Plaza Wires Ltd IPO Timeline
Plaza Wires Ltd IPO opens on 29-Sep-2023, and closes on 05-Oct-2023. The Plaza Wires Ltd IPO bid date is from 29-Sep-2023 to 05-Oct-2023. The Cut-off time for UPI Mandate confirmation is 12 P.M. on the next day of issue closing day.
|Plaza Wires Ltd IPO Opening Date
|Plaza Wires Ltd IPO Closing Date
|Basis of Allotment
|Initiation of Refunds
|Credit of Shares to Demat
|Plaza Wires Ltd IPO Listing Date
Plaza Wires Ltd IPO Lot Size
Plaza Wires Ltd IPO lot size is 277 shares. A retail-individual investor can apply for up to 13 lots (3601 shares or 194454).
Plaza Wires Ltd IPO Details
|Plaza Wires Ltd IPO Date
|29-Sep-2023 to 05-Oct-2023
|Plaza Wires Ltd IPO Face Value
|Shares of ₹10 per share
|Plaza Wires Ltd IPO Price
|₹51 to ₹54 per share
|Plaza Wires Ltd IPO Lot Size
|Shares of ₹10 (aggregating up to ₹71.28 Cr)
|Shares of ₹10 (aggregating up to ₹71.28 Cr)
|Offer for Sale
|Book Built Portion
|QIB Shares Offered
|Not more than 6196076
|Retail Shares Offered
|Not less than 1320015
|NII (HNI) Shares Offered
|Not less than 1980023
|Sanjay Gupta, Sonia Gupta.
Objects of the Issue
The company proposes to utilise the Net Proceeds from the Fresh Issue towards funding the following objects:
- 1 Funding the capital expenditure towards setting up of proposed manufacturing unit for house wires, fire-resistant wire & cables, aluminum cables and solar cables to expand the product portfolio
- 2 Funding the working capital requirements of the company
- 3 General corporate purposes
Plaza Wires Ltd Financial Information (Restated)
|Profit After Tax
|Amount in ₹ Crore
- Product portfolio focused on various customer segments and markets.
- The Company's distribution network.
- Its management and dedicated employee base.
- Inadequate or interrupted supply and price fluctuation of its raw materials and packaging materials could adversely affect its business, results of operations, cash flows, profitability and financial condition.
- The Company requires significant amounts of working capital and significant portion of its working capital is consumed in trade receivables and inventories. Its inability to meet its working capital requirements including failure to realise receivables and inventories may have an adverse effect on its results of operations and overall business.
- The company's success depends on its ability to build the Proposed Manufacturing Unit and expand its product portfolio, both of which are subject to risks and uncertainties. Delay in schedule of implementation may subject the Company to risks related to time and cost overrun which may have a material adverse effect on its business, results of operations and financial condition.
- The company has not yet placed orders in relation to the capital expenditure to be incurred for the Proposed Manufacturing Unit. In the event of any delay in placing the orders, or in the event the vendors are not able to provide the plant and machineries or complete the civil and related works etc. in a timely manner, or at all, the same may result in time and cost over-runs.
- The company may not be able to derive the desired benefits from its product development efforts. Commercialization and market development of new products and existing product particularly its FMEG products may take longer time than expected and / or may involve unforeseen business risks.
- If the company is unable to continue to implement its brand building and marketing initiatives, for each of its brands, its business and prospects may be adversely affected. Moreover, any deterioration in the reputation and market perception of its brand may have an adverse effect on its sales, profitability and the implementation of its growth strategy.
- The industry segments in which its operate being fragmented, its face competition from large players, which may affect its business operations and financial conditions.
- The company inability to maintain the stability of its distribution network and attract additional distributors and dealers may have a material adverse effect on its results of operations and financial condition.
- The company generate its major portion of sales from its operations in certain geographical regions. Any adverse developments affecting its operations in these regions could have an adverse impact on its revenue and results of operations.
- The current and continuing impact of the COVID-19 pandemic on its business and operations, including its impact on the ability or desire of customers to purchase its products, may have an adverse effect on its business prospects and future financial performance.
- The company is predominantly dependent on the sale of its Wires and Cables products. An inability to anticipate and adapt to evolving customer preferences and demand for particular product, or ensure product quality or reduction in the demand of its wire and cables products may adversely impact demand for its products, brand loyalty and consequently its business prospects and financial performance.
- Its Existing Manufacturing Unit is critical to its business operations and any shutdown of its Existing Manufacturing Unit may have an adverse effect on its business, results of operations and financial condition.
- The company has not entered into any long term or definitive agreements with its dealers or customers. If its dealers or customers choose not to source their requirements from it, The company business, financial condition and results of operations may be adversely affected.
