IPO review by Dilip Davda
As on Date & Time
Qualified
Institutional
Buyers
(QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total
Day 1 - Apr 21, 2015 17:00 IST 0.1800 0.1000 0.2600 0.1800
Day 2 - Apr 22, 2015 17:00 IST 0.3600 0.1900 0.3500 0.3300
Day 3 - Apr 23, 2015 19:00 IST 1.0200 1.5100 0.9700 1.1100
Inbox wind ltd:
Incorporated in April 2009; Inox Wind Limited is leading wind power solutions provider in India.
Inox manufactures wind turbine generators. Company also offer services including wind resource
assessment, site acquisition, infrastructure development, erection and commissioning, and also long
term operations and maintenance of wind power projects.

46
Company manufacture the components of wind turbine generators in-house with a view to ensuring
high quality, advanced technology and reliability and maintaining cost competitiveness. Company
has facilities dedicated to manufacturing nacelles, hubs, rotor blade sets and towers.
Inox Wind have a perpetual license from AMSC Austria GmbH (formerly Windtec GmbH), or
AMSC, a leading wind energy technology company based in Austria, to manufacture 2 MW WTGs
in India based on AMSC’s proprietary technology.
In FY 2012 Company produced and sold 60 turbine generators and in FY 2013; 60 turbine
generators of 2 MW each.
Company Promoters:
The promoter of the company is Gujarat Fluorochemicals Limited (GFL); India's largest producer of
refrigerants and polytetrafluoroethylene, a synthetic flouropolymer in India. GFL holds 75% of the pre-issue
issued. GFL is a listed in BSE and NSE.
Company Financials:
Particulars For the year/period ended (in Rs. Cr)
31-Mar-13 31-Mar-12 31-Mar-11 31-Mar-10
Total Income 1005.19 622.00 72.90 7.86
Profit After Tax (PAT) 147.60 99.84 6.41 -1.36
The objects of the fresh issue are:
1. Expansion and upgradation of existing manufacturing facilities;
2. Long term working capital requirements;
3. Investment in our Subsidiary, IWISL, for the purpose of development of power evacuation infrastructure
and other infrastructure development; and
4. General Corporate Purposes.

47
Issue Detail:
»» Issue Open: Mar 18, 2015 - Mar 20, 2015
»» Issue Size: Equity Shares of Rs. 10
Inox Wind IPO Reviews:
1. Inox Wind Limited IPO review by Dilip Davda
As on Date & Time
Qualified
Institution
al Buyers
(QIBs)
Non
Institution
al
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Employee
Reservation
s
Total
Shares Offered / Reserved 6,637,826 4,818,989
11,244,30
6
500,000
23,201,12
1
Day 1 - Mar 18, 2015 17:00 0.0000 0.0400 0.1600 0.0000 0.0900

48
IST
Day 2 - Mar 19, 2015 17:00
IST
0.5500 0.3000 0.7700 0.0100 0.5900
Day 3 - Mar 20, 2015 19:48
IST
35.6800 35.3800 2.1500 0.1200 18.6000
Adlabs entertainment ltd:
Adlabs Entertainment Limited is mainly engaged in the business of theme park and entertainment
industry. AEL own and operates Adlabs Imagica which is India's first and only international
standard theme park. It offers entertainment, dining, shopping and accommodation under one roof.
The Rs 1,650-crore theme park spread over 300 acres opened in April 2013. It can accommodate as
many as 20,000 visitors.
The Theme Park, is a part of Adlabs Mumbai, a 'one-stop' entertainment destination that they offer at
this location. Adlabs Mumbai also includes Aquamagica, a water park, which became fully
operational on October 1, 2014, and a family hotel, Novotel Imagica Khopoli, the first phase of
which is expected to be completed by March 2015.
Currently they have 25 rides and five themed restaurants which include a ride based on the
Bollywood film Mr. India, India's biggest floor-less roller coaster, and a 300-room hotel and water
park. They also offer entertainment through live performances by acrobats, magicians, dancers,
musicians and other artists throughout the day in various parts of theme park.
Company Promoters:
The Promoters of the Company are:

49
1. Mr Manmohan Shetty
2. Thrill Park Ltd
Company Financials:
01-Apr-14 to 30-Sep-14
Total Income 733.25
Profit After Tax (PAT) (535.29)
The object of the issue are to:
1. Partial repayment or pre-payment of the Consortium Loan;
2. General corporate purposes; and
3. Receive the benefits of listing of the Equity Shares on the Stock Exchanges.
Issue Detail:

50
Discount
Discount of Rs 12.00 is available for Retail investors.
Userful Articles
 Extended Review of 'Adlab's Entertainment IPO' - Strategy after the change of dates and
price
Adlabs Entertainment IPO Reviews:
1. Adlabs Entertainment Ltd IPO review by Dilip Davda
2. Adlabs Entertainment Ltd IPO review by Emkay Global
3. Adlabs Entertainment Ltd IPO review by Antique
As on Date & Time
Qualified
Institutional
Buyers
(QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total

