How does the company look on valuation front?

Can it be a mulitbagger?


Mumbai, June 23

Cable Corporation of India will develop 3.5 million sq ft of residential and commercial space at Borivali on the outskirts of Mumbai.

The Rs 1,000-crore project will be commissioned on a 22-acre land parcel where the company used to make high voltage cables. . The factory is in the process of being shifted to a unit in Nashik which makes low voltage cables.

Mr Hiten A. Khatau, Chairman and Managing Director, told Business Line that there had been good response to the soft launch by the associate company - CCI Projects - which is promoting the project. It has received 172 bookings for about two lakh sq ft. Asked if plans were under way to develop the land bank held by the Khatau family, he said the company was also looking for acquisitions and the real estate business would form another revenue stream. Revenues expected from this project are close to Rs 2,500 crore over seven years.

On project funding, Mr Khatau said the company had tied up with HDFC for construction finance and the balance would come by way of equity of about Rs 30 crore for the first phase, besides internal accruals.

Mr Harjith Bubber, Managing Director, CCI Projects, said the project had been designed by US-based architect firm, Gensler. It has been conceived as a mixed-use development with retail, commercial, hospitality, entertainment and cultural elements.

The entire project will be completed in phases over five-seven years, with the first phase (part of the residential development) expected to be ready within 36 months. The total residential component of the project would be two million sq ft, commercial 2-3 lakh sq ft and retail 0.75 million sq ft. The initial bookings made for the residential segment were at prices between Rs 6,750 and Rs 7,650 a sq ft, he added.

Mr Khatau said the plant and machinery of the Borivali facility would be shifted to Nashik within 12 months. There would be a three-month lag in high voltage cable production, but the company would make good the drop by ramping up its low voltage cable capacities. Forty-seven employees had accepted the voluntary retirement scheme offered last month, he added.

Mayur Uniquoters, Manjushree techno and now Grauer great going Hitesh. Grauer is crossed its earlier high of 85 and looks like soon it will cross 100 good volume.

In these kindd of stocks there is no value hidden, it's being discovered and priced as soon as Ashish Chug recommends it.

Let us not promote the front runners on TED.