Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us  
Google
Web www.equitybulls.com
IPO News

| More

Interarch Building Products Limited files DRHP with SEBI for IPO

Posted On: 2024-03-19 21:38:03 (Time Zone: IST)


Interarch Building Products Limited, one of the leading turnkey pre-engineered steel construction solution providers in India with integrated facilities for design and engineering, manufacturing, and on-site project management capabilities for installation and erection of pre-engineered steel buildings ("PEB"), has filed its draft red herring prospectus (DRHP) with the market regulator, Securities and Exchange Board of India (SEBI), to raise funds through an initial public offering (IPO).

The IPO, with a face value of Rs 10 per equity share, is a mix of fresh issue of shares of up to Rs 200 crore and an offer of sale of up to 4.45 million by the promoter group and investor-selling shareholders.

The offer for sale consists of the sale of equity shares of up to 7.20 lakh by Arvind Nanda, up to 7.90 lakh shares by Gautam Suri, up to 5.40 lakh shares by Ishaan Suri, up to 6 lakh shares by Shobhna Suri, up to 1.80 million by OIH Mauritius Limited. The offer includes a reservation for subscription by eligible employees.

The company, in consultation with the book-running lead managers, may consider a private placement of equity shares aggregating to Rs 40 crore as a "pre-IPO placement.". If such placement is completed, the fresh issue size will be reduced.

The offer is being made through the book-building process, wherein not more than 50% of the net offer shall be available for allocation on a proportionate basis to qualified institutional buyers, not less than 15% of the net offer shall be available for allocation to non-institutional bidders, and not less than 35% of the net offer shall be available for allocation to retail individual bidders.

The proceeds from its fresh issuance to the extent of Rs 58.53 crore will be utilized for financing the capital expenditure towards the Project; Rs 19.25 crore for financing the capital expenditure towards the upgradation of the Kichha Manufacturing Facility, Pantnagar Manufacturing Facility and Tamil Nadu Manufacturing Facilities; Rs 10.97 crore for funding investment in information technology assets for upgradation of existing information technology infrastructure of the Company; Rs 55 crore for funding incremental working capital requirements; and general corporate purposes.

Interarch Building Products was incorporated in 1983 and has more than three decades of experience in the pre-engineered steel buildings (PEB) industry, under the brands, "TRAC®" and "TRACDEK®". Over the years, the company has developed into a comprehensive PEB solutions provider, offering end-to-end services including design, engineering, manufacturing, and on-site project management for the installation and erection of PEBs, ensuring complete solutions for its customers.

The company's PEB offerings are categorized into pre-engineered steel building contracts ("PEB Contracts") and the sale of pre-engineered steel building materials ("PEB Sales"). PEB Sales includes sale of metal ceilings and corrugated, under the brand, "TRAC®", metal roofing and cladding systems under the brand, "TRACDEK®" and permanent/metal decking (lost shuttering) over steel framing under the brand, "TRACDEK® Bold-Rib"; supply of PEB steel structures under the brand, "Interarch Life" and light gauge framing systems ("LGFS").

In the Fiscal Year 2023, Interarch Building Products ranked third in terms of operating revenue from PEB business among integrated PEB players in India, as reported in a CRISIL Report mentioned in the DRHP. It is the second-largest aggregate installed capacity of 141,000 metric tonnes per annum ("MTPA") as of March 31, 2023, and holds a market share of 6.1% in terms of operating income in Fiscal Year 2023 among integrated PEB players in India.

The company's PEB offerings are designed, engineered, and manufactured to meet the specific requirements of its customers and are widely used in industrial, infrastructure, residential, commercial, and non-commercial construction projects.

Based in Noida, Interarch Building Products has delivered PEBs for a diverse range of projects, including multi-level warehouses for e-commerce companies, paint production lines for paint and, fast-moving consumer goods ("FMCG") sector for setting up manufacturing units for manufacturing their products, indoor stadiums, and projects in the cement industry.

From Fiscal Year 2015 to Fiscal Year 2023, as well as the six months ending September 30, 2023, the company has executed 623 PEB Contracts, showcasing its extensive track record and expertise in the PEB industry.

The company primarily manufactures its products in-house at four manufacturing facilities located in Sriperumbudur, Tamil Nadu, India (referred to as "Tamil Nadu Manufacturing Facility I" and "Tamil Nadu Manufacturing Facility II"), Pantnagar, Uttarakhand, India ("Pantnagar Manufacturing Facility"), and Kichha, Uttarakhand, India ("Kichha Manufacturing Facility"), with a combined installed capacity of 141,000 MTPA as of September 30, 2023.

As of September 30, 2023, Interarch Building Products' Order Book stood at ? 1,036.27 crore.

Interarch Building Products Limited's revenue from operations during the fiscal year 2023 increased 34.61% to Rs 1,123.93 crore from Rs 834.94 crore in the previous year, primarily due to an increase in revenue generated from pre-engineered building contracts and sale of products by expanding its sales and marketing presence in West Bengal and Telangana and diversification into new sectors/industries. Profit after tax grew many folds from Rs 17.13 crore for the Financial Year 2022 to Rs 81.46 crore for the Financial Year 2023.

