Dredging Corp

Vijay Chopra, MD & CEO of Enoch Ventures recommends buying BHEL, ITDC, JSPL and Dredging Corporation of India.

DCI has been carrying out the maintenance dredging works for Kolkata Port channels for the past 30 years, awarded on nomination basis by the government.

The government is selling up to 14 lakh shares, representing 5 per cent of stake in the company, through an Offer for Sale (OFS).

Shares of Dredging Corporation of India today closed at Rs 387.30 per unit, down 4.75 per cent on BSE. Thus, at today's closing price the government could raise about Rs 53.48 crore from the stake dilution.

The floor price of Rs 315 a share implies an inexpensive valuation of less than 1 time of FY17 book value, which is an attractive entry point for long-term investors, broker Indiainfoline wrote in a note to clients on Wednesday.

Finance Minister Arun Jaitley, in the Budget for 2015-16, is likely to target around Rs 43,000 crore from disinvestment proceeds, almost the same level that the government expects to realise from stake sale in public sector undertakings or PSUs this fiscal year.

The move is part of the government's efforts to raise revenue as it scrambles to meet part of a near $10 billion share sale target by March 31, when the current fiscal year ends.

Shares in state-run companies MMTC, Hindustan Copper and Dredging Corp of India surged 8-11 per cent on hopes the government would initiate stake sales in these companies.

Dredging Corporation of India Ltd has informed BSE that the Register of Members & Share Transfer Books of the Company will remain closed from August 19, 2010 to September 08, 2010 (both days inclusive) for the purpose of Payment of Dividend & 34th Annual General Meeting (AGM) of the Company to be held on September 08, 2010.

Vijay Chopra, MD & CEO of Enoch Ventures recommends buying BHEL, ITDC, JSPL and Dredging Corporation of India.

DCI has been carrying out the maintenance dredging works for Kolkata Port channels for the past 30 years, awarded on nomination basis by the government.

The government is selling up to 14 lakh shares, representing 5 per cent of stake in the company, through an Offer for Sale (OFS).

Shares of Dredging Corporation of India today closed at Rs 387.30 per unit, down 4.75 per cent on BSE. Thus, at today's closing price the government could raise about Rs 53.48 crore from the stake dilution.

The floor price of Rs 315 a share implies an inexpensive valuation of less than 1 time of FY17 book value, which is an attractive entry point for long-term investors, broker Indiainfoline wrote in a note to clients on Wednesday.

Finance Minister Arun Jaitley, in the Budget for 2015-16, is likely to target around Rs 43,000 crore from disinvestment proceeds, almost the same level that the government expects to realise from stake sale in public sector undertakings or PSUs this fiscal year.

The move is part of the government's efforts to raise revenue as it scrambles to meet part of a near $10 billion share sale target by March 31, when the current fiscal year ends.

Shares in state-run companies MMTC, Hindustan Copper and Dredging Corp of India surged 8-11 per cent on hopes the government would initiate stake sales in these companies.

Dredging Corporation of India Ltd has informed BSE that the Register of Members & Share Transfer Books of the Company will remain closed from August 19, 2010 to September 08, 2010 (both days inclusive) for the purpose of Payment of Dividend & 34th Annual General Meeting (AGM) of the Company to be held on September 08, 2010.