Earthstahl & Alloys IPO

Earthstahl & Alloys IPO will open for subscription from 27 January 2023. the company aims for an issue size of ₹12.96 Cr through this IPO.

About Company

Incorporated in 2009, Earthstahl & Alloys is engaged in the business of manufacturing cast iron lumps and ductile iron pipe fittings. The cast iron lumps are used as raw material in the steel foundries to manufacture products like cast iron pipe fittings, machine components such as latch machines, fan components, manhole covers, decorative cast iron pieces, cast iron pipe fitting, and other units engaged in manufacturing of steel or cast iron products.

The other primary product of the company Ductile Iron Pipe Fittings is used in public water supply systems as connectors of pipes. The foundry is also capable of producing parts or components of plants and machinery/ automobiles using foam molds.

The company’s products are also supplied in the European Union countries. Further, it’s an approved vendor for the supply of ductile iron pipe fittings to Rural Water Supply & Sanitation, Odisha, Maharashtra Jeevan Pradhikaran. Currently, it sells its products primarily in the state of West Bengal, Punjab, Orissa, Gujarat, Madhya Pradesh, and Maharashtra.

Basic details about the company

Full nameEarthstahl & Alloys Limited
SectorIron & Steel
IndustrySteel & Iron Products
Company Website

The objective of the Issue

  • Funding capital expenditure towards change in electricity supply voltage from 33 KV to 132 KV at our manufacturing facility at Village Duldula, Baloda Bazar (C.G.)
  • To meet Working Capital requirements
  • General Corporate Purpose
  • To meet issue expenses

Major Competitive strengths

  • Large product portfolio.
  • Strong competition with sector rivals.
  • Strong management team.

IPO Timetable

IPO Opening date27 January 2023
IPO Closing31 January 2023
Basis of Allotment03 February 2023
Initiation Refund06 February 2023
Credit to Demat Account07 February 2023
Listing Date08 February 2023

IPO details

Issue typeBook Built Issue IPO
IPO issue size₹12.96 Cr – 3,240,000 shares
Fresh Issue₹12.96 Cr – 3,240,000 shares
Offer for saleNil
Face value₹10 per share
Price Band₹38 to ₹40 per share
Lot size3000 Shares
Retail Allocation35%
Listing ExchangeBSE SME

IPO Lot Size

Retail (Min)13000₹120,000
Retail (Max)13000₹120,000
HNI (Min)26,000₹240,000

Reservation Details

QIB Shares Offered30%
NII (HNI) Shares Offered35%
Retail Shares Offered35%

Financial Performance

 FY 2020FY 2021FY 2022H1 FY 2023
Net income(0.33)2.677.455.80
(Amount in ₹ Crores)

Valuations & Margins

FY 2020FY 2021FY 2022
PE ratio
RONW (%)(75.71)85.8070.53
ROCE (%)(1.61)15.8137.41
EBITDA (%)8.2125.5427.43

Company Promoters

  • Ravi Thakurdasji Laddha
  • Rajesh Somani
  • Prawin Somani
  • Padam Kumar Jain

Promoter Holding

Pre Issue Share Holding100%
Post Issue Share Holding73.53%

Lead Manager(s)

  • Hem Securities Limited

IPO Registrar

Office No. S6-2, 6th Floor,
Pinnacle Business Park,
Next to Ahura Centre, Mahakali
Caves Road, Andheri East,
Mumbai – 400 093
Telephone: +91 22 6263 8200

Contact Details

Merlin Jayshree Vihar, Mohani 5 B,
Pandri Tarai, Mandi Gate Raipur, Chhattisgarh- 492001
Phone: +91-8120009626

Allotment Status

Earthstahl & Alloys IPO allotment status will be available on Bigshare Services’ website. Click on Bigshare Services weblink to get allotment status.

Final thoughts

Earthstahl & Alloys IPO is going to hit Dalal street soon. applying for IPO is purely a personal choice. study well about the company and do 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

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