Multi Commodity Exchange of India Ltd MCX IPO
MCX Stock Exchange Limited provides a trading platform in currency derivatives in India. The company offers trading in currency futures contracts in four currencies consisting of the U.S. Dollar-Indian Rupee (USDINR), Euro-Indian Rupee (EURINR), Pound Sterling-Indian Rupee (GBPINR), and Japanese Yen-Indian Rupee (JPYINR). The company, through its subsidiary, MCX-SX Clearing Corporation Limited, offers clearing and settlement services in multi asset classes. MCX Stock Exchange Limited was incorporated in 2008 and is based in Mumbai, India.
MCX currently holds a market share of 82% of the Indian commodity futures market, and has more than 2,100 registered members operating through over 247,000 terminals (including CTCL), across India. MCX is also the fifth largest commodity futures exchange globally, in terms of the number of contracts traded during the six months ended June 30, 2011.
Promoter : MCX is promoted by FTIL with a pre-IPO stake of 31.18%. FTIL is a software developer and a technical service provider of automated electronic solutions in the areas of finance and technology like foreign exchange, commodities and equities. It is listed on the BSE, the NSE, the Ahmedabad Stock Exchange and the Madras Stock Exchange. The promoters of FTIL are Mr Jignesh Shah (18.1%), Mr Dewang Neralla (0.13%) and La-Fin Financial Services Private Ltd (26.5%).
Source: DRHP
Broker Views/Tips On Multi Commodity Exchange Of India MCX IPO
Aditya Birla Money | Nirmal Bang | Eastern Financiers | Anand Rathi | KR Choksey | Espirito SantoObjects of the issue:
» To sale 6,427,378 Equity Shares by the Selling Shareholders &» To achieve the benefits of listing on the Stock Exchange.
Company Address:
Address:Exchange Square,
Suren Road, Chakala,
Andheri (East), Mumbai 400 093
Phone:+91 22 6731 8888
Fax:+91 22 6649 4151
Email:mcxofs@mcxindia.com
Website:www.mcxindia.com
IPO Details:
| Information | Value |
|---|---|
| Open Date | 22-Feb-2012 |
| Close Date | 24-Feb-2012 |
| Allotment Date | 05-Mar-2012 |
| Refund Date | 06-Mar-2012 |
| Listing Date | 09-Mar-2012 |
| Issue Price | Rs. 860 - Rs. 1032 |
| Isuue Type | 100% Book Building Issue |
| Issue Size | 6,427,378 Equity Shares of Rs. 10 |
| Lot Size | » Minimum : 6 Shares » Maximum : 96 (1 Lac) , 192 (2 Lac) |
| Max Amount for Retail Investor | 200000 |
| Listing On | BSE,NSE |
| Lead Manager | Citigroup Global Markets India Private Limited, Edelweiss Capital Limited & Morgan Stanley India Company Pvt Ltd |
| Registrar | Karvy Computershare Private Limited |
| Registrar Email | mailmanager@karvy.com |
| Registrar Website | karisma.karvy.com |
| Registrar Phone | NA |
| Application Multiple | 6 and in multiples there off starting with atleast 6 shares |
| Cheque in Favour of | "MCX Public Offer - Escrow Account - R" For Retail Bidders |
| Listing Open | Rs. 1387 / Rs. 1408 (BSE/NSE) |
| Listing Close | Rs. 1297.05 / Rs. 1296.70 (BSE/NSE) |
| Listing High | Rs. 1426 / Rs. 1428.55 (BSE/NSE) |
| Listing Low | Rs. 1282.10 / Rs. 1282.20 (BSE/NSE) |
| Prospectus Download | Download |
| Application Forms Download | Download |
| ASBA E-Form Download | Download |
| IPO Grading Download | Download |
Multi Commodity Exchange of India Ltd MCX IPO Financial Details:
MCX's sources of operating income are a) transaction fees, b) membership admission fees, c) annual subscription fees and d) terminal charges.
Transaction fee is the largest contributor to operating revenue and its share has grown from 88% in FY09 to 96% in 6MFY12. MCX's operating revenue has grown at a CAGR of 32% over FY09- 11, with much of the growth coming through transaction fees, which grew at a CAGR of 37% over the same period.
