Simplex prices its IPO 170-185 per equity share

Mumbai, Jul 5: Kolkatta-based construction company Simplex Project Limited today announced a price brand of Rs 170-185 per equity share, for its proposed public issue of 30 lakh equity shares of Rs 10 each, slated to open on July 10.

Addressing a press conference here today, Simplex Project Limited's (SIL) Managing Director B K Mundhra said, the company proposed to utilise the net proceeds of the issue to augment long-term working capital requirement, acquire plant and machineries and invest in subsidiary Simpark Infrastructure Pvt Limited.

The issue is being made through cent per cent Book Building Process wherein not more than 50 per cent of the Net Issue shall be available for allocation on a proportionate basis to Qualified Institutional Buyers (QIBs), five per cent of the QIB portion shall be available for allocation on a proportionate basis to Mutual Funds only.

The net issue will constitute 25 per cent of the fully diluted post-issue paid-up capital of the company and will be listed on the Bombay Stock Exchange and National Stock Exchange (NSE), Mr Mundhra said.

SIL is in the construction business since 1990 and has worked in 16 stated in the country focussing on areas such as Piling and Foundations, Civil construction projects.

The company's total income was up from Rs 41.82 crore in FY-03 to 136.24 crore in March 2007 and posted a net profit of Rs 10.49 crore in the FY-07.

The issue will open on July 10 and to close on July 13.

UNI