IPO Update : Provogue (India) Ltd.

Provogue (I) Ltd. - Apply, sell on listing & Enjoy !!
Provogue (India) Limited is offering 40.49 Lacs equity shares at a offer price band of Rs.130-150. Investment Guru recommends investors to apply for this IPO.It is recommended to book profits on listing of the share. The stock is expected to give handsome listing gains.

What makes this IPO offer attractive?
1. Considering the current EPS of the company at Rs.7, the offer comes at a P/E of 21. Now look at the comparison with the existing stocks in same industry :
Shopper Stop's stock is quoting at P/E of 45
Westside Stock is quoting at P/E of 47
pantaloon stock is quoting at P/E of 66
This itself is a sufficient reason to invest in IPO and an indication of handsome listing gains awaiting the Investors.
2. The apparels market has grown by 13% last year. Still, 70% of the market is captured by the unbranded apparel segment. The success of apparel companies depends on how fast can they convert this unbranded market to their advantage
3. The company has received number of awards for its brand value.
4. The cash flow position of the company is reasonably good.
5. Provogue come in Top 5 companies in terms of number of outlets giving it a wider reach as compared to peers.
6. New Quota Regime to benefit the apparel industry
7. Since the Apprael stocks have run up quite high,this sector has become a high risk sector and hence Investor are recommended to sell on listing. The stock is not recommended for long term hold at this stage.
Issue Details :
Issue Opens on : 10-June-2005
Issue Closes on : 16-June-2005
Listing on BSE & NSE
Shares Offered : 40.49 Lacs
Registrar: Intime Spectrum