Cox and Kings IPO – Should You Invest?

Organization profile: The Cox and Kings brand has developed through more than 250 years of history and today is one of the perceived occasion marks that take into account the general travel needs of an Indian and International explorer. Cox and Kings (India) Limited has won a few grants and acknowledgment for its administration. Their business can be comprehensively classified as Leisure Travel, Corporate Travel, Forex and Visa Processing. Cox and Kings likewise give esteem included administrations viz., altering trip gets ready for our NRI clients, travel courses of action for Trade Fairs, giving private air contract administrations, and so forth. Furthermore, we offer travel related remote trade and installment arrangements.

Cox And Kings have worldwide nearness with their operations in 19 nations other than India through their backups, branch workplaces and agent workplaces. They have auxiliaries in UK, Australia, New Zealand, Japan, US, UAE, Singapore and Hong Kong. They additionally work from Moscow (Russia), Maldives and Tahiti through their branch workplaces and Spain, Sweden, Germany, Italy, France, Taiwan, South America and South Africa through their agent workplaces. The organization is a shareholder individual from Radius Inc, which is a consortium of driving travel operators around the globe. On the universal guide, Cox and Kings has its nearness additionally through these 90 Radius individuals from more than 80 unmistakable nations over the globe with more than 3,600 areas.

A few motivations to put which are supportive of Cox and Kings:
o Cox and Kings Brand has developed over a time of 250 years and is one of the most established brands in the Travel and Tourism industry today.
o They are driven by an accomplished administration amass that has worked and has been connected with the travel business for a long time and has the required aptitude, ability and vision to keep on expanding our business in new markets.

o They have worldwide nearness with their operations in 19 nations other than India through our auxiliaries, branch workplaces and agent workplaces.

A portion of the adversely measuring reasons:
o The organization development will rely on upon their capacity to support their image and inability to do as such will negatively affect their capacity to contend in this industry.

o The organization is working in topographies/abroad markets and items/administrations which are different to them and some of their auxiliaries and joint endeavor have not yet initiated business operations.
o The universal way of their business opens them to a few dangers a considerable lot of which are outside their ability to control

Dangers Involved:

o The Company and their Associate Company are included in various lawful and administrative procedures that, if decided against the Company, could have a material unfavorable effect on their Company.
o The Company had negative trade streams out late fiscals.

o Their 10 bunch organizations have brought about misfortunes and 6 bunch organizations had negative Net Worth before.
o The Travel and Tours Industry is recurrent and delicate to changes in the economy and this could significantly affect our operations and monetary results.

o They have in the most recent 12 months, issued Equity Shares at a value that could be lower than the Issue Price.
Goal of the IPO:

As a feature of their development system they need to expand their nearness and compass in India and abroad by seeking after natural and inorganic development with viable and proficient usage of the assets accessible to them.

The Objects of the Fresh Issue are to give subsidizing to the accompanying:

1. Reimbursement of Loans
2. Acquisitions and Other Strategic Initiatives
3. Interest in Overseas Subsidiaries
4. Interest in Corporate Office and Upgrading our current Operations
5. General Corporate Purposes
6. Meeting Fresh Issue related Expenses

A few statistical data points:
Begin Date: 18 Nov 2009
End Date: 20 Nov 2009
Issue Size: 15752160
Value Band (Rs.): 316.00 – 330.00
Market Lot: 20
Least Bid Qty: 20
Most extreme Bid Qty: 15752160