KIDCO IPO : KIDCO IPO opens on November 20
KIDCO IPO : KIDCO IPO opens on November 20
Kaushalya Infrastructure Development Corporation ( KIDCO ) has fixed the price band for its upcoming issue at Rs 50 to 60 per share. The company will tap the capital markets with an initial public issue of 85 lakh equity shares of Rs 10 each at a premium to be decided through 100% book-building process.
KIDCO IPO DETAILS:
At the top end of the price band, the company is expected to raise Rs 51 crore from the market. The issue will open on November 20 and close on November 23. The issue comprises a reservation for employees of up to 4.75 lakh equity shares and the net issue to the public would be 80.25 lakh equity shares. The net issue to the public would constitute 40.93 per cent of the fully diluted post issue paid-up capital of the company, the company said in a statement.
KIDCO IPO PLANS:
As a part of its expansion plans, KIDCO plans to use Rs 12 crore for acquisition of land, land development rights and real estate development, Rs 12 crore for investment in BOT/BOOT projects and another Rs 12 crore for joint ventures and Rs 5 crore towards for the purchase of capital equipments comprising construction and infrastructure equipments for execution of projects.
The infrastructure development operations of the company are organised in three major business divisions, viz. Kaushalya Nirman (specialises in construction of roads, highways, bridges and industrial infrastructure), Kaushalya Gram (specialises in electrification and irrigation projects focused on development of rural India) and Kaushalya Parivar (specialises in construction of commercial and residential complexes).
The company intends to diversify into real estate development projects by developing residential/commercial projects in land owned/proposed to be owned by the company/subsidiaries. “We are on the expansion mode and would be focusing more upon diversified sectors so as to leverage and expand the operations. After our successful journey in the eastern part of the country, we are spreading our operations to other parts like the Central India,” said Prashant Mehra, managing director, KIDCO.
KIDCO aims to operate into diversified sectors such as townships, offices, houses and other buildings, urban infrastructure, highways, roads, power systems, irrigation, dams and agriculture systems, etc. which will mitigate business risk in case of slowdown in any one particular field in the future.
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