Hyderabad-based Dodla Dairy is planning to hit the capital markets on June 16, and has set its value band at Rs 421-428 per share for a Rs 520 crore preliminary public provide (IPO).
The complete challenge dimension of the corporate’s IPO is Rs 520 crore. The challenge will shut on June 18.
Dodla Dairy IPO provide includes a recent challenge of as much as Rs 50 crore and a proposal on the market of as much as 1,09,85,444 fairness shares by promoters and traders.
The provide on the market consists of 92 lakh fairness shares by investor TPG Dodla Dairy Holdings, and 4,16,604 fairness shares by Dodla Sunil Reddy, 10,41,509 fairness shares by Dodla Family Trust, and three,27,331 fairness shares by Dodla Deepa Reddy.
The funds raised by means of the IPO shall be utilised for repaying money owed of Rs 32.26 crore availed from ICICI Bank, the Hongkong and Shanghai Banking Corporation (HSBC) and HDFC Bank, and for capital expenditure necessities of round Rs 7.15 crore.
As of December 31, 2020, the corporate had a complete debt of Rs 87.37 crore comprising time period loans, working capital amenities and NCDs.
“The cost of production went up following the pandemic leading to around Rs 200 crore or 10 per cent loss of topline. We expect to retain the status quo similar to the previous financial year in FY22. The company will continue to target a growth of 15-20 per cent going forward,” Dodla Dairy Managing Director Sunil Reddy informed reporters at a digital press convention.
He mentioned the corporate may also contemplate acquisition if it will get an excellent worth and alternative within the present market.
Dodla Dairy is current throughout 5 states together with Andhra Pradesh, Telangana, Karnataka, Tamil Nadu and Maharashtra, working underneath manufacturers like Dodla Dairy, Dodla and KC+.
Currently, the corporate has 370 retailers and is planning so as to add a few 100 extra this yr, he mentioned.
The firm additionally has abroad presence in African international locations together with Uganda and Kenya with manufacturers Dodla Dairy, Dairy Top and Dodla+.
Sale of milk and dairy-based worth added merchandise (VAPs) of the corporate constituted 72.81 per cent and 27.18 per cent, respectively, of the income in FY20.