For the six months ended September 30, 2023, revenue from operations stood at Rs 591.53 crore, and profit after tax stood at Rs 34.57 crore.

Indian pre-engineered steel buildings industry is expected to grow at a CAGR of 10.5-11.5% CAGR over the Financial Year 2023-Financial Year 2028. The industrial sector's share in the PEB market is led by higher penetration in the automobile, cement, and oil and gas markets, among others. It is expected to grow at a CAGR of 9-10% between Financial Years 2023-2028 led by higher adoption of pre-engineered steel building structures based on cost advantage, according to a CRISIL Report.

Ambit Private Limited and Axis Capital Limited are the book-running lead managers, and Link Intime India Private Limited is the registrar of the issue.


Click here to send ur comments or to feedback@equitybulls.com





Other Headlines:

GEM Enviro Management Limited IPO Opens on June 19, 2024

Stanley Lifestyles Limited's IPO to open on Friday, June 21, 2024

Bajaj Housing Finance Ltd files DRHP for IPO

Bajaj Housing Finance Limited to raise funds through IPO

Kronox Lab Sciences IPO subscribed 117.25 times on Final Day

Kronox Lab Sciences IPO fully subscribed in less than half an hour of opening

Kronox Lab Sciences Limited raises Rs. 39.04 crore from Anchor Investors

Sattrix Information Security Limited SME IPO to open on June 5, price band set at ?121 per share

Kronox Lab Sciences Ltd's Initial Public Offering to open on Friday June 3, 2024

Aimtron Electronics Limited's SME IPO to open on Thursday, May 30, 2024

Garuda Construction and Engineering refiles DRHP for IPO

Nephro Care India Limited plans to raise Rs. 35-40 crore from its upcoming IPO

Vilas Transcore Ltd's SME IPO to open on Monday, May 27, 2024, price band set at ?139/- to ?147/- per Equity Share

Rulka Electricals Ltd, HOAC Foods India Ltd NSE-SME IPOs garner huge oversubscription

HOAC Foods India Limited IPO subscribed 807.44 times, issue closes today

Allied Blenders and Distillers Limited gets Sebi nod for Rs 1500 crore IPO

Go Digit General Insurance Ltd's IPO to open on Wednesday, May 15, 2024

Sanstar Limited, gets SEBI nod to float IPO

Sattrix Information Security files DRHP for SME IPO, targeting a listing by mid-May.

Belstar Microfinance Ltd files DRHP with SEBI for IPO

Asirvad Micro Finance Limited gets Sebi nod for IPO

Diffusion Engineers refiles DRHP with SEBI for IPO

Racks & Rollers - Storage Technologies and Automation Limited's SME Initial Public Offering to open on Tuesday, April 30, 2024

JNK India IPO subscribed 28 times on the Final Day

JNK India IPO fully subscribed on Day 2 led by NII and Retail

Emmforce Autotech's anchor book fully subscribed

JNK India Limited raises Rs. 194.84 crore from Anchor Investors

Sanathan Textiles refiles DRHP to raise Rs 800 crs

Kronox Lab Sciences gets SEBI nod to float IPO

JNK India Limited's IPO to open on Tuesday, April 23rd, 2024

Emmforce IPO opens on April 23, 2024, price band fixed at Rs. 93-98

Nephro Care India Ltd. files DRHP with NSE Emerge

TAC Security's IPO receives subscription bids worth $1 Billion

Supermarket Chain Patel Retail Limited files DRHP for IPO

Rays Power Infra announces completion of its Pre-IPO Investment

Afcons Infrastructure Limited, files DRHP for Rs 7,000 crore IPO

Crizac Limited files DRHP for Rs 1000 crore IPO

Trust Fintech IPO Anchor Book fully subscribed

Creative Graphics Solutions India Ltd IPO opens on Thursday, March 28, price band fixed at Rs. 80-85

BFSI-focused SaaS player Trust Fintech IPO opens on Tuesday, March 26, price band fixed at Rs. 95-101

TAC Security is set to become India's First Listed pure play Cyber Security Company

KP Green Engineering SME IPO subscribed 27.51 times on Final Day

Value Fashion Retailer Baazar Style Retail Limited files DRHP with SEBI for IPO

KP Green Engineering SME IPO subscribed 5.83 times on Day 2

KP Green Engineering SME IPO fully subscribed on Day 1

KP Green Engineering Limited raises Rs. 54 crore from Anchor Investors

Manba Finance Limited files DRHP with SEBI for IPO

Shivalic Power Control Limited files DRHP with NSE Emerge

KP Green Engineering Ltd's SME IPO to open on Friday, March 15th, 2024

Rungta Greentech Limited files DRHP with NSE Emerge


Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2020