Air conditioning firm Perfect Infraengineers today became the 11th company to be listed on NSE’s Small and Medium Enterprises (SME) platform.
The listing holds significance as it is the first time that Small Industries Development Bank of India (SIDBI), which finances small companies, acted as a merchant banker for a public issue by an SME.
Following the listing of the firm , the National Stock Exchange (NSE) Emerge platform for SMEs now has 10 companies listed on it. Earlier, Veto Switchgears and Cables Ltd had migrated to the mainboard from the SME segment.
Besides, 21 companies are listed on NSE’s Institutional Trading Platform (ITP) which allows small companies to list with or without an initial public offering (IPO).
“SIDBI has been taking all possible steps in addressing the gaps in the MSME ecosystem and has been actively extending equity and risk capital products to MSMEs, both directly and indirectly through contribution to various venture funds,” SIDBI Chairman and MD Kshatrapatiji Shivaji said in a statement.
“With this merchant banking activity, SIDBI’s bouquet of products and services would be more or less complete for MSMEs,” he added.
NSE Chief (Business Development) Ravi Varanasi said that “response from the SME companies in India has so far been encouraging’’.
“Since NSE encourages high-level of corporate governance, many are at different stages of evaluation and will be listed soon, like Perfect Infraengineers,” he noted.
Perfect Infraengineers is engaged in the business of air conditioners and provides all inclusive maintenance services to multinational and other Indian corporates.
The company’s consolidated total revenue from continuing operations increased from about Rs. 19.7 crore in fiscal 2012-13 to Rs. 25.5 crore in 2014-15.
The company entered the capital market with its maiden initial public offering (IPO) of 25.08 lakh equity shares aggregating to Rs. 5.77 crore.
Beside SIDBI, Keynote Corporate Services was the other merchant banker to the issue by Perfect Infraengineers.
The SME platform allows new, early stage ventures and small companies to raise much needed growth capital as they grow, mature and transit to the exchanges’ main board.
Source: Hindu Business Line