Indian IPO

Here is the extract of the notice:

II. ADDENDUM TO THE RED HERRING PROSPECTUS DATED NOVEMBER 05, 2007 (“RHP”)

I. Litigation in relation to land on which we propose to develop Whispering Meadows II at Dollors Colony, Bangalore
(Whispering Meadows II)
(Then there are details of litigation)

III. OPTION TO INVESTORS TO WITHDRAW.
In view of the disclosures herein, kindly note that all applicants (including QIBs) who have submitted their bid(s) in response to
our Initial Public Offering may, if they so desire, withdraw their applications. The last date of receipt of request for withdrawal
shall be 10th day from the date hereof, i.e., on or before 5.30 pm on December 04, 2007.
All applicants (including QIBs) seeking to withdraw their bid(s), should submit their duly signed requests alongwith the details of
applications such as, Name of Applicant(s), Address, Application Form No., Number of Shares bid for, Amount paid with the application
form, Cheque Number and Bank/Branch on which drawn, to the Registrar to the Issue marked “Kind Attn: Mr. Ashok Shetty, Bigshare
Services Private Limited, E-2, Ansa Industrial Estate, Sakivihar Road, Saki Naka, Andheri East, Mumbai 400 072, India. Tel: +91 22
2847 0652, Fax: +91 22 2847 5207/ 2847 0605.

My view:
The disputed land is only 0.38 mn sq ft of saleable area against a total saleable area of 39.38 mn sq ft. So, this is a very minor portion of the total developable land. This notice does not in any way signifies that the company has done a fraud. Its just that the company has failed to make disclosure of the outstanding litigation. Hence as per SEBI Guidelines, it is mandatory to give options to Investors to withdraw applications within 10 days.

Siemens Ltd, the Indian arm of German electrical and engineering company Siemens AG in India, is in talks with Reliance Industries Ltd (RIL) and Larsen & Toubro Ltd (L&T) for a possible tie-up to bid for the proposed Navi Mumbai International Airport.

The company’s subsidiary, Siemens Project Ventures, already holds a 40% share in Bangalore International Airport Ltd with the remaining being held by the Karnataka State Investment and Industrial Development Corp., the Airports Authority of India (13% each), L&T, and Switzerland’s Zurich Airport (17% each).

“Among the possible potential partners for bidding Navi Mumbai airport, Reliance Industries and Larsen & Toubro are important ones,” said a senior Siemens executive

Dear friends, Burnpur Cement Limited is planning to come up with its Initial Public Offer and raise Rs 26.20 crore to part-finance a clinkerisation and cement grinding plant in Jharkhand.

Vice-chairman and managing director of Burnpur Cement Ashok Gutgutia told reporters here today the company had received approval from capital market regulator SEBI to float the IPO.

The company plans to offer 20.8 million shares, or 48.39 per cent of its pre-issue paid up caital, at a price of Rs 12 per share.

The issue would open on November 28 and close on December 3. Srei Capital markets is the lead manager of the issue.

The proceeds of the issue would be used to part-finance setting up of a 800 TPD clinkerisation and cement grinding plant in Jharkhand at a cost of Rs 120 crore.

The plant is expected to go on stream from 2008-end.

The remainder amount would be funded through debt and internal accruals.

Burnpur Cement currently produces 0.3 million tonnes of cement annually at its plant in West Bengal.

Dear friends, With two months to go for the close of the current calendar year, India’s mobilisation through initial public offers (IPO) has jumped 166 per cent compared with the mop-up during the same time last year.

According to Thomson Financial, India’s IPO volumes totalled $7 billion from 74 issues so far this year, surpassing the previous year’s (the whole year) IPO volumes.

India now ranks the ninth largest IPO market in the world, capturing 3 per cent of the global market share, up from a mere 1.3 per cent share in the year-ago period.

Among Brazil, Russia, India and China (Bric), only Brazil and India increased their IPO proceeds two-fold, recording a rise of 292.4 per cent and 166.2 per cent respectively.

DLF’s Rs 9,187 crore public offer has remained the largest in India on record. The offer was jointly underwritten by DSP Merrill Lynch, Kotak Mahindra, Citi, Lehman Brothers, UBS, and ICICI Bank.

According to the Thomson Financial data, India has established the largest IPO and the largest follow-on offer on record, all issued this year.

The largest IPO was DLF’s Rs 9,187 crore and the largest Indian share offering on record was ICICI’s follow-on issue worth $4.6 billion.

The largest Indian convertible issue of all times was that of Reliance Communications worth $1 billion.

Indian deal-making also marked a record, with the announced M&As reaching the $61.3 billion in value, the highest, first, ten-month volume on record.

The third quarter of the calendar year also posted record volumes with $12.2 billion from 326 deals. this is a significant increase from the third quarter volumes of $7.4 billion in 2006 and $6.2 billion in 2005.

Between January and October this year, the in-bound volumes of the country’s cross-border M&As more than tripled, amounting to $29.8 billion from 293 deals compared with $9.2 billion from 289 transactions in the year-ago period.

The cross-border, in-bound volumes this year so far also surpassed the volumes in 2006 worth $10.4 billion.

India has emerged the third most active nation for private equity (PE) activity in Asia-Pacific this year, with a market share of 7.6 per cent. The Indian PE deals touched $4.5 billion, a big difference from $2.4 billion in 2006. However, no PE deal was announced in the country in September 2007.

The country’s cross-border, out-bound volumes decreased to $22.2 billion this year compared with $22.8 billion in 2006.

Indian companies preferred to acquire targets in the United States, amounting to $9.7 billion, almost half of India’s cross-border, out-bound deals.(BS)