Odisha-based Nilachal Carbo Metalicks, a producer of ferro-alloy grade low ash metallurgical (LAM) coke, will open its initial public offering (IPO) for subscription on September 8, closing on September 10. The company plans to list its shares on the BSE SME platform from September 15, with allotment to be finalized by September 11. The IPO is a fixed price issue with an offer price of Rs 85 per share.
The IPO comprises 66 lakh shares, including a fresh issue of 26 lakh shares worth Rs 22.1 crore, and an offer-for-sale of 40 lakh shares worth Rs 34 crore by Kajal Fashionwear Agency.
Use of Proceeds:
Funds raised through the fresh issue will be primarily utilized to install a new coke oven plant to expand capacity and modernize the existing plant.
Company Overview:
Incorporated in 2003, Nilachal Carbo Metalicks manufactures LAM coke for the ferro-alloys sector at its plants in Jajpur (Odisha) and Visakhapatnam (Andhra Pradesh), with an annual capacity of 78,000 metric tonnes per annum (MTPA). The company also has a contract manufacturing tie-up with Om Avi Carbon Resources, leveraging their 24,000 MTPA capacity.
The company is planning to install one additional battery with 36 ovens at Jajpur, adding 34,400 MTPA of LAM coke, taking the total capacity to 1,12,400 MTPA.
Financial Performance (FY25):
- Revenue: Rs 201.5 crore (–24% YoY)
- Net Profit: Rs 14 crore (–11.4% YoY)
IPO Advisors:
- Merchant Banker: Sun Capital Advisory Services
The IPO is aimed at expanding production capacity, modernizing facilities, and supporting the company’s growth strategy.
