METRO BRANDS LIMITED INITIAL PUBLIC OFFERING TO

METRO BRANDS LIMITED INITIAL PUBLIC OFFERING TO OPEN ON FRIDAY, DECEMBER 10, 2021

 

·      Price Band fixed at Rs 485 to Rs 500 per equity share of face value of Rs. 5 each (“Equity Shares”)

 

·      Bid /Offer Opening Date – Friday, December 10, 2021 and Bid/ Offer Closing Date – Tuesday, December 14, 2021

Metro Brands Limited (The “Company”) to open its Bid / Offer in relation to its initial public offering on Friday, December 10, 2021 (“Offer”)

The Price Band of the Offer has been fixed at Rs. 485 to Rs. 500 per equity share of face value of Rs. 5 each. Bids can be made for a minimum of 30 Equity Shares and in multiples of 30 Equity Shares thereafter.

The Offer comprises a fresh issue of Equity Shares aggregating up to Rs. 295 crores by the Company (The “Fresh Issue”) and an offer for sale of up to 21,450,100 Equity Shares by the Selling Shareholders. The offer for sale comprises up to 13,015,000 Equity Shares by the Promoter Selling Shareholders, up to 8,427,000 Equity Shares by the Promoter Group Selling Shareholders and up to 8,100 Equity Shares by the Other Selling Shareholder. (The “Offer for Sale”).

 

The Company has in consultation with the BRLMS, undertaken a private placement of 73,136 Equity Shares for cash consideration aggregating to Rs. 3.29 crores. Accordingly, the fresh issue size as was stated in the Draft Red Hearing Prospectus, was reduced from up to Rs. 250 crores to up to Rs. 246.71 crores. Thereafter, Company has increased the fresh issue size up to Rs. 295 crores, in accordance with and subject to, the provisions of the SEBI ICDR Regulations.

This is an Offer in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended (“SCRR”), read with Regulation 31 of the SEBI ICDR Regulations. The Offer is being made through the Book Building Process in terms of Regulation 6(1) of the SEBI ICDR Regulations, wherein not more than 50% of the Offer shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (“QIBs and such portion, the “QIB Portion”), provided that Company and the Promoter Selling Shareholders, in consultation with the BRLMs, may allocate up to 60% of the QIB Portion to Anchor Investors on a discretionary basis (“Anchor Investor Portion”), out of which one-third shall be reserved for domestic Mutual Funds only, subject to valid Bids being received from domestic Mutual Funds at or above the price at which allocation is made to Anchor Investors (“Anchor Investor Allocation Price”), in accordance with the SEBI ICDR Regulations. In the event of under-subscription, or non-allocation in the Anchor Investor Portion, the balance Equity Shares shall be added to the QIB Portion (excluding the Anchor Investor Portion) (“Net QIB Portion”)

Further, 5% of the Net QIB Portion shall be available for allocation on a proportionate basis to Mutual Funds only, and the remainder of the Net QIB Portion shall be available for allocation on a proportionate basis to all QIB Bidders, including Mutual Funds, subject to valid Bids being received from them at or above the Offer Price. However, if the aggregate demand from Mutual Funds is less than 5% of the Net QIB Portion, the balance Equity Shares available for allocation in the Mutual Fund Portion will be added to the remaining Net QIB Portion for proportionate allocation to QIBs. Further, not less than 15% of the Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders in accordance with the SEBI ICDR Regulations, subject to valid Bids being received from them at or above the Offer Price All potential Bidders (except Anchor Investors) are mandatorily required to utilise the Application Supported by Blocked Amount (“ASBA”) process by providing details of their respective ASBA accounts and UPI ID in case of RIBs using the UPI Mechanism, as applicable, pursuant to which their corresponding Bid Amount will be blocked by the Self Certified Syndicate Banks (“SCSBs”) or by the Sponsor Bank under the UPI Mechanism, as the case may be, to the extent of the respective Bid Amounts. Anchor Investors are not permitted to participate in the Offer through the ASBA process.

For details, see “Offer Information” beginning on page 360 of the Red Herring Prospectus.

The Equity Shares offered through Red Herring Prospectus are proposed to be listed on BSE and NSE.

