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Subscribe to Powergrid Corporation IPO

September 10, 2007

Investors can blindly subscribe to the IPO of Powergrid Corporation India Ltd [PGCIL] at Cut Off price. Powergrid is into the Power Transmission business and controls over 45% of the Indian market. It has transmission lines of 61,875 Kms.

Proceeds of this IPO will be utilized in the forthcoming 15 power line transmission projects. With tremendous thrust for the Power sector in India, PGCIL is all set to cash in on this boom.

The IPO is roughly of Rs 1,000 crore to the Retail Indian investor. Even if the IPO is subscribed 15 times, you still stand to get 125 shares. We recommend investors to subscribe to the issue. Grey market premium is just Rs 10. But PGCIL is more of a long term story so invest and HOLD tight for the next few years.

Here are PGCIL Recommendations – One and Two.

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