HTL Aircon Pvt. Ltd., a leading HVAC (Heating, Ventilation and Air Conditioning) contractor for commercial and office buildings and a leading dealer for Daikin in India, is planning for a listing on an SME platform to raise resources, a top executive said.
Both BSE and NSE have SME exchanges, where small and medium enterprises (SMEs) get listed.
Funds requirement
“We are planning to bid for large contracts and that would require funds. So we are planning for an SME listing next year,” Lavinder Singh Duggal, managing director, HTL Aircon Pvt. Ltd. said. Typically, SMEs raise about ₹20 to ₹30 crore in SME listings to augment growth capital and more and more such companies are now going for such listings.
The company, which was named the top 100 SME in 2017 among 41,832 nominations, had reported a ₹70 crore turnover last year and is eyeing a revenue of more than ₹100 crore in FY18. It is focusing on high value jobs which provide better margins, Mr. Duggal said. Having set up offices in key markets across India, the company is now expanding its base in Gujarat. “Once we complete expansion in Gujarat, we will set up operations in Bhutan and Sri Lanka in 2018-19. Next year, we have plans to foray into Thailand,” Mr. Duggal said.
He said the company would also take up contract jobs in Dubai and East Africa. Started in 1996 with two persons people and a capital of ₹2 lakh as a dealer for air conditioning major Carrier, HTL Aircon has grown to be a major HVAC contractor in India with a client list that which includes BMW, RBS, BNP Paribas, Morgan Stanley, Lehman Brothers and top Indian companies. Now the company has 350 people working across India.
“Our expertise is on executing quality jobs which require very high installation standards. That is why most MNCs which demand high standards of execution look up to us,” Mr. Duggal said.
