In around June 2007, Bhilwara Energy allotted 8% stake in Bhilwara energy for 120 Crores. Remember from June 2007 only, bull market begin. That is sensex rose from 16000 to 21000 and fell from there. So June 2007 valuation for Bhilwara Energy was Rs.1500 Crores. RSWM holds nearly 24 % and so it can be assumed as 350 crores. Dividing by 2.3 crore number of shares, each share of RSWM is having Rs. 150. Bhilwara Energy should be completing 192 megawatt hydro power by now and it should valuation should increase from 1500 crore level. So invest and stay calm till IPO comes for BEL. Then you will reap the benefit.

in 2006-07,most infra equity investors, including a large private bank, and someof the largest private equity investors gave a best case valuation of 600 cr to mallana power (later bhilwara energy). later a non specialist investor, wachovia, invested at a valuation of around 1200 cr (post money), thereby according 300 cr to the 25% holding by RSWM. tomtomming this info and taking the advantage of the dying days of the bull market, the promoters and some operators took the price to as high as, i think 230, in december 2007. after that it has never seen those prices. now, the bull is back again. the textile business is waaaay bad, and perhaps does not have much equity value. now if you realistically price bhilwara power at even 750 cr, 25% stake gives 187 cr. the market cap of the co. is ~ 250 cr, giving eq value of textile business of ~60 cr, which is anybody`s guess. so fools like me, who entered in 07, at 140-170 level, have no choice but hold till the price comes and exit with the ego intact. for the rest, if you generally like adrenaline bursts from gambling, do your stuff as you please.

Sir,

Do you think that rswm seems difficult to reach again Rs.240 level.

When is the 3rd quarter result?

28th January 2010.
Expecting impressive results, with healthy figures.
Let us see.

Kushhal

Logicaly as well as fundamentally very sound scrip....
but TECHNICALY around 105/110 is very important level.
If 110 level passed than easily your target will be achived without faill.
And there after if possitive new all time high Rs.350+ sure

dear, how much stock do u hold. yesterday even after the news that ifc is picking a stake in bhilwara power came out the stock did not move, what do u expect. its a dead stock. dont excite people into buying it

Jab koi phool khilta hai aawaz nahi aati,
khoosbu... hi khoosbu.... maheki rahe,
mahekti rahe.....
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Just feel the fragrance of profit.

dear roxxy,
that exactly is the difference between a fundamentally good stock and an operator driven stock.

2008 might have seen RSWM less than 30, but 100 is not at all high for RSWM.

You will see that RSWM price leapfrogging soon.
Kushhal