The wires and cables industry is projected to grow at a CAGR of 11% and is a direct beneficiary of development of power generation, distribution and infrastructure
HARIDWAR, Feb 19 (The CONNECT) – Haridwar-based Wires and Cables manufacturer V-Marc India Ltd has filed its draft red herring prospectus with the regulator for an Initial Public Offering of 68,40,000 equity shares of face value of Rs 10 per equity share.
The proposed equity shares are to be listed on the Emerge Platform of the National Stock Exchange.
The company plans to raise about Rs. 25 - 30 crores, according to market sources. The company may do a private placement of 8,40,000 equity shares in consultation with the Book Running Lead Manager.
The company intends to utilize the net proceeds from the issue to fund the capital expenditure for its Rs 15-crore manufacturing facility at Roorkee, Rs 5 crore for working capital requirements and balance for general corporate purposes.
The company has an operating history of around 15 years and manufactures and markets BIS and CE certified wires and cables under the brand name V-MARC. In FY 20 the company had a revenue from operations of Rs 171.24 cr with an EBITDA of Rs. 13 04.95 lakhs and crores and PAT of AT Rs4.6 crores.
The wires and cables industry is projected to grow at a CAGR of 11% and is a direct beneficiary of development of power generation and distribution and infrastructure and comprises a share of 40% of the electrical industry in the India.
The issue is lead managed by Pantomath Capital Advisors Limited. SME market which saw a lull in the past two years due to the market conditions and economic scenario, is gearing up once again to be revived with interesting companies filing for an IPO on SME Exchanges.
The past six months saw bumper listings of many large companies on the Main Board which indicates positive market sentiments and should be a boost for SME markets as well in the coming year.