(i) The Company was incorporated as Godha Cabcon & Insulation Private Limited on October 04, 2016 under the provisions of Companies Act, 2013 in the State of Madhya Pradesh. Subsequently, the Company was converted into a Public Limited Company and the name was changed to “Godha Cabcon & Insulation Limited” vide fresh Certificate of Incorporation dated July 28, 2017 issued by the Registrar of Companies,Madhya Pradesh .
(ii) Godha Cabcon And Insulation Ltd is one of the leading manufacturers of ACSR Conductor wire, AAAC Conductor. It has the highest production capacity in Madhya Pradesh and also has the latest machine having the best technology. The company has manufacturing unit located in the Industrial Area, Sanwer Road, Indore(M.P.). The company is supplying their products to the State Electricity Board of Jabalpur, Bhopal, Indore and currently, in process of discussion with other states Electricity Board (like Gujarat, Punjab, and Haryana) to be the approved vendor and in the row, they are planning to be the best supplier all over India basis.
Company’s Product: (i) AAAC Conductor (All Aluminium Alloy Conductor):Designed to meet any international standards, these bare overhead conductors are used in primary and secondary distribution. All Aluminium Alloy Conductors (AAAC).This has given AAAC a wide acceptance in the distribution and transmission lines.
(ii) ACSR Conductor (Aluminium Conductor, Steel Reinforced):Designed to offer unique optimal strength for line design, these overhead transmission cables meet international standards including ASTM, BS, DIN, IEC, NFC etc.
(iii)AAC Conductor (All Aluminium Conductor): Used primarily for overhead transmission, primary and secondary distribution, where capacity must be maintained and a lighter conductor is desired.
Godha Cabcon and Insulation Limited IPO Stock Quote & Charts
Promoters of Godha Cabcon and Insulation Limited Company are:
(i) Mr. Dipesh Godha, aged 34 years is young and dynamic person with business experience of more than 10 years is the Promoter, Executive Director & CEO of the company. He is a Commerce Graduated from DAVV University. He has modified machine design to achieve higher production at lower consumption of electricity and manpower mainly based on his experience. He looks after entire management including procurement, production, marketing etc.
(ii) Mrs. Madhu Godha, aged 61 years is the Promoter and Executive Director of the Company. She has done her Higher Secondary in 1972. She is having overall experience of 10 years in this sector.
(iii) Mrs. Rupali Godha, aged 34 years is the Promoter and Executive Director of the Company. She is a Commerce Graduate from DAVV University, Indore.She has 5 years of experience in various fields. She has contributed for the growth and expansion of the Company.
(i) Authorized Share Capital
( 1,25,00,000 shares at FV@10)
(ii) Issued, Subscribed,& Paid-up Share Capital Before Issue
(81,00,000 Shares at FV@10)
(iii) Present Issue
(30,00,000 Shares at FV@10)
(iv) Reservation for Market Maker
(1,60,000 Shares at FV@10)
(v) Net Issue to Public
(vi) QIB & HNI Quota-14,20,000
(vii) Retail Quota- 14,20,000
(viii) Paid Up Share Capital after the issue
Average Cost of Acquisition of the Promoters:
Name of the promoter
No. of shares
Average cost of equity shares
Mr. Dipesh Godha
Mrs. Rupali Godha
Mrs. Madhu Godha
Financials of Godha Cabcon and Insulation Limited IPO as per DRHP:
1. Balance Sheet Snippet[ Financials as of 31st Oct 2017]
(i) Shareholders’ Fund[Equity] Value
(iv) Debt/Equity[<1 ideal]
(v) Net Worth(Asset- Liability)
(vi) RONW(PAT/Net Worth) or ROE
(vii) Book Value or NAV[ Net Worth/No.of Shares]
(viii) P/B [<5 ideal]
2. Profit n Loss Snippet
(i) As company is recently incorporated in Oct 2016 ,the Reveune of the first 7 months of FY 2017-18 is shown in DRHP and same is 2123.40 Lacs.
(ii) The PAT of the first 7 months of FY 2017-18 is 93.40 Lacs.
(iii) The EBITDA Margins of the first 7 months of FY 2017-18 is 23%[Excellent Margins].
(iv) P/B(post issue)= 2.2
(v) Annualized EPS(post issue)= 1.44
(vi)Annualized P/E(post issue)=23 at the cutoff price of 33
3. Cash Flows Statement
The company has generated positive cash flows in the first 7 months of FY 2017-18.
Comparison With Peers:
Name of the Company
Apar Industries Limited
GODHA CABCON AND INSULATION LIMITED
Recommendation on Godha Cabcon and Insulation Limited IPO:
Review and Recommendation of
Godha Cabcon and Insulation Limited IPO
from our side:
As very limited history of the company is available, so nothing much can be concluded. However, the company has shown good performance in first 7 months of FY 2017-18.
Lead Manager of Godha Cabcon and Insulation Limited IPO: