DECCAN HEALTHCARE LIMITED BSE SME IPO TO OPEN ON DECEMBER

DECCAN HEALTHCARE LIMITED BSE SME IPO TO OPEN ON DECEMBER 18, 2018

WITH PRICE BAND OF RS. 95 TO RS. 100 PER EQUITY SHARE OF FACE VALUE OF RS. 10 EACH

·      THE INITIAL PUBLIC OFFERING OF 42,12,000EQUITY SHARES AGGREGATING RS. 42.12 CRORES (AT CAP PRICE)

·      THE IPO CONSISTS OF FRESH ISSUE OF 22,12,000EQUITY SHARES AGGREGATING RS. 22.12 CRORES (AT CAP PRICE)

·      THE IPO CONSISTS OF OFFER FOR SALE OF 20,00,000 EQUITY SHARES AGGREGATING RS. 20.00 CRORES (AT CAP PRICE)

·      THE MINIMUM BID LOT IS 1,200 EQUITY SHARES AND IN MULTIPLES OF 1,200 EQUITY SHARES THEREAFTER.

·      OFFER OPENING DATE – DECEMBER 18, 2018 AND OFFER CLOSING DATE – DECEMBER 20, 2018

Deccan Health Care Limited, engaged in the business ofdeveloping, manufacturing and marketing a broad range of healthcare products including nutraceutical, cosmeceutical and ayurveda products,will be launching its BSE SME initial public offering (“IPO” or the “Issue”), which is scheduled to open on December 18, 2018 and close on December 20, 2018, with a price band of Rs. 95 to Rs. 100 per Equity Share of face value of Rs. 10 each of the Company (the “Equity Shares”).

The Initial Public Offering of 42,12,000 Equity Shares of face value of 10/-each aggregating to Rs 4,212.00* lakhs (“offer”) comprising a fresh issue of 22,12,000 equity shares aggregating to Rs. 2,212.00* lakhs by the company (“fresh issue”) and an offer for sale of 14,00,000 equity shares by Hitesh Patel (referred to as the “ promoter selling shareholder) and 6,00,000 equity shares by Meenakshi Gupta (referred to as the “selling shareholder”) aggregating 20,00,000 equity shares by the selling shareholders (“offer for sale”) and together with the fresh issue (“the offer”).

The offer comprises of 2,11,200equity shares of face value Rs. 10/- aggregating Rs. 211.20*lakhs which will be reserved for subscription by the market maker to the offer (the “market maker reservation portion”).

The offer less market maker reservation portion i.e. offer of 40,00,800equity shares of face value of Rs. 10/- each, aggregating Rs. 4,000.80* Lakhs is hereinafter refer to as the “net offer”. The offer and the net offer will constitute 26.81 % and 25.46 %, respectively of the fully diluted post offer paid up equity share capital of our company.

The face value of the equity shares is Rs 10 each.The Net Proceeds will be utilized for Repayment/Prepayment of certain Secured Borrowings availed by the Company, Purchase of Plant & Machinery and related civil work andGeneral Corporate Purposes.

In terms of SEBI Circular No. CIR/CFD/POLICYCELL/11/2015, all potential investors shall participate in the Offer only through an Application Supported by BlockedAmount (“ASBA”) process providing details about the bank account which will be blocked by the Self Certified Syndicate Banks (“SCSBs”) for the same.

Pantomath Capital Advisors Private Limitedis the Book Running Lead Manager to the issue and Bigshare Services Private Ltd is the Registrar to the Issue. The Equity Shares of Deccan Health Care Limitedare proposed to be listed on SME Platform of BSE Limited.

*Calculated on the cap price

ABOUT DECCAN HEALTHCARE LIMITED

Hyderabad based Deccan Health Care Limited, Incorporated in the year 1996, is into developing, manufacturing and marketing a broad range of healthcare products including nutraceutical, cosmeceutical and ayurveda products. The company with an operating history of more than two decades aims to distinguish identity by focusing on ways to bridge the nutrition gap which is a recognised cause of many diseases.The company has identified over 50 consumer wellness goals and over 200 diseases, disorders disabilities which can be prevented by meeting RDA of micronutrients.

The company has innovated and developed cost effective products that are unique and differentiated to combat such diseases. In 2010, the company set up own manufacturing facility at SIDCUL Pantnagar Rudrapur, Uttarakhand. The company has a diversified product portfolio with product basket consisting of more than 1,500 products used for various purposes such as hair care, skin care, heart care, immunity building, etc. We have the ability to supply products in various forms such as tablets, capsules, gel, liquids, ointments, powder, pastes, etc.

The Company is also an ISO 9001:2015 certified for Quality management System for manufacturing and supply of Nutraceutical & Pharmaceutical Products. Spread over 3,536 Sq. mts., its manufacturing facility is equipped with the requisite plant and machineries including Effluent Treatment Plant and other resources required for our manufacturing process. The company posted annual turnover of Rs. 3,976.07 lakhs in 2018 from Rs. 1,617.70 lakhs in the year 2016.