New Delhi-based PME Power Solutions (India) Limited has filed DRHP with SEBI for public issue of 11.4 Mn shares by diluting 25% stake.
It intends to use the IPO funds to set up manufacturing facility at Moradabad in Uttar Pradesh, to enhance its transformer production capability upto 315 MVA at 400 KV class (Rs.229.03 Cr); to repay part of its debt (Rs.30.79 Cr) and for other corporate purposes.
Edelweiss Capital and Imperial Corporate Finance And Services are the book running lead managers to the issue.
Transaction Reference: SEBI
Established in 1988 by Anil Kumar Agarwal and Madhu Agarwal, PME Power manufactures power and distribution transformers up to 40 MVA of 132 kv class.
It also undertakes EPC projects relating to construction of substations for transmission and distribution of electric power and erection and commissioning of transmission and distribution lines.
As on June 2011, its order book stood at around Rs.329.9 Cr, which includes Rs.37.74 Cr of orders for transformers and Rs.292.2 Cr of EPC contracts.
It currently operates from its manufacturing facilities located in Uttar Pradesh with manufacturing capacity of 3170 MVA of transformers p.a.
Currently, promoter and the promoter group together hold 63.51 % stake in the company.
Last year in April, Tano Capital through Tano Mauritius India FVCI, had invested Rs.25 Cr in the company and currently holds 12.97% stake, while Subhkam Ventures Subhkam Growth Fund I which had also invested in the company, currently holds 4.67% stake.
PME Power posted a total income of Rs.415.7 Cr with PAT of Rs.75.1 Cr for FY2011.
According to Indian Distribution Transformer Market-Frost & Sullivan Report, from 2009 to 2016, the power transformer market is expected to grow at a CAGR of 6.6% in revenue terms and reach $1,930.3 Mn by 2016 and the distribution transformer market is expected to grow at a CAGR of 5.7% in revenue terms and reach $2,106.4 Mn by 2016.
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4134
3846
945
4260
973
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17649
42
1677
25526
3005
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1369
459
3151
32715
140
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24632
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KVEZAR VIEW
| Date | Transaction | Type | Buyer | Size ($mn) |
| 25/07/11 |
PME Power Solutions - IPO |
IPO / Offerings |
|
- |
| 31/12/06 |
PME Transformers - Subhkam Ventures |
Private Equity |
Subhkam Ventures |
- |
| Date | Type | Buyer | Target | Size ($mn) | State |
| 15/05/12 |
Private Equity |
Rakesh Jhunjhunwala |
Geometric Limited |
1.16 |
Completed |
| 11/05/12 |
M&A |
Anchor Electricals Private Limited |
Firepro Systems Private Limited |
- |
Announced |
| 07/05/12 |
M&A |
RHI Group |
Orient Refractories Limited |
112.21 |
Planned |
| 02/05/12 |
Private Equity |
Summit Partners |
Regen Powertech Private Limited |
9.87 |
Completed |
Company |
| Name | Promoters | Office | Competitor | Website |
| PME Power Solution (INDIA) Limited (PME Transformers India) |
Anil Kumar Aggarwal |
26/36 Ground Floor, East Patel Nager |
|
www.pmepowersolutions.com |
