Pune- based Opal Luxury Time products (Opal), Manufacturer of designer wall and table clocks company is coming out with a fresh issue of equity shares to raise Rs 13 crore via its Initial Public Offer (IPO). Of which Equity Shares of Rs 10 each aggregating to Rs 65 lakh will be reserved for subscription by Market Maker to the Issue.
Post the issue, Opal will be listed on EMERGE - NSE's small and medium enterprises (SME) exchange. The issue is priced at a band of Rs 130-Rs 135 and will be open for subscription between March 25th and 28th. The company plans to use the issue proceeds to invest in moulds, tools and equipments and indigenisation of designs for expanding its manufacturing facility and to enhance its brand building activities. CRISIL Ltd has assigned "CRISIL SME Fundamental Grade 4" indicating 'superior fundamentals' to this proposed issue. IDBI Capital Market Services Limited is the sole Book Running Lead Manager for the Issue and Karvy Computershare Pvt Ltd is the Registrar.
Speaking to Business Standard, Sanjay Goyal, Opal Luxury Time Products Limited said, "The Net Proceeds of the Issue are proposed to be utilised by the Company for investments in moulds, tools and equipment, and indigenisation of the designs for expansion of the existing manufacturing facility at Roorkee (Uttarakhand). Further, a part of the Net Proceeds is also proposed to be used for enhancement of the company's brand through advertising and other brand building activities."
Currently, the Company designs and manufactures wall and table clocks and market them under two brands: its flagship premium brand 'Opal' and budget brand 'Caliber'. It primarily operates in the market of premium clocks, with in-house expertise in designing complemented by quartz technology.
The facility for manufacturing of clocks is based at Roorkee, Uttarakhand where all manufacturing and other peripheral activities are carried out. The company has recently started exporting to the United States.