51
Day 1 - Mar 10, 2015 17:00 IST 0.0000 0.0600 0.1500 0.0300
Day 2 - Mar 11, 2015 17:00 IST 0.1800 0.0900 0.3500 0.1800
Day 3 - Mar 12, 2015 17:00 IST 0.4000 0.1100 1.1000 0.4400
Day 4 - Mar 13, 2015 17:00 IST 0.4000 0.1100 1.1000 0.4700
Day 5 - Mar 16, 2015 17:00 IST 0.5300 0.3600 1.1100 0.6000
Day 6 - Mar 17, 2015 17:30 IST 1.1700 0.4900 1.3700 1.1100
Ortel communications ltd:
Ortel Communications Ltd is a regional cable television and high speed broadband services provider,
mainly engaged in the distribution of analog and digital cable television services, high speed
broadband services & Voice over Internet Protocol ("VoIP") services. Company has well presence in
the Indian states of Odisha, Chhattisgarh, Andhra Pradesh and West Bengal. They have built a two-
way communication network for 'Triple Play' services (video, data and voice capabilities). Ortel
provides its services under the brand names "Ortel Home Cable", "Ortel Digital" and "Ortel
Broadband".
Ortel Communications Ltd is among the ten major Multi System Operators in India ("MSOs"). Their
business is broadly divided into:
1. Cable television services comprising of (a) analog cable television services; (b) digital cable
television services including other value added services such as HD services, NVoD, gaming and
local content;

52
2. Broadband services;
3. Leasing of fibre infrastructure; and
4. Signal uplinking services.
Ortel Communications currently offer services in 48 towns and certain adjacent semi urban and rural
areas with over 21,600 kilometers of cables supported by 34 analog head-ends and five digital head-
ends. They use HFC (combination of optic fibre in the backbone and coaxial cable in the
downstream) to build their network. They provide their service to both retail and corporate
customers.
Company Promoters:
The following individuals are the Promoters of the Company:
1. Mr. Baijayant Panda; and
2. Ms. Jagi Mangat Panda
Company Financials:
30-Sep-14 31-Mar-14 31-Mar-13 31-Mar-12 31-Mar-11
Total Income 719.34 1350.36 1218.05 1212.75 982.51
Profit After Tax (PAT) 6.61 (120.64) (250.98) (169.24) (190.37)

53
The object of the company are to:
1. Expansion of network for providing video, data and telephony services;
2. Capital expenditure on development of digital cable services;
3. Capital expenditure on development of broadband services; and
Issue Detail:
As on Date & Time
Qualified
Institutional
Buyers
Non
Institutional
Investors
Retail
Individual
Investors
Total

54
(QIBs) (NIIs) (RIIs)
Day 1 - Mar 3, 2015 17:00 IST 0.2100 0.0000 0.0300 0.1500
Day 2 - Mar 4, 2015 17:00 IST 0.4200 0.0000 0.0900 0.3000
Day 3 - Mar 5, 2015 18:15 IST 1.0047 0.0903 0.3908 0.7575
Wonderla holidays ltd:
Incorporated in 2002, Wonderla Holidays Ltd is one of the largest operators of amusement parks in
India. Currently, Wonderla Holidays own and operate two amusement parks under the brand name
'Wonderla', situated at Kochi and Bangalore and are in the process of setting up their third
amusement park in Hyderabad. They also own and operate a resort beside the amusement park in
Bangalore under the brand name 'Wonderla Resort' which has been operational since March 2012.
Wonderla amusement parks offers a wide range of water and land based attractions catering to all
age groups. They have 22 water based attractions and 34 land based attractions at Wonderla Kochi,
situated on 92.95 acres of land and 20 water based attractions and 33 land based attractions at
Wonderla Bangalore, situated on 81.75 acres of land. Wonderla Resort is a 'Three Star' leisure resort
located beside their amusement park in Bangalore comprising of 84 luxury rooms, with amenities
including banquet halls, a board room, conference rooms, a multi-cuisine restaurant, a solar heated
swimming pool, recreation area, kids activity centre and a well equipped gym.
Company Promoters:

55
The Promoters of the Company are:
1. Mr Kochouseph Chittilappilly
2. Mr Arun Kochouseph Chittilappilly
Company Financials:
Particulars For the year/period ended (in Rs. Lacs)
Total Income 13,917.43 11,452.29 9,121.70 6,975.17 6,330.76
Profit After Tax (PAT) 3,348.08 2,986.73 3,152.15 938.08 1,103.08
The Net Proceeds from the Issue are proposed to be utilized by the Company for the following
objects:
1. To set up an amusement park in Hyderabad; and
Issue Detail:

56
Wonderla Holidays IPO Grading
This Issue has been graded by CRISIL Limited as CRISIL IPO Grade 4/5, indicating that the
fundamentals of the Issue are above average relative to other listed equity securities in India. The
IPO grading is assigned on a five point scale from 1 to 5 with an IPO grade 5 indicating strong
fundamentals and IPO grade 1 indicating poor fundamentals.
As on Date & Time
Qualified
Institutional
Buyers
(QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total
Day 1 - Apr 21, 2014 17:00 IST 0.6400 0.2100 0.2800 0.4200
Day 2 - Apr 22, 2014 17:00 IST 0.6900 0.5300 1.4500 0.9800
Day 3 - Apr 23, 2014 17:00 IST 16.7100 159.0400 7.5500 38.0600

