>ICSA India Limited (HEM SECURITIES)

Recommendation: ICSA India Limited has registered a robust growth rate over past few years. The company has a strong order book position of more than INR 700 Crores which provides a strong visibility to the revenues. The company is trading at a very low PE of around 1.5X. We expect the company to outperform in the future and we reiterate “BUY” on the stock with a Target of INR 348.00.

Highlights/Recent Updates

ICSA to acquire US power company
ICSA India Limited is keen on acquiring a power firm in the US with an investment of $20-30 million. The company is planning to acquire a power sector player with front-end marketing capabilities to tap the $16 billion power transmission and distribution infrastructure spends being planned by the US government in the coming years.

ICSA India Limited got approval to set up Wind Project
ICSA India Limited has been permitted by the Board of Non-Conventional Energy Development Corporation of Andhra Pradesh Limited (NEDCAP) to set up a 20 MW Capacity Wind power project in Andhra Pradesh.

ICRA assigns LA+, A1 to fund based, non-fund based limits
ICRA assigns the ratings of LA+ and A1 for INR 2,300 million funds based and non fund based limits of ICSA India Limited. ICRA has also assigned rating of A1 to the short term non fund based limits indicating lowest credit risk in the short term.

To see full report: ICSA