The Hindu Business Line : Pest Management plans public issue

Chennai, Jan 30 Pest Management & Consultants (India) Private Ltd (PMC), a SSI unit and certified pest control service company based in Chennai, will be going in for initial public offer during early next fiscal to raise about Rs 42 crore.

Speaking to Business Line, the Managing Director of PMC, Mr K. Raghunandan Rao, said the IPO was to support capacity expansion programme of the company for a total outlay of Rs 45 crore.

Currently, PMC offers general pest control and fumigation services among others to a host of clients in different segments. Besides, it also has a software division developing ERP portal and customised management solutions.

Expansion

Since the company plans to expand its activities, it decided to get into manufacturing liquid insecticides, which will make it cost competitive by about 25 per cent. “We will be acquiring the insecticides unit of Tuticorin Alkali Chemical and Fertiliser Ltd in Tiruchi. The deal will be finalised for Rs 1.5 crore, which will form part of the first phase of funding,” he said.

The expansion project would be in two phases. In the first phase, the company would raise Rs 2.15 crore by way of private placement of equity shares. Subsequently, the PMC would be converted in to a public limited company,he said.