Cement Company of Nirma Group Nuvoco Vistas Corp. Ltd applied for an IPO of 5000 on 6 May
Penna Cement Industries (Penna Cement) has submitted an application with market regulator SEBI (SEBI) to raise Rs 1550 crore.
New Delhi. This year, many companies have resorted to IPOs to raise funds from the primary market and enter the stock market. In this episode, another cement company is ready to make a splash in the stock market. Hyderabad-based cement company Penna Cement Industries will also launch an IPO. Penna Cement has submitted a draft Red Herring Prospectus (DRHP) with market regulator SEBI to raise Rs 1550 crore. Earlier, Nuvma Group’s cement company Nuvoco Vistas Corp. Ltd applied for an IPO of 5000 on 6 May. Penna Cement will issue a fresh share of Rs 1,300 crore in its proposed IPO, while the promoters of the company will issue shares worth Rs 250 crore through the offer for sale. Also read: Success Story: TPA left business to take care of parents, now has a portfolio of 3000 crores The company will repay its loan from 550 crore rupeesPenna Cement will use Rs 550 crore out of the funds raised through this IPO to pay off its debt. The company had a debt of Rs 1,548.87 crore as on 31 March 2021. At the same time, the company will use Rs 105 crore to fund the capital expenditure of its KP Line II projects. At the same time, the company will use Rs 80 crore to upgrade the company’s Raw Grinding and Cement Mill in Talaricheruvu. 110 crores will be spent to set up a WHR plant here and the company will spend 130 crores to set up a WHR plant in Tandu. Also read: If you are buying a dream car, then keep these five things in mind; prices will benefit Promoter PR Cement Holdings Ltd holds 33.41% stake in the company
Let us tell you that the company promoter PR Cement Holdings Ltd has a 33.41% stake in Penna Cement Industries. Penna Cement has appointed Edelweiss Financial Services, Axis Capital, ICICI Securities, JM Financial and Yes Securities as its lead managers for this IPO. Also read: This bank made changes in FD rates, you can also avail higher interest rate, know everything 2,599.35 crores of the company’s total income in FY21 The total income of the company stood at Rs 2,599.35 crore in FY 21. It was only Rs 2,176.25 crore in FY20. The net profit of the company during this period was Rs 152.07 crore, while it was only 23.02 crore rupees a year ago. Let us tell you that Penna Cement is among the top private cement companies in the country. Also read: Delay for final settlement of LTC, now bills can be submitted by this date The annual capacity of cement production is 10 million tons The company has 4 integrated manufacturing units and 2 grinding units in Andhra Pradesh, Telangana and Maharashtra. The company has an annual capacity of cement production of 10 million tonnes. The company wants to increase it to 16.5 MMTPA by FY24. Also the company produces 7.8 MMTPA clinker which is planned to be 10.8 MMTPA by FY24.