Shares offered at a price band
of Rs. 30 – Rs. 33


Indore,
April 26, 2018.
Indore based Godha Cabcon and Insulation  Ltd. is
entering the market with an Initial Public Offering (IPO) of up to 30,00,000
equity shares of a face value of Rs. 10 each for cash at a price-band of Rs .
30 – Rs. 33 per equity share aggregating to Rs. 09 crores to Rs. 09.90 crores. The
Issue comprises of 1,60,000 equity shares reserved for subscription for the
Market Maker and the net issue, available for public subscription will be
28,40,000 equity shares aggregating to Rs. 08,52,00,000 – Rs. 9.37,20,000. The
Public Issue will be open for subscription on Friday, 27th April and
will close on Thursday, May 03, 2018. The shares will be listed on NSE Emerge. Mark
Corporate Advisors Private Limited is the Book Running Lead Manager of the IPO.
Godha Cabcon and Insulation Ltd. is
an Indore based Company and is one of the leading manufacturer of
ACSR/AAAC/AAC Conductors .The Company one of the leading manufacturers in
Madhya Pradesh and has latest machines having best technology. With
manufacturing capacity of 5800 MTPA, the company has increased its capacity to
15000 MTPA After securing ISI accreditation in the year 2011 and participating
in Government Tenders floated by the State Electricity Boards giving it a
tremendous growth performance. The capacity expansion included installing of
Wire Drawing Machine based on latest technology which can draw Two Wires at a
time. Godha
Cabcon and Insulation Ltd. now manufactures a range of wire conductors with
aluminum and different alloys.
Godha Cabcon and Insulation Ltd.
is tapping the capital market through this IPO with key objects for working
capital requirements and general corporate purposes from the net fresh
issue proceeds.  The total revenue of the
Company was Rs. 7436.82 lakhs, Rs. 4410.96 lakhs and 1680.93 lakhs for
financial years 2016-17, 2015-16 and 2014-15 respectively. The corresponding
Net Profits were Rs. 137.27 lakhs, 67.55 lakhs and Rs. 15.35 lakhs
respectively. The total revenue and net profits for the seven months of FY
2107-18 were Rs. 4285.26 lakhs and Rs. 170.50 lakhs respectively. The Company
operated as proprietorship concern till July 15, 2017.
It is estimated that during the 13th Plan
period, transmission lines of 1, 05,580 CKM, including 4,280 ckm of HVDC,
27,300 ckm (765 kV), 46,000 ckm (400 KV) and 28,000 ckm (200 KV) would be
added. Transformation capacity of 2, 92,000 MVA, including 1, 14,000 MVA (765
KV), 1, 03,000 MVA (400 KV), 75,000 MVA (200 KV) and 14,000 MW (HVDC) is
expected to be added during the 13th Plan period. The Indian Electric Wire and
Cable market is expected to grow steadily at a CAGR of 16% till 2020. This is
mainly due to the lack of T&D infrastructure at locations where renewable
energy resources are set up. The growth expected in automobile industry augurs
well for Godha
Cabcon and Insulation Ltd
Disclaimer:
Godha
Cabcon & Insulation Limited is proposing, subject to applicable statutory
and regulatory requirements, receipt of requisite approvals, market conditions
and other considerations, to make an initial public offer of its Equity Shares
and has filed the Red Herring Prospectus with the Registrar of Companies,
Madhya Pradesh. The Red Herring Prospectus shall be available on the website of
SEBI at www.sebi.gov.in, the website of the Book Running Lead Manager
at www.markcorporateadvisors.com, the
website of NSE i.e. www.nseindia.com, and
website of the Issuer Company at www.godhacabcon.com. Investors should note that investment in Equity
Shares involves a high degree of risk. For details investors should refer to
and rely on the Red Herring Prospectus including the section “Risk Factors”
beginning on page 13 of the Red Herring Prospectus, which has been filed with
the Registrar of Companies, Gwalior.

The Equity Shares have not been and will not be registered under the US
Securities Act (the “Securities Act”) or any state securities law in United
States and may not be Issued or sold within the United States or to, or for the
account or benefit of, “U.S. persons” (as defined in the Regulations under the
Securities Act), except pursuant to an exemption from, or in a transaction not
subject to the registration requirements of the Securities Act of 1933.

For more information, contact:

[email protected]





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