NSE-MANTRA

Sujana Towers-Power Play
BSE 532887; CMP Rs 51

Shares in Issue: 6.82 crore
Market Cap: Rs 347 crore
Cash In Hand (post GDR)-Rs 150 crore
FY09 Revenues-Rs 700 crore
FY09 PAT-Rs 32 crore
FY09 EPS-Rs 7.7
PE - 6
Fair PE-10
Fair Market Value-Rs 80

Backdrop FY08
INDUSTRY OVERVIEW:
Domestic

The economic acceleration has put significant pressure on the existing infrastructure, such as power, roads, ports, airports and railways. According to certain estimates, India being the fifth largest generator of power, positioned behind USA, China, Japan and Russia is expected to surpass Russia and Japan by 2030.

However, power generation has not been able to catch up with demand growth in recent years. The demand-supply mismatch has been an area of great concern and the Government of India is committed to bridging this gap. In order to achieve the 11th five-year plan targets, the Government has introduced new accelerated process for awarding ultra mega power projects (UMPPs) to the private sector. The Government has already planned 8 UMPPs of 4,000 MW each and this initiative is expected to help the Government achieve the target of adding 76,000 MW by 2021.