Rating Update
Typically, ace investors know more and before it’s public.
Is the stake reduction by them a sign of worry?
When the main execution is shortly coming up and the smart metre future is so bright — why will they want to reduce stake?
Invested. Puzzled.
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This Jan update is purely GIC stake induction… when there is stake dilution existing share holders % obviously gets reduced
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@narayans79 why is their name not in the investors list anywhere?
“ Genus Power & Infrastructure on Wednesday announced that Singapore’s sovereign wealth fund GIC will acquire a 74% stake in the company’s new smart metering solutions venture for $2 billion (over Rs 16,000 crore).6 Jul 2023”
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The new FII entry 15% u see is from GIC…
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It is conversion of warrants.
https://www.bseindia.com/xml-data/corpfiling/AttachHis/cd89fbd7-693a-4e78-a8ae-3ac1fe568305.pdf
Genus Power: Business Restructuring
The recent presentation shows restructure of the company as shows in the image below.
I have a few questions which are as follows:
- When this restructuring comes into effect?
- Is there any announcement on when the share of Genus Prime Infra Limited will be provided to the shareholders of Genus Power?
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This exact same slide is there from June 22 investor presentation onwards. So nothing new here.
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Just to clarify, my question was around if there were any inputs from the management on when restructuring is going to take place?
@Moonrise did you get any ans on why suddenly ACE investors have reduced stake and suddenly FII added stakes?
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Genus Power (per the management concall) is supposed to have a good quarter 4 (~450 Cr) as they retained their guidance of 1200 Cr. If they do deliver this number, their EBITDA margin should be closer to 16-17% and PAT etc will show good growth. FY 25 in any case, is expected to be ~2500Cr + and with margins of 16-17%, they could possibly do EBITDA of 400Cr+.
The street had possible concerns over the pledging that promoters have done and whether they would be able to deliver the huge orderbook profitably. Therefore price showed spike last qtr and then went down sharply when numbers did not meet expectations. If they do deliver 400cr+ sales, atleast they will show that it is not all gas and there is some merit in the company.
The price has also started to show life/accumulation over the last many days. Possibly hinting that they would deliver the numbers or it may be speculative build up before the results are announced, as last time. I am waiting for actual numbers to be delivered this qtr.
Regards,
Nikhil
Disc: Invested; Top position for me
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