Axis Capital Limited, Ambit Private Limited, DAM Capital Advisors Limited (Formerly IDFC Securities Limited), Equirus Capital Private Limited, ICICI Securities Limited and Motilal Oswal Investment Advisors Limited are the Book Running Lead Managers

S.J.S. Enterprises Limited (“Company”) is one of the leading players in

 S.J.S. Enterprises Limited (“Company”) is one of the leading players in the Indian decorative aesthetics industry in terms of revenue in Fiscal 2020 and as at March 31, 2021  (source: report issued in June 2021, titled “Assessment of Select Aesthetic Components” that has been prepared by CRISIL Research, a division of CRISIL Limited (“CRISIL Report”)).

 

The Company is proposing to open the initial public offering of its Equity Shares (the “Offer”) on Monday, November 01, 2021 and close it on Wednesday, November 03, 2021. The price band for the Offer has been determined at ₹531  – ₹ 542 per Equity Share.

 

The Offer is entirely an offer for sale of equity shares aggregating up to ₹ 7,100.00 million by Evergraph Holdings Pte. Ltd. and equity shares aggregating up to ₹ 900.00 million by K.A. Joseph (the “Selling Shareholders”).

 

The Company and the Selling Shareholders have, in consultation with the BRLMs to the Offer, considered participation by Anchor Investors in accordance with the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (the “SEBI ICDR Regulations”), whose participation shall be on Friday, October 29, 2021, i.e., one Working Day prior to the Bid/Offer Opening Date. The Offer is being made in terms of Rule 19(2)(b) of the Securities Contracts (Regulation) Rules, 1957, as amended, through the Book Building Process in accordance with Regulation 6(1) of the SEBI ICDR Regulations wherein not more than 50% of the Offer shall be allocated on a proportionate basis to Qualified Institutional Buyers, , not less than 15% of the Offer shall be available for allocation on a proportionate basis to Non-Institutional Bidders and not less than 35% of the Offer shall be available for allocation to Retail Individual Bidders, subject to valid Bids being received at or above the Offer Price.

 The Company is one of the leading decorative aesthetics suppliers with the widest product coverage across decorative aesthetics pertaining to major vehicle segments such as two-wheelers, passenger vehicles and consumer durables (source: CRISIL Report). In addition, it also manufactures a wide range of aesthetics products that cater to the requirements of the commercial vehicles, medical devices, farm equipment and sanitary ware industries (source: CRISIL Report). The Company has supplied over 115 million parts with more than 6,000 stock keeping units in Fiscal 2021 to around 170 customers in approximately 90 cities across 20 countries.

 

The company designs, develops and manufactures aesthetic products i.e., decals and body graphics, 2D appliques and dials, 3D appliques and dials, 3D lux badges, domes, overlays, aluminum badges, in-mold label or in-mold decorations, lens mask assembly and chrome-plated, printed and painted injection moulded plastic parts.

 

The Company’s key customer base includes, well known automotive original equipment manufacturers such as Suzuki Motorcycle India Private Limited, Mahindra & Mahindra Limited, John Deere India Private Limited, Skoda Auto Volkswagen India Private Limited, Honda Motorcycle and Scooter India Private Limited, Bajaj Auto Limited, Royal Enfield (a unit of Eicher Motors Limited); Tier-1 automotive component suppliers such as Marelli UM Electronic Systems Private Limited, Visteon (subsidiaries and group companies of Visteon Corporation), Brembo S.P.A., and Mindarika Private Limited; well-known consumer durables/appliances manufacturers such as Whirlpool (certain entities controlled by Whirlpool Corporation located outside India), Panasonic India Private Limited, Samsung India Electronics Private Limited, Eureka Forbes Limited, Godrej & Boyce Manufacturing Company Limited, and Liebherr India Manufacturing Private Limited; medical device manufacturers such as Sensa Core Medical Instrumentation Private Limited as well as sanitary ware manufacturers such as Geberit India Manufacturing Private Limited.

 

Axis Capital Limited, Edelweiss Financial Services Limited, and IIFL Securities Limited are the BRLMs.

