FII DERIVATIVES STATISTICS FOR 20-Sep-2010

FII DERIVATIVES STATISTICS FOR 20-Sep-2010
	BUY		SELL		OPEN INTEREST AT THE END OF THE DAY
	No. of contracts	Amt in Crores	No. of contracts	Amt in Crores	No. of contracts	Amt in Crores
INDEX FUTURES	131937	3933.76	89361	2657.14	840814	25184.29	1276.61
INDEX OPTIONS	257607	7554.12	254391	7383.81	2896542	86622.66	170.31
STOCK FUTURES	88562	2594.30	106806	3088.75	1371886	40934.08	-494.45
STOCK OPTIONS	23101	775.83	22754	766.04	53003	1662.83	9.79
						Total	962.26

 

FII & DII trading activity on NSE and BSE as on 20-Sep-2010.

The following is combined FII trading data across NSE and BSE collated on the basis of trades executed by FIIs on 20-Sep-2010.

FII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value FII 20-Sep-2010 4532.44 2739.8 1792.64

Domestic Institutional Investors trading activity on NSE and BSE on Capital Market Segment

The following is combined Domestic Institutional Investors trading data across NSE and BSE collated on the basis of trades executed by Banks, DFIs, Insurance, MFs and New Pension System on 20-Sep-2010.

DII trading activity on NSE and BSE in Capital Market Segment(In Rs. Crores) Category Date Buy Value Sell Value Net Value DII 20-Sep-2010 1157.17 1615.08 -457.91

 

MS Advisory and PMS: IPO Recommendations: Subscribe - Eros and Career Point, Avoid: MicroSec

IPO Recommendations:

Subscribe - Eros and Career Point,

Avoid: MicroSec

Source: MS Advisory and PMS

contact for details

Updated Gray/ Black Market Prices for IPOs

Company Name	Offer Price	Premium
	(Rs.)	(Rs.)
Indosolar Ltd.	29 to 32	0.60 to 0.70(Paise)
Tirupati Inks (FPO)	41 to 43	8 to 9
Career PointInfosystems	295 to 310	134 to 136
Eros International	158 to 175	39 to 40
Microsec Fin	113 to 118	25 to 26
RamkyInfrastructure Ltd.	405 to 468	38 to 40
Orient Green Power	47 to 55	3.50 to 4
Electro Steel	10 to 11	0.85 to 0.90 (Paise)
Gallantt Ispat	50 (Fixed Price)	5 to 7
VA TechWabag	1230 to 1310	290 to 295
CantabilRetail	127 to 135	13 to 15

EROS INTERNATIONAL MEDIA LIMITED - NSE Bid Details

EROS INTERNATIONAL MEDIA LIMITED - NSE Bid Details

Sr.No.	Category	No.of shares offered/reserved	No. of shares bid for	No. of times of total meant for the category
1	Qualified Institutional Buyers (QIBs)	9691140	7930480	0.82
1(a)	Foreign Institutional Investors (FIIs)		5318200
1(b)	Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies)		114280
1(c)	Mutual Funds		2448000
1(d)	Others		50000
2	Non Institutional Investors	2215189	10248000	4.63
2(a)	Corporates		3396280
2(b)	Individuals (Other than RIIs)		6365120
2(c)	Others		486600
3	Retail Individual Investors (RIIs)	6645570	13562480	2.04
3(a)	Cut Off		11055800
3(b)	Price Bids		2506680

Updated as on 20 September 2010 at 1700 hrs

MICROSEC FINANCIAL SERVICES LTD - NSE Bid Details

MICROSEC FINANCIAL SERVICES LTD - NSE Bid Details

Sr.No.	Category	No.of shares offered/reserved	No. of shares bid for	No. of times of total meant for the category
1	Qualified Institutional Buyers (QIBs)	6250000	4315948	0.69
1(a)	Foreign Institutional Investors (FIIs)		2441972
1(b)	Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies)		169468
1(c)	Mutual Funds		0
1(d)	Others		1704508
2	Non Institutional Investors	1875000	17365400	9.26
2(a)	Corporates		16535792
2(b)	Individuals (Other than RIIs)		829608
2(c)	Others		0
3	Retail Individual Investors (RIIs)	4375000	8923200	2.04
3(a)	Cut Off		7911332
3(b)	Price Bids		1011868

