Plastene India Ltd,a Rs 500 crore turnover company based in Ahmedabad,is entering the capital market with a public issue of 92,55,290 equity shares of face value of Rs 10 each for cash in the price band of Rs 81 to Rs 84 per equity share through a 100 per cent book building route.
The proposed issue will open for subscription on May 9 and closes on May 15.
Plastene India is presently engaged in the integrated business of manufacturing flexible intermediate bulk containers (jumbo bags),flexible packaging,BoPP laminated woven sacks,masterbatches and multifilament yarns. The manufacturing facilities of the company are located in Kutch and Mehsana district in Gujarat,with a total installed capacity of 56,200 MTPA as on March 31,2012,a company statement said here.
To meet the growing demand of jumbo bags and BoPP laminated woven sacks,Plastene India is expanding its manufacturing capacity to 64,000 MTPA at an approximate cost of Rs 53 crore.
It is also setting up a new venture to manufacture 5,000 MTPA block bottom valve bags in Nani Chirai,Kutch at an approximate cost of Rs 25 crores. Block bottom valve bag is a new packaging product used for packing cement,food grain,cereals,etc,which enhances the brand value of the company,it said.
The equity shares of the company are proposed to be listed on BSE and NSE.