I know it’s absolutely not right to look at investment decisions this way but just something to think of , SAIF partners invested in this company at rs 40 , 8-9 years back , there is definitely something that these guys are seeing , such a big decision on merger could not have been taken without their consent . My investment decision is not based on this but it’s just food for thought
investors who have invested in Pennar in 2013-14 have lost their money and have made no returns. The important thing to note is has company grown revenue & Profits and does it look like it would continue to grow them.
Only way Pennar is going to give multibagger returns is it becoming an engineering company from a commodity steel company.
completely agree. being recognized as a full fledged engineering firm is still some time away. they need to double revenues in each segment. their profitability is directly linked as to how much and how fast they can scale revenue without loading the balance sheet too much. Im assuming a great deal of operating leverage will play out in the process.
Nice Guess @deeps2884 , 25% corporate tax rate is a reality
Gst has been increased to 12% on railway coches and wagons. This increased gst seems to be a welcomed move by the industry.
Can anybody please explain why ?
My simple understanding is that since GST on steel a key raw material is at 12% and they would be able to net off the amount paid with amount incurred. Earlier when it was 5% set off was not happening.
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Have pebs shareholders got shares of pennar industries yet ?
Just in demat account, but unable to trade yet… What about you ?
https://www.manufacturingtodayindia.com/products-suppliers/5084-pennar-industries-to-double-its-cdw-tubes-capacity?utm_source=newsletter&utm_medium=email&utm_campaign=manufacturingtodayindia_newsletters&utm_email=bbwealth67@gmail.com
It will set up a greenfield plant at Hyderabad for the additional CDW manufacturing capacity. Currently, the company has an installed capacity to manufacture 1500MT per month of CDW tubes. The new facility will produce CDW tubes of up to 150mm diameter and the thickness of 10mm. The company will incur a capex of Rs 65 crore to take its CDW capacity to 3000MT per month. The new facility is expected to be operational in June 2020.
Hi Chiragp,
I have not received any pebs shares…Whom should i contact?
Has anyone got PEBS converted Pennar Ind shares into Demat account
Any views regarding the recent corporate action (buyback) ?
Need to see the details before forming a view.
But prima facie with 20% tax rate on share buyback it does not make sense. They be better off paying off debt or announcing a dividend policy (30% of PAT to be given out as Dividend).
Also, they could have waited for government to make changes to the Capital Gain Taxes (some tweaks are definitely expected, i think DDT would be removed).
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Buyback approved @45
What are the prospects for this looking like? It’s been consolidating in the 16 rupee range for a while. With the lockdown easing out, the company seems to have a much clearer path ahead.
how much area of the land pennar is having at patancheruvu. in latest Q1FY21 investor presentation they mentioned that board has given approval to sale the land of 5Ac.2 guntas any comments on this.
What is the view on Mr.Aditya Rao, his capability and his qualifications
Though the company is an engineering company, the business behaves like a commodity business only. Nothing great in Q3 presentation.
Pennar Presentation.pdf (1.0 MB)
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