Kamdhenu Ispat to enter capital market

Chandigarh, Mar 31 (UNI) Kamdhenu Ispat Ltd proposes to enter the Capital Market on April three, 2006 with an IPO of 1,28,00,000 Equity Shares of Rs 10 each, a company release today said.

The issue closes on April eight and the price has been fixed at Rs 25 (at a premimum of Rs 15 per Equity Share). Chartered Capital and Investment Ltd is the Lead Manager and Karvy Computershare Private Ltd is the Registrar to the Issue.

The Company proposes to deploy the net proceeds of the Issue to set up stockyards in ten states for marketing the Kamdhenu brand construction materials.

Kamdhenu is a leading company dealing with manufacturing and marketing of construction materils like TMT and CTD bars, cement, SS water pipes as well as housing projects. Having 30 franchisee units, spread out in 15 states, with territorial operational reach to more than 22 states, the company also has a wide network of 1750 dealers and distributors across the country.

The Public Issue of 1,28,00,000 Equity Share comprise promoters' contribution of 36,74,700 Equity Shares of Rs 10 each at a premium of Rs 15 each and a net offer to the public of 91,25,300 Equity Shares. The Issue will also have a green Shoe Option of 13,68,795 Equity Shares to be offered at a Price of Rs 25 each.

The Issue will constitute 67.33 per cent of the fully diluted post-Issue capital of the Company (without Green Shoe) and 69.52 per cent (with Green Shoe).

UNI HS SR HS1431