Financial Daily from THE HINDU group of publications
Friday, Oct 21, 2005
Financial Daily from THE HINDU group of publications Friday, Oct 21, 2005 |
|
|
|
|
|
|
|
Corporate
-
Announcements Markets - IPOs Vikash Metal aims to raise Rs 25 cr from IPO Our Bureau
New Delhi , Oct 20 THE Kolkata-based Vikash Metal & Power Ltd (VMPL) has charted out a Rs 134-crore expansion plan to set up an integrated steel project for manufacturing long-steel products used in the construction and infrastructure sectors. The company will tap the capital market with its maiden public issue next Monday. The Chairman, Mr V. K. Patni, told newspersons today that the issue is aimed at raising Rs 25 crore to part-fund its expansion. The net offer to the public is 1.25 crore equity shares with a face value of Rs 10 each at a premium of Rs 10 per share, aggregating Rs 25 crore. While the promoters will be chipping in with Rs 34 crore, the remaining would come by way of term loans, he said. The company will be setting up a plant in Purulia in West Bengal. It also plans to put up a 10 MW power plant that would make use of waste heat generated in the steel-making process. The complex will include a billet casting plant, a steel rolling mill, and a ferro manganese plant. "The expansion of the sponge iron unit to 1.3 lakh tonnes a year, from 65,000 tonnes now, would incur an investment of Rs 39 crore whereas the captive power plant would require another Rs 38 crore," Mr Patni said. The company has earmarked 10 per cent of the equity for qualified institutional buyers. This would be the second IPO from the group after Impex Ferro Tech Ltd went public earlier this year. The company plans to list the issue on the BSE and the NSE, Mr Patni said.
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | The Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2005, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|
