V2 Retail - Second innings playing out well


(Ravindra Mutyala) #21

Despite of this news stock up. This is how strange the markets are.

Disc: Invested, willing to hold for long time


(Rama Kumara Nagaraja) #22

is the results out for 2016? bse site not showing anything


(sachit) #23

http://www.bseindia.com/xml-data/corpfiling/AttachHis/D61064E1_FA36_46A6_BAFB_18D0148F6BC3_085050.pdf


(almantri) #24

Has anyone been to investor meeting? Can see recent rally has been halted currently but stock jumped 50% within a month. anyone still following this stock?


(Naveen) #25

The company has opened 4 stores during Oct - Dec 2016 and closed 2 stores. During this quarter from Jan 2017 to till now, they have already opened 5 stores. Below is the Q3 results link. Page 5-7 contains imprortant updates from management.

  1. Total stores 32. as per teh filing they did today 10th March 2017, total stores count is raised to 37. Which is a positive sign
  2. Company allotted shares & warrants to promotes at Rs. 75. Promotor share increase definately gives confidence I think
  3. Sold property located in Kolkatta and the same money will be used to repay debt. Ideally, the margins should increase in coming quarters
  4. 42.5 Cr loan is settled in the quarter gone by. So saves the interest burden going forward

Link - http://corporates.bseindia.com/xml-data/corpfiling/AttachHis/36FFA23E_DB4C_4C3C_9444_5283E4C4F272_081247.pdf

do let me know if I have missed anything. Also, it would be great to hear some more information

Disc : Re-invested today @ 194


(Yogansh) #26

Such allotments and warrants issue dilute the overall equity and is not in favor of minority shareholders (like: you and I).
Also, if we talk about warrants, the entire amount is not brought into the firm at the time of issue of warrants. Rather, the warrant holder has the opportunity to convert it at a later date (within 18 months from the date of issue, in case of V2 retail) while just paying a nominal amount at the time of issue.

Hence, we shouldn’t grant them a ‘+1’ for this particular move, IMHO.

I hope the above point was helpful!

Regards,
Yogansh Jeswani
Disclosure: Not Invested


#27

Increase in stock price is probably because of the hype surrounding dmart IPO.

http://www.v2kart.com

The website is not functional. Neither Google plus page has been updated since last 2 years.


(Yogansh) #28

Hi,

Was reading the past Annual reports of V2 retail and I came across several Auditor’s Observation which are material in nature and should be looked into, before making any investment decision.

As per AR16 Auditor’s Report (Pg. 41-45) V2 retail was given a Qualified Opinion, due to the below mentioned observations (See below clipping of AR16).

There have been several such instances of Auditor’s observations in the history of the Co. (You can check the Auditor’s report from AR12 to AR16).

Regards,
Yogansh Jeswani
Disclosure: Not Invested


(arunkp) #29

V2 opens new stores.
Volumes crossing 10 Lakh (NSE + BSE)

Disclosure - Invested from lower levels.


(aneesh) #30

PE fund invested 76 Crore on V2 retail

http://www.livemint.com/Companies/sCGWgjONMTokekb7fTxgnO/Lighthouse-invests-Rs76-crore-in-V2-Retail.html


(arunkp) #31

Good Results from V2 retail.

Management commentary


#32

Shareholding pattern.

Today, 3 shareholders previously holding 10 lakhs shares each offloaded 7, 5 and 5 lakhs as per today’s bulk deal report (NSE & BSE) and Goldman Sach bought around 5 lakhs.


(Mahendra243) #33

All the 3 where allotted 10L shares last novemeber @75…should they have exited with almost 350% gain that too tax free…but what is interesting goldsachs have entered this stock and i think they might have done due diligence in buying huge qty after there investor meeting with management

Disc: Invested [email protected]…Views may be biased


(Sandeep Singh Rawat ) #34

After reading the above post started reading about the allocation and found this. Something to ponder about
From https://capitalmind.in/2017/05/outlier-in-focus-v2retail-a-turnaround-story-with-some-warranted-risks/

A big problem that the Income tax department has recently identified is where brokers take “preferential allotment” and then rig up a small cap share to make massive returns. This is then used to lure other investors in, the brokers exit (typically after a year) which then results in big non-taxable gains to the brokers. They’ve identified many such “penny stocks” (see link) This is usually used to convert black money to white.

Disc: Invested from a relatively lower price


(Tarak) #35

@sandeeprawat Thanks for the info. But I understand, this is not a scrip which has been rigged. The share prices have gone as Top Line has been growing at a massive rate and is expected to continue to grow at a very high rate - around 40-50%/ year.

Management has given guidance that the no of stores would increase from current 44 Nos to around 100 Nos by Mar 19. The company is expected to follow Clustering Strategy in its expansion.
Disc: Invested


(Tarak) #36

Some of the Triggers, going forward for V2 Retail are:
A. Good Q3 Results- Q3 results are supposed to be the best as Diwali Sales are part of it.Results would possibly be declared in Feb18. Though, I expect run up in this scrip to happen from Jan 18 End.

B.Some 66 Stores are to be opened in 15 months.That means an average of 4.5 stores/month.So in Q4, some 13 stores would come up.That would also push the push the stock higher.

I guess the stock shd reach 750 by Mar18 and 1500-2000 by Mar19.
Disc: Invested


(arunkp) #37

Good Results from V2 Retail

http://www.bseindia.com/xml-data/corpfiling/AttachLive/557a6339-7357-4c5c-8d6b-f7e4351c66f3.pdf


(ruffles) #38

Hi All,
Who are actively reviewing V2 retail please review my thesis.

Business: V2 retail is doing business where high end retail stores doesn’t exist or are very few however the residents are aspiring to shop in such stores. It seems they are targeting under penetrated market and success of them and v-mart reinforces thesis there is a market in these cities.

Growth: They are expanding retail stores in under penetrated cities thee is lot of head room for growth in many years to come.

With solid demand and growth to come for years, this business is a investment idea for long term.

Risk : I think demand is there so what is left is the execution part to beat the local competition and get the wallet share of customers from the competition.

Key tracking items: Inventory days, Increasing retail space, and per sq ft monthly revenue.

If the tracking matrix remains healthy stay invested nothing to worry about fluctuating stock price.

Let me know your views.


(Ravindra Mutyala) #39

V-Mart Promoters sold huge stake in the company while V2 Retail promoter acquired few shares.

That was nearly 41.4% stake out of 54.4%

Disclosure: Not Invested in V-Mart, Invested in V2 Retail


(arunkp) #40

http://equitybulls.com/admin/news2006/news_det.asp?id=225859
V2 retail opens another store.
I believe, The store count is 51 as of now
Another 49 to go to meet company’s target.