57
Snowman logistic ltd:
Incorporated in 1993, Snowman Logistics Limited is an integrated temperature controlled logistics
service provider with 23 temperature controlled warehouses across 14 locations in India. It caters to
industries like - Dairy products including butter and cheese; Ice-cream; Poultry and meat; Sea food;
Ready-to-eat / ready-to-cook food products; Confectioneries including chocolate and baked
products; Fruits and vegetables; Healthcare and pharmaceutical products; and Industrial products
such as x-ray, and photo-imaging, films.
It is the most preferred integrated temperature controlled warehouse and transport logistics company
in the organized sector enjoying lion market share. The company has been also providing additional
services like repacking of products for direct marketing in retail market to the manufacturers,
exporters etc and adding value addition of services to its clients that include Hindustan Unilever,
Cadbury, Baskins Robbins etc and has PAN India presence at 14 locations with 23 warehouses and
fleet of 370.
Gateway Distriparks Limited is the promoter and the largest shareholder. Company's other
shareholders include Mitsubishi Corporation, Mitsubishi Logistics Corporation, International
Finance Corporation and Norwest Venture Partners VII–A Mauritius. Snowman Logistics offers
blast freezing facilities at its temperature controlled warehouses in Bengaluru, Mevalurkuppam,
(near Chennai), Visakhapatnam, Serampore (near Kolkata), Taloja (near Mumbai), Ahmedabad,
Palwal (near Delhi), and Mubarakpur (near Chandigarh). Its integrated ‘Source to Stores’ operations
comprise warehousing, primary distribution and secondary distribution and value-added services
including kitting, labeling, sorting and bulk breaking.
Company Promoters:

58
Gateway Distriparks Limited is the Promoter of the Company.
Company Financials:
Total Income 1,552.33 1,141.03 641.98 475.89 369.03
Profit After Tax (PAT) 232.27 198.79 49.21 63.57 40.46
The objects of the Issue are:
1. Capital expenditure for setting up new temperature controlled and ambient warehouses;
2. Long term working capital; and
Issue Detail:
»» Issue Open: Aug 26, 2014 - Aug 28, 2014
Snowman Logistics IPO Grading
CRISIL Research has assigned a CRISIL IPO grade of '4/5' (pronounced 'four on five') to the proposed IPO of
Snowman Logistics Ltd (Snowman). This grade indicates that the fundamentals of the IPO are above average
relative to the other listed equity securities in India. The IPO grading is assigned on a five point scale from 1
to 5 with an IPO grade 5 indicating strong fundamentals and IPO grade 1 indicating poor fundamentals.
Snowman Logistics IPO Reviews:
1. Snowman Logistics Ltd IPO review by Dilip Davda
2. Snowman Logistics Ltd IPO review by ARM Research
As on Date & Time
Qualified
Institutional
Buyers (QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total
Day 1 - Aug 26, 2014 17:00 IST 0.6200 0.3400 2.7000 0.8300
Day 2 - Aug 27, 2014 17:00 IST 1.4900 0.8200 12.9400 2.8400
Day 3 - Aug 28, 2014 21:30 IST 16.9800 221.7900 41.2600 59.7500

59
Justdail ltd:
Incorporated in 1996, Justdial Limited (Just Dial) is popular local search service provider in India.
Just Dial’s search services are available to users through Internet, mobile Internet, telephone and text
(SMS).
Just dial is a 24/7 Free Search service on a single national number 08888888888 that receives over
130 Million Calls every year. It provides reliable information about local businesses, products and
services to the users in over 2000 cities in India. They have more than 300 million customers using
JustDial Services.
Selling advertisement and qualified leads is the main source of earning for Justdial. They have more
than 145,000 paid advertisers. Companies promote their brand across the Just Dial network and
reach millions people who are actively looking for information about the products and services.
There are 4 ways available to promote brand or advertise on JustDial including Listing on Web,
Listing on Phone Search, Listing on Mobile Search and Placing Video Ads.
Company Promoters:
Promoters of the Company are:
1. V.S.S. Mani, aged 46 years, is the Managing Director and Chief Executive Officer of the
Company.
2. Anita Mani, aged 43 years, is a former Director of the Company.
3. Ramani Iyer, aged 43 years, is a Non-Independent, Executive Director of the Company.
4. V. Krishnan, aged 42 years, is a Non-Independent, Executive Director of the Company.

60
The objects of the Offer are to
1. achieve the benefits of listing the Equity Shares on the Stock Exchanges and
2. carry out the sale of 17,497,458 Equity Shares by the Selling Shareholders.
Issue Detail:
»» Issue Open: May 20, 2013 - May 22, 2013
»» Listing At: BSE, NSE, MCX-SX
Just Dial IPO Grading
CRISIL has assigned a IPO Grade 5/5 to the IPO of Just Dial Ltd. This grade indicates that the
fundamentals of the Just Dial IPO are 'strong' relative to the other listed equity securities in India.
CRISIL assigns IPO grading on a scale of 5 to 1, with Grade 5 indicating strong fundamentals and
Grade 1 indicating poor fundamentals. Please note that this grade is not an opinion on whether the
issue price is appropriate in relation to the issue fundamentals. The grade is not a recommendation to

61
buy, sell or hold the graded instrument, or a comment on the graded instrument's future market price
or its suitability for a particular investor.
Click here to view the CRISIL report CRISIL Research assigns IPO grade ‘5/5’ to Just Dial Ltd
Just Dial IPO Discount for Retail Investors
Just Dial has offered a discount of 10% to the floor price to the retail individual investors.
Just Dial IPO offers Safety Net to Retail Investors
Just dial IPO offers safety net mechanism which will be available to all retail individual investors
applying in Just Dial IPO for up to Rs. 50,000. The safety net would trigger in case the price of the
share fall over 20% from the issue price.
Just Dial IPO Reviews:
1. Just Dial Ltd IPO review by Dilip Davda
2. Just Dial Ltd IPO review by K.M. Global Financial Services Ltd
As on Date & Time
Qualified
Institutional
Buyers
(QIBs)
Non
Institutional
Investors
(NIIs)
Retail
Individual
Investors
(RIIs)
Total

