Cords Cable Industries Limited, a leading ISO 9001-2000 certified specialised cable manufacturer for variety of industries, will enter the capital market with an Initial Public Offering (“IPO”) of 30,85,000 equity shares of Rs 10 each for cash at a price to be decided through a 100% book-building process.

The Bid/Issue will open for subscription on January 21, 2008, and close on January 24, 2008. The Price Band has been fixed between Rs 125 and Rs 135 per equity share. The Equity Shares are proposed to be listed on Bombay Stock Exchange Ltd. (“BSE”) and National Stock Exchange of India Ltd. (“NSE”). The Public Issue includes an Employee Reservation of 70,000 Equity Shares and the Net Issue to the Public is 30,15,000 Equity Shares. The Issue would constitute 27% of the fully diluted post-issue paid-up capital of the Company and the Net Issue would constitute 26.38%.

Of the total equity float, upto 50% of the Net Issue shall be allocated on a proportionate basis to Qualified Institutional Buyers (QIBs) (including 5% of the QIB portion specifically reserved for Mutual Funds). Further, atleast 15% of the Net Issue shall be available for allocation on a proportionate basis to Non-Institutional Bidders and atleast 35% of the Net Issue shall be available for allocation on a proportionate basis to Retail Individual Bidders, subject to valid bids being received at or above the Issue Price. This Issue has been graded by Credit Analysis & Research Limited (“CARE”) and has been assigned the CARE IPO Grade 3/5.

CCIL, which is managed by three promoters who individually have over 30 years of experience in the Cable industry, is one of the leading players in the cable industry with over 15 years of established track record. The Company is promoted by a group of three professionals with an objective to cater to the growing requirement for high quality customised cables. It manufactures cables to provide cost-effective and quality solutions for various electrical connectivity requirements, mainly for the industrial segments. It accomplishes this through customised design and development, quality manufacturing and reliable delivery of all varieties of cables.

At present, CCIL manufacture cables upto 1.1 KV for various applications covering most segments of users including industrial, utility and buildings. It caters to a wide spectrum of cable users in various industries like power, steel, cement, fertilizers and chemicals, refinery / petroleum and many others. It has pre-qualified and has approvals with most of the large corporates and well known Public Sector Undertakings (“PSUs”). Its clients are from diverse industries and include names such as BHEL, NTPC, Hindalco, ACC, HPCL, GAIL, TATA STEEL, Siemens, Honeywell, L&T, MRPL and others. It is also approved with almost all the top consultants such as Kvaerner Powergas India Ltd., Det Norske Veritas As, Toyo Engineering India Ltd., Jacob H&G Ltd., Engineers India Ltd., Mecon Ltd., Rites Ltd., M. N. Dastur & Co. Ltd., Tata Consulting Engineers, etc. The company is also approved with various international consultants and companies such as PDO (Oman), Areva, Alstom, Sohar, Sesco etc It is also one of the preferred vendors with almost all the leading users of the country. Its quality standards have been duly appraised, vetted and approved by various independent agencies of repute. The Company has the BIS certification for all types of cables conforming to IS:1554(1)/1988 and IS:694-90.

The Company has a diversified clientele and product portfolio. It supplies cables across various industries to various large organizations of diverse sectors such as steel, power, chemical, cement, fertilizer, refineries, telecom, etc. It offers an extensive range of high quality control & instrumentation cables, power cables and special cables for oil wells, etc., conforming to Indian and international standards. It has an established track record and prequalification. It has a strong brand and high service standards. Its competitive strengths give it an advantage vis-à-vis the new entrants. The research and development capabilities, experienced technicians and their experience enable the Company to test and implement new products based on the changing needs of the clients.

The Company’s revenues have grown from Rs 16.04 crore in FY 2003 to Rs 104.29 crore in FY 2007 and the net profit after tax as restated during the same period has grown from Rs 13.94 lakh to Rs 7.01 crore.

The Book Running Lead Manager (“BRLM”) to the Issue is Collins Stewart Inga Private Limited.

Sourced From: Adfactors Public Relations Pvt Ltd

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