book building process is not for retail investors. It is for very big investors. Value for public subscription will be determined after book builiding process. Floor price of 15 should be looked with a view of the 35 million shares issues as bonus for the book building process. The floor price due to this increase in shares if valued, at least means around 2 to 3 rupees , if they had they not issued bonus. after bonus, its total outstanding shares are over 380 million while pkgp total shares are 372 million. I foresee even now a good response to lalpir due to upcoming triggers of circular debt resolution which will take place before the book building process. Hence , it will attract good response.
But, there is now a dis connect between the two stocks
pkgp has a superior eps and superior efficiency level. Lalpir is much lower eps and efficiency level.
Per my sources, pkgp will go for coal conversion in 2014. while lalpir will go for turbine retrofit in 2014. in 2015, lalpir will go for coal conversion and pkgp will go for turbine retrofit.