- One of the natures of its business model from government companies /tenders exposes it to liability claims and contract disputes and its indemnities may not adequately protect it. Any liability in excess of its reserves or indemnities could result in additional costs, which would reduce its profits.
- The company is subject to strict quality requirements and any product defect issues or failure by it or its raw material suppliers to comply with quality standards may lead to the cancellation of existing and future orders, recalls and exposure to potential product liability claims.
- The industry in which its operate is labour intensive and its manufacturing operations may be materially adversely affected by strikes, work stoppages or increased wage demands by its employees or those of its suppliers.
- The company relies on certain third-party manufacturers for manufacturing some of its products.
- Information relating to the installed manufacturing capacity of its Existing Manufacturing Unit included in this Draft Red herring Prospectus is based on various assumptions and estimates and future production and capacity may vary.
- Further, its existing and proposed manufacturing facilities are concentrated in a single region i.e., Himachal Pradesh and the inability to operate and grow itd business in this particular region may have an adverse effect on its business, financial condition, results of operations, cash flows and future business prospects.
- The company has substantial capital expenditure requirements and may require additional financing to meet those requirements, which could have a material adverse effect on its results of operations, cash flows and financial condition.
- The company lenders have charge over its movable and immovable properties in respect of finance availed by it. Its inability to meet its obligations under its debt financing arrangements could adversely affect its business, results of operations and cash flows.
- The company's loan agreements with various lenders have several restrictive covenants and certain unconditional rights in favour of the lenders, which could influence its ability to expand, in turn affecting its business and results of operations.
- The Company has availed unsecured loans from banks, directors, their relatives and corporates, which may be recalled on demand.
- The company appoint contract labour for carrying out certain of its operations and its may be held responsible for paying the wages of such workers, if the independent contractors through whom such workers are hired default on their obligations, and such obligations could have an adverse effect on its results of operations, cash flows and financial condition.
- Failure to manage its inventory could have an adverse effect on its net sales, profitability, cash flow and liquidity.
- The company depends on third parties for its suppliers, logistics and transportation needs. Any disruptions in the same may adversely affect its operations, business, cash flows and financial condition.
- There may have been certain instances of non-compliances and alleged non-compliances with respect to certain regulatory filings for corporate actions taken by the Company in the past. Consequently, its may be subject to regulatory actions and penalties for any such past or future non-compliance and its business, financial condition and reputation may be adversely affected.
- Its inability to protect or use intellectual property rights may adversely affect its business.
- The Company, its Promoters, its Directors, and one of its Group Companies are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on its business, results of operations and financial condition.
- The company may be unable to comply with changes in environmental, health and safety, labour laws and other applicable regulations.
- If the company not able to obtain, renew or maintain its statutory and regulatory licenses, registrations and approvals required to operate its business, it may have a material adverse effect on its business, results of operations and financial condition.
- Pricing pressure from dealers and distributors may affect its gross margins and ability to increase its prices, which in turn may adversely affect its revenue from operations, profits and cash flows.
- The company has had experienced negative cash flows from operations in the recent past, and its may have negative cash flows in the future.
- The company has certain contingent liabilities that have not been provided for in the Company's financials which if materialised, could adversely affect its financial condition.
- The company is highly dependent on its key management team as well as its mid-to-senior personnel and its success depends in large part upon its Promoters. The loss of or its inability to attract or retain such persons could materially adversely affect its business performance.
- Any increase in interest rates would have an adverse effect on its results of operations and will expose the Company to interest rate risks.
- The company does not own the land on which its branch offices and warehouses are located.
- Failure to procure and/ or maintain adequate insurance cover in connection with its business may adversely affect its operations and profitability.
- Plaza Cable Electric Private Limited. Its Group Company is engaged in activities which is similar to its business. This may be a potential source of conflict of interest for it and which may have an adverse effect on its business, financial condition and results of operations.
- Orders placed by customers may be delayed, modified or cancelled, which may have an adverse effect on its business, financial condition and results of operations. Further any defaults or delays in payment by a significant portion of its customers, may have an adverse effect on cash flows, results of operations and financial condition.
- Certain of its Directors hold Equity Shares in the Company and are therefore interested in the Company's performance in addition to their remuneration and reimbursement of expenses.
- Its Promoters and Whole-time Directors have provided personal guarantees to certain loan facilities availed by it, which if revoked may require alternative arrangements guarantees, repayments of amounts due or termination of the facilities.
- The company's business is dependent on the performance of the real estate, infrastructure and other related industries where its products are utilized. Uncertainty regarding the real estate market, infrastructure sector, economic conditions and other factors beyond its control could adversely affect demand for its products, its costs of doing business and its financial performance.
- The company funding requirements and the proposed deployment of Net Proceeds have not been appraised by a public financial institution or a scheduled commercial bank and its management will have broad discretion over utilization of the Net Proceeds.
