Religare - Power Grid IPO

Religare believes at the lower band of Rs 44, Power Grid is available at a P/E of 17x on FY07 and 10x on FY08E (based on Q1FY08 annualised EPS) and at 20x and 12x at the upper band of Rs 52 (diluted basis).

The current BV/share is Rs 30.5 adjusted for the dilution and Q1FY08 PAT; the Price/BV is thus 1.4x and 1.7x on Rs 44 and Rs 52 respectively. Subscribe.