62
Day 1 - May 20, 2013 17:00 IST 0.7200 0.0000 0.1400 0.5000
Day 2 - May 21, 2013 17:00 IST 0.8900 0.0100 0.7000 0.7000
Day 3 - May 22, 2013 17:00 IST 10.1200 22.3400 3.5300 11.6300
TABLE SHOWING COMPARISION OF ISSUE OPEN DATE
S.NO COMPANY NAME ISSUE OPEN DATE
1 PNC INFRATECH LTD MAY 8,2015
2 VRL LOGISTICS LTD APRIL 28,2015
3 UFO MOVIEZ LTD APRIL 21 2015
4
MEP INFRASTRUCTURE
DEVELOPERS APRIL 21,2015
5 INOX WIND LTD MARCH 18,2015
6
ADLABS ENTERTAINMENT
LTD MARCH 10,2015
7
ORTEL COMMUNICATIONS
LTD MARCH 3,2015
8 WONDERALA HOLIDAYS LTD APRIL 21,2014
9 SNOWMAN LOGISTICS LTD AUG 26,2014
10 JUST NDIAL LTD MAY 20,2013

63
TABLE SHOWING COMPARISION OF DAYS OPEN
S.NO COMPANY NAME
DAYS
OPEN
1 PNC INFRATECH LTD 403.1
2 VRG LOGISTICS LTD 308.5
3 UFO MOVIEZ LTD 587.5
4 MEP INFRASTRUCTURE LTD 57.3
5 INOX WIND LTD 430
6 ADLABS ENTERTAINMENT LTD 150
7 ORTEL COMMUNICATIONS LTD 150
8 WONDERALA HOLIDAYS LTD 265.6
9 SNOWMAN LOGISTICS LTD 86.8
10 JUST DIAL LTD 1146
Interpretation:
The above table shows the comparison of the days open of 10 recently issued companies among the
above 10 companies the highest price is 1146 rs i.e. for Just dail ltd & the lowest price is 57.3 rs i.e.
for MEP Infrastructure ltd.

64
TABLE SHOWING COMPARISION OF DAY HIGH-LOW
S.NO COMPANY NAME floor Cap
1 PNC INFRATECH LTD 408.9 383.6
2 VRG LOGISTICS LTD 313.6 297
3 UFO MOVIEZ LTD 588 558
4
MEP INFRASTRUCTURE
DEVELOPERS 58.5 55.6
5 INOX WIND LTD 437 420.1
6 ADLABS ENTERTAINMENT LTD 154.1 145.7
7 ORTEL COMMUNICATIONS LTD 154.1 145.7
8 WONDERALA HOLIDAYS LTD 265.6 260
9 SNOWMAN LOGISTICS LTD 89 84.4
0
200
400
600
800
1000
1200
1400
1 2 3 4 5 6 7 8 9 10
Series1

65
10 JUST DIAL IPO 1151 1086.1
Interpretation:
The above table shows the comparison of the issue days high low of 10 recently companies among
the above 10 companies the highest price is 1151-1086.1rs i.e. for just dail ltd & the lowest price is
58.5-55.6 rs i.e. for MEP Infrastructure ltd.
TABLE SHOWING COMPARISION OF PREVIOUS CLOSE
S.NO COMPANY NAME PREVIOUS
0
200
400
600
800
1000
1200
1400
1 2 3 4 5 6 7 8 9 10
floor
cap

66
CLOSE
3 UFO MOVIEZ LTD 585.25
4
MEP INFRASTRUCTURE
DEVELOPERS 58.6
5 INOX WIND LTD 429.3
6 ADLABS ENTERTAINMENT LTD 151.1
7 ORTEL COMMUNICATIONS LTD 151.1
8 WONDERALA HOLIDAYS LTD 263.9
9 SNOWMAN LOGISTICS LTD 86
10 JUST DIAL IPO 1139.95
Interpretation:
The above table shows the comparison of the issue previous close of 10 recently issued companies
among the above 10 companies the highest issue price is 1139.95rs i.e. for Just dail ltd & the lowest
issue price is 58.6rs i.e. for MEP Infrastructure ltd.

67
TABLE SHOWING COMPARISION OF TOTAL TRADED VALUE
S.NO COMPANY NAME
TOTAL TRADED
VALUE
1 PNC INFRATECH LTD 50835
2 VRG LOGISTICS LTD 125811
3 UFO MOVIEZ LTD 16995
4
MEP INFRRASDTRUCTURE
LTD 101714
5 INOX WIND LTD 41138
6
LTD 14447
7 ORTEL COMMUNICATIONS 14447
0
200
400
600
800
1000
1200
1 2 3 4 5 6 7 8 9 10
PREVIOUS CLOSE
PREVIOUS CLOSE

