The Cochin Shipyard initial public offer (IPO) opened for subscription today. The issue of India's largest public sector shipyard as of March 31, 2015 will close on August 3.
The firm plans to raise about Rs 1,400-1,500 crore through an initial public offering (IPO).
The shares are available at a price band of Rs 424 - 432 (Rs 21 discount for retail investors and employees).
The IPO has a issue size of 33,984,000 equity shares (including fresh issue of 22,656,000 equity shares plus offer for sale of 11,328,000 equity shares).
The IPO has an offer size of Rs 1440.92 crore- Rs 1468.11 crore.
Bids can be made in a lot size of 30 equity shares and in multiples thereof.
The firm has reported Rs 312.18 crore, Rs 291.75 crore and Rs 69.28 crore profit in FY17, FY16 and FY15, respectively.
Its equity shares are proposed to be listed on the BSE and National Stock Exchange. The book running lead managers to the issue are SBI Capital Markets, Edelweiss Financial Services and JM Financial Institutional Securities.
The firm caters to clients engaged in the defence sector and those engaged in the commercial sector worldwide. In addition to shipbuilding and ship repair, it also offers marine engineering training.
The company proposes to utilize the net proceeds towards the following.
A. Setting up of a new dry dock within the existing premises of the company at Rs 443crore
B. Setting up of an international ship repair facility at Cochin Port Trust area at Rs 229.5 crore
C. General corporate purposes.
In addition, Cochin Shipyard expects to receive the benefits of listing of the equity shares on the stock exchanges which will result in the enhancement of company's brand and creation of a public market for its equity shares in India.
BT Online Last Updated: August 1, 2017 | 15:07 IST 