Retail focused HFC, Aptus Value Housing gets

 Retail focused HFC, Aptus Value Housing gets SEBI approval for IPO

Aptus Value Housing Finance, one of the largest housing finance companies in terms of asset under management having the largest branch network in South India has received market regulator Securities and Exchange Board of India’s (SEBI) nod for the Initial Public Offering (IPO). The company had filed its DRHP with SEBI on 14^th May 2021.

The fund raise comprises of a fresh issue of equity shares aggregating to 500 cr and an Offer for Sale of upto 64,590,695 equity shares by Promoter and Other Selling Shareholders. As per the market sources the company plans to raise approximately Rs. 2, 600 -3,000 cr.

Since the inception of the company in 2010 till date, the company has pristine asset quality with very low NPA and as of Dec 31, 2020 the companies AUM stood at Rs 3,790.93 cr of which 72.50% were loans to self-employed customers while the balance 27.50% accounted for salaried individuals.

As on Dec 31, 2020, the company had 1,844 personnel and a network of 181 branches catering to 56,430 active loan accounts across 75 districts in Tamil Nadu (including the Union Territory of Puducherry), Andhra Pradesh, Karnataka and Telangana and has a strong capital sponsorship by marquee investors i.e Westbridge, Malabar Investments, Sequoia Capital, Steadview Capital and Madison India.

AVHFIL, whose 60% customers are located in rural/semi urban regions offers home loans for purchase and self-construction of residential property, home improvement, extension loans, loan against property and business loans, primarily to first time home buyers belonging to the low and middle income groups The ticket sizes of its loans ranges between Rs 5-15L with tenures ranging between 8.5 to 12.5 years.

The asset quality focused financier in comparison to its peers, in FY20, not only had the highest ROA of 6.3% due to its optimal product mix   and cost control measures but also had one of the lowest cost to income ratio at 26.4% as compared with peers in the Industry.

After successfully growing its presence outside its home state, Tamil Nadu to other major markets in southern India, it is now intending to expand its branch network in large housing markets in the states of Maharashtra, Odisha and Chhattisgarh.

The company has stayed resilient and has seen consistent performance through the past and ongoing macro-economic challenges. As of Dec 31, 2020 it’s Net NPA stood at 0.57%, Capital Adequacy at 75.03% and Collection Efficiency at 99.20%.

The net proceeds from the issue will be utilized towards augmenting the company’s capital base and to meet future growth requirements.

Investment Bankers appointed for the Issue are ICICI Securities Ltd, Citigroup Global Markets India Pvt Ltd, Edelweiss Financial Services Ltd and Kotak Mahindra Capital Company Limited

Indian Housing Finance Market, particularly the affordable housing clocked a higher growth of 16%-18% (13% CAGR of normal housing finance) between FY18-20 on account of rise in disposable income, healthy demand from smaller city markets, and attractive interest rates on government’s impetus on housing. As an asset class it has the lowest annual credit losses.

90th Annual General Meeting of

 90^th Annual General Meeting of Federal Bank Conducted

Ninetieth Annual General Meeting of shareholders of Federal Bank was conducted over video conferencing today. The meeting was presided over by Bank’s Chairperson Ms. Grace Elizabeth Koshie and joined by other Directors, Shareholders, Senior Executives, representatives of Statutory Auditors and Secretarial Auditors of the Bank. 

Approval of shareholders was sought for adopting audited financial statements of FY 2020-21 and other resolutions like declaration of dividend of 35% to the shareholders, approval of issuance of equity shares on preferential basis and raising of Tier I Capital of the Bank through Issuance of Securities.  Approval was also sought for revision of tenure of M/s. Varma and Varma, one of the Joint Statutory Central Auditors, the appointment and fixation of remuneration of branch auditors in consultation with the Statutory Central Auditors, appointment of Ms. Varsha Purandare as an Independent Director of the Bank, re-appointment of Mr. Shyam Srinivasan as MD & CEO, Mr. Ashutosh Khajuria as Executive Director and Mr. A P Hota as an Independent Director and payment of Performance Linked Incentive to Ms. Shalini Warrier, Executive Director.  