68
LTD
8
WONDERALA HOLIDAYS
LTD 3508
9 SNOWMAN LOGISTICS LTD 321859
10 JUST DIAL IPO 80017
Interpretation:
The above table shows the comparison of the issue trade value of 10 recently issued companies
among the above 10 companies the highest trade value is 321859 i.e. for Snowman logistics ltd &
the lowest trade value is 3508 i.e. for Wonderla holidays ltd.
TABLE SHOWING COMPARISION OF ISSUE SIZE
0
50000
100000
150000
200000
250000
300000
350000
1 2 3 4 5 6 7 8 9 10
TOTAL TRADED VALUE
TOTAL TRADED VALUE

69
S.NO COMPANY NAME
ISSUE SIZE(in
croes)
3 UFO MOVEIZ LTD 600
4 MEP INFRASTRUCTURE LTD 324
5 INOX WIND LTD 700
6
LTD 341.48
7
LTD 217.2
8
WONDERALA HOLIDAYS
LTD 181.25
9 SNOWMAN LOGISTICS LTD 197.4
10 JUST DIAL IPO LTD 919.14
Interpretation:
The above table shows the comparison of the issue size of 10 recently issued companies among the
above 10 companies the highest issue price is 919.14crs i.e. for Just dail ltd & the lowest issue price
is 181.25ces i.e. for Wonderla holidays ltd.

70
TABLE SHOWING COMPARISION OF ISSUE PRICE
S.NO COMPANY NAME floor cap
1 PNC INFRATECH LTD 355 378
2 VRG LOGISTICS LTD 195 205
3 UFO MOVEIZ LTD 615 625
4
MEP INFRASTRUCTURE
LTD 63 65
5 INOX WIND LTD 315 325
6
LTD 180 215
0
100
200
300
400
500
600
700
800
900
1000
1 2 3 4 5 6 7 8 9 10
ISSUE SIZE(in croes)
ISSUE SIZE(in croes)

71
7
LTD 181 200
8
WONDERALA HOLIDAYS
LTD 115 125
9 SNOWMAN LOGISTICS LTD 44 47
10 JUST DAIL IPO LTD 470 543
Interpretation:
The above table shows the comparison of the issue price of 10 recently issued companies among the
above 10 companies the highest issue price is 615-625 i.e. for UFO Moveiz ltd & the lowest issue
price is 44-47 i.e. for Snowman logistics ltd.
0
100
200
300
400
500
600
700
1 2 3 4 5 6 7 8 9 10
floor
cap

72
TABLE SHOWING COMPARISION OF MARKET LOT
S.NO COMPANY NAME
MARKET
LOT(shares)
3 UFO MOVIEZ LTD 24
4
MEP INFRASTRUCTURE
LTD 225
5 INOX WIND LTD 45
6
ADLABS
ENTERTAINMENT LTD 65
7
ORTEL
COMMUNICATIONS LTD 75
8
WONDERALA HOLIDAYS
LTD 100
9
SNOWMAN LOGISTICS
LTD 300
10 JUST DAIL IPO LTD 25
Interpretation:

73
The above table shows the comparison of the issue market lot of 10 recently issued companies
among the above 10 companies the highest market share is 300shares i.e. for Snowman logistics ltd
& the lowest market share is 24shares i.e. for UFO Moviez ltd.
TABLE SHOWING COMPARISION OF MINIMUM ORDER QUANTITY
S.NO COMPANY NAME
MINIMUM ORDER
QUANTITY(shares)
3 UFO MOVEIZ LTD 24
4
MEP INFRASTRUCTURE
LTD 225
5 INOX WIND LTD 45
6 ADLABS 65
0
50
100
150
200
250
300
350
1 2 3 4 5 6 7 8 9 10
MARKET LOT(shares)
MARKET LOT(shares)

74
ENTERTAINMENT LTD
7
ORTEL
COMMUNICATIONS LTD 75
8
WONDERALA HOLIDAYS
LTD 100
9
SNOWMAN LOGISTICS
LTD 300
10 JUST DAIL IPO LTD 25
Interpretation:
The above table shows the comparison of the minimum order quantity of 10 recently issued
companies among the above 10 companies the highest quantity is 300shares i.e. Wonderla holidays
ltd & the lowest quantity is 24shares i.e. UFO Moviez ltd.
0
50
100
150
200
250
300
350
1 2 3 4 5 6 7 8 9 10
MINIMUM ORDER QUANTITY(shares)
MINIMUM ORDER
QUANTITY(shares)

75
Findings:
Represent project work has been undertaken to study the process and advantages of
INITIAL PUBLIC OFFER. During the study the following facts have been observed.
Inox Wind Ltd (IWL) is a Gujarat Fluorochemicals Ltd subsidiary that is going public with book
building process IPO of approx 3.15 crore equity shares of Rs. 10 each with a price band of Rs. 315-
325. IWL is engaged in renewable energy segment and is one of the leading wind power solution
providers manufacturing wind turbine generators and taking contracts on turnkey basis. To part
finance its expansion and up gradation of existing manufacturing facilities, investment in
subsidiaries and raise general corpus fund, it is entering the capital market with its maiden IPO.
The issue opens on 18.03.15 and will close on 20.03.15. The issue is a combo of fresh equity as well
as offer for sale. Parent company Gujarat Fluorochem is offering 1,00,00,000 equity shares and the
rest is fresh issue. The issue includes 5,00,000 shares reserved for the employees. Minimum
application is to be made for 45 shares and in multiples thereon, thereafter. Retail investors and
Employees will get discount of Rs. 15 per share. Company’s equity capital of Rs. 40 crore issued at
par stood enhanced to Rs. 200 crore in May 2013 with issue of bonus shares in the ratio of 4 shares
for every 1 share held. This will further rise to approx Rs. 221 crore post issues. Issue is lead
managed by Axis Capital Ltd, BofA Merrill Lynch, Edelweiss Financial Services Ltd and Yes Bank
Ltd. Link Intime India Pvt Ltd is the registrar to the issue. Post allotment, shares will be listed on
BSE and NSE.
For the nine months ended December 31, 2014 and the years ended March 31, 2014, and 2013,
respectively, IWL produced and sold 190, 165, 99 and 60 WTGs of 2 MW each; and its total
revenue was Rs. 1794.99 crore, Rs. 1576.34 crore, Rs. 1063.68 crore and profit after tax was Rs.

