Engineers India FPO : Files DRHP With SEBI

by khalid on 18/06/2010 · 0 comments

Public sector undertaking Engineers India (EIL) was established in 1965 to provide design and engineering services for petroleum, power and fertiliser companies. The company has filed a Draft Red Herring Prospectus (DRHP) with market regulator SEBI to float its follow-on public offer (FPO). The company wants to raise money from primary market with an FPO of 33693660 equity shares of face value Rs 5 each, with a premium decided by the 100% book building process. The government is willing to divest 10% of its stake in the company which is 90.4% at present and all the proceeds of this FPO shall go to the government. The public offer is likely to hit the market by the mid of July this year.

The money raised by this proposed FPO would be around Rs 1100 – 1200 crore.

Engineers India has an equity capital of Rs 168.47 crore as of 2010 March. The face value per share is Rs 5. At the current price of Rs 323.55, the P/E multiple stood at 25.04 with book Value of 40.82 and P/BV at 7.93.

Book Running Lead Managers (BRLMs) to the offer are ICICI Securities as well as HSBC Securities and Capital Markets (India), IDFC Capital and SBI Capital Markets.

Related Posts Plugin for WordPress, Blogger...

Leave a Comment

Previous post:

Next post: