Prakash Constrowell to raise Rs 60 crore via IPO

MUMBAI: Prakash Constrowell, engaged in the business of infrastructure development and civil construction, will enter the capital markets Monday with its initial public offering to raise Rs 60 crore through 100 per cent book building process.

The proceeds will be utilised to meet working capital requirement, investment in construction equipments and investment in subsidiaries.

The price band and minimum bid lot will be announced at least two working days prior to the Issue opening date.

The Issue closes 21st September 2011.

Intensive Fiscal Services is the sole Book Running Lead Manager to the Issue.

The Issue has been graded by CARE as ``CARE IPO Grade 2’’ indicating below average fundamentals.

Prakash Constrowell operates in the three segments of construction viz. infrastructure development, civil construction and residential & commercial real estate construction.

As of June 30, 2011, the company’s order book stood at Rs 150.81 crore. Its income from operations on a consolidated basis as per the restated financials has grown to Rs 126.91 crore in the year 2010-11 from Rs 26.40 crore in 2007-08.

Its profit after tax on a consolidated basis as per the restated financials has grown from Rs 3.06 crore in the year 2007-08 to Rs 10.65 crore in the year 2010-11.