THE FOLLOWING IS THE MALL VIDEO WHICH IS ABOUT TO OPEN:

I wonder how courts approved the merger ratio between the company and Bombay Paints
even a blind person can see that this is a rip-off

Jaishrikrishna
Has the mall opened?

Originally posted by Jaishrikrishna THE FOLLOWING IS THE MALL VIDEO WHICHd IS ABOUT TO OPEN: http://www.youtube.com/watch?v=-v5ktSwstuA

How much rental income the company is getting from the mall...?

According to Ashsih Chugh in Nov 2007:

This company has a mall in Kandivali, which has an area of about 1.25 lakh square feet, Big Bazaar and Cinemax are the current anchors there. They last year derived a revenue of about Rs 5.2 crores as leased rental from this mall. The construction for Phase II of this mall is going on and it is likely to be completed by May-June of next year. So total area of the mall after Phase II would be about 4.25 lakh square feet. Then they have got another 2 lakh square feet coming up under Phase III, which is likely to be completed in the last quarter of FY08-09.
So with the completion of all the three phases, this company will have close to 6.25-lakh square feet area. This company has decided to use that lease model for revenues rather than selling the area. So assuming a lease rental of about Rs 75, I am told the rentals there would be close to Rs 125. But just to be on the conservative side, assuming the anchors would pay less rental and the other people would pay more rentals. So assuming a rental of about Rs 75 square feet, this would translate into annual rental income of close to Rs 50 crores, the current marketcap of this company is just about Rs 200 crores. The revenues from metal finishing business are close to Rs 150-155 crores along with the profit of about Rs 8 crores from that business.
So at the current valuation, the stock looks undervalued given the Rs 50 crores per annum inflows from leased rentals after two years. This company also have has a 51% subsidiary called Poona Bottling Company. It was earlier the bottler for coke in Poona, it closed down operations in the year 2001. It has four acres of land in Poona and this company is building an IT Park there for which they have already submitted plans to the municipal authorities and they are waiting for approval of their plans. So revenues from this IT Park would be additional bonus for the company.