| Talking to reporters on the sidelines of a press conference organised in connection with its IPO, Manish Nuwal, director-cum-chief commercial officer, Solar Explosives, said there were still largely unexplored mining in India and also in Africa. |
| The company, which currently has five plants in the country for manufacture of explosives, has set up a fully-owned subsidiary in Nigeria. It also plans to set up a plant for manufacturing bulk explosives, cartridge explosives and magazines (storage) with an investment of Rs 23 crore. |
| The proposed Nigerian plant would cater to the west African countries and help boost the company's exports turnover, he said. |
| Nuwal said the company had also identified locations to set up 13 plants in India at a cost of Rs 53 crore for bulk explosives mostly to cater to coal and iron mines in eastern region. |
| The demand for explosives or the growth in the explosives sector is directly coupled to the growth in the mining sector. The mining sector, and in particular coal mining, consumes the maximum explosives. Coal mining, with about 70 per cent of total explosive consumption, remains the largest application for explosives worldwide. The market size of the explosives in India is estimated between Rs 1,000 crore and Rs 1,200 crore. |
| Solar entered the capital market with an IPO of 44 lakh equity shares of Rs 10 each today. The price band for the issue has been fixed at Rs 170-190 and it closes on March 13. At the lower end, SEL would mobilise Rs 74.80 crore and at the higher end, it would raise Rs 83.60 crore. |
| The company would offer 43.4 lakh shares to the public and the balance to employees. Post-issue, the promoters' stake in the company would come down to 74.6 per cent from the current 100 per cent. |
| SEL reported a consolidated revenue of Rs 136 crore, including exports of around Rs 6 crore. About 42 per cent of the revenue is contributed by Coal India. |
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