Ahmedabad:Globe Textiles India Ltd. (GTIL), an Export House of Textiles, Fabrics and Garments based out of Ahmedabad, has received approval on DRHP filed for its maiden Initial Public Offer to list on the NSE-EMERGE platform to raise Rs 137.1 million. The issue opens on June 12 and closes on June 15.

The net proceeds will be channelized to meet working capital requirement, will be utilized for general corporate purposes and meet issue expenses.

The issue will combine 13, 68,000 fresh equity shares and an offer for sale of 13,20,000 equity shares by promoters Bhavik Parekh and Nilay Vora. Each equity share of face value Rs. 10 will be priced at Rs. 51. Hem Securities Ltd. is the lead manager to the issue.

“Our business involves manufacturing and supply of garments & fabrics. The public issue will boost our brand image and enable us to undertake our futuristic expansions. The best value will be extracted from the company. It will also provide liquidity to the existing shareholders and will create a public trading market for the equity shares of our company,” said Bhavik Parikh, Managing Director, GTIL.

Globe Textiles is also Oeko-Tex certified and all its production facilities have been set up in an environmentally-friendly manner. It has emerged as a leading manufacturer to some of the best national and international brands as a consistent partner.

For five financial years from 2012-13 to 2016-17, GTIL recorded a consecutive rise in compounded annual growth rate (CAGR) of 25% with growth numbers, well- complemented by the company’s performance overseas and at home. GTIL crossed a cumulative turnover of Rs. 500 million in 2010—11 and recorded a 100% growth over this, doubling the number in 2 years. In 2016-17, the total revenue figure strengthened to Rs. 1,904 million.

Cumulatively, the company has its production capacity sprawled over 2 lakh sq. feet housing various divisions. In 2017, it will embark on a journey to start its own state-of-the-art washing unit with a motive to revamp the entire garmenting section and move up the value chain.

The company is inching its way closer to attaining a Worldwide Responsible Accredited Production (WRAP) certification or an equivalent certification for its units, which is a benchmark to promote safe, lawful, humane and ethical manufacturing around the world through education. Once clinched in 2017, GTIL will be among the few garment houses to bag this certification.

DeshGujarat