Swan Mills: The Swan Spreads It's Wings

Swan Mills: The Sublime Beauty Of A Swan Spreading It's Wings

BSE 503310; CMP Rs 129

 

Closely held Mumbai based Swan Mills could become a major Real Estate play over the next few months. The stock has all the attributes to fly, the Equity is cornered with 5 shareholders including the Promoters holding 90 per cent of the Equity.

 

The owners include marquee names like UBS Securities Asia with 3.5 per cent and Bear Stearns (BSMA) owning 1.55 per cent, the Promoters with 80 per cent, Anil Gandhi HUF (1.05 per cent) & Tirupati Agencies ( 4.31 per cent).

 

The following is the roster for growth:

 

A.Realty in Mumbai:

Swan Mills is developing its two properties in Mumbai into Residential and Commercial complexes, with approx 70 per cent of the area under development at Sewri having been sold till date.

B.Commercial Project in Ahmedabad:

The project is to acquire and redevelop an existing structure in the city of Ahmedabad where total commercial development of around 5 lacs saleble sq. ft. is possible. The property has been acquired in the name of a SPV registered in Gujarat. The final projections are under preparation and expected to be finalized by and of this financial year.

C.Development in Goa:

Swan Mills has entered into an MOU to acquire approx 100 acre land in Goa from private owners to develop Special Sector - IT SEZ. However, the entire project is in the initial stage, once the acquisition process is completed, the Company will have a final projection for the development.

D.Textile Processing Unit:

The Company has acquired land in Ahmedabad with a plan to put up a Textile Fabric Processing unit. The project is under in house technical feasibility study considering with or without benefit of TUF and in the meanwhile, the Company has approached financial institutes for the necessary financial assistance. It is expected to have the final decision on this activity by and of this year.