It is not only the patrons of Pecos pubs that enjoy the happy hours. This Christmas season, even the share traders are enjoying their happy hours.
Share prices of Bangalore based Pecos Hotels and Pubs Limited surged to a new 52 week high at Rs 67.05 on 28 December, 2015. Pecos share price also breached its upper circuit limit of Rs 67.05 on the same day.
Pecos shares opened at Rs 56 on the same day and by the same afternoon were trading at Rs 67.05 (up by 19.95 per cent from its previous close).
Company sources speaking to SMEpost.com attributed the rise in the prices of Pecos shares to the unique style of business management and the profits generated by the company.
Net profit of the company for the six months period ending September 30, 2015 rose to Rs 16,88,807, an increase of 32.9 per cent compared to the net profit of Rs 12,69,808 for the corresponding six months period of last financial year.
Pecos that got listed on the BSE-SME platform on August 11, 2015 has since developed a new pub from the proceeds raised by its public offering.
Pecos raised Rs 2,29,50,000 during its Initial Public Offering (IPO) and utilized the proceeds for both working capital and fixed capital requirements. Of the entire proceeds, it spent Rs 10,00,000 towards developing a new pub and Rs 5,00,000 for up-gradation, repair and maintenance purpose. It earmarked Rs 1,00,000 for general corporate expenditure purpose. The company also set aside Rs 1,63,50,000 for fixed deposits out of the total IPO proceeds.
Pecos pub was founded by Collin Timms in 1989. Timms, a Civil Engineer by background is also the Chairman and founder of Guardian Bank, an urban cooperative bank in Bangalore.
Collin Timms used to spend most of his time at the pub during the initial days of the business when revenue was low and expenditure was high. To break his long monotonous work, Timms used to recharge himself by listening to a collection of music. The music had a enthralling effect on the clientele.
Many customers donated audio cassettes to the pub to be played on its rickety sound system. The In house collection began to grow and in a few years Pecos had one of the largest retro music collections in India. The pub also became a popular hangout for young creative individuals like artists, copy writers, advertising professionals, authors and software professionals despite there being nothing spectacular or unique about the beer served or the food prepared.
Soon the pub became a favorite watering hole for many music lovers and in 2005 Collin Timms established Pecos Hotels and Pubs Private Limited.
Pecos Pubs’ serve only draught beer as its alcoholic beverage. Draught beer, unlike bottle beer, does not contain the preservative element of glycerin. Interestingly, it is healthier to consume because it is always freshly brewed. Its unique flavor is greatly appreciated by beer connoisseurs. The pub also serves a range of non-alcoholic beverages and soft drinks. Each pub has developed its unique style of food based on the preference of regulars who frequent it. The ‘Pecos Breakfast’ is very popular and so is the ‘Pub Lunch’. Pub food is essentially generous servings of finger food at very reasonable prices.
Image Courtesy: Guardian Bank