76
179.31 crore, Rs. 131.46 crore and Rs. 150.42 crore. For the said periods, IWL has erected and
commissioned 90, 75 and 77 WTGs. The company did not provide installation services prior to the
year ended March 31, 2012. Based on first three quarters earnings the annualized EPS on equity of
Rs. 200 crore stands at Rs. 11.95 and on fully diluted equity post IPO it comes to Rs. 10.86. Thus
the asking price on fully diluted equity is at a P/E of around 30. Thus issue appears aggressively
priced.
Issue Summary
Adlabs Entertainment Ltd (AEL) is promoted by Manmohan Shetty and Thrill Park Ltd. It acquired
302 acres of land and has kept 170 acres as a land bank for developing at a future date. In the 132
acres AEL owns and operates, Imagica – The Theme Park, which is one of the leading theme parks
in India. It features a diverse variety of rides and attractions of international standards, food and
beverages (“F&B”) outlets and retail and merchandise shops, designed to appeal to a broad
demography of the Indian populace, delivering memorable experiences, with a strong value
proposition. Imagica – The Theme Park, is a part of Adlabs Mumbai, a ‘one-stop’ entertainment
destination that the company offers at this location. Adlabs Mumbai also includes Aquamagica, a
water park, which became fully operational on October 1, 2014, and a family hotel, Novotel Imagica
Khopoli, the first phase of which is expected to be completed by March 2015.
Imagica – The Theme Park is a one-of-a-kind offering in India and currently has 25 rides and
attractions, which are spread over six theme-based zones. It also offer entertainment through live
performances by acrobats, magicians, dancers, musicians and other artists throughout the day in
various parts of its theme park. Company’s retail and merchandise offerings provide guests an
opportunity to memorialize their experiences at the theme park by purchasing products such as toys,

77
apparel, bags, caps and commemorative mementos and photographs, which carry the ‘Imagica’
brand or are based on one of the rides or attractions in our theme park and also retail candies,
chocolates and other utilities such as hats and sunglasses. Aquamagica, is a water park located
adjacent to AEL’s theme park, became fully operational on October 1, 2014. It offers 14 kinds of
water slides and wave pools and has a separate admission ticket and a separate entrance from the
theme park. The first phase of AEL’s proposed 287 key hotels, to be called Novotel Imagica
Khopoli, comprising 116 keys, is expected to be completed by March 2015. This project has been
funded by equity fund of Rs. 550 crore and debt of Rs. 1100 crore.
To reduce its debt partially and to raise corpus fund, it is offering 20326227 equity share of Rs.10
each via book building route in a price band of Rs. 221-230 Consisting fresh equity issue of
18326227 shares and offer for sale of 2000000 shares. Issue opens for subscription on 10.03.15 and
will close on 12.03.15. The issue will constitute 25.44% dilution of total equity capital. Minimum
application is to be made for 65 shares and in multiples thereon, thereafter. Retail investors are being
offered discount of Rs. 12 per share. Issue is lead managed by Deutsche Equities India Pvt Ltd.,
Centrum Capital Ltd and Kotak Mahindra Capital Co. Ltd. Link Intime India Pvt Ltd is the registrar
to the issue. During February 2010-August 2012 it issued shares at a price of Rs. 60 per share and
during December 2012 - January 2015 it issued shares at a price ranging Rs. 138-230. Post issue its
equity of Rs. 61.57 crore will jump to Rs. 79.90 crore. Post allotment shares will be listed on BSE
and NSE. Except for minuscule discount to retail masses, it has neither opted for grading of the IPO,
nor given any safety net. Pricing is very aggressive discounting next few years’ earnings.
For the financial year ended March 31, 2014, company’s total income was Rs. 106.92 crore and loss
was Rs. 52.48 crore. For the six months ended September 30, 2014, its total income was Rs. 73.32

78
crore and loss was Rs. 53.53 crore respectively. Thus the company posted negative EPS of Rs. 11.23
and Rs. 11.04 (not annualized). Thus company has carried forward losses of operations. Its NAV
stands at Rs. 54 as on 30.09.14 is due to preferential issues made at hefty premiums. Based on this
the issue is at a negative P/E and at P/BV of 4 plus.
Ortel Communications is a flagship company of Panda group and is a regional cable television and
high speed broadband services provider focused in the Indian states of Odisha, Chhattisgarh, Andhra
Pradesh and West Bengal. It has built a two-way communication network for 'Triple Play' services
(video, data and voice capabilities) with control over the 'last mile' and has pioneered the primary
point cable business model in India by offering digital and analog cable television, broadband and
VAS services in Orissa, Chhattisgarh, West Bengal and Andhra Pradesh. The company holds a
dominant position in Orissa, with a fast-emerging presence in our three other markets, covering an
addressable market of approximately five million under the brand names, "Ortel Home Cable",
"Ortel Digital" and "Ortel Broadband". Now to expand its network for providing Video, data and
meeting the capital expenditure of digital cable services and broadband services and raising general
corpus fund, the company is coming out with book building process issue of 1,20,00,000 equity
share of Rs. 10 each with a price band of Rs. 181-200 and targeting to raise between Rs. 217.20-240
crore. The issue consists of 60,00,000 fresh equity issue and 60,00,000 offer for sale by existing
stakeholders. 75% shares are reserved for QIBs, 15% for HNIs and just 10% to retail investors.
Minimum application is to be made for 75 shares and in multiples thereon, thereafter. Issue is lead
managed by Kotak Mahindra Capital Co. Ltd and Karvy Computershare Pvt Ltd is the registrar to
the issue. Post allotment the shares will be listed on BSE and NSE.

