Shankara Building Products Ltd

Shankara Building Products Limited is one of the leading organised retailers of home improvement and building products in India, operating under the brand name Shankara BuildPro. As on March 31, 2017, the company operated 106 Shankara BuildPro stores spread across 9 states and 1 union territory in India. The company caters to a large customer base across various enduser segments in urban and semiurban markets through multichannel sales approach, processing facilities, supply chain and logistics capabilities. The company serves home owners and professional customers (architects and contractors) through its retail outlets. The company offers a comprehensive range of products at its stores including structural steel, cement, TMT bars, hollow blocks, pipes and tubes, Roofing solutions, welding accessories, primers, solar heaters, plumbing, tiles, sanitary ware, water tanks, plywood, kitchen sinks, lighting and other allied products. The company offers over 70 product categories spanning over 20,000 SKUs. Shankara now serves as a complete one stop shop for home improvement and building products requirements.The company was originally incorporated as Shankara Pipes India Pvt Ltd on October 13, 1995 at Bengaluru, Karnataka, India. Subsequently, The Company was converted to a public limited company on August 28, 2007 in the name of Shankara Pipes India Limited. The name of the company was further changed to Shankara Infrastructure Materials Ltd on March 25, 2011. The change of name of the company from Shankara Pipes India Limited to Shankara Infrastructure Materials Limited was undertaken to replicate its business focus of offering infrastructure materials to its customers. Thereafter, the name of the company was changed to Shankara Building Products Ltd on July 27, 2016. The change of name of the company from Shankara Infrastructure Materials Ltd to Shankara Building Products Ltd was consequent to its shifting focus from offering a range of infrastructure materials to offering to a wider product range of building products to its customersShankara Building was founded by its Promoter, Sukumar Srinivas, an alumnus of the Indian Institute of Management, Ahmedabad, and a first generation entrepreneur, currently having 33 years of experience in the building products industry.During the financial year ended 31 March 2002, the company received ISO 9001: 2008 certification from NQA. During the financial year ended 31 March 2003, the company opened an integrated warehousing facility of 55,000 sq. ft. at Veerasandra, Bengaluru. During the financial year ended 31 March 2003, the company achieved turnover of Rs 100 crore.During the financial year ended 31 March 2006, the company commenced retail operations by opening the first retail store in Bengaluru. During the financial year ended 31 March 2007, the company commenced retail operations in Gujarat and Goa. During the financial year ended 31 March 2008, the company commenced retail operations in Odisha. During the financial year ended 31 March 2009, the company achieved turnover of Rs 100 crore in the retail segment. During the financial year ended 31 March 2010, the company acquired the precision tube processing unit in Bengaluru through acquisition of Vishal Precision Steel Tubes and Strips Private Limited (VPSPL).During the financial year ended 31 March 2011, the company raised private equity investment of Rs 80 crore. During the year under review, the company constructed a processing facility in Hyderabad. During the financial year ended 31 March 2011, the company achieved turnover of more than Rs 1000 crore.During the financial year ended 31 March 2013, the company acquired a roofing products company Centurywells Roofing India Private Limited (CRIPL). During the year under review, the company commenced retail operations in Puducherry.During the financial year ended 31 March 2015, the company launched own private label brands Taurus, Prince Galva Plus and Loha. During the financial year ended 31 March 2015, the company crossed turnover of Rs 600 crore in the retail segment, accounting for 31% of overall revenue of the company. During the year under review, the company added new product category of water tanks. During the financial year ended 31 March 2016, the company achieved turnover of more than Rs 2000 crore. During the year under review, the company added new products categories viz. cement, tiles, scaffolding and solar product. During the financial year ended 31 March 2016, the company crossed turnover of Rs 800 crore in the retail segment, accounting for 39.68% of overall revenues of the company. During the year under review, the company commenced operations at the 100th retail store.The company came out with an initial public offer (IPO) during the period from 22 to 24 March 2017. The IPO was a combination of fresh issue of Rs 45 crore and Offer for Sale of 65.22 lakh shares by the selling shareholders. The IPO was oversubscribed 40.8x (net of anchor allocation) and received over 1 million applications. The stock debuted at Rs 545 on BSE on 5 April 2017, a premium of 18.47% compared with the IPO price of Rs 460 per share.