Mukand Engineers Ltd

BSE Code 532097
Book Value 41.08
Face Value 10.00
52Week High 58
52Week Low 17
EPS 6.51
P/E 7.
Dividend 15%

(Specialists in engineering construction)

It is an associate company of Mukand Ltd. which is a Bajaj group company. Mukand EngineersLtd, (MEL), was incorporated in Jan.'87 under the name and style of Mukand Construction & Project Engineering Company Private Ltd. Their object was engineering construction, erection and commissioning of Plants. It was a Subsidiary of Mukand Ltd. It became deemed Public Company in Feb.'90 and later was converted into Public Limited Company in Jul.'92 and a fresh certificate was incorporated. The company was promoted by Mukand Ltd, it is a part of Shah & Bajaj group companies. Presently projects executed by the company include Project and Design Engineering, Mechanical & Civil Construction and Site Fabrication Works. Company now focuses on Core Sector Areas of Power Transmission, HDVC Lines, Hydrocarbon and Port Modernisation. The company has come out with Public Issue of 30,08,000 Equity Shares of Rs. 10/- for cash at a premium of Rs. 30/- per share aggregating to Rs. 12.03 crores. In 1999-2000, the company has setup an Authorised Training Centre in Kurla, Maharashtra for high-end computer training. To facilitate synergical benefits and expansion of the present business, the company acquired the EDP department of Mukand Ltd, which possesses facilities in software development, consultancy, data processing, accounting system on ERP, etc. The company completed the prestigious order which was received from NALCO for the Civil and Structural work at Angul, Orissa. It is also executing turnkey project of green anode plant of NALCO at Angul. The Company's infotech division has suffered set back due to melt down of the IT industry but this year it has posted good performance The company is expecting orders from Power generation and petrochemical industry and also expects work from refurbishing programme being undertaken by Power plants.

Financials:

	Quarter ended			Year ended
	201003	200903	% Var	201003	200903	% Var
	(3)	(3)		(12)	(12)
Sales	54.72	22.66	141.48	126.28	53.51	135.99
Other Income	0.99	-0.51	LP	2.27	1.80	26.11
PBIDT	6.58	3.16	108.23	16.56	7.69	115.34
Interest	1.12	0.55	103.64	3.49	2.46	41.87
PBDT	5.46	2.61	109.20	13.07	5.23	149.90
Depreciation	0.24	0.16	50.00	0.72	0.61	18.03
PBT	5.22	2.45	113.06	12.35	4.62	167.32
TAX	1.73	-0.01	LP	4.16	0.08	5100.00
PAT	3.49	1.96	78.06	8.19	4.00	104.75
Equity	12.58	12.58	0.00	12.58	12.58	0.00

Shareholding Pattern

Foreign Holdings 0.44

Govt. / Financial Institutions 0.03

Corporate Bodies 12.75

Directors and their Relatives 52.02

Indian Public 32.4

COMPANY POSTED 100 % SALES AND PROFIT GROTH IN LAST THREE YEARS, AND CURRENT YEAR COMPANY DICLERED DIVIDEND 15%. .PARENT COMPANY POSTED TURNAROUND RESULTS. AND MUKUND IS GOING TO SELL LAND WORTH 700 CR TO REDUCE THE DEBITIN IN THE COMPANY. ALL THIS LEADS TO IMPROVE THE PERFORMENCE FURTHER. BUY AT CURRENT MARKET PRICE 48.8 HOLD UP TO NEXT QUARTER, STOCK WILL GIVE 50 % RETURN IN NEXT 3 MONTHS.