79
Issue opens on 03.03.15 and will close on 05.03.15. On 2nd March, it is inviting bids from Anchor
Investors. Post issue, equity share capital of the company will stand at Rs. 30.37 crore. The issue will
dilute 39.25% equity on the basis of post issue paid up capital. Between October 1999 and July 2014
it issues equity shares at a premium ranging from Rs. 5 to Rs. 135 per share to reach paid up capital
of Rs. 24.37 crore. For last three fiscals it has posted an average negative EPS of Rs. 7.63 and thus it
has negative P/E and NAV of Rs. 8.31 as on 30.09.14. Thanks to premium collected on preferential
issue that has helped more erosion in NAV.
On performance front, the company has incurred losses till last fiscal. For the first half of fiscal
2014-15 it has clocked in turnover of Rs. 71.93 crore with a net profit of just Rs. 0.66 crore. It has
carried forward losses. Based on this, if we annualized the earnings on the post issue expanded
equity of Rs. 30.37 crore, then it is at a P/E of 400 plus and thus is aggressively priced. Although
management claimed that in India no exact peer is available for comparison as this is the only
company with 90% plus "last mile" distribution. But then the pricing is discounting its next two
years earnings and thus has nothing on table for new investors. On merchant banker's front, as per
Chittorgarh.com data, it has 49 mandates in the past out of which 14 issues failed to give listing
gains. Thus the ratio of success is around 60%.
As SEBI has done away with, this offer has not opted for any grading, has neither any safety net nor
any discount for retail investors.
At last a main line IPO from Wonderla is breaking the ice for the fiscal 2014-15 after a very dull
season in past few months with only SME IPOs and few debt offers making the bee line. No doubt,

80
two IPOs planned their issue i.e. Maiam Global Foods and Loha Ispaat, but the first one got
postponed before even road show starts and the other one failed to garner minimum subscription
despite longer duration period and lowering of rates, indicating at no trust from retail masses at
large. And this has happened when the secondary market has made historic highs in past few weeks.
Amidst such scenario, the main IPO from Wonderla is coming in this month.
Wonderla that got SEBI node in April 2013 and wanted to hit the market around last Diwali is now
coming out just before its SEBI card gets expired. The company is from the stable of V-Guard group
and has a commendable performance in the stock market from the parent company. Now it is
coming out with a maiden offer for its amusement arm called Wonderla Holiday Ltd (WHL).
The company has two amusement parks at Bengaluru and Kochi and now planning third part at
Ranga Reddy District of Andhra Pradesh. WHL’s parks offer a wide range of water and land based
attractions catering to all age groups. It has 22 water based attractions and 33 land based attractions
at Wonderla Kochi, situated on 93.17 acres of land and 20 water based attractions and 35 land based
attractions at Wonderla Bangalore, situated on 81.75 acres of land. The company recorded total
Footfalls of 23.40 lakhs in Fiscal 2013 and 17.50 lakhs in the nine month period ended December
31, 2013 across its two existing amusement parks in Kochi and Bangalore. Total Footfalls across the
two amusement parks has grown at a CAGR of 7.42% from Fiscal 2011 to Fiscal 2013. WHL also
has resort that is operated under the name, Wonderla Resort and, is a ‘Three Star’ leisure resort
located beside its amusement park in Bangalore comprising of 84 luxury rooms, with amenities

81
including banquet halls, a board room, conference rooms, a multi-cuisine restaurant, a solar heated
swimming pool, recreation area, kids’ activity centre and a well equipped gym. Further, for setting
up the proposed amusement park in Ranga Reddy District of Andhra Pradesh, it has acquired 49.57
acres of land.
To part finance this expansion plan, the company is coming out with a maiden IPO of 14500000
equity share of Rs. 10 each via book building route with a price band of Rs. 115-125. Minimum
application is to be made for 100 shares and in multiples thereof, thereafter. Issue opens for
subscription on 21.04.14 and will close on 23.04.14. Post IPO, its existing equity of Rs. 42 crore will
rise to Rs. 56.50 crore. Issue is lead managed by Edelweiss Financial Services Ltd and ICICI
Securities Ltd and Karvy Computershare Pvt Ltd is the registrar to the issue. This issue is rated as
“IPO Grade 4” by CRISIL indicating above average fundamentals of the company. Post allotment
shares will be listed on BSE and NSE. During January 2008 to Mach 2008 the company allotted
around 1.5 crore equity shares at a price of Rs. 12 per share.
For past three fiscals, the company has posted an average EPS of Rs. 7.61. For first nine months of
the fiscal 2013-14, it has earned net profit of Rs. 30.91 on a turnover of Rs. 121.53 crore translating
in to annualized EPS of Rs. 9.81 on existing equity of Rs. 42 crore and at Rs. 7.30 on fully diluted
equity of Rs. 56.50 crore post this IPO. Its NAV as on 31.12.13 is Rs. 36.29. Thus the asking price
is at a P/E of 17+ and at a P/BV of 3.44 on upper price band basis. For a while, company will have
southern centric play in the field with next project being planned at Chennai.