EBITDA margin improved to 60.4% in FY11 from 53.6% in FY09, on account of operating leverage - most of MCX's operating costs are fixed and semi-fixed in nature. Likewise, adjusted PAT margin also improved from 35.5% in FY09 to 39.4% in FY11. Return on equity decreased marginally from 24.4% in FY09 to 22.8% in FY11.
Source : CRISILMulti Commodity Exchange of India Ltd MCX IPO Grey Market Price - Premium - Rates
| Date | GM Premium | Kostak Rate |
|---|---|---|
| 15-Feb-2012 | Rs. 180 - 185 | ---- |
| 17-Feb-2012 | Rs. 220 - 230 | Rs. 3700 - 3800 (2 Lac) |
| 21-Feb-2012 | Rs. 350 - 360 | Rs. 3700 - 3800 (2 Lac) |
| 22-Feb-2012 | Rs. 350 - 360 | Rs. 3700 - 3800 (2 Lac) |
| 23-Feb-2012 | Rs. 320 - 330 | Rs. 3200 - 3300 (2 Lac) |
| 24-Feb-2012 | Rs. 335 - 340 | Rs. 3300 - 3400 (2 Lac) |
| 28-Feb-2012 | Rs. 280 - 290 | ---- |
| 29-Feb-2012 | Rs. 320 - 330 | ---- |
| 01-Mar-2012 | Rs. 360 - 365 | ---- |
| 02-Mar-2012 | Rs. 360 - 365 | ---- |
| 05-Mar-2012 | Rs. 400 - 410 | ---- |
| 06-Mar-2012 | Rs.400 - 410 | ---- |
Multi Commodity Exchange of India Ltd MCX IPO Subscription Details:
| Date | Retail | QIB | Non Institutional | Employee | Overall |
|---|---|---|---|---|---|
| 22-Feb-2012 | 1.50 | 0.74 | 0.16 | 0.00 | 0.91 |
| 23-Feb-2012 | 6.91 | 3.68 | 1.88 | 0.05 | 4.48 |
| 24-Feb-2012 | 24.14 | 49.12 | 150.35 | 0.18 | 54.13 |
Multi Commodity Exchange of India Ltd MCX IPO Basis of allotment:
MCX METAL & ENERGY Multi Commodity Exchange of India Limited Our Company was originally incorporated as a private limited company
under the Companies Act, 1956, as amended (the "Companies Act") on April 19,2002
as Multi Commodity Exchange of India Private Limited. Subsequently, we were converted into
a public limited company and consequently our name was changed to Multi Commodity Exchange
of India Limited on May 16,2002. We received a fresh certificate of incorporation dated
May 28,2002 from the Registrar of Companies, Maharashtra ("RoC") upon change of
name. For details of change in name and registered office, see the sections titled
"General Information" and "History and Certain Corporate Matters" on
pages 67 and 169 respectively, of the Prospectus. Promoter of our Company: FINANCIAL TECHNOLOGIES (INDIA) LIMITED PUBLIC OFFER OF 6,427,378 EQUITY SHARES OF RS. 10 EACH OF MULTI COMMODITY EXCHANGE OF INDIA LIMITED ("MCX" OR "OUR COMPANY") THROUGH AN OFFER FOR SALE BY FINANCIAL TECHNOLOGIES (INDIA) LIMITED, STATE BANK OF INDIA (EQUITY), GLG FINANCIALS FUND, ALEXANDRA MAURITIUS LIMITED, CORPORATION BANK, ICICI LOMBARD GENERAL INSURANCE COMPANY LIMITED AND BANK OF BARODA (THE "SELLING SHAREHOLDERS") FOR CASH AT A PRICE OF RS. 1,032 PER EQUITY SHARE AGGREGATING TO RS. 6,633.05 MILLION (THE "OFFER"). THE OFFER COMPRISES A NET OFFER OF 6,177,378 EQUITY SHARES TO THE PUBLIC AND A RESERVATION OF UP TO 250,000 EQUITY SHARES FOR THE ELIGIBLE EMPLOYEES. THE OFFER WOULD CONSTITUTE 12.60% OF THE POST OFFER PAID-UP EQUITY CAPITAL THE NET OFFER WOULD CONSTITUTE 12.11 % OF THE POST OFFER PAID-UP EQUITY CAPITAL In terms of Rule 19(2)(b)(ii) of the Securities Contracts (Regulations) Rules, 1957, as amended ("SCRR"), this was an Offer for at least 10% of the post-Offer capital where the post-Offer capital of our Company calculated at the Offer Price will be more than Rs. 40,000 million. The Offer was made through the 100% Book Building Process wherein at least 50% of the Net Offer was Allotted on a proportionate basis to Qualified Institutional Buyers ("QIBs"). 