oil india ipo

oil india's IPO worth up to $570 million is fairly priced. this IPO will give very good return to investors. Oil India, the second state-owned firm to go public this year. IPO will open on monday. the price band is 950-1050 rupees for its shares. it's short term target is Rs 1200. CRISIL assigned an IPO grade of 4/5 to the issue, indicating above aversge fundamentals. company's strong position in the oil and gas exploration and producation space. the subsidy burden imposed on state energy companies could cap investors interest. Oil India's valuation at the higher end of the price band stands at $4 per barrel of oil equivalent (BOE) while ONGC trades at EV/2P multiple of $5.4 BOE. Both are below average valuations of $7-$8 BOE globally. Investors can subscribe this issue with 2 months time period.