About Company’s Business:
The company engages in the production of room air conditioners (“RAC”) and small domestic appliances (“SDA”) along with their components. It operates within the RAC and SDA industries, both of which fall under the consumer durables market. The range of small domestic appliances currently designed and manufactured by the company includes induction cooktops, mixer-grinders, and water dispensers. Additionally, the company manufactures various components such as heat exchangers, cross flow fans, axial fans, sheet metal press parts, injection-molded components, copper fabricated products, PCBAs, universal motors, and induction coils. These components serve both for captive consumption and as part of the product offerings to customers. The company’s listed peers consist of Amber Enterprises India Limited, PG Electroplast Limited, Dixon Technologies (India) Limited, and Elin Electronics Limited.
About the Industry:
From Fiscal 2018 to Fiscal 2023, the size of the Indian consumer durables market exhibited growth at a Compound Annual Growth Rate (CAGR) of 10.1%. The company is active in both the room air conditioners (“RAC”) industry and the small domestic appliances (“SDA”) industry, both of which constitute segments within the broader consumer durables market. Projections indicate that the market is poised for accelerated growth in the near future, driven by factors such as increased rural consumption, a shortened replacement cycle, expanded retail presence, and the availability of diverse brands and products across various price ranges. The estimated overall market size for the consumer durables market in Fiscal 2023 is ₹1,303 billion, with an expected CAGR of 13.7% until Fiscal 2028.
Key Financial Information (â‚ą in million):
| Particulars | As at and for the six months ended September 30, 2023 | As at and for the Fiscal ended March 31, 2023 | As at and for the Fiscal ended March 31, 2022 | As at and for the Fiscal ended March 31, 2021 |
|---|---|---|---|---|
| Equity Share capital | 520.89 | 520.89 | 520.89 | 481.72 |
| Net worth | 4,783.10 | 3,136.18 | 1,218.65 | 689.13 |
| Revenue from operations | 6,148.04 | 15,388.32 | 9,241.62 | 7,362.45 |
| Restated profit for the year | 26.54 | 319.72 | 174.34 | 78.03 |
| Restated earnings per Equity Share (basic) | 0.34 | 4.71 | 3.47 | 1.62 |
| Restated earnings per Equity Share (diluted) | 0.34 | 4.64 | 3.47 | 1.62 |
| Net Asset Value per Equity Share | 61.00 | 46.21 | 24.25 | 14.31 |
| Total Borrowings | 3,695.74 | 4,924.45 | 3,839.81 | 2,385.57 |
Objective of the Issue:
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Funding capital expenditure for the expansion / setting up of manufacturing facilities
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Repayment and / or prepayment, in part or in full, of certain outstanding loans of our
Company -
General corporate purposes.
For more detailed information, you can refer to the IPO Prospectus (RHP) filed by the company.
| Important information regarding the IPO | |
|---|---|
| Open Date | Friday, January 19, 2024 |
| Close Date | Tuesday, January 23, 2024 |
| Issue Size | â‚ą640.05 Crores |
| Price | â‚ą218 to â‚ą230 per share |
| Lot Size | 65 Shares |
| Basis of Allotment | Wednesday, January 24, 2024 |
| Initiation of Refunds | Thursday, January 25, 2024 |
| Credit of Shares to Demat | Thursday, January 25, 2024 |
| Listing Date | Monday, January 29, 2024 |
How to apply for this IPO?
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