Home improvement and building products company Shankara Building Products plans to raise Rs 400 crore through its initial public offer (IPO), which will hit the market on March 22. The company has fixed the price band Rs. 440 to Rs. 460 per equity share. The issue will close on March 24, 2017.
Shankara Building Products Ltd. is one of the leading organised retailers of home improvement and building products in India based on number of stores, operating under the trade name Shankara BuildPro (Source: CRISIL Report). As on December 31, 2016, it operated 103 Shankara BuildPro stores spread across 9 states and 1 union territory in India.
The Company was founded by its promoter, Sukumar Srinivas, an alumnus of the Indian Institute of Management, Ahmedabad, and a first generation entrepreneur, currently having 33 years of experience in the building products industry.
“Our company is largely based in south India. We basically target home owners, professional customers (such as architects and contractors), and small enterprises, through our retail stores. With the government's plan of housing for all, we see a huge potential,” said Sukumar Srinivas, MD, Shankara Building Products Ltd
The proceed will be used for Repayment or pre-payment of loans of the company and general corporate purposes. The offer comprises of a fresh issue of equity shares aggregating up to Rs. 450 million of Fresh Issue and an offer for sale of up to 816,252 equity shares by the Company’s promoter, Sukumar Srinivas, and up to 5,705,488 equity shares by Fairwinds Trustees Services Pvt Ltd. acting in the capacity of trustee of Reliance Alternative Investments Fund – Private Equity Scheme I.