Fifth largest cement company in India Nuvoco Vistas Corp is set to open for IPO subscription on August 9 and close on August 11. The company plans to raise Rs 5000 crore and the price band is set at Rs 560 to Rs 570 per equity share.
The initial public offering will have a fresh issue of Rs 1500 crore and an offer for sale of Rs 3500 crore by its promoter entity Niyogi Enterprise Pvt Ltd., which has a stake of 86.56% in the company.
The Mumbai-based cement company is one of the largest cement makers with a production capacity of about 4.2% of total cement capacity in India. They also have a good presence in East India where their output is 17% of the total cement production capacity. The company is also one of the leading ready-mix concrete manufacturers in India.
Nuvoco has plants in West Bengal, Bihar, Odisha, Chhattisgarh, Jharkhand, Rajasthan and Haryana in India. They have their 49 RMX plants located across India. The company’s installed capacity is 22.32 MMTPA as of December 2020.
The company sells their products to two customer segments – trade segment which includes individual home buyers and non-trade segment which includes institutional buyers and bulk buyers. The company focuses on the trade segment through their distribution channels that are a mix of wholesale dealers, retail dealers and sub-dealer networks. They have over 50 products in their cement, building materials and ready-mix concrete segments.
- Nuvoco has the largest cement manufacturing capacity in East India
- Strong brand recognition and established leadership position in the building materials industry
- Strategically located cement production facilities that are in close proximity to raw materials and key markets
- Diversified product portfolio with extensive sales, marketing and distribution network
Dr. Karsanbhai K Patel and Niyogi Enterprises Pvt Ltd are the company promoters
|Particulars||For the period ended (Rs in crore)|
|Profit After Tax||(25.92)||249.25||(26.48)|
Purpose of the IPO
The company plans to use the net proceeds from IPO
- For repayment/prepayment/redemption, in full or part, of certain borrowings availed by the company amounting to Rs 1350 crore
- General corporate purposes
IPO Opening Date
August 9, 2021
IPO Closing Date
August 11, 2021
Book Built Issue IPO
Rs 10 per equity share
Rs 560 to Rs 570 per equity share
Min Order Quantity
Rs 5,000 crore
August 23, 2021
IPO Lot Size