I dont the person who send me this info (most probably copied from moneycontrol or some site), but it is looking interesting:

Q1. Whether application for IPO should be made ?

A. Purely on fundamentals, issue is aggressively priced and better plays are available in the secondary market. However, from listing gain and short term view, in view of grey market premium of Rs.340 per share, application can be made.



Q2. At what price, share is likely to get issued ?

A. Price band is between Rs.405 to Rs.450 per share, with a discount of Rs.20 per share, to retail investors on price discovered. Looking at the response, it is certain that book is likely to get discovered at Rs.450 per share. Effective cost to a retail investor would be Rs.430 per share, after Rs.20 discount.



Q3. Likely subscription levels in each category ?

A. Q1B is likely to evoke about 150 times subscription while Non-Institutional category (HNI), by about 200 times with retail category, by about 7 to 7.5 times.



Q4. What is the limit for number of shares for which application can be made in the retail category ?

A. For a minimum of 15 shares with multiple of 15 shares thereafter with a maximum of 225 shares.



Q5. In retail category, will I get fully paid-up or partly paid-up shares ?

A. If retail portion gets subscribed by over 3.74 times, it is certain that fully paid-up shares would be issued after adjusting excess application money, towards allotment. Alternatively, if in some category more than 27% shares are allotted, than what has been applied for, the partly paid share would get allotted. For example, if 60 shares are applied and 15 shares are allotted, in such a situation, fully paid-up shares would be issued. Alternatively, if 15 shares are allotted on 45 shares applied, than, partly paid shares would be issued.



Q6. Is HNI category going to get partly paid shares allotted ?

A. No way, as this category is likely to get subscribed by more than 4 times and hence, only fully paid-up shares would get issued.



Q7. Is it advisable to apply for partly paid or fully paid shares in retail category ?

A. Since, facility of part payment is given under Method I, whereby, only Rs.115 per share is required to be paid, it is advised to opt for partly paid-up shares. Since subscription in this category is likely to be above 4 times, it is likely to get fully paid-up shares.



Q8. What is the allocation of shares in various categories ?

A. The IPO size is for 26 crore equity shares, of which 3.20 shares is being subscribed by the promoters with net offer to the public of 22.80 crores shares. Of this, QIB reservation is for 13.68 crore shares being 60%, HNI reservation of 2.28 crore shares being 10% and Retail portion of 6.84 crore shares being 30%.



Q9. What is the grey market premium ?

A. Presently, it is ruling at Rs.340 – Rs.345 per share, with application premium of around Rs.6,200 per application. The share premium at one time went upto Rs.460 while for application, it touched Rs.11,800 per application.



Q10. How many shares does one need to apply for certain allotment ?

A. In retail category, it could be about 150 shares, because, if issue gets subscribed by about 10 times in Retail, 15 shares would get allotted on firm basis. In HNI category it could be for 3,000 shares as 15 shares may get allotted, if it subscribes by close to 200 times.



Q11. In retail category, limit of Rs.1 lakhs shall be calculated on nominal value of shares or amount paid per share on application.

A. It shall be calculated taking share price at Rs.430 per share (upper band of Rs.450 less Rs.20 discount) and in multiples of 15 shares, which results in maximum of 225 shares. On this quantity, one needs to pay Rs.25,875 at Rs.115 per share.



Q12. Is it advisable to apply in HNI category after availing margin funding ?

A. One would apply by availing margin funding for 1 lakh shares and above. To apply for 1 lakh shares, one needs to pay Rs.115 lakhs, which could be paid with Rs.6 lakhs as margin money and Rs.109 lakhs as finance. This could be availed on an interest of 20% p.a. and interest burden would be for about 16 days, which would cost Rs.95,000. If issue gets subscribed by about 200 times, 500 shares would get allotted, which shall give a gain of Rs.1,70,000, considering grey market premium of Rs.340 per share. On net basis, one could earn Rs.75,000 on one’s own investment of Rs.6 lakhs. This return would rise or fall if issue subscribes by less or more than 200 times, considered here.



Q13. Subscription levels of each category would be considered separately or on combined basis ?

A. It would be considered on separate basis for each category.



Q14. Expected listing price ?

A. Taking cue from present grey market premium of Rs.340 per share, it is likely to be around Rs.790 to Rs.800 per share.



Q15. When refund would be received ?

A. By 7th February.



Q16. When the shares would get listed ?

A. In the week beginning 11th February.



Q17, One should exit on listing or should one have a long term view ?

A. If share gets listed above Rs.800 per share, it is advised to sell on listing, as share price would fall close to Rs.700 per share, in couple of months, post listing.



Q18. What will be the stake of Reliance Energy in Reliance Power, post IPO ?

A. 45%.



Q19. Is it not advisable to buy the shares of Reliance Energy instead of Reliance Power ?

A. If Reliance Power gets listed at Rs.800 per share, its market capitalization would be Rs.1,80,000 crores. 45% of this, works out to Rs.81,000 crores, which would be the value of investments held by Reliance Energy apart from its business of EPC, contracting and Realty Development . The present market capitalization of Reliance Energy is close to Rs.55,000 crores and logically it should go up, even after considering the fact that minority stake held by a company does stake held by a company does not get full valuation.



Q20. What will be the first year of commercial operation for the company ?

A. Not before 31st March 2010 and hence may be FY 2011, for the year ended 31st March, 2011 and that too for a part of the capacity.



Q21. What has been promoters contribution ?

A. 200 crore equity shares of Rs.10 each were acquired at par while 3.20 crore equity shares, are being acquired at the price at which it is being issued to the public. Promoters have paid Rs.450 per share, for these 3.20 crore shares.



Q22. What is the total promoters’ contribution ?

A. Its Rs.3,440 crores for about 90% stake.



Q23. What is the net issue size ?

A. Its Rs.10,123.20 crores for 10% of post IPO capital, after netting off discount of Rs.20 per share, on 6.84 crore shares, offered to Retail investors.



Q24. The extent of overpricing for “Reliance” tag ?

A. Anybody’s guess.

Not Bad Dude. Should have posted yesterday only. Thanks anyways.