Hello everyone
Am following VP since last one month, kindly advise should I buy Mayur at CMP or wait for some more time.
Thanks Vivek for sharing this information. I just remembered the transcript of concallā¦Management was extremely confident on progress of Mayur going ahead and steps taken by them to improve and increase the liquidity(Volume) in Mayur in time to come.
By the time the new line gets commissioned by October or December 2014ā¦many mutual funds and institutions would have Mayur in their portfolio 
If I buy 100 more stocks of Mayur now? will I get on 100 more on the date of issue of bonus?
Hello Sai Sheshank Burra,
Please read the link: http://economictimes.indiatimes.com/definition/bonus-share
Edelweiss initiates a BUY on Mayur.
Estimates look a bit conservative though!!
Good news on pledging front.
I have been able to convince Axis Bank to accept Mayur Uniquoters n Astral Poly amonst acceptable shares for pledging. They also accept Repco n Page Industries for pledging n are the only one to do so alongwith Kaveri seeds IMHO.
Icici direct has stopped accepting Astral Poly n Kaveri Seeds as the limit has reached for them as had happened for Hawkins earlier.
Guys,
Mayur is issuing preference shares and there is meeting to this effect. Whether they are issuing to them self or to someone else that is not known yet. Chances of issuing to self is slim as they already have 75%. Please share your views.
Here is the link;
http://www.bseindia.com/corporates/anndet_new.aspx?newsid=f2cbadc3-5371-4a9f-b7c6-4079115689b5
Regards,
Seems the prefereNce shares will be allotted to some reputed PE, FIIs n other MFs to finance the PU foray?
The PU segment where Mayur was totally absent so far will complete the full range of artificial leather segments for Mayur n is shud be the fulfilment of long held ambition of SKP.
The opp size shud increas further with this new foray n the co shud move to next orbit with entry of newer investors IMHO.
Views invited.
What about other companies who are in PVC leather likeā¦Responsive industries and Jasch Indsā¦??
Are they worth looking intoā¦???
Surprising step taken by the company. The company has enough room to raise debt. Why will the management go for expensive equity raising route.
Link: BSEINDIA
Regards,
Mayur Uni board of directors approved the issues ofcompulsorily convertible participating preference shares ( āCCPPSā) to**WestBridge Crossover Fund, LLC. **14.86 lakh CCPPS are issued at average price of 471.06 to raise 70 Crores to fund Mayurās PU foray.
Significant dilution of ownerās stake, which reduces from 74.96% to 70.14% over the total outstanding shares which increases to 231.39 Lakh shares.
Westbridge is having 10% stake in astral Poly since last 4 years & has been founded by highily qualified n bright professionals who founded Sequioa Capital In Indiaā¦They have a stellar track record by being early investors in Marquee cos like Justdial, Shaadi,Stovecraft,Star Health Insurance,Kajaria,DFM ,Quckheal,Manapuram,Cafe Coffee day,CTZ,Infoedge and others.
Mayur Uniquoters should further catch the attention of other investors.
Why did they have to dilute equity to go ahead with this expansion? Couldnāt they have borrowed some money (plus some internal accruals) to fuel this expansion?
Other than bringing in money, does Westbridge bring in some other sort of expertise? If not why is Mayur reducing shareholder value by diluting equity.
Any thoughts on this will better help understand their decision.
The article in BS has a good writeup on WestBridge -http://www.business-standard.com/article/companies/westbridge-s-fund-size-may-touch-1-bn-114020501500_1.html
A good VC / PE fund raises the visibility amongst the investor community a lot. Others will start taking interest in the company.
West Bridge today bought 4% in Mayur from open market worth Rs 40 Cr.
WestBridge Capital has picked around 4 per cent inJaipur-based Mayur Uniquoters Ltd for Rs 40 crore ($6.5 million) and simultaneouslyentered into a definitive agreement to invest Rs 70 crore ($11.44 million) in the firm through a preferential allotment.
Post preferential issue the PE firm will own around 10 per cent of the public listed company.
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But according to bse bulk deals,JWALAMUKHI INVESTMENT HOLDINGS bought 8.75 lakh shares today from promoters at 462/- per shareā¦
http://www.bseindia.com/markets/equity/EQReports/bulk_deals.aspx?expandable=3
JWALAMUKHI INVESTMENT HOLDINGS is investment arm of HSBCMAURITIUS. there is anotherpreferentialallotment to WestBridge.
http://www.bseindia.com/corporates/anndet_new.aspx?newsid=4956a1c8-396f-4eaf-a6fd-9cfcc82fcf71
So today there were two actions:
1 - Promoters sold 875000 (Rs 40 Cr) shares to Jwalamukhi investments which has brought down their holding to 70.9% from 74.9%
2 - Proposed14.86Lacs (Rs 70 Cr) compulsorily convertible participating preference shares to Westbridge LLC which expands the equity base by ~7% and in-turn bring the final promoter holding to 66.3%
Now, if promoters would have chosen to use debt route to get this funding of Rs 110 Cr, Debt/Equity would have been ~1.15
This is just financial aspect. There might be some strategic aspect of bringing in Westbridge as an investor.
As Mayur is aggressively trying to expand its Exports, can there be any strategic advantage that Westbridge brings to the table from export marketās perspective?
Some questions for next con-call!
The promoters do not have history of being anti-minority shareholders so I am tempted to think that this is a +ve move! Not sure though.
Have plans of increasing my holding by 10-15% - not sure if this is right time and how this news should impact.
I am not familiar with such scenariosā¦ Any comments from seniors?
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This jwalamukhi holds 10% in Astral, 9% in cera, 4% in supreme, 2% in ashiana. Quite an interesting player!
Actually, Jwalamukhi is a wholly owned subsidiary of Westbridge. You can see that in this old disclosure.