Updated as on 20 September 2010 at 1700 hrs

CAREER POINT INFOSYSTEMS LTD- Subscription deptails

CAREER POINT INFOSYSTEMS LTD

Sr.No.	Category	No.of shares offered/reserved	No. of shares bid for	No. of times of total meant for the category
1	Qualified Institutional Buyers (QIBs)	1610586	76422000	47.45
1(a)	Foreign Institutional Investors (FIIs)		39831720
1(b)	Domestic Financial Institutions(Banks/ Financial Institutions(FIs)/ Insurance Companies)		22532380
1(c)	Mutual Funds		13649200
1(d)	Others		408700
2	Non Institutional Investors	383329	2401140	6.26
2(a)	Corporates		1735300
2(b)	Individuals (Other than RIIs)		331320
2(c)	Others		334520
3	Retail Individual Investors (RIIs)	1149992	4657300	4.05
3(a)	Cut Off		3585740
3(b)	Price Bids		1071560
4	Employee Reservation	65000	30900	0.48
4(a)	Cut Off		2100
4(b)	Price Bids		28800

Updated as on 20 September 2010 at 1700 hrs

ICICI Securities: NTPC BUY Maintained PLF improvement assuages Q1 concerns

As per Central Electricity Authority’s (CEA) recent generation data, overall July-
August plant load factor (PLF) for NTPC’s coal-based plants has improved YoY to
85.1% in ’10 from 82.5% in ’09. This is in line with NTPC’s stance explaining lower
PLF in Q1FY11 – the management had suggested that Q1FY11 PLF was below par
due to the advancement of scheduled maintenance. Besides, PLF from Dadri &
Badarpur has sharply fell due to under-drawl and higher hydro supply in Delhi.
The Dadri and Badarpur projects are expensive (high variable costs) owing to the
use of imported fuel. Despite the negative impact from under drawl at these
plants YoY, coal based plant generation has improved 7.34% YoY during July-
August ’10 (including increased capacity). Further, in case of under-drawl, NTPC
is qualified for fixed cost and incentives as they are linked to the PAF. Lower
generation, owing to the lack of demand schedule, can only impact to the extent
of reduced energy efficiency-related benefit. We reiterate BUY on NTPC at a target
price of Rs243/share owing to increased capacity addition and reasonable
valuations at FY12E P/BV of 2.3x.
􀁦 Improving PLF assuages performance-related concern in Q1… As per the
management, advancement of scheduled maintenance in few plants led to belowpar
performance in Q1FY11 – a YoY improvement in some plants’ PLF corroborates
this stance. PLF from Farakka, Korba and Talcher plants has improved significantly,
reversing the Q1FY11 trend, when overall coal based plant PLF dropped 2.8% YoY
versus 2.3% YoY improvement in July-August ’10.
􀁦 …despite lower demand from Dadri & Badarpur plants. Owing to lower drawl by
Delhi on account of excessive rains and higher hydro generation, the Dadri and
Badarpur plants are suffering (the projects are based on expensive variable cost).
The PLF for these plants was lower ~20% YoY in August ’10. However, lower drawl
has a limited impact on profitability under the new tariff regime, wherein fixed cost
absorption is linked to availability rather than load. Lower generation owing to under
drawl impacts only to the extent of energy efficiency linked incentives.
􀁦 Reiterate BUY considering the increased pace of execution and reasonable
valuations. Our target price stands at Rs243/share, suggesting a 17% upside from
the current levels.

