Sensex below 11000, Markets Crash Further!

After a massive 888 points intra-day swing yesterday, the Sensex today swung a huge 898 points, before ending with a loss of 453 points at 10,939.

The 30-benchmark index plunged 518.71 points below at 10,872.72 losing the 11,000 level an hour before the day's close.

Both the market indices the sensex and the nifty continued to play hide-seek with rising up to the green and slipping down into the red.

Experts say that there exists buying opportunity in the market for the long-term. Mutual Funds are sitting on huge money and they will look at investing into the markets, he says. But As of now for retail investors, wait watch seems to be the best thing to do. However investors can buy stocks like Reliance, Gujarat Ambuja Hindalco Industries to name a few for the long term.

Sensex-Biggest falls in the Indian stock market

Listed below are the 10 biggest falls in the Indian stock market history for Sensex:

1. May 18, 2006: The Sensex registered a fall of 826 points (6.76 per cent) to close at 11,391, it's biggest ever, following heavy selling by FIIs, retail investors and a weakness in global markets.

2. April 28, 1992: The Sensex registered a fall of 570 points (12.77 per cent) to close at 3,870, it's second-largest, following the coming to light of the Harshad Mehta securities scam.

3. May 17, 2004: Another Monday. Sensex dropped by 565 points, its third biggest fall ever, to close at 4,505. With the NDA out of power and the Left parties, part of the UPA coalition government, flexing their muscle, the Sensex witnessed its second-biggest intra-day fall of 842 points, twice attracting suspension of trading. At close, however, it regained some of its lost ground.

4. May 15, 2006: The market fell by 463 points to 11,822 points.

5. April 4, 2000: Sensex slumped by 361 points to 4,691.

6. May 12, 1992: Indian stock markets plunged 334 points to fall to 3,086.

7. May 14, 2004: Sensex lost 330 points to fall to 5,070.

8. May 6, 1992: Losing 327 points, the Sensex fell to 3,561 points.

9. April 12, 2006: Sensex loses at 11,356 points, having lost 306 points..

10. March 31, 1997: Indian stocks sink, with the Sensex losing 303 points to 3,361.

UNITY INFRAPROJECTS LTD-IPO

Issue Opens: 19 May, 2006
Issue Closes: 24 May, 2006
Issue Size : 3,343,000 (No. of Shares)

Lower Price Band : Rs.651
Upper Price Band : Rs.732

Application Multiple: 9 and in multiples there off starting with atleast 9 shares.
Maximum Shares: 135 (for Retail)

Information URL : http://www.unityinfra.com
Prospectus URL : http://www.sebi.gov.in/dp/unitydraft.pdf

ISSUE Description:
Unity Infraprojects Limited (UIL)
UIL is one of India’s leading engineering and construction companies. They provide integrated engineering, procurement and construction services for civil construction and infrastructure sector projects.

A highlight of their business is that they execute many projects on a turnkey basis and, in doing so, provide arrange of specialized construction and operational services, including electrical, plumbing, air conditioning etc.

UIL’s project expertise includes:
· Civil Construction Projects such as commercial and residential buildings, mass housing projects and townships, IT parks, airports, railway stations, stadiums, hotels, hospitals,universities etc.
· Transportation engineering projects ii, including roads, bridges, flyovers and subways
· Irrigation and water supply projects including dams, tunnels, lift irrigation projects and sewerage schemes

Major Clients of UIL include:
Airport Authority of India
National Sports Club of India
Municipal Corporation of Greater Mumbai
Delhi Development Authority
Andhra Pradesh Department of Irrigation
Assam Public Works Department

Key Strengths of UIL
· Over two decades of experience in the construction industry
· Ability to undertake projects both on turnkey and design-build bases
· ISO 9001:2000 certificate for quality management system applied by the company to their design and construction of civil projects
· Operations in diverse segments and geographies, helps in diversifying the risk of dependence on one segment/region
· A track record of timely completion of complex projects.
· Large and sophisticated fleet of construction equipment assets
· Experienced employee base and proven management team

Objects of the Issue
The objects of the Issue are to raise capital and to achieve the benefits of listing on the stock exchange, which the Company believes, will enhance the Company’s brand name and provide liquidity to company’s shareholders

The capital raised will be used for
· Investment in Capital equipment,
· prepayment/repayment of debt,
· equity investment in BOT (Build, Own, Transfer) projects,
· funding working capital margin requirements
· and general corporate purposes.

Key Financials:
For year ended March 31, 2005
Total Income : Rs. 270.6 Crores
Profit(Balance available for appropriation) :Rs.19.10 Crores
Adjusted EPS : Rs.11.87
RONW :26.73%
NAV per equity share :Rs.60.66

Recommendation:
The infrastructure and construction industry is expected to record a scorching pace of growth in the years to come.Looking at Unity Infraprojects key strengths, it is a good issue for the short as well as the long term investor