EPack Prefab Technologies Files Draft IPO Papers, To Raise Rs 300-Crore Via Fresh Issue

EPack Prefab Technologies Ltd. on Thursday filed its preliminary papers with the Securities and Exchange Board of India to raise funds through an initial public offering. The public offer will include mix of fresh issues of shares up to Rs 300 crore and an offer-for-sale up to 1 crore shares by promoter group and selling shareholders.

The equity shares are proposed to be listed on the National Stock Exchange and BSE Ltd. The company may consider an issue of equity shares aggregating up to Rs 60 crore as pre-IPO placement. If the pre-IPO placement is completed, the amount raised under the pre-IPO placement will be reduced from the fresh issue.

Sanjay Singhania, Ajay DD Singhania, Bajrang Bothra, Laxmi Pat Bothra, Nikhil Bothra, Divisha Singhania, Preity Singhania and Drishikka Singhania are the stakeholders offloading shares in the offer for sale.

Promoters Bajrang Bothra, Laxmi Bothra, Sanjay Singhania and Ajay Singhania had also offloaded their shares in Epack Durable Ltd.

Motilal Oswal Investment Advisors Ltd. and Monarch Networth Capital Ltd. are the book-running lead managers for the issue and MUFG Intime India Pvt. and KFin Technologies will be the registrar of the issue.

Proceeds from the fresh issue to the extent of Rs 101.62 crore will be used for financing the capital expenditure requirements to set up a new manufacturing facility at Ghiloth Industrial Area in Rajasthan for the manufacturing of continuous sandwich-insulated panels and pre-engineered steel buildings.

The company will use Rs 58.10 crore for financing the capital expenditure towards expansion of existing manufacturing facility at Mambattu (Unit 4) in Andhra Pradesh for increasing the pre-engineered steel building capacity and Rs 70 crore for repayment and/or pre-payment, in full or part, of certain borrowings availed by the company; and general corporate purposes.

The GEF Capital Partners-backed company operates across two distinct business verticals: prefab business and EPS packaging business.

The pre-fab business provides end-to-end turnkey solutions that encompass designing, manufacturing, installation, and erection of pre-engineered steel buildings, pre-fabricated structures, and their components, catering to both domestic and international markets.

The EPS packaging business focuses on manufacturing expanded polystyrene sheets and blocks, including EPS block-moulded and EPS shape-moulded products, serving industries such as construction, packaging, and consumer goods within India.

As of Sept. 30, 2024, EPack Prefab Technologies reported the net order book of its prefab business was Rs 658.54 crore and the pending order book stood at Rs 654.70 crore.

EPack Prefab Technologies' revenue from operations increased by 37.78% to Rs 904.90 crore in fiscal 2024, against Rs 656.76 crore in fiscal 2023. Restated profit for the year increased from Rs 23.97 crore in fiscal 2023 to Rs 42.96 crore in fiscal 2024.