|
|
Company |
Mid-Day Multimedia Limited |
Market Price |
Unlisted |
Lead manager |
IL&FS Merchant Banking, Triumph International Finance |
Listing At |
BSE, NSE
|
Opening/Closing |
Book bldg: Februrary 12-16; Public issue: March 3-12 |
Promoters |
- |
Associate Co. |
Mid-Day Cyberworks Pvt Ltd, Radio Mid-Day West (India) Ltd, Mid-Day Radio North (India) Ltd, Mid-Day Broadcasting South (India) Ltd, Radio Marketing Services (India) Ltd, M. C. Media Ltd, Mid-Day Outdoor Ltd. |
Managing Director |
Tariq Ansari
|
Post-issue stake |
Around 70%
|
Issue |
|
Size |
Rs 500 million
|
Price |
Floor price Rs 70
|
On Application |
Book bldg: Minimum 1050 shares, Retail: Minimum 50 shares |
On Allotment |
— |
Objective |
Invest in publishing, Outdoor, Internet, enabling and support services. Repay unsecured interest-free loans taken from promoters |
Business |
|
Present |
Printing and publishing Mid-Day, Inquilab, outdoor advertising, radio (presently not operational)
|
Proposed Project
|
Upgrade infrastructure, promotional campaigns to increase readership, develop the portal, fund proposed call centre facilities, GIS Mapping services, logistics infrastructure |
Location |
Bombay
|
Project cost |
Rs.657.70 million
|
Funded by |
Public issue (76%), interest-free loan from promoters (18%), term loan & internal accruals
|
Kensource projections |
(2001) |
Sales |
Rs 1427 million |
Profit |
Rs 186 million
|
Earnings per share |
Rs.4.60
|
Forward P/E |
15 |
Post-issue equity |
Rs 770 million |
Return on net worth |
15%
|
Comment |
Going public to partly recover dotcom losses. 21% of the issue money goes into non-revenue yielding Internet business, 24% will go back to repay promoters' loans and another 21% into working capital. Rs 230 million will go towards 'upgrading infrastructure'. Marathi Mid-Day will face tough competition. A messy story. |
Rating *
|
E
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* A=Subscribe & Hold; B = Subscribe & Watch; C=Subscribe & Sell; D = Avoid; E = Buy post-listing
By Kensource Information Services Pvt Ltd.
Money
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