UIC Udyog files DRHP for Rs 108 cr IPO

UIC Udyog, headquartered in Kolkata, one of the leading manufacturers of steel wires and wire products in India, proposes to set up facility for manufacturing of steel wires and wire products with an installed capacity of 1,80,000 MTPA including Galvanizing capacity of 1,00,000 MTPA at Bharuch in Gujarat with a total investment of Rs 508 crore.

The company proposes to fund the project cost with a public issue of Rs 108 crore, internal accruals of Rs 45 crore and the balance amount through term loans from various financial institutions. For public issue, the company has filed draft red herring prospectus with SEBI and appointed BOB Capital Markets Limited and LSI Financial Services Pvt. Ltd. as the book running lead managers for the issue.

The company has its existing facilities for manufacture of steel wires with an installed capacity of 60,000 MTPA at Kalyani and an installed capacity of 25,000 MTPA is located at Khanyan, both are located in West Bengal. It also manufactures steel pins at Khanyan, West Bengal. Besides that, it has installed Wind Power Generation Turbines in Maharashtra and Tamil Nadu. The Company also have manufacturing facility for woven sacks in Silvassa. The Company is now proposing to further enhance its capacity to manufacture wire and wires products by setting up the said manufacturing facilities at Bharuch, Gujarat.

The company