Cords Cable Industries, a New Delhi based company, has filed its DRHP with SEBI on 12th September 2007 to raise over Rs 60 crore through its proposed initial public offering of 35 lakh shares of Rs 10 each, at a price to be determined later, through the 100 per cent book building process. The net issue to the public would be 30 per cent of the fully diluted post issue capital.
The Book Running Lead Manager to the issue is Collins Steward Inga Private Limited and the stock is proposed to be listed on the BSE and NSE.
The company manufactures cables for electrical connectivity up to 1.1 KV, which finds use in industries such as power, steel, cement, fertilisers and chemicals, and refineries. Its clients include BHEL, NTPC, Hindalco Industries, ACC, HPCL, GAIL, Tata Steel, Siemens, Honeywell, L&T, MRPL.
The IPO proceeds are to be used to fund the company's capacity expansion at its factory in Chopanki in Rajasthan, enhancement of long term working capital requirements, and for general corporate purposes. The project is being undertaken to expand and diversify company's product range with a view to manufacture HT cables and Rubber Cables.
The company's net profit for 2006-07 (Apr-Mar) stood at Rs 7 crore, up from Rs 13.94 lakh in 2002-03. Revenues grew to Rs 104.29 crore in 2006-07 from Rs 16.04 crore in the same period.