Abhishek Mills IPO to open tomorrow

Mumbai, Feb 19 (UNI) Textile and infrastructure company Abhishek Mills Ltd (AML) is slated to enter the capital markets with a public issue of 41,00,000 equity shares of Rs 10 each for cash at a premium to be decided through the 100 per cent book building process and a price band of Rs 95 to Rs 110, tomorrow.

The issue will be listed on the Bombay Stock Exchange (BSE) and National Stock Exchange (NSE) and subscription will close on February 26.

The proceeds of the issue will be used to add more facilities to produce around 8 to 9 million metres of high-end yarn dyes shirting fabric, that will be exported. The expansion project is expected to start commercial production by Jan 2008, a company press release said.

AML exports their products to several high-profile countries like Germany, Italy, Switzerland, Vietnam, Baharain, Hong Kong and Mauritius.

Three years ago, it diversified into construction and applied for registration as category Class IB registered contractor with PWD and GoM, the press release said.

For six months ended September 30, 2006, AML posted sales of Rs 40.86 crore with a PAT of Rs 6.73 crore, while for the financial year 2006, their turnover was Rs 67.35 crore with a PAT of Rs 12.81 crore, the release added.

UNI