The financials of RMDC look impressive if not the best as everyone had
expected. The investors have been eagerly waiting for RMDC issue and it
is one of the best companies to float IPO for the public in the recent
times.
RMDC is floating IPO its share at Rs.180/share adding a premium of Rs.80 for the general public. The size of the IPO is 1,560,000 units out of which 31,200 units have been kept aside for employees of RMDC and a total of 78,000 units have been allotted to Siddhartha Growth Scheme I, Nabil Balanced Fund I and Citizen Unit Scheme in equal proportion of 26,000 units each. The public can apply for remaining 1,450,800 units.
The financial of the company as of Poush end 2069/70 are as follows:
Paid-Up Capital:Rs.334,000,000
Reserve & Surplus:Rs.819,277,000
Net Profit:Rs.78,410,000
Earning Per Share (EPS):Rs.23.48
Conclusion
I think it is a good idea to invest in this company, no second thoughts about it. The chances of over subscription by many times is high as I said before it is one of the most anticipated issues. In such a case the chance of low allotment of share is high. If you are investing by taking loan at high interest then you might not be able to make immediate gain as it increases your cost of funds. It would be prudent to invest with your saving rather than by borrowing at exorbitant interest rate. I request you to consult others as well before investing.
Comments of Freak Money (With Due Respect) on nepalsharemarket
RMDC is floating IPO its share at Rs.180/share adding a premium of Rs.80 for the general public. The size of the IPO is 1,560,000 units out of which 31,200 units have been kept aside for employees of RMDC and a total of 78,000 units have been allotted to Siddhartha Growth Scheme I, Nabil Balanced Fund I and Citizen Unit Scheme in equal proportion of 26,000 units each. The public can apply for remaining 1,450,800 units.
The financial of the company as of Poush end 2069/70 are as follows:
Paid-Up Capital:Rs.334,000,000
Reserve & Surplus:Rs.819,277,000
Net Profit:Rs.78,410,000
Earning Per Share (EPS):Rs.23.48
Conclusion
I think it is a good idea to invest in this company, no second thoughts about it. The chances of over subscription by many times is high as I said before it is one of the most anticipated issues. In such a case the chance of low allotment of share is high. If you are investing by taking loan at high interest then you might not be able to make immediate gain as it increases your cost of funds. It would be prudent to invest with your saving rather than by borrowing at exorbitant interest rate. I request you to consult others as well before investing.
Comments of Freak Money (With Due Respect) on nepalsharemarket
