OPAL LUXURY TIME TO SELL SHARES AT 130-135 RUPEES EACH IN IPO
(The following and attached press release from Opal Luxury Time Products Ltd. was received by e-mail. The sender verified the statement.)
* Opal Luxury Time Products Ltd IPO Opens On 25th March 2013, * Price Band Has Been Fixed At, Rs. 130 To Rs. 135.
MUMBAI, 21st MARCH 2013: Opal Luxury Time Products Limited, a Pune-based premium home products manufacturing and marketing company, proposes to enter the capital markets with a public issue of Rs 1300 lacs through a book building process .Of which Equity Shares of Rs. 10 each aggregating to Rs 65 lacs will be reserved for subscription by Market Maker to the Issue. The Price Band has been fixed at, Rs. 130 to Rs. 135 per Equity Share of Rs. 10 each. CRISIL Ltd has assigned “CRISIL SME Fundamental Grade 4” indicating ‘*superior fundamentals*’ to this proposed issue. Equity Shares allotted pursuant to this issue are proposed to be listed on ‘EMERGE’, the SME platform of NSE. IDBI Capital Market Services Limited is the sole Book Running Lead Manager for the Issue and Karvy Computershare Pvt Ltd is the Registrar to the Issue.
The Net Proceeds of the Issue are proposed to be utilised by the Company for investments in moulds, tools and equipment, and indigenisation of the designs for expansion of the existing manufacturing facility at Roorkee (Uttarakhand). Further, a part of the Net Proceeds is also proposed to be used for enhancement of the Company’s brand through advertising and other brand building activities. Company intends to deploy Rs. 1,029.95 lacs for indigenisation of the designs and overall expansion of the existing facility over FY 2014 and FY 2015. Currently, the Company manufactures as well as outsources its clock components, while the final assembly is completed at the manufacturing facility at Roorkee.
In order to strengthen its brand, the Company intends to enhance awareness of its brand through advertising and various other promotional activities, organising contests for its users/dealers and event sponsorships. The Company proposes to utilise Rs. 390.50 lacs from the Net Proceeds towards enhancement of Company’s brand through advertising and other brand-building activities.
Currently, the Company designs and manufactures wall and table clocks and market them under two brands: its flagship premium brand ‘Opal’ and budget brand ‘Caliber’. It primarily operates in the market of premium clocks, with in-house expertise in designing complemented by quartz technology. The facility for manufacturing of clocks is based at Roorkee, Uttarakhand where all manufacturing and other peripheral activities are carried out. Its brand ‘Opal’ has a wide presence with the products marketed by a network of 9 distributors, 242 dealers and 91 organised retailers which includes popular brands such as Shoppers Stop, Home Town, etc. It has also ventured into online sales by way of popular online shopping portals and currently have tie ups with 10 online portals and also has its own shopping portal at *www.opalclocks.com*. It has recently started exporting to the United States.
Disclaimer: "The Company is proposing, subject to market conditions and other considerations, a public issue of its equity shares and has filed a Red Herring Prospectus with the Registrar of Companies. The Red Herring Prospectus is available on the website of NSE at www.nse.com and the website of the Book Running Lead Manager at www <http://www.afsl/>. idbicapital.com. Investors should note that investment in equity shares involves a high degree of risk and for details relating to the same, see the section titled "Risk Factors" of the Red Herring Prospectus. The equity shares of the Company have not been and will not be registered under the U.S. Securities Act of 1933, as amended ("U.S. Securities Act") or any state securities laws in the United States, and may not be offered or sold within the United States or to, or for the account or benefit of, "U.S. persons" (as defined in Regulation S of the U. S. Securities Act), except pursuant to an exemption from, or in a transaction not subject to, the registration requirements of the U.S. Securities Act and applicable state securities laws in the United States.*