Review By on October 7, 2014
JLA INFRAVILLE SHOPPERS LIMITED is engaged in the operations of online trading and retailing of range of products including fabrics, clothing, furnishings, electronics and computers and its accessories, surgical instruments and Hearing Aid Accessories. Thus it is a start-up in the E-Commerce Industry. JLA Infra also venturing into Real Estate business which shall include inter alia purchase of land, its development and further sale. Promoters do not posses any past experience in real estate business.
Company’s E-commerce platform Infraville.com is an electronic store dedicated to provide 360-degree shopping solutions to its customers. It is providing products to customers at best price, with unmatched collection ranging from big brands to affordable imported items from vast range of product categories. The vendors approach to the company for the sale and supply of their products, through online web shopping platform provided by the company. The website also provides an online specialized store to some vendors in order to give them an experience of their own online retail outlet.
Infraville.com offers the wide range of choices in every conceivable product category. These categories include Electronics &Technology, Flowers & Fragrances, Music & Movies, Home & Garden, Beauty & Fashion, Jewelry, Computer & Software, Kitchen & appliances, Faiths & Beliefs, Games & Toys, Health & Personal care.
To part finance its business funding requirements, the company is offering 2000000 equity share of Rs. 10 each at par to mobilize Rs. 2 crore. Issue opens for subscription on 16.10.14 and will close on 27.10.14. Minimum application is to be made for 10000 shares and in multiples thereon, thereafter. Post IPO its present equity of Rs. 4.49 crore will rise to Rs. 6.49 crore. Shares will be listed on BSE SME after allotment. Issue is solely managed by Sarthi Capital Advisors and Bigshare Services Pvt Ltd is the registrar to the issue.
On performance front, for past two fiscals, it has posted turnover/ net profit of Rs. 0.09 crore/Rs. 0.01 Crore (2012-13) and Rs. 0.09 crore/Rs. 0.02 crore (2013-14). Based on this even at par the issue is at asking price at P/E of 333 on fully diluted equity post IPO and hence is not worth.
This is the seventh SME IPO from Sarthi Capital Advisors Pvt Ltd that has mix track record for past five listed mandates.
Risk aver investors can park funds for long term at their own discretion keeping in mind the trading lot barriers on application and trading post listing.
Review By on October 7, 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 JLA Infraville Shoppers Ltd. offers an early investment opportunity in JLA Infraville Shoppers Ltd.. A stock market investor can buy JLA Infraville Shoppers IPO shares by applying in IPO before JLA Infraville Shoppers Ltd. shares get listed at the stock exchanges. An investor could invest in JLA Infraville Shoppers IPO for short term listing gain or a long term.
Read the JLA Infraville Shoppers IPO recommendations by the leading analyst and leading stock brokers.
JLA Infraville Shoppers IPO offers an opportunity to buy IPO shares before they get listed at the stock exchanges. Read the JLA Infraville Shoppers IPO Notes, Analysis and Recommendations by leading stock brokerage firms and experts mentioned in the above answer to "How is JLA Infraville Shoppers IPO?"
Our recommendation for JLA Infraville Shoppers IPO is to avoid.
As per the analysis by our lead analyst Mr. Dilip Davda, we suggest you to avoid the JLA Infraville Shoppers IPO.
The JLA Infraville Shoppers IPO allotment status will be available on or around [.]. The allotted shares will be credited in demat account by [.]. Visit JLA Infraville Shoppers IPO allotment status to check.