 

 

While addressing shareholders, Ms. Grace Elizabeth Koshie remarked that the Bank led by its twin focus on Digital enablement and people empowerment, supported by operational strength, navigated unprecedented challenges during the year to deliver exceptional numbers.

 

In his speech, Mr. Shyam Srinivasan, MD & CEO said, “Simple, Digital, Contactless – this is what I had defined last year to be the cornerstones of our strategic focus for FY 2020-21, and a stepping stone in our journey to become the bank of FIRST CHOICE for Indians”. He added that the Bank’s digital innovations of today are on the cusp of redefining the banking paradigm of tomorrow.

 As a unique addition to the AGM proceedings this year, the Bank streamed the meeting live on 4 social media platforms - Facebook, YouTube, Twitter and Clubhouse.

South Cement Major, Penna files for

                 South Cement Major, Penna files for Rs 1550 Crore IPO

 

Penna Cement Industries, a well-established integrated cement player with a strong brand recall in southern and western states of India, has refiled for its Initial Public Offering to fundraise Rs 1300 Crore via a fresh issue of equity shares and an offer for sale of up to Rs 250 Crore by the Promoter Selling Shareholders, aggregating to Rs 1550 Crore. 

 

Objects of the Net Proceeds are to Repay/Prepay Rs 550 Crore of certain borrowings availed by the company besides funding capital expenditure requirements of Rs 105 crore for its KP Line II Project, Rs 80 crore towards upgrading its raw grinding and cement mill in Talaricheruvu, Rs 110 Crore and Rs 130 Crore towards setting up a waste heat recovery plant in Talaricheruvu and Tandur and general corporate purposes.

 

Incorporated in 1991 and commenced operations in 1994, PCIL offers major variants of cement, including Ordinary Portland Cement, Portland Pozzolana Cement and Portland Slag Cement and stands to be one of the largest privately held cement companies in India. It operates out of 4 ISO certified integrated manufacturing facilities and two grinding units across Andhra Pradesh, Telangana and Maharashtra with an aggregate capacity of 10 MMTPA as of March 31, 2021. It is expected to reach 16.5 MMTPA by FY24. 

 

In May 2019, the company acquired Singha Cement, a Sri Lankan Cement Company that operates a packing terminal in Colombo, to augment its focus on having a port-based distribution strategy. Additionally, it has commissioned one of the largest port-based cement terminal in India at Krishnapatnam with an automated ship loading facility and packing terminals at Cochin, Gopalpur and Karaikal ports.

 

In Fiscal 2021, the company’s revenue from operations, EBITDA and profit for the year stood at 2,476.39 Crore, ₹ 479.84 Crore and ₹ 152.07 Crore, respectively.

 

Investment Bankers appointed to the Issue are Edelweiss Financial Services Ltd, Axis Capital Ltd, ICICI Securities Ltd, JM Financial Ltd and Yes Securities (India) Ltd.

 

Cement industry in India is expected to grow at CAGR of 6-7% between FY21 and FY26 on account of infrastructure investments, healthy revival of the housing demand and various Government Initiatives.

Retail focused HFC, Aptus Value Housing files

 Retail focused HFC, Aptus Value Housing files
 

for Rs. 3000 Cr IPO

 

Aptus Value Housing Finance, one of the largest housing finance companies in terms of asset under management having the largest branch network in South India has filed it’s papers with the regulator to raise approximately Rs.2,600 -3,000 cr as per market sources.

The fund raise comprises of a fresh issue of equity shares aggregating to 500 cr and an Offer for Sale of upto 64,590,695 equity shares by Promoter and Other Selling Shareholders.

Since the inception of the company in 2010 till date, the company has pristine asset quality with very low NPA and as of Dec 31, 2020 the companies AUM stood at Rs 3,790.93 cr of which 72.50% were loans to self-employed customers while the balance 27.50% accounted for salaried individuals.

As on Dec 31, 2020, the company had 1,844 personnel and a network of 181 branches catering to 56,430 active loan accounts across 75 districts in Tamil Nadu (including the Union Territory of Puducherry), Andhra Pradesh, Karnataka and Telangana and has a strong capital sponsorship by marquee investors i.e Westbridge, Malabar Investments, Sequoia Capital, Steadview Capital and Madison India.

