Mahanagar Gas IPO - Snapshot, Details, Prospectus, Allotment, Listing

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Mahanagar Gas Limited will be available at the capital markets in this month to raise Rs. 1200 crore through an initial public offering (IPO) to get listed on domestic bourses.

GAIL and British Gas Asia each hold 49.75% in the company as of now which retails compressed natural gas (CNG) to automobiles and piped cooking gas to households in Mumbai. The Maharashtra government holds a minor 0.49 per cent stake in the firm.

The company have already sold 10 per cent stake in MGL to Maharashtra government and post public sale of 25 per cent in Pre-IPO market. GAIL and BG would hold about 32.5 % stake each.
The firm have total 11 numbers of Shareholders as on the date of this Draft Red Herring Prospectus. IPO has a reservation for its eligible employee.

Company profile

Incorporated on 8th May 1995, Mahanagar Gas Limited got a certificate to start its business on July 4,1995 . The company was set up pursuant to a joint venture agreement entered into between GAIL and British Gas Plc. as on December 6, 1994 for city distribution and marketing of natural gas in greater Bombay or at such other places as may be decided by the Company from time to time (“JVA”).

The firm supplies gas to 0.82 million households and over 2,600 small commercial and 55 industrial establishments in and around Mumbai. The company also distributes CNG to vehicles in Mumbai, Thane, Mira-Bhayander, Navi Mumbai and beyond. It has 128 CNG filling stations in Mumbai and Greater Mumbai and 45 more in adjoining cities like Thane, Navi Mumbai and Panvel.

It distributed CNG to over 0.43 million vehicles in previous year. CNG sales account for about 74 per cent of its revenue while piped cooking gas sales and gas sale to commercial and industrial units make up for the remaining 26 per cent.

The company had posted a profit of Rs 301.01 crore on a revenue of Rs 2,135.63 crore for the 2014-15 fiscal.
The company has total 4464 Kms of pipelines currently.

Summary of the Company’s Event:-

Year	Event
1997-1998	The first natural gas supply and transportation contract was signed with GAIL
2008-09	Completed laying 2,000 km of PE pipeline in GA 1
2010-11	Completed laying 200 km of steel pipeline in GA 1 and achieved a customer base of 0.5 million domestic customers
2011-12	Commissioned 150th CNG dispensing station
2012-13	Completed laying more than 350 km of PE pipeline and 350 km of steel pipelines
2013-14	Achieved a customer base of 1.0 million customers

Outlook of the Firm

Well positioned in Mumbai, one of the most populous cities in the world and second largest metropolitan city in India;
Cost effective availability of domestic natural gas;
Infrastructure exclusivity and established infrastructure network;
Experience in successful development and operation of CGD business;
Promoters with strong national and multinational experience; and
Strong financial performance with consistent growth and profitability.

Objects Of The Issue:-

1) To achieve the benefits of listing the Equity Shares on the Stock Exchanges and to carry out the Offer for Sale.

2) The firm will be able to enhance its brand name and provide liquidity to the existing shareholders.

Summary Of Issue:

Issue Open:-	Jun 21, 2016 to Jun 23, 2016
Issue Type	100% Book Built Issue IPO
Issue Size (Shares)	Up to 24,694,500 Equity Shares
Issue Size in (Value)	Rs. 938.39 Crores at lower band & 1039.64 crores at upper band
Face Value	Rs. 10 Per Equity Share
Issue Price	Rs. 380 to Rs.421 per Equity Share
Market lots	35 Equity Shares
Minimum Order Quantity	35
Listing At	BSE, NSE

The public offer includes:-

Particular	Number Of Equity Shares
Fresh Issue of	Equity Shares aggregating up to Rs. 1200 crore
Offer For sale of	Up to 12347250 Equity Shares shares by state-run GAIL and of up to 12,347,250 shares by UK-based British Gas Asia Pacific Holdings Pte Ltd.

Promoters Of the Company:-

As on date of this Draft Red Herring Prospectus, the Promoters of the company hold, in aggregate, 88,899,920 Equity Shares, representing 99.50% of the issued and paid-up Equity Share capital of the Company.

1) Gail(India) Limited :- It is one of the largest natural gas company with a market share of over 80% in natural gas transmission. Gail is the promoter of the company holding 44,449,960 Equity shares constituting 49.75% of the paid up Equity Share of the company. As on date, the equity shares of GAIL are listed on BSE and NSE. The global depositary receipts (“GDR”) of GAIL are listed on London Stock Exchange.

2) BG Asia Pacific Holdings Pte. Limited (BGAPH) :- The company is engaged in the day to day management of its investments throughout India, Egypt, Mauritius and South East Asia. It is holding 44,449,960 Equity Shares constituting 49.75% of the paid up Equity Share capital of our Company. Through its subsidiaries and associated companies, it is engaged in the business of, amongst others, exploration and production of oil and natural gas, LNG importation and marketing, and transmission and distribution of natural gas.

Financials

Particulars	For the year/Period ended (Rs. in Million)
Financial Year	31-Mar-15	31-Mar-14	31-Mar-13	31-Mar-12	31-Mar-11
Total Equity & Liabilities	21,655.85	19,743.01	17,829.70	15,462.72	12,825.60
Total Assets	21,655.85	19,743.01	17,829.70	15,462.72	12,825.60
Total Revenue	21,356.37	19,196.47	15,462.34	13,283.99	10,735.64
Total Expenses	10,735.64	14,778.64	11,038.80	8,744.30	7,412.20
Profit After Tax (PAT)	3,010.01	2,972.49	2,985.06	3,077.43	2,255.08

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Mahanagar gas IPO Allotment Status

Mahanagar Gas IPO allotment status would be available soon after the IPO closure date. Usually the allotment comes within a week from the closing date which in this IPO yet to be announced.

One can check the allotment on the below given link with PAN number or Application number or DP Client Id. All you need to do is to follow these steps