New Delhi, March 15, 2018: Karda Constructions Limited, a Nasik based Karda Group Company, engaged in construction of residential complexes and infrastructure projects, proposes to open its initial public offer (IPO) of 43,00,000 equity shares at a price band of Rs. 175/- to 180/- on Friday 16 March 2018. The issue comprises Offer for Sale of up to 20, 00,000 Equity Shares and fresh issue of up to 23, 00,000 Equity Shares, aggregating up to Rs. 77.40 crores. (at the upper price band). Mr.NareshKarda, Chairman and Managing Director of Karda Constructions Limited, said “The proceeds from the fresh issue will be utilised towards reduction of debt, working capital requirements and issue expenses. Our company has availed certain credit facilities from different banks as well as term loans from financial institutions. As part of our long term equity value creation plan we intend to repay certain portions of our debt which will help maintain a favourable debt-equity ratio and enhance our leveraging capacity”. “The company has successfully delivered over 17 projects totalling 1107 units with total delivered carpet area standing at 10,50,525 sq. ft. The company is currently developing over 17 lakh sq. ft. through its 11 on-going and 3 planned projects which are planned to be delivered over the next few years .The Company is focused on quality and affordable developments. With an established brand, reputation and track record of developing innovative projects through emphasis on contemporary architecture, strong project execution and uncompromising quality, the company is poised for accelerated growthriding on the wave of its on-going projects and arrival of fresh projects” Mr Karda Added, The company after making significant foot print in the real estate segment is now aggressively looking at new opportunities in the construction contracts business. It is has been awarded four prestigious government projects in Goa and Nashik as well as two private sector construction contracts making the order book of this new vertical at around Rs. 60 crores. It has obtained Class I-A PWD license and is aiming at expanding its contractual construction business considering diversification benefits and economies of scale w.r.t purchase of materials etc. The shares of the company will list on BSE and NSE. The sole lead manager to this issue is Aryaman Financial Services Limited and Registrars to the issue isBigshare Services Private Limited. Company’s total income and net profit has increased from 43 cr& 2.7cr to Rs 110 cr and 8 cr respectively since FY2013. Total income and net profit after tax as restated were L 4,328.65 lakhs and L 270.39 lakhs for the year ended March 31, 2013, L 5,907.39 lakhs and L 360.55 lakhs for the year ended March 31, 2014, L 4,653.44 lakhs and L 307.56 lakhs for the year ended March 31, 2015, L 10,593.47 lakhs and L 637.43 lakhs for the year ended March 31, 2016 and L 11,002.26 lakhs and L 803.14 lakhs for the year ended March 31, 2017, showing a CAGR of 19.57 % in profit after tax. The Karda Group is a well-established Nashik based group having its presence in the construction industry for more than two decades. The group was founded by promoter Mr.NareshKarda in year 1994. In the years following its inception the group concentrated on developing affordable housing in the residential segment and from year 2001 onwards, the group diversified into commercial segment. Karda Constructions Limited was incorporated in 2007 with a view to corporatize the group’s activities in the real estate sector. Company recently received “Mega Builder of the Year” award fromDivya Marathi.


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