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ENGRO -- Engro Corporation Limited

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Poker Face:
ENGRO FERTILIZER IPO SHELVED TEMPORARILY
KARACHI: After not a very successful initial public offering of Engro Foods, the company decided to delay its fertiliser IPO plan.
The company may offer shares of the largest profit-making subsidiary to the general public in early 2012, according to an InvestCap research note.
Given that the stock price of Engro has plummeted significantly amid current gas supply concerns, the company deems it not an appropriate time for the offering, analysts said. The company’s stock price fell Rs1.26 to close at Rs126.78 at the Karachi Stock Exchange on Tuesday.
However, Engro Powergen’s IPO is on track and three to four weeks away, the company’s management told analysts in a briefing recently.
Engro Corporation earlier planned to list three of its subsidiaries – Engro Foods, Engro Fertilizer and Engro Powergen Qadirpur – at local stock exchanges this year.
The size of Powergen’s IPO is expected to offload 10 to 15 per cent of its holding.]
The parent company Engro Corporation sold around 27 million shares out of the company’s 748 million shares to raise around Rs675 million.
The amount raised through the listings will be mainly used for payment of fertiliser sector loans and expansion of the food business.
Worries regarding gas supply not easing
All four fertiliser plants relying on gas supply from Sui Northern Gas Pipelines Network network, including Engro Fertilizer’s EnVen plant, have so far received gas supply with 20-25% curtailment for 32 days in 3QCY11. Gas supply will be halted entirely from August 28 when Qadirpur gas field will be shut down for maintenance for 20 days, key hurdle for the fertiliser sector expansion.
Express Tribune

Laoo Maal:

--- Quote from: Poker Face on August 19, 2011, 11:22:28 AM ---ENGRO FERTILIZER IPO SHELVED TEMPORARILY
KARACHI: After not a very successful initial public offering of Engro Foods, the company decided to delay its fertiliser IPO plan.
The company may offer shares of the largest profit-making subsidiary to the general public in early 2012, according to an InvestCap research note.
Given that the stock price of Engro has plummeted significantly amid current gas supply concerns, the company deems it not an appropriate time for the offering, analysts said. The company’s stock price fell Rs1.26 to close at Rs126.78 at the Karachi Stock Exchange on Tuesday.
However, Engro Powergen’s IPO is on track and three to four weeks away, the company’s management told analysts in a briefing recently.
Engro Corporation earlier planned to list three of its subsidiaries – Engro Foods, Engro Fertilizer and Engro Powergen Qadirpur – at local stock exchanges this year.
The size of Powergen’s IPO is expected to offload 10 to 15 per cent of its holding.]
The parent company Engro Corporation sold around 27 million shares out of the company’s 748 million shares to raise around Rs675 million.
The amount raised through the listings will be mainly used for payment of fertiliser sector loans and expansion of the food business.
Worries regarding gas supply not easing
All four fertiliser plants relying on gas supply from Sui Northern Gas Pipelines Network network, including Engro Fertilizer’s EnVen plant, have so far received gas supply with 20-25% curtailment for 32 days in 3QCY11. Gas supply will be halted entirely from August 28 when Qadirpur gas field will be shut down for maintenance for 20 days, key hurdle for the fertiliser sector expansion.
Express Tribune

--- End quote ---
sad day for all engro holders another lower lock :shock: :skeptic:

Laoo Maal:

--- Quote from: Laoo Maal on August 19, 2011, 12:03:26 PM ---
--- Quote from: Poker Face on August 19, 2011, 11:22:28 AM ---ENGRO FERTILIZER IPO SHELVED TEMPORARILY
KARACHI: After not a very successful initial public offering of Engro Foods, the company decided to delay its fertiliser IPO plan.
The company may offer shares of the largest profit-making subsidiary to the general public in early 2012, according to an InvestCap research note.
Given that the stock price of Engro has plummeted significantly amid current gas supply concerns, the company deems it not an appropriate time for the offering, analysts said. The company’s stock price fell Rs1.26 to close at Rs126.78 at the Karachi Stock Exchange on Tuesday.
However, Engro Powergen’s IPO is on track and three to four weeks away, the company’s management told analysts in a briefing recently.
Engro Corporation earlier planned to list three of its subsidiaries – Engro Foods, Engro Fertilizer and Engro Powergen Qadirpur – at local stock exchanges this year.
The size of Powergen’s IPO is expected to offload 10 to 15 per cent of its holding.]
The parent company Engro Corporation sold around 27 million shares out of the company’s 748 million shares to raise around Rs675 million.
The amount raised through the listings will be mainly used for payment of fertiliser sector loans and expansion of the food business.
Worries regarding gas supply not easing
All four fertiliser plants relying on gas supply from Sui Northern Gas Pipelines Network network, including Engro Fertilizer’s EnVen plant, have so far received gas supply with 20-25% curtailment for 32 days in 3QCY11. Gas supply will be halted entirely from August 28 when Qadirpur gas field will be shut down for maintenance for 20 days, key hurdle for the fertiliser sector expansion.
Express Tribune

--- End quote ---
sad day for all engro holders another lower lock :shock: :skeptic:

--- End quote ---
but dont worry it will recover from this level

Fahd:

--- Quote from: qadir on August 18, 2011, 02:02:30 PM ---
--- Quote from: Fahd on August 18, 2011, 01:58:48 PM ---Is ENGRO Shariah Compliant?

--- End quote ---

 :laugh:

--- End quote ---
What's the funny man?  :smilestar:

ally:
The more we say about this script the less it is...

I bough Engor a few months ago thinking myself to be a very smat a** but reality dawned on me that im not....
We need to follow the baics whatever we do in our life let alone shares....I remained heavily invested in Engro (which was against the basics) but Alhamdolliah manged to get out at decenet price levels....with manageable but still substantial losses.....

Engro has failed all the requirements for good share:
1> No good earnings 2> No growth expected till gas issue (which practicaly speaking is so huge that resolution is not looking possible any time soon)
3> Very low payout ratio and as a result low dividend yield....

Looking at other shared with these types of charteristics Engro should be trading at PER of 6 to 8 which roughly traslates into to somthing like Rs 90 to Rs 120.

I still like Engro and will buy once there is some visibile progress in gas issue....and of course market is going to adjust the price of the script accordingly...

Markets are seldom wrong: men often are –Roy Longstreet...and Market will value Engro at the price that it deserves giving no heed to our emotions and likingly and dislikings....

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