Ratnaveer Precision Engineering IPO will open for subscription from 04 September 2023. The company aims for an issue size of ₹165.03 Cr through this IPO.
Company Overview
| Full name | Ratnaveer Precision Engineering Limited |
| Sector | Iron & Steel |
| Industry | Steel & Iron Products |
| Company Website | https://ratnaveer.com/ |
About Company
Ratnaveer Precision Engineering is a stainless steel (SS) product manufacturer focused on producing finished sheets, washers, solar roofing hooks, pipes, and tubes. It operates out of four manufacturing units, out of which two (Unit-I and Unit-II) are located at GIDC, Savli, Vadodara, Gujarat, one (Unit-III) is located at Waghodia, Vadodara, Gujarat and the other one (Unit-IV) is located at GIDC, Vatva, Ahmedabad, Gujarat. Its manufacturing units are strategically located with the availability of transportation, which facilitates convenient transportation of finished products.
The company manufactures SS finishing sheets, SS washers, and SS solar mounting hooks at Unit I and SS pipes & tubes at Unit II. Unit III and Unit IV are dedicated to the backward integration process. Unit III is the melting unit where it melts steel scrap and turns it into steel ingots and Unit IV is the rolling unit where flat ingots are further processed to turn them into SS sheets which are the raw material for SS washers. It currently offers over 2500 SKUs of SS washers to customers and intends to expand its portfolio of SS washers by adding circlips into the product line.
The Objective of the Issue
- Funding the working capital requirements of the company.
- General corporate purposes.
IPO Timetable
| IPO Opening date | 04 September 2023 |
| IPO Closing | 06 September 2023 |
| Basis of Allotment | 07 September 2023 |
| Initiation Refund | 08 September 2023 |
| Credit to Demat Account | 08 September 2023 |
| Listing Date | 11 September 2023 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹165.03 Cr – 16,840,000 shares |
| Fresh Issue | ₹135.24 Cr – 13,800,000 shares |
| Offer for sale | ₹29.79 Cr – 3,040,000 shares |
| Face value | ₹10 per share |
| Price Band | ₹93 to ₹98 per share |
| Lot size | 150 Shares |
| Retail Allocation | 35% |
| Listing Exchange | BSE & NSE |
IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 150 | ₹14,700 |
| Retail (Max) | 13 | 1950 | ₹191,100 |
| S-HNI (Min) | 14 | 2,100 | ₹205,800 |
| S-HNI (Max) | 68 | 10,200 | ₹999,600 |
| B-HNI (Min) | 69 | 10,350 | ₹1,014,300 |
Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
Financial Performance
| FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 359.66 | 426.94 | 479.75 |
| Expenses | 354.46 | 415.02 | 450.43 |
| Net income | 5.46 | 9.48 | 25.04 |
| Margin (%) | 1.52 | 2.22 | 5.22 |
Valuations & Margins
| FY 2021 | FY 2022 | FY 2023 | |
| EPS | 1.59 | 2.75 | 7.26 |
| PE ratio | – | – | 12.81 – 13.50 |
| RONW (%) | 10.15 | 15.46 | 29.12 |
| NAV | 16.21 | 19.20 | 30.74 |
| ROCE (%) | 10.33 | 9.67 | 12.62 |
| EBITDA (%) | 6.76 | 6.81 | 9.80 |
| Debt/Equity | 2.67 | 2.89 | 2.17 |
Company Promoters
- Mr. Vijay Ramanlal Sanghavi
Promoter Holding
| Pre Issue Share Holding | 86.3% |
| Post Issue Share Holding | 55.48% |
Lead Manager(s)
UNISTONE CAPITAL PRIVATE LIMITED
A/305, Dynasty Business Park, Andheri Kurla Road,
Andheri East, Mumbai 400059, Maharashtra
Phone:+91 98200 57533
Email: mb@unistonecapital.com
Website: www.unistonecapital.com
IPO Registrar
LINK INTIME INDIA PRIVATE LIMITED
C-101, 247 Park, 1st Floor, L.B.S. Marg,
Vikhroli West, Mumbai, 400 083, Maharashtra
Phone: +91 22 4918 6200
Email: ratnaveerprecision.ipo@linkintime.co.in
Website: www.linkintime.com
Contact Details
RATNAVEER PRECISION ENGINEERING LIMITED
Office No. 703 & 704 Ocean Building, 7th Floor, Vikram Sarabhai Campus,
Genda Circle Vadiwadi, Vadodara- 390 023, Gujarat
Phone: +91 8487878075
E-mail: cs@ratnaveer.com
Website: www.ratnaveer.com
Allotment Status
Ratnaveer Precision IPO allotment will be available on Link Intime’s website. Click on this link to get allotment status.
Final thoughts
Ratnaveer Precision Engineering IPO is going to hit Dalal Street soon. applying for an IPO is purely a personal choice. study well about the company and subscribe if you are feeling good about the company. I hope this post will give you enough details to make a fundamental study of the company. learn well and make wise decisions.
Happy Investing
