Nasik based Prakash Constrowell Limited has informed the share market(BSE/NSE) that they have planning to enter capital markets with its initial public offer (IPO) of —- shares of Rs 10 each comprises Rs 60 crore. The company has filed a Draft Red Herring Prospectus (DRHP) with market regulator Securities and Exchange Board of India (SEBI) for the same. The premium to be decided via 100% book building process. The IPO price band has not been decided yet. Prakash Constrowell is engaged in the business of infrastructure development and civil construction. It provides EPC services and undertakes projects for various government /semi-government bodies and other private sector clients.
The proceeds of the IPO will be used by the company to meet working capital requirements (Rs.35 Cr); to invest in construction equipments (Rs.9.3 Cr); invest in subsidiaries (Rs.2.34 Cr) and other corporate purposes.
Promoters of the company are Prakash Laddha and Aruna Laddha and they together holds 98.05% stake in the company.
The equity shares of the company are proposed to be listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).
As on March 2011, the company’s order book stood at Rs.117.20 Cr of which 80% order constitutes of civil construction, 13% Infrastructure construction and 7% of real estates.
Company reported total revenue of Rs.115.9 Cr in FY2010 with PAT of Rs.8.05 Cr, whereas for the period of nine months ending December 2010, it posted total revenue of Rs.102.13 Cr with net profit of Rs. 8.52 Cr.
The Sole Book Running Lead Manager to the Issue is Intensive Fiscal Services Limited.
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