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Antony Waste Handling Cell IPO opens today; Here are key things to know

Updated : December 21, 2020 07:23 AM IST

The IPO comprises a fresh issue of Rs 85 crore and an offer for sale (OFS) of upto 68,24,933 equity shares.

The minimum Bid lot is 47 equity shares and in multiples of 47 equity shares thereafter.

The initial public offering (IPO) of the Municipal solid waste services provider Antony Waste Handling Cell opens for subscription today. The company has fixed the price band at Rs 313-315 per share for the issue which closes on December 23.

The company aims to raise Rs 300 crore through the IPO.

The IPO comprises a fresh issue of Rs 85 crore and an offer for sale (OFS) of upto 68,24,933 equity shares. The OFS consists of 13,90,330 equity shares by Leeds (Mauritius), 20,85,510 equity shares by Tonbridge (Mauritius), 11,58,667 equity shares by Cambridge (Mauritius) and 21,90,426 equity shares by Guildford (Mauritius).

The minimum bid lot is 47 equity shares and in multiples of 47 equity shares thereafter. The company has reserved up to 50 percent of the issue for qualified institutional buyers, 35 percent for retail and up to 15 percent for non-institutional investors.

The company proposes to utilise the fresh proceeds of the issue for part-financing for the waste-to-energy project at Pimpri Chinchwad through investment in its subsidiaries, AG Enviro and/ or ALESPL, reduction of consolidated borrowings of the company and its subsidiaries and general corporate purposes.

Equirus Capital Private Limited and IIFL Securities Limited are the Book Running Lead Managers to the Issue.

After the issue, the promoter stake in the company is expected to come down to 46.23 percent from 51.10 percent at present.

In March this year, the company had launched the IPO to raise around Rs 200 crore but then withdrew it due to a lukewarm response from investors. It had even lowered the price band and extended the closing date.

Here are key things to know about the company

Incorporated on January 17, 2001, Antony Waste Handling Cell Ltd is one of the top 5 players in the Indian MSW management industry with an established track record of 19 years, providing the full spectrum of Municipal solid waste services which includes solid waste collection, transportation, processing and disposal services across the country, primarily catering to Indian municipalities.

As of November 15, 2020, the company has undertaken more than 25 projects out of which 18 are ongoing comprising 12 MSW C&T projects, 2 MSW processing projects and 4 mechanized sweeping projects.

Antony Waste is currently undertaking projects for the Municipal Corporation of Greater Mumbai, the Navi Mumbai Municipal Corporation, the Thane Municipal Corporation, Pimpri Chinchwad Municipal Corporation, the North Delhi Municipal Corporation, the Mangaluru Municipal Corporation, New Okhla Industrial Development Authority, Nagpur Municipal Corporation and the Greater Noida Industrial Development Authority. They are also currently undertaking a project for Jaypee International Sports.

Financials

Revenue from operations in FY20 was at Rs 450.51 crore up from Rs 283.69 crore in FY19, registering a growth of 58.8 percent. In FY18, revenue was Rs 276.14 crore.

Net profit margin growth was 13.78 percent in FY20, 12.22 percent in FY19 and 14.44 percent in FY18. The company’s operating margin growth was 30.06 percent, 30.49 percent and 29.02 percent in FY20, FY19 and FY18, respectively.

Management

Jose Jacob Kallarakal is the Promoter, Chairman and Managing Director of the company. He is majorly responsible for the business development initiatives for the company.

Shiju Jacob Kallarakal is the Promoter, Executive Director and Chief Financial Officer of the company. He overlooks the accounting and finance along with the legal functions of the company.

Tarjindar Singh is the Chief Operating Officer of the company and has been associated with the company since February 13, 2014 and is managing the solid waste operations activities. He has 27 years of experience.

Karthikeyan Muthuswamy is the Nominee Director of the company. He has been nominated by the Investors. He has been associated with the company since 2008. He has over 11 years of experience in the field of equity research and investments.

Ajit Kumar Jain, Suneet K Maheshwari and Priya Balasubramanian are the Independent Director of the company.

Antony Waste Handling Cell IPO opens today; Here are key things to know

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