I have been recomending this stock since 2008.Lateron RJ took stake in Mar 2010 at 65 something like 12,50,000 shares.
I am gald to see RJ taking stake here which vindicates my call on Srei on fundamental side.
I am today putting all the information gathered by me since I started recomending it here, i.e. 2008.One can see how much I go deeper and try to find whatever I can get for a Co which I use to recomend it here for my readers.
I want this type of diggin from my readers.I have no direct access to the Srei Management .What I have gathered is solely from internet.I keep on writing here that try to explore internet.It is a huge ocean and one can always find something which someone else may not be knowing.
Here are my Infos:
Earlier, the ¤375 million Centrotherm Photovoltaics, providers of technology and services for the photovoltaics industry, and Perseus LLC, merchant bank and PE fund had agreed to pick up significant stakes in the company. Perseus manages seven investment funds with capital commitments totalling nearly $2 billion and co-manages a $449mn fund.
2. Srei to pick up 30% in Bhaskar Solar for Rs 5,000 cr
Earlier, the ¤375 million Centrotherm Photovoltaics, one of the world’s leading providers of technology and services for the photovoltaics industry, and Perseus LLC, the Washington-headquartered merchant bank and private equity fund management company (which manages seven investment funds with capital commitments totalling nearly $2 billion and co-manages a $449 million fund), had agreed to pick up significant stakes in the company.
Confirming the developments, Srei’s vice-chairman and managing director Hemant Kanoria told Financial Chronicle, “Yes we are close to picking up substantial stakes in Bhaskar Silicon, with power being one of the thrust areas for the group. We may take up to 30 per cent stakes but under no circumstances it will be less than 15 per cent.”
Refusing to divulge the exact value of their equity infusion, Kanoria said, “We will have both equity and debt exposures into the company.”
Earlier, the company had announced that nearly Rs 1,500 crore would come as equity while the rest would come as debt.
It may be mentioned that Srei Infrastructure Finance and Bhaskar Silicon had already participated in a consortium called India Power Corporation (IPCL) to pick up a controlling 57.17 per cent stake in power utility DPSC.
Srei’s power arm already runs two 35mw wind power units in Karnataka and Gujrat and waiting for the “right opportune moment to grow-organically and inorganically”, said Kanoria. “We have sufficient reserves and sufficient line of credit to finance our expansions on the power front. But we are not in a hurry. We will grow cautiously, conservatively and yet aggressively,” added Kanoria.
The company’s main lines of business are equipment finance, project finance & advisory. This is where the amalgamation part comes into play as Quippo Infrastructure is an equipment bank. For instance, Quippo has a partnership with Tata Teleservices, featuring the largest independent telecom infrastructure in
Now that Quippo will be a part of SREI, the company will have the advantage of synergies. For instance, if a contractor approaches the company, Srei has the option to rent, lease or sell the equipment, which no other finance company in
Infrastructure equipment financing comprises two-thirds of the assets under management, with the remaining one-third under project financing. There are synergies between these lines of business as well. For instance, the contractors to whom Srei provides finance under equipment financing can get business from the project it finances. Therefore, the various business segments of the company such as project finance, advisory and equipment finance are inter-related.
On the liability side, loans from domestic banks and financial institutions constituted more than 50% of the total funds during the previous fiscal. Close to 13% of its funds were raised from the bond market. On the assets side, the company has a good asset quality, which is evident from its low non-performing assets (NPAs) or bad loans.
At a consolidated level, NPAs are minuscule. In the equipment financing business, NPAs were less than 1% of net advances at the end of December 2009. The company reported an net interest margin or NIM of 5.1% in the quarter ended December 2009. At the current level, its NIM is one of the highest in the NBFC segment. However, its stock trades at a discount to other players in the NBFC industry. At current levels, it is trading at a price to book value (P/BV) ratio of 1.1, while IDFC, which is also an infrastructure finance company, is trading at a P/BV of 3.2. Clearly, SREI Infrastructure Finance is trading at a huge discount to its fundamentals.
To be executed in two phases, the project will be implemented by a consortium led by SREI Infrastructure and will include technology partner Amex International of Czech Republic and a state government undertaking, West Bengal Transport Infrastructure Development.
"I have urged those executing the project to prepare a detailed project report (DPR) by this fiscal and begin construction latest by next year. We will take about four-to-five years to complete the project from the day we commence construction," said West Bengal chief minister Buddhadeb Bhattacharjee, addressing mediapersons during the MoU signing ceremony held in Kolkata on Wednesday.
Incidentally, the project will comprise two corridors -- Joka-Esplanade and Esplanade-Barrackpore links. The air conditioned LRT will connect the northern suburbs with the southern fringes of the city through the central business district and cover some 40 kms in just 90 minutes.
It will touch 37 stations including Taratala, Khidderpore, AJC Bose Road, Park Street, Esplanade, Sealdah, Shyambazar, Dunlop, Khardha, Titagarh and Barrackpore.
For starters, the train is projected to carry some 1.2 lakh passengers per month and subsequently, 4.8 lakh passengers per month.
Emphasising the need for such a system, SREI Infrastructure Finance chairman & managing director Hemant Kanoria said, "Road space in Kolkata has shrunk substantially rendering navigability of vehicles impossible. More so, since the number of vehicles have increased manifold over the years. This coupled with the regular inflow of people from districts is making commuting chaotic."
Given the anticipated vehicular growth in the future, and increasingly lower availability of road space and time constraints, construction of flyovers and elevated tracks would be the ideal solution, he pointed out.
"The proposed light rail transit system," Mr Bhattacharjee added, "will meet the East-West Metro at Sealdah to help office goers commuting from one end of the city to the other. Implementation of all three — the light rail transit system, the East-West Metro and the ring road to be built around Kolkata — collectively will solve the city's transport problem in the near future."
DPSC is listed on NSE stock exchange whose 52 week high is Rs 3534 and 52 week low is Rs 576 and CMP is Rs.1915.Just imagine the valuation of DPSC?
4)WB govt, SREI Infrastructure Finance ink MoU for LRT is another huge huge positive.....
Srei Infra is the stock of the decade if everything goes well ........Due Diligence is a must before buying anything .......