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dpsc ltd

Jindals pick up 10% in Descon

Calcutta, May 2: JSW Group has bought into city-based IT firm Descon by scooping up a 10 per cent stake held by DPSC Ltd in back-to-back deals that turned one-time fierce competitors into close collaborators. The $3.7-billion group, having interests in steel, power and infrastructure, is also in talks with three other shareholders of Descon to take management control. A formal announcement is likely to be made by JSW shortly. DPSC, formerly Dishergarh Power Supply Corporation, and Descon had cross-holdings between themselves. Descon held 32.31 per cent in DPSC, which in turn held 10 per cent in Descon. However, Descon decided to exit the power firm after a consortium led by city-based infrastructure finance company Srei became its majority owner in February. It sold a 17.31 per cent stake to Orbis Power Venture (a special purpose vehicle of Srei) in an open market transaction in early April. The company sold the remaining stake in an open offer made by Orbis last week, netting about Rs 97 crore from the two-phased transaction. DPSC, in turn, sold its holding in Descon to JSW. Fierce bidding DPSC was on the radar of JSW and Srei for a long time. Both the company had made strategic moves to corner the power firm whose majority shares (57.17 per cent) were to be sold off by public sector Andrew Yule, the Life Insurance Corporation and the General Insurance Corporation. JSW cornered Descon’s 32.31 per cent holding when the latter pledged the stake to the Jindals against a loan. The Srei consortium, on the other hand, scooped up nearly 5 per cent in DPSC from the National Stock Exchange. JSW and Srei were in the fray when the bidding started. Descon joined the process later. On the day of open auction in November last year, JSW backed out but Srei fought till the end to emerge as the highest bidder. However, the story did not end there. It took a lot of political persuasion from the Centre and legal prodding from Calcutta High Court to actually complete the sale process in favour of Srei. Fresh moves Once Srei became the majority owner, foes turned friends. Descon decided to cash out realising its role would be reduced to that of a minority shareholder. JSW played its part by releasing the pledged shares. DPSC sold out a non-core business to JSW, which plans to engage Descon for IT support and engineering work for its upcoming steel and power project in Bengal. JSW plan The Sajjan Jindal group is in talks with three venture capital funds — two based in the UK and one in Singapore — to pick up their combined 49 per cent holding in Descon. The IT firm did business of Rs 16 crore last year with nominal profit. However, it is sitting on a cash pile of Rs 105 crore through sales of DPSC and Tide Water Oil stakes.

Samtel Color Ltd (BUY0 AT 20 Rs

CORPORATE PROFILE

Samtel Color is the flagship company of the Samtel group, and manufactures the widest range of Colour TV tubes in India and has a capacity of over 10 million picture tubes per annum. The company was incorporated in 1986 with a technical collaboration with Mitsubishi Electric, Japan to manufacture 14” and 21” Color Picture Tubes (CPTs). With a market share of over 60%, it is the largest tube manufacturer in the country. Its clients include leading domestic and international TV manufacturers. Integrated backwards with its component divisions at Ghaziabad and Parwanoo, Samtel Color also manufactures electron guns and deflection yokes for colour picture tubes. DEFLECTION YOKES The Deflection Yoke (DY) Division of Samtel Color was set up in 1998 at Parwanoo to manufacture DYs for colour picture tubes. Presently, the division supplies its products to the Colour Picture Tube division as well as some major TV manufacturers in the country. The division also manufactures Deflection Yokes for export to tube and TV manufacturers in South East Asia. ELECTRON GUNS The Electron Devices Division of Samtel Color is a leading manufacturer of Electron Guns for Colour picture Tubes in the country. The product is a critical component of a picture tube and its quality determines the life and performance of the picture tube. Set up in 1994, the division has its manufacturing unit at Ghaziabad. The division is also the largest manufacturer of cathodes and heaters for Electron Guns in India and has received the prestigious ELCINA R&D Award for 1996-97. Samtel Display Systems: Samtel Display Systems (SDS) is a key Indian player in high-technology products for avionics and military applications in both domestic and international markets. SDS straddles the entire value chain from design, development, manufacture, testing, qualification, repair & maintenance and obsolescence management of avionics products and equipment for military as well as commercial aircraft. Its products include Color Avionic Tubes (CAT), Multi Function Displays (MFD), Head Up Displays (HUD), Helmet Mounted Displays (HMD), Automated Test Equipments (ATE) and IADS, as well as Control Displays for Armored Military Vehicles. SDS is a part of the Samtel Group, India’s largest integrated manufacturer of a wide range of displays for television, avionics, industrial, medical and professional applications, TV glass, components for displays, machinery and engineering services. GREAT TURNAROUND STORY BOOK VALUE AT 26RS PROM TAKEN 3 CR AT 21.50 NEXT YEAR EPS COULD BE 4 RS STOCK IS ACCUMULATED AROUND 19 FROM ONE YEAR. IAM EXPECTING 30RS IN NEXT 3 MONTHS