Sharat Industries Rights Issue will open for subscription from 24 July 2024. the company aims for an issue size of ₹48.18 Crores through this rights Issue.
About the company
Established in 1990, Sharat Industries is the oldest integrated aquaculture company in India. Initially, the company successfully cultured and processed Black Tiger shrimp before eventually producing Scampi shrimp. The company consists of four divisions: (1) Shrimp Hatchery; (2) Farm; (3) Feed Mill; and (4) Processing Plant.
- Shrimp hatchery: The shrimp hatchery has a production capacity of over 400 million seedlings. It currently specializes in producing Vannamei seedlings and was the first in the country to introduce and adapt this species from the Pacific region.
- Farm: The farm spans approximately 500 acres with a production capacity of over 2,000 tonnes of shrimp per year. Situated along the coast of the Bay of Bengal, SIL owns one of the largest shrimp farms in the country.
- Feed mill: SIL produces its shrimp feed under the brand name VANNASTAR. The production unit can produce more than 20,000 tonnes. SIL is one of the largest shrimp feed producers in the state.
- Processing plant: The processing plant was built per international standards. The plant has widely recognized accreditations such as EIA, EU, and FDA approvals. The plant has a processing capacity of more than 7,500 tonnes of frozen shrimp per year. SIL is one of the largest processors and exporters of shrimp in the country.
Objectives of the Issue
- To augment the existing and incremental working capital requirement of the Company; and
- General Corporate Purpose.
Sharat Industries Rights Issue Timetable
| Rights Issue Approval Date | 04 July 2024 |
| Rights Issue Record Date | 12 July 2024 |
| Credit of Rights Entitlement | 19 July 2024 |
| Rights Issue Opening Date | 24 July 2024 |
| Last Date for Market Renunciation | 01 August 2024 |
| Rights Issue Closing Date | 07 August 2024 |
| Finalization of Basis of Allotment | 13 August 2024 |
| Rights Allotment Date | 14 August 2024 |
| Credit Date | 20 August 2024 |
| Listing Date | 22 August 2024 |
Sharat Industries Rights Issue Details
| Issue Open | July 24, 2024 – August 7, 2024 |
| Security Name | Sharat Industries Ltd. |
| Issue Size (Shares) | 15,543,125 |
| Issue Size (Amount) | ₹48.18 Crores |
| Issue Price | ₹31 per share |
| Face Value | ₹10 per share |
| Listing At | BSE |
| Terms of Payment | Issue Price of Rs.31/- per Equity Share is payable as Rs. 7.75 on Application and Rs.23.25/- on One or more subsequent Call(s). |
| Entitlement | 13 Rights Equity Share(s) for every 20 fully paid-up Equity Shares held on Record Date |
Company Financials
| FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 250.98 | 247.03 | 332.54 |
| Expenses | 245.53 | 239.73 | 322.68 |
| Operating Margin (%) | 5.21 | 5.87 | 6.59 |
| Net Income | 2.86 | 3.46 | 6.54 |
| ROCE (%) | 8.00 | 7.00 | 11.00 |
Rights Issue Documents
Sharat Industries Rights Issue Lead Manager(s)
Sharat Industries Registrar
CAMEO CORPORATE SERVICES LIMITED
Subramanian Building, 1,
Club House Road, Chennai-600002
Telephone: +91 44 4002 0700
Email: priya@cameoindia.com
Website: www.cameoindia.com
Company Contact Information
SHARAT INDUSTRIES LIMITED
Flat No. 4, Third Floor, Pallavi Apartments,
No. 57/11, Old No. 29/TF4, HDFC Bank Compound,
First Main Road, R.A. Puram, Chennai- 600 028
Phone: +91 86123 31727
E-mail: cs@ssharatindustries.com
Website: www.sharatindustries.com
Final Thoughts
Applying for the rights issue is purely a personal choice. Make sure you conduct a detailed study of the company and its rights issues before you make an investment decision.
Happy investing