ICICI Securities: Hexaware Technologies BUY Maintained Revenue visibility remaining higher

Hexaware seems confident of maintaining high revenue visibility Q3CY10
onwards – this was evident from our recent interaction with the company. In our
view: i) recurring margin pressure is behind and incremental revenue growth will
be reflected in margin momentum from Q1CY11, ii) unfavourable legacy hedges
will get fully matured in Q3CY10, iii) less than 15% revenue growth in ’11E is
unlikely, iv) the Chennai SEZ has ample capacity, leading to lower tax rates from
FY12 versus mid-cap peers and v) net cash on books of ~Rs31/share (at end of
Q2CY10) is high – all these factors will limit any major downside. However, key
risks are any significant one-time expense provisions for employee take-over from
the recent deal win (worth US$110mn in Q2CY10) and any ensuing downgrade in
our target price – we still await clarity on the expense provision and other related
matters.
􀁦 Hexaware is confident of high revenue visibility given that: i) the company is on
track to meet Q3CY10 revenue guidance, ii) robust deal pipeline (the management’s
confidence stems from this and it expects growth visibility to continue beyond
Q3CY10 despite the fact that holidays will impact QoQ revenue growth in Q4CY10),
iii) till now, Hexaware has not witnessed any project delay or pull-back post Q2CY10
results despite a slowdown in the western economic macro environment, but the
management is cautious and iv) growth visibility is largely from the US, with hopes of
revival in Europe and rest of the world (RoW) from CY11. We believe that less than
15% dollar revenue growth in CY11 is unlikely (Chart 1).
􀁦 Margin to bounce back from CY11. Our interactions with the management indicate
that Q3CY10 margin may increase QoQ, albeit marginally; the earlier guidance had
indicated flat margins. However, margin headwinds in H2CY10 persist: i) onsite
wage inflation effective Q3CY10 (~3-4% hike) and ii) knowledge transition cost
relating to the new deal ramp-up till Q4CY10. After Q4CY10, we expect margin to
bounce back with high revenue visibility resulting in productivity gains and SG&A
leverage (as most of the S&M investment will happen by CY10). Also, Hexaware will
enjoy bargaining power as regards high billing rates in ’11 given its specialisation in
testing, risk management, Business Intelligence and Peoplesoft HR services and
niche positioning in Travel & Transport vertical.
􀁦 One-time expense provisions in Q3CY10 can be significant. During Q2CY10
results, the management had disclosed the possibility of expense provision for
employee take-over from the recent deal win (from a US Fortune-500 client worth
US$110mn in Q2CY10). This could be a risk to our target price as it may lead to
lower treasury. We are also awaiting further details on expense quantification,
margins from the new deal win etc.

Goldman Sachs: Lanco Infratech: BTG order with Harbin provides more visibility on growth; Buy

BTG order with Harbin provides more visibility on growth; Buy
What's changed
Lanco Infratech has placed a 10.5 GW BTG order with Harbin Power (as per
Chinese State Asset Supervision and Administration commission) for
future projects which are yet to be announced. The order is for projects
beyond the current 9.2 GW of capacity in the pipeline and is for the BTG
portion. However, the company declined to comment on its pricing.
Implications
We view this newsflow as positive as we believe Lanco is positioning itself
for the next phase of growth beyond the current 9.2 GW of projects under
operation, construction and development. Although there is little visibility
on pricing of the order, media reports (DNA Money, on September 16)
indicate that the BTG order may have been placed at about Rs6.8 mn/MW
against current market price ranging between Rs25-30 mn/MW. Assuming
Lanco were to procure equipment at around that price, its fixed costs could
potentially reduce to Rs0.37-0.40/kwh vs Rs1.0-1.1/kwh at current market
prices, in our view. We await further clarity on pricing and the projects
before we factor it into our valuation.
Valuation
We maintain Buy on Lanco and raise our 12-month SOTP-based TP to Rs81
(from Rs66 earlier), implying potential upside of 18%. We have now
reflected the improved visibility of 3.96 GW of projects under development
and higher construction margins. Lanco has recently completed financial
closure of its Babandh power project. We reduce our FY11E-13E EPS
estimates by 6%-20% to reflect accelerated depreciation for its newly
commissioned projects. On removing the impact of accelerated
depreciation, Lanco is trading at FY12E P/E of about 10X and P/B of 2.7X
(which is at a 20% discount to its peers) with an ROE of about 28%.
Key risks
1) Delays in projects under construction; 2) More than estimated decline in
short-term rates.

