EMMBI Polyarns IPO to hit market by next month

MUMBAI: Mumbai-based, polymer processing firm, EMMBI Polyarns plans to raise Rs 45-crore through an initial share sale next month, the proceeds of which will be used to augment its production capacity, a top official said.

"We will go for an initial public offer in January 2010 in order to support our capital raising plans," EMMBI Polyarns' Managing Director, Makrand Appalwar, told PTI here.

The company plans to utilise the proceeds from the proposed issue to set up a a new polymer processing plant in Silvassa besides to scale up the production capacity of the two existing plants, Appalwar said.

The new facility is expected to start production by April next year, he said.

"We will expand our existing production capacity from 5,000 tonnes to 12,800 tonns annually. The new plant will help to cater to the polymer demand emerging from both the domestic and international market," Appalwar said.

Presently, the company has two manufacturing units in Silvassa, which is engaged in the production and sale of jumbo bags, woven sacks and various other woven polymer based products like container liners and car covers.

The company has exports to 14 countries and has a strong marketing base in 12 states pan-India, Appalwar said.