MUKESH BABU FINANCIAL SER Share price

MBFS was originally incorporated under the name and styleof M/s. Embee Finance and Consultancy Private Limited onFebruary 27th 1985. The name of the company was changed toMukesh Babu Financial Services Private Limited with effectfrom June 18th 1991. Subsequently it was converted to aPublic Limited Company by passing a Special Resolutiondated 15th October 1994 and a fresh certificate ofincorporation was obtained on 7th November 1994.MAIN OBJECTS OF THE COMPANYThe Main objects as contained in the Memorandum ofAssociation of the Company interalia include :a) To Carry on the business of capitalists financiersconcessionaires and to undertake carry on and execute allkinds of financial and monetary business operations (exceptbanking and insurance business under the Banking RegulationAct 1949 and The Insurance Act 1938) as are carried onby commercial financing houses shroffs creditcorporations merchant bankers factors trade and generalfinancers etc.b) To act as financial consultants management consultantsetc.PRESENT BUSINESSThe Company is at present engaged in the followingbusiness:A) MERCHANT BANKING MBFS has been registered as a Category I Merchant Bankerwith SEBI in July 1993. Since then it has been associatedas Lead Managers / Co-Managers / Advisors to 24 newissues/rights issues for an aggregate sum of Rs. 251.42Crores.MBFS also acts as underwriters to capital market offerings.The total underwriting commitments for the period betweenJuly 1993 and 30th September 1994 were Rs. 65.00 Crores.MBFS also renders other Merchant Banking related serviceslike Private Placement of shares Institutional PlacementsProject Appraisal and Marketing of Issues.B) INVESTMENT BANKINGThe Company is engaged in research based investment in sharesfor short term and long term periods. Its investment decisions arebased on experience of the group market inputs Research (inhouse). Its Research & Analysis Division uses sophisticatedtechniques for identification of scrips. The company''s associationwith M/s. Mukesh Babu a leading Stock Broking firm in Bombayalso helps in secondary market operations in providing tradinginformation about latest events in the Stock Markets.This division was one of the major contributors for theyear 1993-94 with income generation of Rs. 81.83 lakhs.C) EQUITY RESEARCH AND ANALYSISMBFS lays important emphasis on Research and has set up afull fledged Equity Research and Analysis Division. Theresearch division is supported by most up to date computersoftware and data on companies and industries. Qualifiedprofessionals man this division. The company''s in houseresearch material and reports are sent to both Indian andForeign Institutional Investors. Besides the company hasan arrangement with Reuters to report daily itsobservations on Indian markets on their Equity 2000 AsiaService Page MBIN MBIO and MBIR.D)FINANCIAL SERVICESThe range of services in Corporate Finance covers leasingand Inter Corporate Deposits (ICDs). The main thrust ofthe division is on ICDs. Interest income from ICD during1993-94 was for Rs. 38.79 lakhs. For the year 1993-94 ithas concluded lease business to the extent of Rs. 95.96lakhs.Besides MBFS has organised short and long term funds forvarious clients through Institutions/Banks or throughCorporates. It is an active player in Commercial PaperPlacements where it has done business of approx. Rs. 75Crores for clients like Bharat Forge Ltd. Kalyani SteelsLtd. Jindal Photo Films Ltd. Steel Cast Ltd. GujaratLease Financing Ltd. Dhampur Sugars Ltd. etc.SUBSIDIARIESMBFS has a subsidiary Mukesh Babu Securities Ltd. Thiscompany was incorporated on February 7th 1994 as MukeshBabu Securities Private Limited. The company was convertedinto a Public Limited Company as per the Provisions ofSection 43A (1A) of the Act with effect from 7th November1994. This company has been recently admitted as a memberof the National Stock Exchange of India Ltd. for trading inWholesale Debt Market Segment and Capital Market segment.It is one of the most active members in the Wholesale DebtMarket. Trading in the Capital Market Segment hascommenced in November 1994.