Indian Equity Research and Investment Strategy
The board of Southern Online Bio Technologies has approved to raise an amount up to Rs 1921.50 lakh by way of QIP of equity shares to qualified institutional buyers.
The board has approved the preferential issue of 26.50 lakh warrants convertible into equity shares to promoters and non-promoters at a price of Rs 42.70 per share and preferential issue of up to 24 lakh equity shares to entities / persons other than promoters / promoter group at Rs 42.70 per share.
Solitaire Machine Tools Ltd – SMTL manufactures Precision Centerless Grinders in different ranges of 100 mm, 200 mm, 250 mm & 500 mm wheel width accounting for 93% of the total revenues.SMTL has two facilities located at Baroda with a total installed capacity of 56 machines p.a. Plant 1 manufactures No. 2 grinders (200 mm & 250 mm wheel width), while Plant 2 manufactures & assembles the grinders of 100 mm & 500 mm wheel width.
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Indiabulls Financial Services has entered into a memorandum of understanding with Societe Generale Insurance for its upcoming life insurance joint venture. Societe General, through its French life insurance company, Sogecap, will own 26% of the future joint venture.
Indiabulls has already received the Reserve Bank of India’s approval to invest in the joint venture, and has also approached IRDA, the Insurance Regulatory and Development Authority, for the necessary regulatory approvals.
Omaxe Ltd just a while ago informed us that subsidiary of the company, Omaxe Powers has filed expression of interest to bid for a project to convert existing low voltage distribution system to high voltage distribution system throughout the state of Punjab.
We think this is a fantastic move by the company unlike Parsvnath which is planning to get into low margin capital intensive business of Telecom which will be an unrelated diversification. Instead Parsvnath should look at the Infrastructure space.
On 20 December 2007, the concerned authority had approved the company’s subsidiary Eden Buildcon’s bid for a multi-purpose project, estimated at Rs 1,800 crore, in Hyderabad.
Gulf Oil Corp (GOCL) is engaged in a blend of diverse business areas such as industrial explosives, lubricants, mining services and specialty chemicals, where almost 59% of revenues comes from lubricants. Strong organic growth is expected across segments driven by increased prices and robust economic growth. New mining policy will attract the investments in the sector benefiting the companies like GOCL. Government wants the contribution from mining sector to grow from current 2% of GDP to 5% of GDP in the next five years, which will boost the segmental revenues tremendously. Further, new mining contracts and venture into limestone mining will fuel growth. (more…)
We initiated coverage on Shiv Vani Oil in September and the stock has went past our target price. Nirmal Bang Securities [Big Bull during the Dot Com Days] is now initiating coverage on the stock.
Shiv Vani has a strong order book of Rs 3150 crore and is expcted to strengthern by another Rs 4000 crore.Increase E&P Capital Expenditure to boost up demand for Oil field service providers.The Indian market size of Seismic services is estimated to be over Rs. 2000 Crores. and it is expected to grow by 50-60% once the NELP VII blocks will be awarded in early next year. Shiv Vani will be a major beneficiary in these contracts. (more…)