Elantas Beck India - OFS Note

[Rajesh Desai]

Dear Sir,Madam

 

Elantas Beck India Ltd proposes to sell up to 10,74,555 equity  shares through OFS (Offer for sale) on 12^th February, 2013.

 

Company Description:

 

Elantas Beck India Ltd manufactures wire enamels, impetrating varnishes, paints methanol and measuring/testing instruments. It also manufactures adhesives, construction chemicals and automotive & container coating. Its polyurethane coatings are used by engineering industry and silicon polymers are used for electrical components.

 

Valuation on TTM basis.

 

Particulars	Valuation at Current Price
CMP	829
P/E(x)	23.85
EV/EBITDA(x)	16.98

 

 

Floor Price Details:

 

The Floor price shall be disclosed on 8^th Feb, 2013 in a sealed envelope before the opening of the sale. The sealed envelope shall be opened after the closure of the OFS process and the floor price shall be suitably disseminated to the market.

Issue details

The promoters of Elantas Beck India Ltd proposes to sell upto 10,74,555 equity share shares of INR10/- each  representing 13.55% of the equity share capital of the company on 11 February, 2013.

The OFS would take place through a separate window of BSE on 11^th February, 2013 from 9.15am to 3.30pm.

The stake sale would be take place through the appointed broker mentioned below:

·         ICICI Securities ltd

Allocation Methodology:

·         Allocation shall be on a “proportionate basis” at a single clearing price ("Single Clearing Price” is the price at which the shares are allocated to the successful bidders in a proportionate basis methodology).

Stock movement in last 5 years:

Note: In December, 2009, the company had come up with Delisting Offer at a floor price of INR219.10. Since, the total number of equity shares tendered in the reverse book building process was less than the minimum number of equity shares required to be tendered for the Delisting Offer to be successful, the Delisting Offer was deemed to be unsuccessful. 

 

 

ATTACHED ABOVE IS THE VALUATION DETAILS OF THE COMPANY AND OFS CIRCULAR.

 

Regards,

 

Team Microsec Research

 

 

 

Microsec Capital Limited

Tel: 91 33 30512100

Fax: 91 33 30512020

 

--
CA. Rajesh Desai