- The issue’s QIB portion was subscribed 52 times the shares on offer.
- The issue received tepid response from retail investors with good interest from institutional investors.
- The issue consists of a fresh issue to the tune of ₹180 crore, an offer for sale up to 17,236,808 shares.
The issue received more interest from qualified institutional buyers (QIBs) and non-institutional investors than retail investors.
The issue consists of a fresh issue to the tune of ₹180 crore, an offer for sale up to 17,236,808 equity shares by shareholders.
Source: BSE
The company proposes to utilise the proceeds raised through the fresh Issue towards repayment or prepayment, in full or in part, of borrowings availed by the company from banks and financial institutions; and general corporate purposes.
The company sells products across two broad segments — wires and cables including house wires, industrial wires, power cables and special cables; and fast moving electrical goods including fans, lighting, switches and appliances.
It has five manufacturing facilities at Waghodia in Gujarat; Silvassa; Roorkee in Uttarakhand; Bengaluru; and Gagret in Himachal Pradesh. It has 7% market share in branded wires and cables market in India.
The company is growing at a compounded annual growth rate of 43.4% between FY21 and FY23, the company said in its RHP.
Apart from fluctuations in raw materials, forex fluctuations, union issues and inability to maintain distribution network, the company is also exposed to credit terms extended to customers, warranty claims, impact of counterfeits and product defects.
The company has undertaken 208 criminal cases and 32 tax proceedings and the aggregate amount involved is ₹46.1 crore. It has seven tax proceedings and one statutory/regulatory proceeding which involves an amount of ₹6.8 crore. They are pending at different levels of adjudication, the RHP says.