Goldcrest Corporation Limited BuyBack May 2018

Goldcrest Corporation Limited BuyBack

The Goldcrest Group of companies is promoted by the Tanna family. The Group is actively involved in three distinct lines of business.

(i) Real Estate-
The Goldcrest Group’s involvement in Real Estate has spanned 25 years. The Group has undertaken construction in its independent capacity as well as in consortium and has been active primarily in and around the Mumbai region. The Group has also expanded its interest in Real Estate through its involvement in land banking and has accumulated sizeable parcels of land in various resort locations and peripheral areas in and around Maharastra, Gujarat and West Bengal for the purpose of developing the agricultural activity, townships, luxury villa projects and warehouses. More recently, the Goldcrest Group has shown an active interest in Real Estate by operating and maintaining an IT/ITES building in Pune.

(ii) Commodity Trading and Arbitrage-Commodity exports and trading have been the traditional business of the Group. The Group has been actively involved with the exports of Oils, Groundnut Kernels (HPS), Basmati & Non-Basmati Rice, Sesame Seeds, Black Pepper and other Agro-based commodities.
With the opening of Commodity Exchanges in India, the Goldcrest Group has capitalized on opportunities in local trading and is undertaking future trading in various agro-based commodities as well as in spices. Since 1994, they have set up an Arbitrage Trading Desk which has engaged itself in the trading and arbitrage of various agricultural commodities.

(iii) Capital Market Operations-
Goldcrest Corporation Limited (Formerly known as Goldcrest Finance (India) Limited) is a part of the Goldcrest Group and is listed on the Bombay Stock Exchange. The Company was engaged in the business activities of leasing, finance and investments until November 1994. The company came up with public issue in the month of February 1996 and thereafter has actively engaged itself in the activities of finance and capital market operations.

Buy Back Offer Deal:

Buyback Type: Tender Offer
Buyback Record Date: Jul 17 2018
Buyback Opening Date: Aug 23 2018
Buyback Closing Date: Sep 05 2018
Buyback Offer Amount: ₹ 14.0025
Date of Board Meeting approving the proposal: May 29 2018
Date of Public Announcement: May 29 2018
Buyback Offer Size: 24.71%
Buyback Number of Shares: 18.67 Lacs
FV: 10
Buyback Price: ₹ 75 Per Equity Share

Details of Buyback:

The Company approved the proposal for buy-back of up to 18,67,000  fully paid-up equity shares of the Company having face value of 10/- (Rupees Ten Only) each ("Equity Share") at a price of 75/- per Equity Share payable in cash for a total consideration not exceeding  14,00,25,000.

Salient financial parameters:

Parameters Pre-Buyback Post- Buyback
(i) Net Worth (₹ in Lakhs) 5,711.90 4,311.65
(ii) Return on Net worth (%) 6.58% 8.72%
(iii)Earnings Per Share 4.98 6.61
(iv) Book Value per Share 75.59 75.78
(v) P/E 9.54 7.19
(vi) Total Debt/ Equity Ratio 0.00 0.00

How to Participate in buyback?

1. Firstly to be eligible for the buyback the investor should have shares of Goldcrest Corporation Limited Buyback in demat or physical form as on Record date 17 July 2018. 2. Once you have shares in demat, you can participate in the buyback process which is opening from [23.08.2018 to 05.09.2018] by selling your shares through your broker on NSE or BSE. 3. Then on [17-09-2018], the settlement will be done for accepted shares and unaccepted shares will be returned to your demat account.

Profit from the buyback on the bases of acceptance Ratio:

Buy 2667 Shares at CMP of Rs.60[ 2,00,000/75=2667)
Acceptance Ratio 33% 50% 75% 100%
Amount Invested in Buyback 1,60,020 1,60,020 1,60,020 1,60,020
No. of Shares buyback 880 1333 2000 2667
BuyBack Profit 13201.7 20002.5 30003.75 40005
Profit 8% 13% 19% 25%
1. Final Acceptance Ratio of Goldcrest Buyback 2018

Recommendation:

Review and Recommendation of Goldcrest Corporation Limited IPO from InvestorZone Team is: 4/10

Registrar Contact Details:

Purva Sharegistry (India) Private Limited 9, Shiva Shakti Industrial Estate, J. R. Boricha Marg, Near Lodha Excelus, Lower Parel (East), Mumbai – 400 001, Maharashtra, India. Phone No. +91 22 2301 8261, +91 22 2301 2518 E-mail: purvashr@gmail.com Website: www.purvashare.com

Company Contact Details:

Goldcrest Corporation Limited Dcvidas Mansion, 3rd Floor, Mereweather Road, Colaba, Mumbai-400 039. Phone No. 91-22 2283 74 89 I 2283 74 90 Website: www.goldcrestgroup.com

    Subscription as on 28.08.2018
    No. of shares tendered: 1881568

    The Promoters and Members of Promoter Group, have conveyed their intention to participate in the Buy-back up to 34,42,916 (Thirty Four Lakhs Forty Two Thousand Nine Hundred Sixteen) Equity shares or such lower number of Equity Shares in accordance with the provisions of the Buy-back Regulations.

    In compliance with regulation 6 of the Buy-back Regulations, the reservation for the Small Shareholders, will be higher of:
    15% (fifteen percent) of the number of Equity Shares which the Company proposes to Buy-back i.e. 15% of 18,67,00 Equity Shares which works out to be 2,80,050.
    So 2,80,050 no. of Equity Shares will be reserved for Retail Shareholders having shares valued less than 2 lacs.