Shankara Building Products Ltd IPO: You Must Know

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Shankara Building Products is one of India’s leading organised retailers of home improvement and building products in India. Shankara Building Products Ltd is planning to launch IPO (Initial Public offering) and offer for sale. The size of the initial public offering (IPO) is Rs 45 crores. The IPO will open on 22 March, 2017.

Hightlights:

  1. Shankara Building Products is one of India’s leading organised retailers of home improvement and building products in India.
  2. IPO will Open on Mar 22, 2017 and close on 24, March,2017.
  3. Fresh Issue of Rs. 45 crores & Offer for sale of 816252 shares.
  4. Issue Price is in between Rs. 440 – Rs. 460 Per Equity Share.

Shankara Building Products Ltd IPO:

  1. Shankara Building Products Ltd Working:Shankara building material

  • Shankara Building Products is one of India’s leading organised retailers of home improvement and building products in India.
  • Company sells the above mentioned products through their retail shops outlet. Those retail shops are their own and having the brand name of “Shankara BuildPro”.
  • Through their brand stores company sells structural steel, cement, TMT bars, hollow blocks, pipes and tubes, roofing solutions, welding accessories, primers, solar heaters, plumbing, tiles, sanitary ware, water tanks, plywood, kitchen sinks, lighting and other allied products.
  • Till 24 September, 2016 Company is having 100 Shankara BuildPro stores spread across 10 states in India. These stores are in urban and semi-urban markets in Andhra Pradesh, Goa, Gujarat, Karnataka, Kerala, Maharashtra, Odisha, Tamil Nadu, Telangana, and Puducherry.
  • Apart from manufacturing company also does assembles, processes, trades in, imports, exports, or deals in a range of steel sheets, steel roofing sheets, walling products, accessories, and steel structures and purlins used for construction of various types of building structures, as well as steel pipes, tubes and pipe fittings and iron and steel and allied products and engages in general hardware and general wholesale trading activities.
  1. Shankara Building Products Ltd Profile:

  • It was established on 13 October, 1995 as private limited company under companies Act, 1956 at Bengaluru.
  • At the time of incorporation the name of the company was Shankara Pipes India Private Limited
  • Later on the company was converted into public limited company on 28 August, 2007 and the name of the company was also changed to Shankara Pipes India Limited.
  • On 25 march, 2011 the name of the company was again changed to Shankara Infrastructure Materials Limited.
  1. Shankara Building Products Ltd Promoters:

  • Sukumar Srinivas
  1. Objective of the Shankara Building Products Ltd IPO:

  • Repayment or pre-payment of loans of the Company and VPSPL;
  • General corporate purposes;
  • Receive the benefits of listing of the Equity Shares on the Stock Exchanges; and
  • Enhancement of Company’s brand name and creation of a public market for the Equity Shares in India.
  1. Shankara Building Products Ltd IPO Details:

  • Issue Open: Mar 22, 2017
  • Issue will close on – Mar 24, 2017
  • Issue Type: Book Built Issue IPO
  • Issue Size:
    Fresh Issue of Rs. 45 crores.
    Offer for sale of 816252 shares by the Promoter and 5705488 shares by selling shareholders.
  • Face Value: Rs 10 Per Equity Share
  • Issue Price: Rs. 440 – Rs. 460 Per Equity Share
  • Market Lot: 32 Shares
  • Minimum Order Quantity: 32 Shares
  • Listing At: BSE, NSE
  1. Category-wise Break up:

  • Anchor – 22,50,000 Shares = 103.50Crs.
  • Net QIB – 15,00,000 Shares = 69.00Crs
  • NII – 11,25,000 Shares = 51.75Crs
  • RII – 26,25,000 Shares (82,031 Forms) = 120.75Crs. (Lot size = 32)
  1. Shankara Building Products Ltd Financial Status:

  • EPS for FY13-14 >>> Rs.13.13 (Page #73 of RHP)
  • EPS for FY14-15 >>> Rs.10.32 (Page #73 of RHP)
  • EPS for FY15-16 >>> Rs.18.90 (Page #73 of RHP)
  • EPS for 9M16-17 >>> Rs.19.00 (Not Annualized)
  1. Utilization of Net Proceeds:

  • Repayment or pre-payment of loans of amount 340.00 Rs in Million.
  • General corporate purposes of amount … Rs in Million.

9.       Shankara Buildpro IPO Prospectus:

                   RHP

10.   Lead Manager to the IPO:

·         Equirus Capital Private Limited
·         HDFC Bank Limited
·         IDFC Bank Limited

11.   Registrar to the Shankara Building Products Ltd IPO:

·         Karvy Computershare Private Limited

  1. Registered Address of the company:

G2, Farah Winsford,
No. 133, Infantry Road,
Bengaluru 560 001

Visit Money Dial for more updates on IPO (Initial Public Offering).

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