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Electro Steel Integrated Limited. Introduction Electro steel Integrated Limited (EIL), a subsidiary unit of Electro steel Group, pioneer in DI Pipes market,

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Presentation on theme: "Electro Steel Integrated Limited. Introduction Electro steel Integrated Limited (EIL), a subsidiary unit of Electro steel Group, pioneer in DI Pipes market,"— Presentation transcript:

1 Electro Steel Integrated Limited

2 Introduction Electro steel Integrated Limited (EIL), a subsidiary unit of Electro steel Group, pioneer in DI Pipes market, was incorporated in December, 2006. It intends to set up a 2.2 Million Ton Per Annum (MTPA) Integrated Steel Plant to produce 1.2 MTPA long product of steel, 0.27 MTPA commercial billet, 0.4 MTPA pig iron & 0.33 MTPA Ductile Iron Pipe. The proposed project site is located in Chandankyari Block, Bokaro District of Jharkand State.

3 Technology Supplier EIL has tied up with Chinese Consultancy Agency for Technology transfer based on successfully operating Integrated Steel Plant in various locations in China.

4 Raw Material Linkage The Group has been allotted Parbatpur captive mine block for coking Coal in Jharia coalfield, near Bokaro, Iron Ore mine at Kodolibad near Barajamda and mine block for non-coking coal at Northdhadu, all in the state of Jharkhand

5 Plant Size The proposed project site is located in Chandankyari Block, Bokaro District of Jharkhand State. The nearest town Bokaro, on the western side, is 22 Kms away from the site. The land comprises mostly of barren, agricultural, and non-agricultural land with small undulation. Source for raw mater for the plant will be Damodar river and the proposed location of the in-take pump house will be near the bank of Damodar river, which is about 10 kms away from the plant site.

6 Funding of the Plant The overall cost of the plant is about Rs 7300 crores. Out of this, the company has already got Rs 1815 crores from ECL Limited, Dalmia Cement, IL & FS Limited, Stem Corp Limited, PGS Limited, Mauritius (Pvt Finance), J P Financials and others. The company has also got debt finance of Rs 5447 crores.

7 Future Planning The Co. has filed a Draft Red Herring Prospectus DRHP in April 10 with SEBI & Plans to get its Share Listed after an IPO by December 2010 The Co. has filed a Draft Red Herring Prospectus DRHP in April 10 with SEBI & Plans to get its Share Listed after an IPO by December 2010

8 IPO Information The company is planning to raise funds through an initial public offer. The issue size of the IPO is going to be about Rs. 350 to 500 crores. The company is also planning to raise further amount through an FPO after it gets listed. The company is planning to list the shares by November or December, 2010.

9 Production The production of the company is supposed to get started from September, 2010.

10 Lock In Period The minimum lock in period for this issue is one year after the shares get listed in the stock exchange.

11 Lot Size The Shares are currently available at Rs. 13.50 per Shares.

12 Outlook Global steel consumption has shown a rising trend with the growing steel demand from new emerging economies as they focus on infrastructure development & urbanization. Thus, with the issue coming up soon, the company looks quite promising.

13 Thank You


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