About the Company:
Akshar Spintex (Incorporated in 2013) is engaged in manufacturing of cotton yarn which include combed, semi combed and carded yarn.
Company’s Manufacturing facility is situated at Kalavad of Rajkot District in Gujarat state in 1,83,437 sq. ft. area which is in the vicinity of the rich cotton growing areas of Gujarat.
Company has installed a capacity of total 24,480 spindle.Company procures only Shankar-6 quality of cotton which is predominantly grown in Gujarat.
End users for company’s products are textile manufacturers and traders. They supply the products to large garment houses for manufacturing of cotton textiles.
Company is located in the state of Gujarat and enjoy benefits of various incentives provided by central and state government which includes 2% interest subsidy under TUFS, 7% interest subsidy and 5% VAT incentive under Gujarat Textile Policy, 2012. Thus, such government incentives gives Company an operating leverage over the units located in other states.
Projected Capacity Utilization:
Management Team:
- Mr.Ashokbhai Bhalala (Designation: Managing Director)
- Mr.Amit Gadhiya (Designation: Whole Time Director)
- Mr.Harikrishna Chauhan (Designation: Whole Time Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Amit Gadhiya | 18,20,100 | 10 |
| Ashok Bhalala | 16,80,000 | 10 |
| Rekhaben Chauhan | 24,00,000 | 10 |
| Harikrishna Chauhan | 6,00,000 | 10 |
Objectives of the Issue:
Fresh Issue: (Around Rs.3.99 cr)
Funding the working capital requirements of the Company.
General corporate purposes.
OFS (Offer For Sale): (Around Rs.22.99 cr)
Company will not receive any proceeds from the Offer for Sale by the Selling Shareholders.
Fund Utilization:
| Particulars | Amount (Rs. in Crores) |
|---|---|
| Working Capital requirements | 2.8 |
| General Corporate Expenses | 0.89 |
| Net Proceeds | 3.99 cr |
Financials of the Company:
| (in Crores) | FY 15 | FY 16 | FY 17 | 31st Oct 17 |
|---|---|---|---|---|
| Revenue | 15.61 | 59.84 | 90.38 | 55.59 |
| Net Profit | (-0.51) | 2.66 | 5.38 | 2.78 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Akshar Spintex Limited | 10 | 2.24 | 17.86 | 17.08% | 13.14 |
| Vippy Spinpro Limited | 10 | 5.65 | 8.83 | 10.28% | 54.97 |
| Sri Nachammai Cotton Mills Limited |
10 | 1.48 | 10.14 | 37.18% | 4.37 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 27th April 2018 |
| Issue Closes on:. | 3rd May 2018 |
| Issue Price | Rs.40 |
| Face Value | Rs.10 |
| Minimum Lot | 3000 |
| Minimum Investment | Rs.1,20,000 |
| Issue Constitutes | 26.98% |
| Issue Size | Rs.26.98 cr |
| Market Cap | Rs.99.99 cr |
| Listing at | BSE SME |
| Equity Shares Offered (Fresh) | 9,99,000 |
| Equity Shares Offered (OFS) | 57,48,000 |
| Total Equity Shares Offered (Fresh + OFS) | 67,47,000 |
| Equity Shares Prior to the Issue | 2,40,00,000 |
| Equity Shares after the Issue | 2,49,99,000 |
Important Dates:
| Finalization of Basis of Allotment | on or Before 8th May 2018 |
| Initiation of Refunds | on or Before 9th May 2018 |
| Credit of Equity Shares: | on or Before 10th May 2018 |
| Listing Date: | on or Before 11th May 2018 |
Subscription Details: (Will be Updated)
| (Subscription-Category-Wise (no. of times) Till time : 06:00 PM) | Shares Offered | 27/4 | 30/4 | 2/5 | 3/5 |
|---|---|---|---|---|---|
| HNI | 32,01,000 | 0.36 | 0.36 | 0.45 | 1.70 |
| Retail | 32,01,000 | 1.03 | 1.16 | 3.75 | 9.24 |
| Others | 3,45,000 | 0.00 | 0.00 | 0.00 | 0.19 |
| Employee | ——– | —– | —- | —- | —- |
| TOTAL | 67,47,000 | 0.66 | 0.72 | 1.99 | 5.20 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 2.24 | 17.86 | 17.08% | 13.14 |
Markets Guruji Opinion:
| IPO View | Apply For: | Expected listing Gain: |
|---|---|---|
| Neutral | NA | NA |
| Check IPO Allotment Status: |
|---|
Bigshare Website (Click on the below link)http://www.bigshareonline.com/bssipoapplicationstatus.aspx |
Knowledge Corner: (Click on the Link)
| Company Contact Info: |
|---|
| Akshar Spintex Limited Revenue Survey No. 102/2 Paiki, Plot No. 2, Village: Haripar, Ranuja Road, Tal: Kalavad, Jamnagar – 361013, Gujarat, India. Tel: +9198252 13622 Email: admin@aksharspintex.in Website: www.aksharspintex.in |
| IPO Registrar Info: |
|---|
| BIGSHARE SERVICES PRIVATE LIMITED 1st floor, Bharat Tin works Building, Opp. Vasant Oasis, Makwana Road, Marol, Andheri (East),Mumbai – 400059, India Tel: +91 22 62638200 Fax: +91 22 62638299 Email: ipo@bigshareonline.com Website: www.bigshareonline.com |
| Lead Manager to the Issue: |
|---|
| PANTOMATH CAPITAL ADVISORS PRIVATE LIMITED 406-408, Keshva Premises, Behind Family Court, Bandra Kurla Complex, Bandra (East), Mumbai – 400 051, India Tel: +9122 6194 6700 Email: ipo@pantomathgroup.com Website: www.pantomathgroup.com |