82
On merchant bankers’ front, Edelweiss had 20 mandates so far out of which 15 gave positive returns
and 5 negative whereas ICICI Securities had 28 mandates out of which 15 gave positive returns and
13 negative.
As there is no comparable peer available as of now, the issue appears to be fully priced based on
current market parameters, but being the first such company going public and has a average
EBIDTA margins of around 45% for last three fiscals, issue is worth applying for handsome rewards
in medium to long term.
Snowman Logistics till now the subsidiary of Gateway Distriparks Ltd is now emerging as the
separate company. It is the most preferred integrated temperature controlled warehouse and transport
logistics company in the organized sector enjoying lion market share. The company has been also
providing additional services like repacking of products for direct marketing in retail market to the
manufacturers, exporters etc and adding value addition of services to its clients that include
Hindustan Unilever, Cadbury, Baskins Robbins etc and has PAN India presence at 14 locations with
23 warehouses and fleet of 370. Approx 62K pallets are in operations as of 2013-14 fiscal end.
According to management, it will continue its aggressive plans of strategic investments and although
it expects competitions to emerge going forward, it will focus on maintaining the lead in the
segment.
Its warehousing solutions cover the complete spectrum of temperature ranges from ambient to
chilled and frozen (i.e. +25ºC to -20ºC). SLL offers blast freezing facilities at its temperature

83
controlled warehouses in Bengaluru, Mevalurkuppam, (near Chennai), Visakhapatnam, Serampore
(near Kolkata), Taloja (near Mumbai), Ahmedabad, Palwal (near Delhi), and Mubarakpur (near
Chandigarh). Its integrated ‘Source to Stores’ operations comprise warehousing, primary distribution
and secondary distribution and value-added services including kitting, labeling, sorting and bulk
breaking. It caters to industries like - Dairy products including butter and cheese; Ice-cream; Poultry
and meat; Sea food; Ready-to-eat / ready-to-cook food products; Confectioneries including
chocolate and baked products; Fruits and vegetables; Healthcare and pharmaceutical products; and
Industrial products such as x-ray, and photo-imaging, films.
To part finance its expansion of capacities, meeting corporate funding, the company is coming out
with a maiden IPO of 42000000 equity share of Rs. 10 each via a book building process and has
fixed price band of Rs. 44-47 per share. Thus the company intends to raise between Rs. 184.8 to Rs.
197.4 crore on the basis of lower and upper price bands. Issue opens for subscription on 26.08.14
and will close on 28.08.14. Minimum application is to be made for 300shares and in multiples
thereof, thereafter. Issue is lead managed by HDFC Bank Ltd and Link Intime (India) Pvt Ltd is the
registrar to the issue. This issue is grades as IPO 4/5 by CRISIL. Post issue equity will be Rs. 166.44
crore. The company is inviting Anchor investors’ applications on 25.08.14. Shares will be listed on
BSE and NSE post allotments. Public portion is of 10%, HNI 15% and rest for QIBs including
Anchor Investors.
On performance front, the company posted an average EPS of Rs. 1.70 for three fiscals ended
31.3.14. For fiscal 2013-14 it posted net profit of Rs. 22.48 crore on a turnover of Rs. 155.23 crore
and if we attribute these earnings on expanded equity past IPO, the asking price is at a P/E of 32-35

84
on lower and upper price bands which makes it a pricey bet but considering its earnings and future
plans, it is worth considering for medium to long term as the company has lion share in the segment
of temperature controlled warehouse and logistics. For last five fiscals it has outperformed on Y-o-Y
basis with a CAGR of 35% in Revenues and PAT of 72%. Its pallets installation too has marked
CAGR of 53% and the management is confident of maintaining the same for coming years with
aggressive plans that has many firsts to its credits in this segment.
On merchant banker’s front, its past mandate had mixed trends for just two IPOs. One gave and the
other one failed to give return on the day of listing.
Although this IPO looks pricey, considering the performance parameters and this being the first IPO
from new specialized segment; it is set to reward investors in medium to long term. It is said to be
another Just Dial / Wonderla in the offing.
The long waited IPO of Just Dial Ltd (JDL) is finally seeing the day of the light as it has now
planned maiden public offer that opens for subscription on 20.05.13 and will close on 22.05.13. JDL
is one of the leading local search engine portals and provides its users "Just Dial" search service with
information and user reviews from its database of local businesses, products and services across
India. The company's search service is available to users through multiple platforms: Internet,
mobile Internet, telephone (voice) and text (SMS). In fiscal 2012, it addressed over 254.3 million
search requests across our platforms. As of December 31, 2012, it is conducting approximately
195,100 campaigns for our paid advertisers. As one of the first companies to offer local search
services in India, it believes that it has a first mover advantage among consumers seeking
information on local businesses. It aims to provide fast, free, reliable and comprehensive information
to its users, which it believe will create a network effect to attract more search queries. JDL also

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