LnT Finance IPO

Larsen and Tubro is out with the ipo of its subsidiary LnT Finance.

IPO DETAILS
Symbol – Series LTFH EQ
Issue Period July 27, 2011 to July 29, 2011
Post issue Modification Period July 30,2011
Price Range Rs.51 to Rs.59
Discount Employee category Rs 2.
Face Value Rs.10/-
Tick Size Re. 1/-
Market Lot 100 Equity Shares
Minimum Order Quantity 100 Equity Shares
IPO Grading IPO GRADE 5 CARE and ICRA
IPO Market Timings 10.00 a.m. to 5.00 p.m.

As on 27 July 2011 at 1700 hrs the the issue is subscribed 0.3 times.
In my view, for the small investor this high quality IPO on the face of it looks buy-able at the lower end of the price band and an avoid at the higher end. One can take a bet by subscribing at cut off and subsequently taking a call when the book closes and withdraw their bid if it closes at the upper end of the band i.e. Rs 59 because listing profits are going to be slim or negligible in short term especially in such a volatile market.

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2 thoughts on “LnT Finance IPO

  1. stay away from the issue… i believe it is overpriced and with rising interest rates etc. infrastructure firms that have not bought an interest rate collars will start defaulting as they work on very high leverages

  2. True ,i agree ankur…it could not even make more than .5% in institution subs on day one. i expect this ipo to list at 60 – 62 max with all the lead managers post listing mkt making.Plus who will buy the shares that flood the mkt post ipo ?

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