EPC company Globe Civil Projects, and thermo mechanically treated bars maker VMS TMT have filed a preliminary papers with the capital markets regulator SEBI to raise funds via initial public offering.
New Delhi-headquartered Globe Civil Projects, which executes infrastructure projects, plans to raise funds entirely via fresh issue of 1.9 crore equity shares with no offer-for-sale component. Hence, the entire IPO proceeds will be received by the company.
The company will utilse Rs 75 crore out of net fresh issue funds for working capital requirements, Rs 14.06 crore for purchase of equipment or machineries; and the remainder for general corporate purposes.
Promoters hold 88.14 percent shareholding in the company, while 11.86 percent is held by the public shareholders including Chanakya Opportunity Fund I.
Globe Civil Projects also provides mechanical, electrical and plumbing (MEP), architectural and structural work, HVAC, firefighting and fire alarm systems. It has completed 37 projects in the last two decades, while currently, it has 12 on-going projects, including five projects from the social and commercial infrastructure segment, and three from transport & logistics division. Its order book was Rs 892.95 crore as of August 2024.
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Gujarat-based VMS TMT will also mobilise funds solely via fresh issue of 1.5 crore equity shares. It intends to spend Rs 46.4 crore out of the IPO funds for setting up of the solar power plant, Rs 30 crore for long-term working capital requirements, Rs 11 crore for repaying debt and the remaining for general corporate purposes.
The total outstanding borrowings on its books amounted to Rs 252.5 crore as of August 2024.
The total shareholding owned by promoters in the company was 96.28 percent, and 3.72 percent by public shareholders including Chanakya Opportunities Fund I (1.57 percent).
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VMS TMT manufactures thermo mechanically treated bars (TMT bars) at its facility in Ahmedabad, Gujarat, having annual installed capacity of 2 lakh metric tonnes (MT) per annum, and production of 1,60,321 MT in FY24.
Mefcom Capital Markets is the merchant banker for the Globe Civil Projects IPO, while Arihant Capital Markets is acting as the book running lead manager to the VMS TMT IPO.
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