Adani Power initial public offer (IPO) will open on Tuesday. Adani Power Limited (APL), is a power project development company. Company operates and maintains power projects across India. Adani Power Limited is a part of Adani Group, a leading business group in India. Currently Adani group has presence in coal mining, coal trading, shipping, power generation, power transmission and power trading,

Adani Power Ltd IPO details

1)       Public Issue Open: July 28 ,2009 to July 31, 2009

2)    Public Issue Type: 100% Book Built Issue (Initial Public Offer IPO)

3)    Public Issue Size: 301,652,031 Equity Shares of Rs. 10/-

4)    Minimum Market Lot: 65 Shares

5)    Public Issue Price: Rs 90/- to Rs 100/-

6)    Maximum Subscription Amount for Retail Investor: Rs 100,000/-

7)    Listing: BSE, NSE

        Lead Manager: DSP Merrill, Enam, IDFC-SSKI Ltd, ICICI Securities, JM Financial, Kotak Mahindra, Morgan Stanley, SBI Capital.

       Registrar: Karvy Computer share Pvt Ltd

9)       Grey Market Premium: 20-30 Rs.

10)   Expected Allotment Date: 10-Aug-2009

11)   Expected Refund Date: 13-Aug-2009 

Company Background:

Adani Power Limited (APL), a member of 4.6 Billion US Dollar Adani Group, has taken up implementation of Mega Thermal Power Projects at various locations in India in view of the growing needs of Power requirements in the country. Adani Power Limited is planning to implement Mega Thermal Power Projects at various locations in India in view of the growing needs of power requirements in the country. APL propose to implement 2640 MW Coal based Thermal Power Project at Mundra, Dist. Kutch, Gujarat, India. APL also propose to implement 1320 MW Coal based Thermal Power Project at Tiroda, Gondia, Maharashtra through its 100% subsidiary, Adani Power Maharashtra Ltd. (APML). APL is also actively planning to implement other Thermal Power Stations at various locations in India, totaling to about 10000 MW in the coming years.

 IPO Rating:

This Issue has been graded by ICRA Limited as IPO Grade 3, indicating average fundamentals. ICRA assigns IPO grades on a scale of 5 to 1, with Grade 5 indicating strong fundamentals and Grade 1 indicating poor fundamentals. 

 Share Holding Pattern:

EquityPandit.com recommendation:

By valuating company profile & its financial performance we would advice to subscribe this IPO. Retail investors must go for this IPO for short term as one can expect 15-20% return as well as for long term. This is one of the good companies that one should add in their portfolio.