Core Projects & Technologies - CPTL acquired nine companies/businesses over 2005-08, creating a base for its education business, adding US$94m to revenue and gaining a foothold in the US and UK markets, with more than 100 clients.
CPTL is poised to tap opportunities using its IPR and experience. To this end, it has created many unique partnerships (The University of Oxford, IGNOU, IL&FS-IETS and CHL, NASA) for its various projects. Core has the requisite technology (IPRs, products) and experience (100,000 teachers, 2.3m students and 34,000 schools worldwide) to tap growth opportunities. It has strengthened its management team to enhance execution of its strategies.
Anand Rathi expects expect 25% and 21% CAGRs (FY10-12) in revenue and net profit, respectively. Initiate coverage on Core Projects & Technologies with
a Buy rating and a target price of Rs325.
