The 1.2 crore equity shares’ initial public offer (IPO) of textile firm Shekhawati Poly-Yarn has opened for subscription today. The company aims to raise Rs 36 crore through IPO at fixed price of Rs 30 a share.

The issue will constitute 54.54% of the fully diluted post issue equity share capital of the company.

Shekhawati is presently engaged in manufacturing of texturised and twisted yarn. Now it proposes to commence manufacturing of Knitted Fabric from Texturised Yarn, being one of the objects of the proposed public issue.

Issue proceeds are proposed to be used for buying new 30 twisting machines and installation of new 30 knitting machines; buying corporate office at an estimated cost of Rs 325 lakh and working capital requirements.

After this expansion, the company will have 35 machines for twisting yarn with capacity of 4,620 MTPA, 30 machines for knitting yarn with 1,980 MTPA and 20 for texturising yean with capacity of 27,400 MTPA.

Hem Securities Limited is the book running lead manager to issue.

Related posts:

1. Shekhawati Poly-Yarn IPO opens on Dec 27, 2010 Textile firm Shekhawati Poly-Yarn is entering capital market with its...
2. Gallantt Ispat IPO opens for subscription The initial public offerings of Gallantt Ispat opened for subscription...
3. Prakash Steelage opens for the subscription The 62.5 lakh shares initial public offering (IPO) of Prakash...
4. Gallantt Ispat closed at Rs 81.05 Gallantt Ispat witnessed huge buying interest on day one on...
5. Commercial Engineers and Body Builders IPO starts on Sep 30 Designer and manufacturer of vehicle bodies, Commercial Engineers and Body...