5% of the QIB Portion (excluding the Anchor Investor Portion) was available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the QIB Portion was available for allocation on a proportionate basis to all QIB Bidders, including Mutual Funds, subject to valid Bids being received at or above the Offer Price. Further, not less than 15% of the Net Offer was available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Net Offer was available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price. Further, 250,000 Equity Shares were reserved for allocation on a proportionate basis to the Eligible Employees, subject to valid Bids being received at or above the Offer Price. The Company has Allotted 926,606 Equity Shares of the QIB Portion to Anchor Investors on a discretionary basis in accordance with the SEBI Regulations. The Offer received 435083 applications for 293587548 equity shares resulting in 45.68 times subscription. The details of the applications received in the Offer from Qualified Institutional Buyers, Non-Institutional Bidders, Retail Individual Bidders, Eligible Employees and Anchor Investors are as under: (Before technical relectlons)
Final Demand
The Basis of Allotment was finalized in consultation with BSE on March 7,2012. A. Allotment to Eligible Eployees (Attar Technical Reaction) (Including ASBA
Applications) B. Allotment to Retail Individual Bidders (After Technical Rejection) (Including
ASBA Applications)
C. Allotment to Non Institutional Bidders (After Technical Rejection)
(Including ASBA Applications)
D. Allotment to QIBs (After Technical Reactions) (Including ASBA Applications)
E. Anchor Investors The Compny Allotted 926,606 Equity Shares to 12 Anchor Investors in consultation with
the BRLMs who have bid at the Offer Price of Rs 1,032. This represents 30% of the portion
earmarked for Allotment to Qualified Institutional Buyers. Commencement of Trading: The Equity Shares Allotted to successful applicants have been credited on March 7,2012 to the beneficiary accounts subject to validation of the account details with the depositories concerned. The Company is taking steps for completion of the necessary formalities to get the Equity Shares admitted for trading on the BSE within twelve Working Days from the Bid/Offer Closing Date. Note: All capitalized terms used and not defined herein shall have the respective meaning assigned to them in the Prospectus dated February 29,2012 filed with the Registrar of Companies, Maharashtra ("Prospectus") INVESTORS PLEASE NOTE: The details of the Allotment made would be hosted on the website of Registrars to the
Offer, Karvy Computershare Private Limited at http://karisma.karvy.com
Karvy Computershare Private Limited
TOLL FREE-HELPLINE NUMBER 1-800-3454001 THE LEVEL OF SUBSCRIPTION SHOULD NOT BE TAKEN TO BE INDICATIVE OF EITHER THE MARKET PRICE OF THE EQUITY SHARES ON LISTING OR THE BUSINESS PROSPECTS OF MULTI COMMODITY EXCHANGE OF INDIA LIMITED Multi Commodity Exchange of India Limited is proposing, subject to market conditions and other considerations, an initial public offer of its equity shares and has filed the Prospectus with the Registrar of Companies ("RoC-). The Prospectus will be available on the website of SEBI at www.sebi.gov.in and the respective websites of the Book Running Lead Managers ("BRLMs") at www.edelwissfin.com, http://www.online.cltlbank.co.in/rhtm/citigroupglobalscreen1.htm and www.morganstanley.com/ india offer documents. investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see the section titled "Risk Factors" on page 15 of the Prospectus. This advertisement may not be published or distributed in the U.S., Canada or Japan and is not an offer or solicitation of an offer for sale of securities in the U.S. These securities have not been and will not be registered unter the U.S. securities Act of 1933, as amended, and may not be offer or sold in the U.S. absent registration or an exemption from registration under such act". |
Forecasts for Multi Commodity Exchange of India Ltd MCX IPO
| Type | Forecast |
|---|---|
| Subscription | » It may subscribe 20 to 25 times in the retail segment. » QIB Portion can subscribe up to 45 to 55 times. » It may subscribe up to 100 times in the HNI category. |
| Allotment | » Retail investor (Rs. 2 lac application) should get 10 to 15 shares. |
| Listing | » Price can go up to Rs. 1350 to 1450 after listing. |
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