About the Company:
Karda Constructions Ltd was incorporated in 2007 with a view to corporatize the group’s activities in the real estate sector. Company is focused on quality and affordable developments.
Karda Group is a well established Nashik based group having its presence in the construction industry for more than two decades.
Since its inception the group concentrated on developing affordable housing in the residential segment and from year 2001 onwards, the group diversified into commercial segment.
Till date Company has successfully completed and delivered 15 residential projects and office space projects.
Currently have 13 Ongoing and 3 Planned projects, which they expect to provide an estimated total Carpet Area of 17,13,725 square feet.
Company has so far been a real estate development company, developing residential and residential-cum commercial projects in Nashik. However with a view to expand the business activities they have recently ventured into construction contracts.
Details of Projects Completed by the Company are given below:
Details of Ongoing and Planned Projects are given below:
Construction Contracts: (Details of Construction Contracts are given below)
Company has also recently ventured into undertaking construction contracts for public and private sector.
Company has successfully secured 4 Government contracts, 3 of which are of Goa Government and 1 of Maharashtra Government having an aggregate contract price of Rs.24.7 crores.
Further Company has also won a private sector work contract having contract price of Rs.35.09 crores as entailed below:
Management Team:
- Mr. Naresh Karda (Designation: Chairman & Managing Director)
- Mr. Manohar Karda (Designation: Whole-Time Director)
- Mrs. Disha Karda (Designation: Executive Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Mr. Naresh Karda | 76,00,000 | 5.00 |
Promoters Stake Pre & Post Issue:
| Shareholder Name | Pre Issue Stake (%) | Post Issue Stake |
|---|---|---|
| Promoter | ||
| Mr. Naresh Karda | 76.00% | 45.53% |
| Promoter Group Entities | 24.00% | 19.51% |
| Total | 100% | 65.04% |
Objectives of the Issue:
Offer for Sale: (Around Rs.36 crores)
Company will not receive any proceeds of the Offer for Sale by the Selling Shareholder.
Fresh Issue: (Around Rs. 41.4 crores)
- Part repayment of overdraft facilities
- Part repayment of Term loans
- General Corporate purpose.
Fund Utilization:
| Particulars | Amount (Rs. in Crores) |
|---|---|
| Part repayment of Overdraft Facilities | 23.00 |
| Part repayment of Term Loans | 7.00 |
| General Corporate Purpose | 47.4 |
| Net Proceeds | 77.40 crores |
Financials of the Company:
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 30th Sept 17 |
|---|---|---|---|---|---|---|
| Revenue | 43.28 | 59.07 | 46.53 | 105.93 | 110.02 | 45.69 |
| Net Profit | 2.70 | 3.60 | 3.07 | 6.37 | 8.03 | 5.51 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Karda Constructions Limited | 10 | 8.03 | 22.41 | 26.46% | 33.72 |
| Kolte-Patil Developers Ltd | 10 | 4.47 | 43.13 | 4.25% | 105.26 |
| Arihant Superstructures Ltd | 10 | 6.47 | 28.18 | 29.01% | 222.95 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 16th March 2018 |
| Issue Closes on:. | 21st March 2018 |
| Issue Price | Rs.175 – 180 |
| Face Value | Rs.10 |
| Minimum Lot | 80 |
| Minimum Investment | Rs.14,400 |
| Issue Constitutes | 34.96% |
| Issue Size | Rs.77.40 cr |
| Market Cap | Rs.221.4 cr |
| Listing at | NSE & BSE |
| Equity Shares Offered (OFS) | 20,00,000 |
| Equity Shares Offered (Fresh) | 23,00,000 |
| Total Equity Shares Offered (OFS + Fresh) | 43,00,000 |
| Equity Shares Prior to the Issue | 1,00,00,000 |
| Equity Shares after the Issue | 1,23,00,000 |
Important Dates:
| Finalization of Basis of Allotment | on or Before 26th March 2018 |
| Initiation of Refunds | on or Before 27th March 2018 |
| Credit of Equity Shares: | on or Before 28th March 2018 |
| Listing Date: | on or Before 2nd April 2018 |
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Subscription Details:
| (Subscription-Category-Wise (no. of times) Till time : 06:00 PM) | Shares Offered | Day-1 | Day-2 | Day-3 | Day-4 |
|---|---|---|---|---|---|
| QIB | 4,30,000 | 1.04 | 1.55 | 3.1 | 1.55 |
| NII | 17,20,000 | 2.07 | 2.16 | 2.27 | 3.44 |
| Retail | 21,50,000 | 0.098 | 0.46 | 1.28 | 2.01 |
| Employee | ———– | —– | —– | —– | —– |
| TOTAL | 43,00,000 | 0.98 | 1.25 | 1.87 | 2.53 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 8.03 | 22.41 | 26.46% | 33.72 |
Markets Guruji Opinion:
| IPO View | Apply For: | Expected listing Gain: |
|---|---|---|
| Neutral | NA | NA |
Grey Market Premium :
| Date | IPO | Price Band | Grey Market premium | Kostak Rates |
|---|---|---|---|---|
| 10/03/18 | Karda Constructions Ltd | 175 – 180 | 9 -12 | 700 – 750 |
| Check IPO Allotment Status: |
|---|
Bigshare Website (Click on the below Link)http://www.bigshareonline.com/bssipoapplicationstatus.aspx |
| Company Contact Info: |
|---|
| Karda Constructions Ltd 2nd Floor, Gulmohar Status, Above Business Bank, Samarth Nagar, Nashik – 422 005 Maharashtra, India InvestorEmail: admin@kardaconstruction.com Website: www.kardaconstruction.com |
| IPO Registrar Info: |
|---|
| BIGSHARE SERVICES PRIVATE LIMITED 1st Floor, Bharat Tin Works Building, Opp. Vasant Oasis, Makwana Road, Marol, Andheri (E), Mumbai – 400 059. Tel: +91 – 22 – 6263 8200; Email: ipo@bigshareonline.com Investor Email: investor@bigshareonline.com Website: www.bigshareonline.com |
| Lead Manager to the Issue: |
|---|
| ARYAMAN FINANCIAL SERVICES LIMITED 60, Khatau Building, Ground Floor, Alkesh Dinesh Modi Marg, Fort, Mumbai – 400 001. Tel No.: +91 – 22 – 6216 6999; Investor Email: feedback@afsl.co.in Website: www.afsl.co.in |
