HPL Electric & Power has fixed a price band of its upcoming initial public offering (IPO) at Rs 175-202. The issue will hit capital markets on September 22 and will close on September 26. The company is engaged in the business of manufacturing metering solutions, switchgears, lighting equipment and wires and cables, among others. At present, the company has six manufacturing facilities located across the states of Haryana and Himachal Pradesh, having in-house testing capabilities.
The net proceeds of the issue will be utilised for repayment of loans, to fund working capital requirements and for other general corporate purposes, according to the prospectus of the company. ICICI Securities, SBI Capital Markets and IDFC Bank are the book running lead managers for the issue. Shares of the company are proposed to be listed on NSE and BSE both.
Established brand in the electric equipment industry with large product portfolio, pan-India sales and distribution network, robust manufacturing facilities with a focus on technology upgradation and experienced management team are among the top strengths of HPL Electric & Power.
On a consolidated basis, the company’s profit after tax for the six months ended September 30, 2015 and for financial years 2015, 2014 and 2013 was Rs 16.35 crore, Rs 34.62 crore, Rs 28.37 crore and Rs 31.42 crore, respectively. Profit after tax figures stood at Rs 28.39 crore and Rs 37.25 crore for the financial years ended 2011-12 and 2010-11, respectively.
Revenue of the company stood at Rs 1051.84 crore for the financial year ended March 31, 2015 against Rs 1016.04 crore a year ago. It had reported a consolidated revenue of Rs 915.74 crore, 724.35 crore and 567.50 crore in FY13, FY12 and FY11, respectively.