The initial public offering (IPO) of Urban Enviro Waste Management will kick off for subscription on Monday, June 12, as the company aims to raise a little more than Rs 11.42 crore from its primary stake sale. The company is offering its shares for Rs 100 apiece.
The IPO consists of fresh issue of 9,20,000 equity shares with a face value of Rs 10 each, aggregating to Rs 9.2 crore. Vikas Sharma, the selling shareholder, will offload 2,22,400 equity shares via offer for sale (OFS) route. The leading general waste handling and management services provider will be listed on NSE’s EMERGE platform.
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The company has allocated 57,600 equity shares aggregating to Rs 57.6 lakh as Market Maker Reservation Portion. Asnani Stock Broker and Nikunj Stock Brokers are acting as the market makers for the issue.
The company has reserved 50 per cent of the net offer will be reserved for retail individual investors, while remaining 50 per cent of the net offer is reserved for other investors including corporate bodies or institutions.
The company has fixed lot size for 1,200 equity shares and each lot will cost Rs 1.2 lakh. Retail investors can bid for only a single lot, while non-retail bidders need to apply for at least two lots, consisting of 2,400 equity shares worth Rs 2.4 lakh. The issue closes for subscription on Wednesday, June 14.
Urban Enviro Waste proposes to utilize the net proceeds towards repayment of certain secured borrowings availed by the company; funding the working capital requirements; and general corporate purposes.
Urban Enviro Waste Management is waste management solutions and municipal solid waste (MSW) management service provider. It caters to Indian local bodies along with providing its services to residential areas, industries, research institutes, power stations, government and semi government hospitals and cantonment boards for the last 12 years.
“We intend to become a top player in our industry. Currently, our projects are mainly into Tier-II or Tier-III cities and now we are looking to expand our footprints in Tier-I and bigger cities to drive the next phase of growth of our company. We are looking to make our mark in the states of Uttar Pradesh and Madhya Pradesh, said Suresh Sharma, Promoter and Whole Time Director of Urban Enviro Waste Management.
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“We specialize in collecting the garbage of the city and managing it to clean the environment and provide all-round solutions for the Sanitation problem. We have an experienced team of personnels from varied fraternities working towards making the endeavors of the company successful,” said Kamlesh Sharma, Managing Director of Urban Enviro Waste Management.
The company has undertaken more than 24 projects till date, of which 21 are ongoing in the Central and Western states of Maharashtra, Gujarat, Rajasthan and Chhattisgarh. Its notable ongoing projects include Jaipur Nagar Nigam, Bhilai Nagar Nigam Chhattisgarh, Ankleshwar, NEERI, MIHAN India, NHDC Limited Indira Sagar Power Station to name a few.
Urbano Enviro reported a profit after tax (PAT) of Rs 1.3 crore with a revenue from operations at Rs 19.69 crore for the financial year 2021-22. Its PAT stood at Rs 1.06 crore with revenue from operations at Rs 26.29.96 crore for the period ended on December 31, 2022. The Lead Manager to the Issue is Pantomath Capital Advisors and Bigshare Services is the registrar to the issue.