- The company is heavily dependent on machinery for its operations and any disruption to the same may cause interruption in business.
- There may be changes in the estimated project cost.
- The Company has in the past entered into related party transactions and may continue to do so in the future.
- The company may be unable to enforce its rights under some of its agreements with counterparties on account of insufficient stamping and non-registration or other reasons.
- An inability to address changing industry standards and consumer trends may adversely affect its business, results of operations and financial condition.
- Failure or disruption of its IT and/or business resource planning systems may adversely affect its business, financial condition, results of operations, cash flows and prospects.
- The company inability to effectively manage its growth or to successfully implement its business plan and growth strategies could have an adverse effect on its business, results of operations and financial condition.
- The company has not made any alternate arrangements for meeting its capital requirements for the Objects of the Issue. Any shortfall in raising / meeting the same could adversely affect its growth plans, operations and financial performance.
- The company ability to pay dividends in the future will depends upon its future earnings, financial condition, cash flows, working capital requirements, capital expenditure and restrictive covenants in its financing arrangements.
- Any variation in the utilisation of the Net Proceeds would be subject to certain compliance requirements, including prior shareholders' approval.
- If the company is unable to source business opportunities effectively, its may not achieve its financial objectives.
- Activities involving its manufacturing process can be dangerous and can cause injury to people or property in certain circumstances. A significant disruption at any of its manufacturing facilities may adversely affect its production schedules, costs, sales and ability to meet customer demand.
- An inability to renew quality accreditations in a timely manner or at all, or any deficiencies in the quality of its products may adversely affect its business prospects and financial performance.
- The deployment of funds raised through this Issue shall not be subject to any Monitoring Agency and shall be purely dependent on the discretion of the management of the Company.
- The company Promoters and members of the Promoter Group will continue jointly to retain majority control over the Company after the Issue, which will allow them to determine the outcome of matters submitted to shareholders for approval.
- The company could be harmed by employee misconduct or errors that are difficult to detect and any such incidences could adversely affect its financial condition, results of operations and reputation.
- Certain sections of this Draft Red Herring Prospectus disclose information from the Resurgent India Research Report which has been commissioned and paid for by it exclusively in connection with the Issue and any reliance on such information for making an investment decision in the Issue is subject to inherent risks.
- Setting up the Proposed Manufacturing Unit to widen its product portfolio and increase its capacity.
- Enhance its position in Wires and Cables Industry.
- Expand its dealer network in existing markets and enter new geographical markets.
- Strengthen its brand value.
- Maintain and expand valued relationships with its dealers and distributors.
- To use technology to further optimise its sales & marketing operations.
Plaza Wires Ltd IPO Promoter Holding
|Pre Issue Share Holding
|Post Issue Share Holding
Plaza Wires Ltd IPO Subscription Status (Bidding Detail)
The Plaza Wires Ltd IPO is subscribed 160.97 times on Oct 05, 2023 05:00:00 PM. The public issue subscribed 374.81 times in the retail category, 42.84 times in the QIB category, and 388.09 times in the NII category. Check Day by Day Subscription Details (Live Status)
Plaza Wires Ltd IPO Prospectus
Plaza Wires Ltd IPO Listing Date
|12 Oct 23
Plaza Wires Ltd IPO Registrar
KFin Techologies Ltd
Phone: 040 - 6716 2222
Plaza Wires Ltd IPO Lead Manager(s)
- Pantomath Capital Advisors Pvt Ltd
FAQs on Plaza Wires Ltd IPO
Plaza Wires Ltd IPO, which opens for subscription from 29-Sep-2023 to 05-Oct-2023 has an issue size of ₹71.28 crore. The issue type is book building issue.
In case of pre-apply, your IPO order will be placed on the Exchange as soon as the official bidding for Plaza Wires Ltd IPO begins. You will receive a UPI request within 24 hours after the bidding period opens.
Plaza Wires Ltd IPO Opens for subscription from 29-Sep-2023 to 05-Oct-2023.
The lot size of Plaza Wires Ltd is 277 shares. Retail investors can subscribe to minimum 1 lot and maximum 13 lots. The minimum and maximum application value is ₹14958 and ₹194454 respectively.
Allotment date for Plaza Wires Ltd is 10-Oct-2023 and refund of application amount (in case allotment is not received) will begin from 11-Oct-2023. If your allotment goes through, then shares will be credited in your Demat account by 12-Oct-2023.
The registrar for Plaza Wires Ltd IPO is KFin Techologies Ltd . You can check your IPO allotment status on the registrar's website.
The shares of Plaza Wires Ltd are proposed to be listed on Bombay Stock Exchange (BSE) and National Stock Exchange (NSE).