Review By on September 27, 2014
ADCC Infocad (ADCC) is a Meghe Group, ISO 9001:2008 certified and CRISIL rated company. Meghe Group is engaged in the fields of Basic and Professional Education, Banking, Infrastructure, Information Technology, Textile, Power, Media & Entertainment and is head quartered in Nagpur, State of Maharashtra, India. ADCC to cater to the GIS industry and has emerged as global Premier Software Solution provider through its Alliance with World Leaders like Autodesk Inc. USA world‘s one of the biggest Design Content Company, Mathworks (Matlab), Dassault (Catia), Adobe, Digital Globe India & Africa (High Resolution Satellite Imageries), Integraph (Erdas Imaging & LPS Software and extensions) Siemens, Sanako (Language Lab), National Instruments (Experiential Engineering Laboratories), ESRI (GIS mapping Solution, Software , Services).
ADCC Infocad is a specialist in GIS & Engineering services solutions Company servicing clients across a range of corporate and government segments helping improve their engineering efficiency, support global footprint and improve competitiveness. Leveraging technology, domain knowledge & our robust work planning methodology to ensure an effective delivery model for all our services projects, we have emerged as a Partner-of-choice for leading Indian companies and Government. It has main base at Nagpur and branch offices across India at Mumbai, Pune, Hyderabad, Ahmedabad, Lucknow, Company has marked its global market presence through its overseas subsidiary offices in Africa- Nairobi (Kenya), the Company boasts the state-of-art infrastructure at Nagpur with ultra modern IT Systems for Data Security and Integrity.
To part finance its plans for purchasing new technical equipments, branding and international marketing expenses along with general corpus fund, the company is coming out with an IPO of 2400000 equity share of Rs. 10 each at a fixed price of Rs. 40 per share to mobilize Rs. 9.60 crore. Issue opens for subscription on 30.09.14 and will close on 08.10.14. Minimum application is to be made for 3000 shares and in multiples thereon, thereafter. Issue is lead managed by Hem Securities Ltd and Bigshare Services Pvt Ltd is the registrar to the issue. Post issue, shares will be listed on BSE SME. Its existing equity of Rs. 6.66 crore will rise to Rs. 9.06 crore post IPO.
On consolidated basis the company posted turnover of Rs. 57.81 crore and Rs. 79.85 crore for fiscal 2012-13 and 2013-14 with a net profit of Rs. 5.16 crore and Rs. 6.55 crore respectively. Its current equity capital of Rs. 6.66 crore includes two bonus issues made in November 2002 (1 for 2) and February 2014 (1 for 1). If we attribute current earnings on expanded equity then the asking price is at a P/E of 5.5 and at a P/BV of 1.3 which appears to be reasonable.
On merchant banker’s front, this is 11th mandate and past mandates have mixed trends.
Risk aver investors can park funds for long term keeping in mind the trading lot barriers on application and trading post listing.
(Disclaimer: Author has no plans to invest in this IPO)
Review By on September 27, 2014
Dilip Davda is a veteran financial journalist associated with the Indian stock market since 1978. He has been contributing to print and electronic media on capital markets, insurance, and finance since 1985.
He is widely recognized for reviewing public issues and non-convertible debentures (NCDs) in the primary market. Drawing on over three decades of market experience and close interaction with merchant bankers, his reviews focus on detailed fundamental and financial analysis of companies, with a special emphasis on SME public issues.
Dilip Davda
SEBI Registered Research Analyst – Mumbai
Registration No.: INH000003127 (Perpetual)
Email: dilip_davda@rediffmail.com
Disclaimer: The information provided herein is solely for educational and informational purposes and does not constitute an offer, solicitation, or recommendation to buy or sell any securities. Readers are advised to consult a qualified financial advisor before making any investment decisions. Investments in the securities market are subject to market risks. The author does not intend to invest in the securities discussed.
The initial public offer (IPO) of ADCC Infocad Ltd. offers an early investment opportunity in ADCC Infocad Ltd.. A stock market investor can buy ADCC Infocad IPO shares by applying in IPO before ADCC Infocad Ltd. shares get listed at the stock exchanges. An investor could invest in ADCC Infocad IPO for short term listing gain or a long term.
Read the ADCC Infocad IPO recommendations by the leading analyst and leading stock brokers.
ADCC Infocad IPO offers an opportunity to buy IPO shares before they get listed at the stock exchanges. Read the ADCC Infocad IPO Notes, Analysis and Recommendations by leading stock brokerage firms and experts mentioned in the above answer to "How is ADCC Infocad IPO?"
Our recommendation for ADCC Infocad IPO is to subscribe.
As per the analysis by our lead analyst Mr. Dilip Davda, we suggest you to subscribe to the ADCC Infocad IPO.
The ADCC Infocad IPO allotment status will be available on or around [.]. The allotted shares will be credited in demat account by [.]. Visit ADCC Infocad IPO allotment status to check.
