Refex plans Rs 36 cr capacity expansion

Mumbai, July 17 (UNI) Chennai-based Refex Refrigerants is planning Rs 36.15 crore capacity expansion, for which it will sell 38 lakh shares to public.

The Company, which is engaged in the business of refilling Hydrofluorocarbons (HFCs) in refrigerators, has plans to boost its production segment to 3,000 MT from the current 480 MT by enhancing the capacity of its existing plant in Chennai, Company MD Anil Jain told reporters today.

The issue price has been fixed at Rs 65 per share for the Initial Public Offer (IPO) set to hit the market on July 23 and will close on July 26.

The Company is expecting to mop up Rs 24.70 crore from public through the issue.

Of the total issue, 3.8 lakh shares are reserved for Qualified Institutional Bidders (QIBs) at a premium of Rs 55 worth Rs 2.47 crore. Company has opted to list shares at Bombay Stock Exchange (BSE).

This apart, Refex would also raise Rs 11.45 crore, of which Rs 5.95 crore will be contributed by promoters while Rs 5.50 crore will be raised through term loan from Centurion Bank of Panjab.

''HFCs are ecofriendly and would replace Chlorofluorocarbons which has an adverse affect on the Ozone layer in near term,'' Mr Jain said adding the Company has a 20 per cent share in the domestic market.

The Company, which has been exporting HFC from China and Singapore, has tied up with Singapore-based Kaltech Engineering and Refrigerants Private Limited in technical arenas.

UNI