Macquarie Research: Jaiprakash Associates: Downgrade: Concerns on core businesses persist

Jaiprakash Associates
Concerns on core businesses persist
Event
􀂃 We revisit our investment thesis on JPA post its FY10 annual report. Leverage
has increased significantly as the company continues to invest in cement
capacity despite large oversupply. Visibility on construction business has
reduced as key projects are close to completion while new projects have been
stuck.
􀂃 We are reducing our target price to Rs105 and downgrade the stock to
Underperform. Revival in pricing power in cement and fund raising in power
would be key to make us revise our opinion on the stock.
Impact
􀂃 Margin compression in cement business to continue: We expect that key
cement markets of North and West India will remain oversupplied right into
FY13. The cement margins for JPA have corrected from Rs1,257/ton in
1QFY10 to Rs734/ton in 1QFY11. We expect it to fall further to Rs620/ton and
Rs553/ton in FY11 and FY12 respectively.
􀂃 Construction business to see significant slowdown going ahead: Two
key projects, Yamuna Expressway and Kharcham Wangtoo are close to
completion over next 18 months. The Sports City project and real estate
should add close to Rs20 of annual revenues but would not be able to
compensate for construction due to completion of larger projects. JPA would
need to start work on large hydropower project to grow E&C revenues.
􀂃 Balance sheet issue cropping up, incremental cost of debt is 11-12%:
Net debt for the parent entity has increased by Rs34.2bn mainly due to new
loans for cement plants and working capital for construction business. It’s
worth noting that the incremental cost of borrowing is 11.25-12.5%, which
would lead to a sharp increase in interest.
􀂃 Increased stake in JP Sports Private Limited to 90.6%: JPA increased its
stake in JP Sports Private Limited by 28.9% in FY10 for consideration of
Rs5bn. We are assigning little value to Sports City, as its business model for
F1 track and associated real estate is not clear.
Earnings and target price revision
􀂃 We are reducing our target price to Rs105 from Rs152 to factor in higher debt
in standalone entity, lower value for construction business.
Price catalyst
􀂃 12-month price target: Rs105.00 based on a Sum of Parts methodology.
􀂃 Catalyst: further fall in cement realisations and lack of new order inflows
Action and recommendation
􀂃 Earnings to be under pressure over next 18 months: Declining margins in
cement coupled with higher interest and depreciation cost will put standalone
earnings under pressure.
􀂃 Downgrade to Underperform from Outperform with price target of
Rs105: The reduction in price target is to factor in higher debt and reduced
revenues from construction business.

JM Financial: Unitech: Commercial leasing still subdued, portfolio value lowered 39%

value revised downwards by 39%: Unitech Corporate Parks
Plc (UCP) held a conference call this afternoon to discuss their Mar’10 result.
Unitech Ltd holds 40% economic interest in UCP’s portfolio of c.21mn sq ft
and in Jul’10 had indicated a possible offer for balance stake in UCP at
31pence per share, which could entail a cash outflow of `7-8bn at the offer
price. The portfolio is spread across 6 assets (5 SEZs and 1 IT Park) located in
Gurgaon, Noida/Greater Noida and Kolkata. Broadly, UCP has lowered the
portfolio value of its assets from GBP457.4mn (as at Mar’10) to GBP281.3mn
(Jul’10), based on revised valuation undertaken by Knight Frank. The
downward revision reflects current market conditions, provisions of the Direct
Tax Code on SEZs and a revised construction schedule. Management
explained that one significant factor that impacted the portfolio value was the
re-phasing of construction timelines by ‘many years’ (some of them by as
many as 7 years). Besides, the company has also adopted a new methodology
for valuing partially constructed developments and undeveloped land,
switching from DCF basis (assuming build-out of developments as per
estimated completion dates) to the use of comparable land values plus cost
of construction incurred to date.
 UCP’s commentary highlights continuing slackness in commercial leasing
environment: UCP’s management highlighted that on the ground, there
exists a lot of uncertainty in the commercial leasing environment, with
tenants taking an extremely cautious approach before committing leases.
Plus, vacancy levels are high in Gurgaon and Noida. UCP highlighted that it
took 4 years for it to lease out c.3mn sq ft of space (out of its total portfolio
of 21mn), which is way off its original target. While this, in some way,
contrasts the general expectation of a stronger imminent recovery in the
leasing environment, we believe UCP’s commentary highlights a need to
exercise some degree of caution whil e projecting a case of strong recovery of
the commercial leasing segment.