Sarda Energy & Minerals Buyback 2022
i. Sarda Energy & Minerals Limited (SEML), incorporated in 1973, is the flagship company of Sarda Group.Listed on BSE and NSE with Promoters’ holding 72.50%,Vertically integrated producer of steel with captive iron ore.Manufacturer and exporter of niche grade manganese based ferro alloys.Self sufficient captive power from Waste heat & coal.Interests in Hydro power projects through SPVs. A TWO STAR EXPORT HOUSE, recognized by the Ministry of Commerce & Industry, Govt. of India.
SEML is one of the lowest cost producers of steel (Sponge Iron, Billets, Ferro Alloys,Mining,Power,Pellets,Iron Ore,Wire Rod Mill, Eco Bricks) and one of the largest manufacturers and exporters of ferro alloys in India. Headquartered in Raipur, Chhattisgarh, the company merged Chhattisgarh Electricity Company Limited (CECL) with itself in 2007 with a vision to becoming a leading energy and minerals company.
ii. Over the last three decades the company has continuously diversified its product portfolio to include many customized value added products. The company firmly believes in benchmark product quality, customer centric approach, people focus, ethical business practices and good corporate citizenship. Building on these values, SEML has become the supplier of choice for many domestic and international customers across more than 60 countries.
iii. SEML differentiates itself from its peers by not being just another steel company. It foresaw the importance and emergence of energy and minerals as two critical ingredients for developing economies and particularly for India. Synergy in Energy became the basis of all its future endeavors. Today, SEML is one of the very few companies to become completely self-sufficient in terms of its energy requirements and is well on its way to achieve self sufficiency in other mineral resources. The company has acquired iron ore and manganese mines in India and is aggressively looking for mineral resources across the globe.
iv. SEML is listed on Bombay Stock Exchange (504614) and on National Stock Exchange of India Limited (SARDAEN).
Buy Back Offer Deal:
| Buyback Type: | Tender Offer |
| Buyback Record Date: | May 06 2022 |
| Buyback Opening Date: | Jun 02 2022 |
| Buyback Closing Date: | Jun 15 2022 |
| Buyback Offer Amount: | ₹ 121.67 |
| Date of Board Meeting approving the proposal: | Apr 23 2022 |
| Date of Public Announcement: | Apr 23 2022 |
| Buyback Offer Size: | 6.06% |
| Buyback Number of Shares: | 8,11,108 |
| Price Type: | Tender Offer |
| FV: | 10 |
| Buyback Price: | ₹ 1500 Per Equity Share |
Details of Buyback:
Salient financial parameters:
| Particulars( in Crores) | Mar-15 | Mar-16 | Mar-17 | Mar-18 | Mar-19 | Mar-20 | Mar-21 |
| Sales | 1,760 | 1,480 | 1,434 | 2,174 | 2,324 | 2,000 | 2,199 |
| Expenses | 1,383 | 1,295 | 1,217 | 1,772 | 1,842 | 1,644 | 1,679 |
| Operating Profit | 377 | 185 | 217 | 402 | 482 | 356 | 520 |
| OPM % | 21% | 12% | 15% | 18% | 21% | 18% | 24% |
| Other Income | -77 | 41 | 96 | 63 | 17 | -17 | 130 |
| Interest | 120 | 112 | 94 | 97 | 99 | 82 | 79 |
| Depreciation | 93 | 75 | 69 | 73 | 76 | 78 | 75 |
| Profit before tax | 87 | 39 | 150 | 294 | 324 | 179 | 495 |
| Tax % | 35% | 68% | 15% | 30% | 36% | 24% | 23% |
| Net Profit | 55 | 13 | 132 | 202 | 203 | 126 | 375 |
| EPS in Rs | 15.27 | 3.50 | 36.60 | 56.17 | 56.36 | 35.05 | 103.99 |
How to Participate in buyback?
Profit from the buyback on the bases of acceptance Ratio:
| Acceptance Ratio | 33% | 50% | 75% | 100% |
| Amount Invested in Buyback | 166666 | 166666 | 166666 | 166666 |
| No. of Shares buyback | 43 | 66 | 99 | 133 |
| BuyBack Profit | 10,750 | 16,500 | 24,750 | 33,250 |
| Profit | 6.45% | 9.90% | 14.85% | 19.95% |
Recommendation:
19 Comments
Leave a Reply
You must be logged in to post a comment.
I wish to know the AR in respect of Retail Category in Sarada Energy & Minerals. I shall be grateful if someone helps me in this regard. Thank you very much in advance.
9/24. Not bad.
AR is 1/10 in respect of Indiamart.
Sir
Can we check whether shares are tender under by back or not
And if yes then how
Thanks in advance
It will get block for buyback. You will get sms.
If you will try to sell it then same message you will get as failure reason
Buyback date 2.06.22 to 15.06.22
For Filatex
10.18% Entitlement ratio. Expecting AR to be 45-65%
Hello experts,
What is the expected ER & AR in retail for this buyback?
Please give your valuable suggestions
The public shareholding (nominal value 2 lakhs) is 13.05 %. So, the entitlement ratio is likely to be about 6.5% – 9%.
The share price was below 800 till Feb 22. In Feb, it went to 943, possibly due to price increase in commodities. Then dipped to 765.
Thereafter, the price started rising in March and crossed 1000 for the first time in March – Possibly, insider trading due to the buyback. Now it is at about 1200.
To me, given the market conditions, it appears very risky.
Thank you so much for the valuable input
IndiaMart would be meeting for Buyback on 28th
India mart Buyback Particulars:
Buyback size: upto 01,60,000 shares
Buyback price : Rs. 6250/-
Buyback amount: Rs.100 Crores
Mode : Through Tender Offer
Record date : May 11, 2022
CMP: Around Rs.4915/-
Happy investing to all of you. Thank you.
Purchased a few shares @ Rs.4620.05
Purchased further a few shares @ Rs. 4421/-
Sumit ji,
Have you purchased any shares of Gail, Sarada energy, Indiamart for the buyback purpose? Do you mind to share?
AR is 1/10 in respect of Indiamart.
New buyback is Sinclair’s hotel’s @143 but price already increased 20 % in week .experts pl advise.
22% equity is with small share holders… AR can be very very small… I would avoid..
Buyback offer size is 2.55% and total approx 10% retail investor.
Should go for it?
Experts, Kindly suggest