Paras Defence and Space Technologies gets SEBI nod to launch IPO; firm mulls pre-IPO placement

Paras Defence and Area Applied sciences mentioned that the quantity raised from the pre-placement is not going to be diminished from the recent concern. Picture: Reuters

Paras Defence and Area Applied sciences has acquired capital markets regulator SEBI’s approval to launch an IPO. The general public concern includes recent concern of shares value Rs 120 crore and an offer-for-sale (OFS) of as much as 17.24 lakh shares by promoters and present shareholders. The corporate may additionally contemplate a pre-IPO placement of fairness shares to the tune of Rs 35 crore, previous to the submitting of the purple herring prospectus. Paras Defence and Area Applied sciences mentioned that the quantity raised from the pre-placement is not going to be diminished from the recent concern. Anand Rathi Advisors is the guide operating lead supervisor to the problem. The fairness shares of the corporate can be listed on BSE and NSE. The registrar to the problem is Hyperlink Intime India Personal Ltd.

Paras Defence and Area Applied sciences doesn’t have any listed trade friends in India. The corporate has deliberate to utilise the web proceeds in direction of funding capital expenditure necessities value Rs 31.2 crore, and funding incremental working capital necessities to the tune of Rs 50 crore. The corporate may even use the web proceeds for reimbursement or prepayment of sure borrowings/excellent mortgage amenities of Rs 10 crore availed by the corporate and for normal company functions.

The portion reserved for certified institutional patrons (QIBs) can be as much as 50 per cent of the supply, non-institutional traders (NIIs) can have as much as 15 per cent of the portion reserved whereas as much as 35 per cent can be reserved for the retail traders. Paras Defence’s buyer base ranges from PSUs to varied protection public sector undertakings like Bharat Electronics Restricted (BEL), Bharat Dynamics Restricted (BDL) and Hindustan Aeronautics Restricted (HAL), and has provided merchandise and options to personal entities together with Tata Consultancy Services (TCS) and Alpha Design Applied sciences Ltd. Presently, the corporate operates by way of two manufacturing amenities in Maharashtra, positioned at Nerul (Navi Mumbai) and Ambernath (in Thane).

Paras Defence and Area Applied sciences’ consolidated whole earnings stood at Rs 37.94 crore for the six-month interval ended September 30, 2020, and Rs 149.05 crore, Rs 157.16 crore and Rs 152.53 crore for the fiscal years ended March 31, 2020, 2019 and 2018, respectively.