Vasuki Global Industries IPO: Important Details About the IPO

Vasuki Global Industries IPO is offering a 100% book-built public issue. This upcoming IPO is offering a fresh issue of 1.4 Crores equity shares. The face value is reported as Rs. 10 for each share. This new IPO issue is being made through the book-building process with a reservation of not more than 50% of the new offer is reserved for Qualified Institutional Investors, not less than 15% reserved for Non-Institutional Investors and the remaining 35% or more reserved for Retail Individuals. Application for public issue and subscription opening/closing dates and other important dates will be announced soon, however keep in mind the public offering is proposed to be listed on the NSE and BSE exchange.

About the Company

Vasuki Global Industries Limited is a vertically integrated procurement and processing agent offering multifaceted and end to end solutions to the customers, who are engaged in various industries. The business of the Company is mainly divided into two segments, viz., (i) offering of procurement and processing solutions primarily with respect to various types of imported as well as domestic coal, including but not limited to Indonesian coal, Australian steam coal, Mozambique steam coal, South African coal, U.S. coal and Russian coal, etc; and (ii) logistics services by way of surface transportation. They process various types of coal in our coal processing and segregating unit situated at village Nana Dahisara, Morbi, wherein we screen and segregate coal in various sizes, according to the requirements of the customers. The company also offer procurement solutions in respect of other petroleum products such as oil and liquified petroleum gas, refractory materials, raw material and finished products used in cement industry as well as construction industry.

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Objectives of the Public Offering

The Company proposes to utilize the Net Proceeds from the Issue towards Funding capital expenditure requirements of the logistics division of the Company, towards purchase of goods transportation vehicles and Investment in the Subsidiary, Vasuki Cement Private Limited (“VCPL”) for part-financing its capital expenditure requirements in relation to the setting up of a manufacturing facility for manufacturing various grades of cement at Revenue Survey No. 133, Village Vershamedi, Taluka Maliya, District Morbi, Gujarat, India (hereinafter referred as the “Project” and such facility the “Proposed Facility”), lastly in other general corporate purposes

Financials of the company (Amt in Crore)

The company reported net revenue of Rs 733.62 Crore which rose by 41.48%, assets worth Rs 143.85 Crore, and profit after tax reported as Rs 13.50 Crore for the FY 22-23.

Key Performance Indices of Vasuki Global Industries Limited

Key performance indicators of the company reported a Return on Capital Employed as 54.73%, a Return on Net Worth of 38.54%, a Profit after-tax margin of 1.84% and Return on Equity as 38.53% for the year ended March 2023. If we look at the EBITDA margin, it is reported as 4.50% for the same FY ended.

Lead manager, Registrar & Promoters of Public Offering

The IPO is managed by Unistone Capital Private Limited, which are the book-running lead managers. Bigshare Services Private Limited has been appointed as the registrar for the issue. The promoters of the Vasuki Global Industries Limited are Bankim Kantilal Mehta and Harshma Bankimbhai Mehta.

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