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IPO News
Feb 25 2008 12:00AM
Tulsi Extrusions settles with 64% premium
Tulsi Extrusions settled at Rs 139.50 on BSE, a premium of 64.11% over the IPO price of Rs Rs 85 per share.

The stock debuted at Rs 93.45, a premium of 9.04% over the IPO price.

On BSE, 3.62 crore shares were traded in the scrip. The stock touched a high of Rs 143.45 and a low of Rs 93.45.

The current price of Rs 139.20, discounts the year ended March 2007 EPS of Rs 3.3 by a PE multiple of 42.18.

The company had set a price band of Rs 80-85 a share. The IPO of Tulsi Extrusions, which closed on 5 February 2008, was subscribed by 2.08 times. The issue received bids for 1.18 crore shares as against 57 lakh shares on offer.

The qualified institutional buyers (QIBs) portion was subscribed 1.54 times, the non institutional investors portion 3.10 times and the retail investors portion 2.45 times. The portion reserved for employee was subscribed 1.06 times.

The company makes PVC pipes in its manufacturing facility based in Maharashtra. Its product offerings include PVC Pipes, PVC fabricated fittings, PVC casing and screen pipes, ASTM plumbing pipes, LLDPE pipes, HDPE pipes and elastomeric sealing pipes. These ranges of product are used in irrigation sector, industrial sector, infrastructure and housing sector.

The company intends to use the issue proceeds for expanding manufacturing capacity for pipes and moulded fittings at Jalgaon, and for working capital requirements, it said in its draft prospectus.

Tulsi Extrusions reported a profit after tax of Rs 4.16 crore on sales of Rs 59.16 crore in the year ended March 2007.

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