About the Company:
Sharika Enterprises is engaged in Engineering Procurement Construction (EPC) contracts, specialized assembling,trading activities, Erection Services, representation services to majorly power Generation, Transmission and Distribution sector.
Company is headquartered in the National Capital Region in India and with having assembling units in Jammu and Noida.
Company is an ISO 9001:2015 certified for providing Consultancy, Project Management, EPC Contracts in field of Power Generation, Transmission and Distribution.
They operate in the infrastructure sphere in India focusing on the power sector and work with international and Indian power equipment manufacturers and involved in project management/EPC contractors.
Over the years, Company has become an established power transmission and distribution EPC company and has gradually added facilities to support and supplement their EPC business.
Company has grown consistently over the years and widened our portfolio which covers installing power transmission EHV cables, designing & installing EMS (Energy Management System) and allied distribution automation Equipment’s such as Autore closers, fault passage indicators (FPI) etc., designing and installing of Solar Power Generation plants.
Company is engaged in trading and we are the stockists and distributors for NKT/Germany, a leading European manufacturer of specialised pre-moulded screened connectors and bushings for touch -proof, dust-proof and water-proof connections between cables, transformers and switchgear.
Company is also engaged in trading of LED lights, EHV cables & accessories, power capacitors, switchgears & Cast Resin Transformers.
Client base includes various government Power Companies such as:
- Central Electricity Authority (CEA).
- National Hydro Power Corporation (NHPC).
- National Thermal Power Corporation (NTPC).
- North Eastern Electric Power Corporation Limited (NEEPCO)
- Power Grid Corporation of India (PGCIL)
- Rural Electrification Corporation Limited (RECL)
- Satluj Jal Vidyut Nigam Limited (SJVNL)
- Tehri Hydro Development Corporation (THDC)
Client base includes various Railway Companies such as:
- Delhi Metro Rail Corporation (DMRC),
- Chennai Metro Rail Corporation Limited (CMRCL),
- IRCON International Ltd (IRCON),
- Railtel Corporation of India Ltd (RailTel),
- Bangalore Metro Rail Corporation Ltd (BMRCL),
- Indian Railways,
- Kolkata Metro Rail Corporation.
Company provides Following Services:
Engineering Procurement Constructions (EPC):
- Engineering Procurement Construction (EPC) business, involved supply, installation, testing and commissioning, and providing after sales services in EHV cables, cable jointing, transformers, switchgear, auto reclosers & un-manned Sub Stations etc.
- Engineering Procurement Constructions (EPC) business consists of three segments such as Power Distribution – Cables, Power Generation – Solar and Power Management.
Representative Services:
- Representation Services includes marketing, consultancy and project management services etc.
- Services initiated by market research for Market potential, techno-economic feasibility, demand forecasting, plans and policies and project reports for particular project.
Other consultancy Services:
- Company provides other consultancy services in field of engineering of Cables, Gas Insulated Switch gears, Power Generations,Power Transmission, Power Distribution etc.
JOINT VENTURES:
Company has entered into Joint Venture Agreement with Elettromeccanica Italy for supply of cast resin transformers and separate entity is created by the name Elettromeccanica India Pvt. Ltd. in which Company is holding equity Shares.
Management Team:
- Mr. Rajinder Kaul (Designation: Chairman and Managing Director)
- Mr. Ravinder Bhan (Designation: Whole Time Director)
- Mr. Arun Kaul (Designation: Whole Time Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Rajinder Kaul | 19,76,000 | 0.13 |
| Ravinder Bhan | 13,57,208 | 0.13 |
| Arun Kaul | 13,57,132 | 0.13 |
Promoters Stake Pre & Post Issue:
| Shareholder Name | Pre Issue Stake (%) | Post Issue Stake |
|---|---|---|
| Promoter | ||
| Rajinder Kaul | 26.00 | 18.25 |
| Ravinder Bhan | 17.86 | 12.54 |
| Arun Kaul | 17.86 | 12.54 |
| Promoter Group Entities | 16.86 | 11.83 |
| Total | 78.58% | 55.16% |
Objectives of the Issue:
- To Meet Working Capital Requirement.
- General Corporate Purpose.
- To Meet the Issue Expenses.
Fund Utilization:
| Particulars | Amount (Rs. in Crores) |
|---|---|
| Working Capital requirements | 9.91 |
| General Corporate Expenses | 2.91 |
| Issue Expenses | 1.05 |
| Net Proceeds | 13.86 |
Financials of the Company:
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 31st May 17 |
|---|---|---|---|---|---|---|
| Revenue | 7.04 | 8.57 | 13.49 | 12.33 | 18.78 | 2.44 |
| Net Profit | 1.06 | 0.74 | 0.21 | 0.81 | 2.17 | 0.53 |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW(%) | NAV |
|---|---|---|---|---|---|
| Sharika Enterprises Limited | 10 | 2.86 | 15.06 | 21.76 | 13.12 |
| Larsen Toubro Limited | 10 | 34.40 | 32.90 | 10.90 | 328.50 |
| Engineers India Limited | 10 | 4.80 | 30.80 | 9.90 | 41.20 |
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 15th November 2017 |
| Issue Closes on:. | 17th November 2017 |
| Issue Price | Rs.43 |
| Face Value | Rs.10 |
| Minimum Lot | 3000 |
| Minimum Investment | Rs.1,29,000 |
| Issue Constitutes | 29.79% |
| Issue Size | Rs.13.86 cr |
| Market Cap | Rs.46.54 cr |
| Listing at | BSE SME |
| Equity Shares Offered (Fresh) | 32,25,000 |
| Equity Shares Prior | 76,00,000 |
| Equity Shares after the issue | 1,08,25,000 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 2.86 | 15.06 | 21.76 | 13.12 |
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Markets Guruji Opinion:
| IPO View | Apply For: | Expected listing Gain: |
|---|---|---|
| Subscribe | Long Term | 20% |
| Company Contact Info: |
|---|
| Sharika Enterprises Limited B-124, Sector-67, Gautam Budh Nagar, Noida, Uttar Pradesh-201301, India Tel No.:+91-120- 2593900 Fax No.: +91-120- 2484620 E-mail: info@sharikaindia.com Website: www.sharikaindia.com |
| IPO Registrar Info: |
|---|
| SKYLINE FINANCIAL SERVICES PRIVATE LIMITED D-153A, 1st Floor, Okhla Industrial Area Phase-I, New Delhi – 110020 Tel No.:+91 11 64732681-88 Fax No.:+91 11 26292682 Email: virenr@skylinerta.com; Grievance Email: grievances@skylinerta.com Website: www.skylinerta.com |
| Lead Manager to the Issue: |
|---|
| SWASTIKA INVESTMART LIMITED 305, Madhuban Building, Cochin Street, S.B.S. Road, Fort, Mumbai,Maharashtra – 400 001. Tel No.:+91–22–2265 5565 Email: merchantbanking@swastika.co.in Email: investorgreivance@swastika.co.in Website: www.swastika.co.in |
