About the Company:
Vera Synthetic Ltd (Incorporated in 2000) is engaged in manufacturing of Fishing Nets, PP Yarns, PP/HDPE Ropes, PP Twines and Niwar.
Company manufactures and markets the products under their flagship brand “Sujlon”.Company’s products are primarily used in fishing sector and other allied use thereon.
Company’s manufacturing facility is divided into two units namely Division I and Division II (both situated in the same premises at Mamsa, Gujarat).
At present, they cater majorly to domestic markets.They have dealers, traders and distributors spread across different regions of the Country.
Currently they sell their products either directly to traders/fishermen or through the distribution network in Gujarat, Maharashtra, Kerala, Karnataka, Andhra Pradesh, Punjab, Tamil Nadu, Haryana, Uttar Pradesh, Delhi, Rajasthan, etc.
Company aims to expand their customer base by reaching out to new states and increasing the sales in existing states. Company has also recently ventured into export markets.
Company Manufactures the Following Products:
- PP/HDPE FISHNG NETS.
- PP/HDPE ROPES.
- PP YARN.
- PP/HDPE Twine.
- NIWAR. (Niwar is a bunch of strong fabric woven as a flat strip of varying width and yarn.)
Product Wise Revenue Breakup: (in Lakhs)
Projected Capacity Utilization:
Note: Installed capacity is proposed to be increased by installing New Machineries.
Management Team:
- Mr. Sunil Makwana (Designation: Managing Director)
- Mr. Nagin Makwana (Designation: Whole Time Director)
- Mr.Devjibhai Makwana (Designation: Executive Director)
Promoters Average Acquisition Cost:
| Name of the Promoter | No. of Shares held | Average Acquisition Cost (in Rs.) |
|---|---|---|
| Sunil Makwana | 8,00,036 | 2.19 |
| Nagin Makwana | 7,93,964 | 0.44 |
Promoters Stake Pre & Post Issue:
| Shareholder Name | Pre Issue Stake (%) | Post Issue Stake(%) |
|---|---|---|
| Promoters | ||
| Sunil Makwana | 22.22% | 16.21% |
| Nagin Makwana | 22.05% | 16.09% |
| Promoter Group Entities | 36.28% | 26.46% |
| Total | 80.56% | 58.76% |
Objectives of the Issue:
- Funding the working capital requirements of the Company.
- General corporate purposes.
Financials of the Company:
| (in Crores) | FY 13 | FY 14 | FY 15 | FY 16 | FY 17 | 30th Sept 17 |
|---|---|---|---|---|---|---|
| Revenue | 22.02 | 19.75 | 24.49 | 21.95 | 18.44 | 9.72 |
| Net Profit | 0.18 | 0.33 | 0.047 | 0.27 | 0.34 | (-1.03) |
Valuation of Peer Group Companies:
| Company Name | Face Value | EPS | PE Ratio | RoNW | NAV |
|---|---|---|---|---|---|
| Vera Synthetic Limited | 10 | 0.96 | 41.67 | 7.15% | 13.37 |
| Garware- Wall Ropes Ltd | 10 | 38.05 | 24.75 | 18.54% | 205.29 |
Note: Although there is huge difference in the Scale of operations between these two companies, We have provided the above figures just for the sake of Comparison.
IPO Details:
| Details | Info |
|---|---|
| Issue Opens on | 28th March 2018 |
| Issue Closes on:. | 4th April 2018 |
| Issue Price | Rs.40 |
| Face Value | Rs.10 |
| Minimum Lot | 3000 |
| Minimum Investment | Rs.1,20,000 |
| Issue Constitutes | 27.05% |
| Issue Size | Rs.5.34 cr |
| Market Cap | Rs.19.74 cr |
| Listing at | NSE SME |
| Total Equity Shares Offered (Fresh) | 13,35,000 |
| Equity Shares Prior to the Issue | 36,00,000 |
| Equity Shares after the Issue | 49,35,000 |
Important Dates:
| Finalization of Basis of Allotment | on or Before 9th April 2018 |
| Initiation of Refunds | on or Before 10th April 2018 |
| Credit of Equity Shares: | on or Before 11th April 2018 |
| Listing Date: | on or Before 12th April 2018 |
IPO Valuation Parameters:
| Earnings Per Share (EPS) | Price To Earnings ratio (PE) | Return on Net Worth (RoNW) | Net Asset Value (NAV) |
|---|---|---|---|
| 0.96 | 41.67 | 7.15% | 13.37 |
| Check IPO Allotment Status: |
|---|
Link InTime Website (Click on the below Link)https://linkintime.co.in/PublicIssue/ |
| Company Contact Info: |
|---|
| Vera Synthetic Limited Office No.UL-27, Pattani Plaza, Devubag, Dairy Road Bhavnagar Gujarat – 364002, India Tel: 0278-2525434 Fax: 0278-2883029 Email: info@sujlonropes.com Website: www.sujlonropes.com |
| IPO Registrar Info: |
|---|
| LINK INTIME INDIA PRIVATE LIMITED C-101, 247 Park, L.B.S. Marg, Vikhroli (West), Mumbai- 400 083 India Tel: 022-49186200 Fax: 022-49186195 Email: verasynthetics.ipo@linkintime.co.in Website: www.linkintime.co.in |
| Lead Manager to the Issue: |
|---|
| PANTOMATH CAPITAL ADVISORS PRIVATE LIMITED 406-408, Keshava Premises, Behind Family Court, Bandra Kurla Complex, Bandra (East), Mumbai – 400051, Maharashtra, India Tel: +91-22 61946700 Investor Grievance Id: ipo@pantomathgroup.com Website: www.pantomathgroup.com |
