Marco Cables & Conductors IPO Detail 2023
Introduction
The Marco Cables & Conductors IPO will open on September 21 and close on September 25, 2023. As per the DRHP filed with SEBI, the company intends to raise approximately ₹ 18.73 crore through this public offering, consisting of 52 lakh shares with a face value of ₹ 10 each, which will be issued at a price of ₹ 36 per share.
Marco Cables & Conductors Limited (“the Company”)
Marco Cables & Conductors Ltd. was incorporated in 1989 and is engaged in the business of manufacturing and selling wires, cables, and conductors in India, with an operating history of over 34 years in the power cable industry in India.
The company commenced its operations with the manufacturing of wires (with aluminum or copper conductor), XLPE or PVC cables, and aerial bunched cables; subsequently, it added AAAC (all aluminum alloy conductor) and ACSR (aluminum conductor steel reinforced) conductors and made its presence known in the industry.
The majority of its products are supplied to electricity boards of different states like Maharashtra, Gujarat, Tamil Nadu, Telangana, Haryana, Chhattisgarh, Madhya Pradesh, etc., and turnkey contractors in India.
They sell their products through a diversified sales and distribution mix, primarily by
- Securing government tenders for supply to government projects
- supply to EPC contractors for turnkey projects and
- Its dealer and distribution network and direct sales to a few private companies
Its products cover the entire range of voltages and transmission lines up to 1.1 KV. Its products are also certified as compliant with various quality standards, including those of the Bureau of Indian Standards (“BIS”) and the International Organization for Standardization (“ISO”).
Company Key Metrics
| Earning Per Share (EPS) | ₹ 1.78 per Equity Share |
| Debt to Equity Ratio | 2.41 |
| ROE | 22.41% |
| ROCE | 16.93% |
| P/E (x) | 20.22 |
| Return on Net Worth (RoNW) | 17.98% |
Objects of the Issue,
- Funding of capital expenditure requirements of the company towards the purchase of Solar Power System and 1+12 Rigid Stranding Machine.
- Funding Incremental Working Capital Requirements; and
- General corporate purposes.
Financial Highlights (Restated)
| Particulars | FY 2022-23 | FY 2021-22 | FY 2020-21 |
|---|---|---|---|
| Net Worth | 1,560.86 | 944.75 | 911.25 |
| Total Assets | 6,993.44 | 5,954.62 | 5,658.84 |
| Reserve & Surplus | 1,238.90 | 655.34 | 621.84 |
| Total Borrowings | 3,757.70 | 3,665.19 | 3,522.22 |
| Total Revenue | 5,693.72 | 5,665.31 | 4,282.91 |
| Profit After Tax | 280.71 | 33.49 | 12.25 |
IPO details
As per the DRHP filed with SEBI, 26 lakh shares will be offered as a fresh issue in the NSE SME segment. The face value of the shares is ₹ 10. The market maker would receive 2.88 lakh shares of the offering. While Shreni Shares Private Limited will be the lead manager for the IPO, Bigshare Services Pvt Ltd will be the registrar. It will be a Fixed Price Issue IPO, so the price at which the securities are offered or allotted is known in advance to the investor.
| Issue Type | Fixed Price Issue IPO |
| IPO Price | ₹ 36 per share |
| Face Value | ₹ 10 per share |
| Market Lot | 3,000 shares |
| Issue Size | 5,202,000 shares (aggregating up to ₹ 18.73 crores) |
| Fresh Issue | 2,601,000 shares (aggregating up to ₹ 9.36 crores) |
| Offer for Sale | 2,601,000 shares (aggregating up to ₹ 9.36 crores) |
| Listing At | NSE SME |
Market Maker detail
| Market maker | Shreni Shares |
| Market maker portion | 288,000 shares |
Shareholding Pattern
| Shareholding pre-issue | 16,098,000 |
| Shareholding post issue | 18,699,000 |
IPO Reservation
| Categories | No. of shares offered |
|---|---|
| Other shares offered | 50% of the net offer |
| Retail shares offered | 50% of the net offer |
GMP: Marco Cables & Conductors IPO
GMP, or grey market premium, is available on this page. The IPO GMP is updated on a day-to-day basis during the running period of the IPO, due to which the GMP rates fluctuate and stabilise after some time. GMP rates are not 100% guaranteed. Please click here for GMP details.
Tentative Dates: Marco Cables & Conductors IPO
The issue opens for subscription on September 21, 2023, and closes for subscription on September 25, 2023 (both days inclusive). The basis of allotment will be finalised on September 28, 2023, and the refunds will be initiated on September 29, 2023. In addition, the demat credits are expected to happen on October 4, 2023, and the stock will be listed on the NSE SME on October 4, 2023. The UPI mandate confirmation cut-off time is 5:00 PM on the issue closing day.
| Opening Date | September 21, 2023 |
| Closing Date | September 25, 2023 |
| Basis of Allotment | September 28, 2023 |
| Initiation of Refunds | September 29, 2023 |
| A credit of shares to Demat A/c | October 3, 2023 |
| Listing Date | October 4, 2023 |
Lot Size
The lot size of the Marco Cables & Conductors IPO is 3,000 shares. A retail-individual investor can apply for up to 1 lot, i.e. 3,000 shares of ₹ 108,000.
| Applications | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Minimum) | 1 | 3,000 | ₹ 108,000 |
| Retail (Maximum) | 1 | 3,000 | ₹ 108,000 |
| HNI (Minimum) | 2 | 6,000 | ₹ 216,000 |
Promoters Holdings
Mr. Sumit Sugnomal Kukreja, Mr. Sugnomal Mangandas Kukreja and Ms. Komal Sumit Kukreja are the promoters of the company.
| Pre-issue Shares Holdings | 100% |
| Post-issue Shares Holdings | 72.08 |
Miscellaneous Information
| Download Prospectus (PDF) | IPO DRHP |
| Company Contact Information | Marco Cables & Conductors Limited Shop No 100, Opposite Bhai Gangaram Market, Main Road, Ulhasnagar, Thane – 421005, Phone: 0251 2530332 Email: investors@hmtcable.com Website: https://www.marcocables.com/index |
| IPO Registrar | Bigshare Services Pvt Ltd Phone: +91-22-6263 8200 Email: ipo@bigshareonline.com Website: https://ipo.bigshareonline.com/ipo_status.html |
| IPO Lead Manager(s) | Shreni Shares Private Limited |
FAQs
What is Marco Cables & Conductors's IPO price?
The Marco Cables & Conductors IPO price is ₹ 36 per share.
What minimum lot size can retail investors subscribe to?
The minimum investment size is one lot for retail investors. One lot of the Marco Cables & Conductors IPO contains 3,000 shares of ₹ 108,000.
When will the Marco Cables & Conductors IPO allotment be available?
The finalisation of the basis of allotment for the Marco Cables & Conductors IPO will be done on September 28, 2023, and the allotted shares will be credited to your demat account by October 3, 2023. Check the Marco Cables & Conductors IPO allotment status.
When will the Marco Cables & Conductors IPO be listed on exchanges?
The Marco Cables & Conductors IPO shares listing date is October 4, 2023.
