i Develop Stocks Advisory

Bombay Dyeing Our Jackpot Call on 10 April 2008 @ 600 touch today @ 1064 70% Return within 20 Days ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ The insider trading rules will not allow any company to confirm any corporate development which will have major bearing on the stock prices ahead of actual announcement officially by its board of directors. This goes well with Bombay Dyeing also. Nobody can take away the credit of breaking story of Bombay Dyeing belongs to Cni team. It is for sure Bombay Dyeing is developing close to 10 mn sq ft land in Mumbai and sources claim that the booking of Dadar Project has already started. It was Rs 9000 to begin with where most of the deals were reported intra gr companies or close friends but for commercial booking the rate could be as high as Rs 28000 per sq ft. We first imitated buy call in Bombay Dyeing at RS 510 which really doubled in less than 3 months pre crash of Jan 2008. Well the stock price corrected back to Rs 580 but we maintained our buy call in B Dyeing all along with our conviction and yes the stock has outperformed and lost entire grounds. It has pride among very few stocks to cross its 52 week high. Now media has reported management denial of hiving of realty division. However the fact remains that the company recently disclosed to the stock exchanges that Perman Project Supports Ltd and Bombay Burmah Trading Corp Ltd have hiked stake in the company during March. Market grapevine has it that the management of Bombay Dyeing is considering de-merger of its real estate business into a separate company. We maintain that the realty profits will enter Bombay Dyeing Balance Sheet whether they de merge realty division or not. The value will change significantly if the de merger takes place yet the core value will not change materially even if the de merger does not happen. The board meeting for the accounts is likely to be held on May 26, 2008 but the real details of plans of the company may be unvailed in AGM to be some time in Aug by that time the stock could climb by another 30 to 40%. It is well said that market knows all and there can not be smoke without fire. Stock has appreciated by 71% in shortest possible time gives a clear lead to things to happen irrespective of management denial. We stick with our target of Rs 4600 in next 2 to 3 years and our report on this co is available. This will give you the calculations of FSI available and the resultant approximate consideration.