DRAFT PROSPECTUS VIKASH METAL & POWER LIMITED (Originally incorporated as Vikash Metal Private Limited on July 4th, 1996 with Registrar of Companies, West Bengal and subsequently converted into Public Limited Company on 13th December, 2002 and the name of the company was changed to Vikash Metal Limited. The name of the Company was further changed to Vikash Metal & Power Limited w.e.f 21st January, 2003) Registered Office: 35, Chittaranjan Avenue, 6th Floor, Kolkata-700 012, India. Tel.: (033) 2211-5115/2211-6114, Fax: (033) 2211-5390 E-mail:
[email protected] Website:www.vikashmetalpower.com PRESENT ISSUE 2,47,60,400 equity shares of Rs. 10/-each for cash at a premium of Rs.10/- per equity share aggregating Rs. 4952.08 lacs. NET OFFER TO PUBLIC 1,25,00,000 equity shares of Rs. 10/- each for cash at a premium of Rs.10/- per equity share aggregating Rs. 2500 lacs of which 12,50,000 equity shares being 10% of the net offer to the public to be compulsorily allotted to QIB’s. The Project has a participation of Rs.7425/- Lacs as Term Loans from Consortium of Banks. RISK IN RELATION TO THE FIRST ISSUE This being the first issue of the company, there has been no formal market for the securities of the company. The face value of the shares is Rs.10 and the issue price is 2 times of the face value. The issue price (has been determined and justified by the Lead Merchant Banker and the Issuer Company as stated under Justification of Premium paragraph on page 23) should not be taken to be indicative of the market price of the equity shares after the shares are listed.