SEL Manufacturing to invest Rs 187.57cr on expansion, plans IPO

New Delhi, June 12 (UNI) Textile firm SEL Manufacturing Company Ltd will expand its manufacturing capacities in garmenting, knitting and spinning at a total cost of Rs 184.57 crore and enter into the capital market.

After the expansion, the company will have consolidated garmenting capacities of six million pieces per annum fully backed by facilities for spinning, fabric knitting and processing.

The company plans to enter the capital market with a public issue of 53,99,210 equity shares of Rs 10 each through 100 per cent book building process for funding the equity component of the project cost.

UTI Bank Ltd has been mandated as the Book Running Lead Manager for the IPO. The company has already received SEBI observations on the DRHP for the IPO.

SEL has its production facilities in Ludhiana in Punjab and Baddi in Himachal Pradesh.

To cater to its target exports markets, it has opened representative offices in Russia and Dubai. Presently, majority of the company's production of garments is exported to Russia and the UAE.

It is operating with a consolidated capacity to manufacture 4.5 million garment pieces per annum. Its capacities in cotton and combed yarn, fabric knitting and yarn dyeing are 29,856 spindles (6,516 tonnes yarns per annum), 1,950 tonnes of fabric knitting and 3,000 tonnes of yarn dyeing per annum respectively.

SEL manufactures and exports all types of knitted garments and its main products include T-shirts, polo shirts, sweat shirts, boxer shorts, thermals and girls top.

SEL enjoys strong relationship with global and domestic clients like Auchen, Metro, Carefour, Alok Industries and Arvind Mills.

UNI