BMW Ventures Ltd. Gears Up for Rs 231.66 Crore IPO
BMW Ventures Ltd., a Bihar-based steel products distributor, is launching its IPO from September 24-26. The company aims to raise Rs 231.66 crore by offering 2.34 crore fresh equity shares at a price band of Rs 94-99 per share. The IPO proceeds will primarily be used for debt repayment (Rs 174 crore) and general corporate purposes. BMW Ventures, established in 1996, has diversified beyond steel distribution into tractor parts, PVC pipes, and steel girders for railways. The company reported a revenue of Rs 2,062 crore and a net profit of Rs 32.80 crore in its recent financial performance. The shares are expected to list on BSE and NSE around October 1.
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BMW Ventures Ltd., a prominent Bihar-based steel products distributor, is set to make its debut on the stock market with an Initial Public Offering (IPO) scheduled to open on September 24. The company aims to raise Rs 231.66 crore through this public issue, which will remain open until September 26.
IPO Details
- Price Band: Rs 94 - Rs 99 per share
- Issue Size: 2.34 crore fresh equity shares
- Market Capitalization Target: Rs 858.48 crore
- Listing: BSE and NSE
- Tentative Listing Date: October 1
Company Overview
BMW Ventures Ltd. has been a key player in the steel distribution sector since 1996, with steel products accounting for over 97% of its revenue. The company's product portfolio includes:
- TMT bars
- GI sheets
- Wire rods
In addition to its core steel business, BMW Ventures has diversified into:
- Distribution of tractor engines and spare parts
- Manufacturing of PVC pipes
- Production of steel girders for Indian Railways
Financial Highlights
The company has demonstrated steady growth in its recent financial performance:
| Metric | Value | Growth |
|---|---|---|
| Revenue | Rs 2,062.00 crore | 6% |
| Net Profit | Rs 32.80 crore | 10% |
| EBITDA Margin | 4.20% | - |
Utilization of IPO Proceeds
BMW Ventures plans to allocate the funds raised through the IPO as follows:
- Debt Repayment: Rs 174.00 crore (against total borrowings of Rs 428.00 crore)
- General Corporate Purposes: Remaining funds
IPO Timeline
- Issue Opens: September 24
- Issue Closes: September 26
- Share Allotment: September 29 (Tentative)
- Listing Date: October 1 (Tentative)
This IPO presents an opportunity for investors to participate in the growth of a well-established steel products distributor with a diversified business model. Potential investors are advised to carefully review the company's prospectus and consider their financial goals before making any investment decisions.
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