Initial public offering of New Delhi-based Cords Cable Industries (CCIL) has received 1.50 times subscription till 12.00 p.m. on closing day (Thursday). The company received nearly 4.61 million bids as against issue size of 3.08 million shares. The issue, which opened on January 21, will close on January 24. The price band has been fixed between Rs 125 to Rs 135 a share.
The issue has been graded by Care, with an IPO Grade 3, indicating average fundamentals, to the proposed IPO of the company. The issue would constitute 27% of the fully diluted post issue paid up capital of the company. The equity shares of the company, offered through this IPO, are proposed to be listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE). Collins Stewart Inga is helping to raise maximum of Rs 416.47 million via this public issue.
CCIL is planning to come up with an IPO, proceeds of which will be used for part funding the project of setting up production facilities for high tension (HT) and rubber cables, enhancement in long term working capital requirements and for general corporate purposes.
CCIL was incorporated in October 1991, by a group of three professionals, Naveen Sawhney, DK Prashar and Rakesh Malhotra. CCIL started its operations by manufacturing co-axial cables and instrumentation cables and its present product mix consist of low tension (LT) power cables, control and instrumentation cables and specialty cables. At present, the company manufactures cables upto 1.1 KV for various applications covering most segments of users including industrial, utility and buildings.