AVHFIL, whose 60% customers are located in rural/semi urban regions offers home loans for purchase and self-construction of residential property, home improvement, extension loans, loan against property and business loans, primarily to first time home buyers belonging to the low and middle income groups The ticket sizes of its loans ranges between Rs 5-15L with tenures ranging between 8.5 to 12.5 years.

The asset quality focused financier in comparison to its peers, in FY20, not only had the highest ROA of 6.3% due to its optimal product mix   and cost control measures but also had one of the lowest cost to income ratio at 26.4% as compared with peers in the Industry.

After successfully growing its presence outside its home state, Tamil Nadu to other major markets in southern India, it is now intending to expand its branch network in large housing markets in the states of Maharashtra, Odisha and Chhattisgarh.

The company has stayed resilient and has seen consistent performance through the past and ongoing macro-economic challenges. As of Dec 31, 2020 it’s Net NPA stood at 0.57%, Capital Adequacy at 75.03% and Collection Efficiency at 99.20%.

The net proceeds from the issue will be utilized towards augmenting the company’s capital base and to meet future growth requirements.

Investment Bankers appointed for the Issue are ICICI Securities Ltd, Citigroup Global Markets India Pvt Ltd, Edelweiss Financial Services Ltd and Kotak Mahindra Capital Company Limited

Indian Housing Finance Market, particularly the affordable housing clocked a higher growth of 16%-18% (13% CAGR  of normal housing finance) between FY18-20 on account of rise in disposable income, healthy demand from smaller city markets, attractive interest rates on governments impetus on housing. As an asset class it has the lowest annual credit losses.

IndusInd Bank’s Board Approves Fresh

IndusInd Bank’s Board Approves Fresh Capital Raise of Rs. 3,288 crore Through Preferential Issuance of Equity

Board of Directors of IndusInd Bank Limited (“Bank”), in their meeting held today, considered and approved a proposal to raise Rs. 3,288 crore through a preferential issue of fully paid up 6.275 crore equity shares at a price of Rs 524/- per share, to a set of marquee investors and the Promoter. The preferential issue is subject to shareholder approval and other necessary approvals. The extraordinary general meeting (“EGM”) of shareholders, to consider the preferential issue, is scheduled to be held on 25 August 2020.

The Bank will raise capital from the following investors:

Name of Investor	Number of Shares Proposed to be Issued	Total Capital Proposed to be Raised (Rs. Crore)
Route One Fund I LP	71,59,788	375
Route One Offshore Master Fund LP	1,06,93,264	560
ICICI Prudential Life Insurance Company Limited	1,62,21,374	850
Tata Investment Corporation Limited	57,25,190	300
AIA Company Limited	78,30,152	410
Hinduja Capital Limited	57,03,816	299
IndusInd International Holdings Limited	94,13,661	493
Total	6,27,47,245	3,288

The Bank is already well capitalized with a CRAR (including Q1 FY21 profits) of 15.3% as of 30^th June 2020. Subsequent to the proposed capital raise, the post-issue CRAR is estimated to be 16.5%.

The Bank will use this capital to continue to invest in liabilities and asset franchise, technology and infrastructure platforms, to expand reach, product offerings and to improve customer experience whilst ensuring sustainable financial parameters.

Mr. Sumant Kathpalia, Managing Director and CEO, IndusInd Bank Limited, said. “We thank our existing shareholders for their continued trust and support and welcome our new shareholders. This capital raise from long term, foreign as well as domestic investors, is strategic for us as this helps us bolster the Bank’s balance sheet and position the Bank well as the economy gradually navigates out of the Covid-19 pandemic. The capital raise also reflects the continued support and confidence that our Promoters have in the Bank. We recognize and value the trust and confidence being placed on us by our shareholders, depositors, customers and rating agencies and are committed to remaining focused on creating value for all our stakeholders.”

In accordance with SEBI ICDR Regulations, the proposed preferential issue shall be completed within a period of 15 days from the date of approval by the shareholders at the EGM.

Morgan Stanley and Citigroup Global Markets India Private Limited acted as financial advisors, and S&R Associates acted as legal counsel to IndusInd Bank Limited.