Global Surfaces IPO will open for subscription from 13 March 2023. the company aims for an issue size of ₹154.98 Cr through this IPO.
About Company
The company is engaged in the business of processing natural stones and manufacturing engineered quartz. Global Surfaces has two units, one located at RIICO Industrial Area, Bagru Extn, Bagru, Jaipur, Rajasthan, and the other at Mahindra World City SEZ, Jaipur, Rajasthan for processing and manufacturing its products. Unit I which admeasuring 20,488 sq. mtrs. or thereabouts is located at Bagru, Jaipur, Rajasthan. This Unit was acquired as a stressed asset under the Recovery of the Debt Due to Banks and Financial Institutions Act, 1993 in 2004 and is exclusively dedicated to processing natural stones such as marble, granite, and quartzite.
From FY 2017-18 onwards, the company has further diversified its business into manufacturing engineered quartz and for this purpose, Unit II at Mahindra World City SEZ, Jaipur, Rajasthan was set up. This Unit II is spread across 24,139.08 sq. mtrs. and is dedicated to manufacturing engineered quartz. This unit is also equipped with an R&D facility to develop, improve, and test products. Both the units are located in close proximity to each other i.e., within a range of 20 kms. from one another. Approximately 99% of its revenues from operations were derived from exports during FY 2022. The company has exported to the United States of America, Canada, Australia, and the Middle East.
Basic details about the company
| Full name | Global Surfaces Limited |
| Sector | Construction Materials |
| Industry | Ceramics/Marble/Granite/Sanitaryware |
| Company Website | https://globalsurfaces.in/ |
The objective of the Issue
- Investment in the wholly owned subsidiary, Global Surfaces FZE for part-financing its capital expenditure requirements in relation to the setting up of a manufacturing facility for engineered quartz at The Jebel Ali Free Zone, Dubai, United Arab Emirates (UAE);
- General corporate purposes.
Major Competitive strengths
- Wide range of product portfolio.
- Experienced managemnent team.
- Good customer relatioship.
- Strong domestic and international presence.
- The products are widely used for commercial and residential industries and are sold within and outside India.
IPO Timetable
| IPO Opening date | 13 March 2023 |
| IPO Closing | 15 March 2023 |
| Basis of Allotment | 20 March 2023 |
| Initiation Refund | 21 March 2023 |
| Credit to Demat Account | 22 March 2023 |
| Listing Date | 23 March 2023 |
IPO details
| Issue type | Book Built Issue IPO |
| IPO issue size | ₹154.98 Cr – 11,070,000 shares |
| Fresh Issue | ₹119.28 cr – 8,520,000 shares |
| Offer for sale | ₹35.7 cr – 2,550,000 shares |
| Face value | ₹10 per share |
| Price Band | ₹133 to ₹140 per share |
| Lot size | 100 Shares |
| Retail Allocation | 35% of the Net Offer |
| Listing Exchange | BSE & NSE |
IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 100 | ₹14,000 |
| Retail (Max) | 14 | 1400 | ₹196,000 |
| S-HNI (Min) | 15 | 1,500 | ₹210,000 |
| B-HNI (Min) | 72 | 7,200 | ₹1,008,000 |
Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
Financial Performance
| FY 2020 | FY 2021 | FY 2022 | H1 FY 2023 | |
| Revenue | 163.29 | 175.37 | 190.31 | 97.98 |
| Expenses | 145.06 | 144.47 | 162.25 | 85.03 |
| Net income | 20.84 | 33.95 | 35.73 | 14.89 |
| Margin (%) | 12.8 | 19.4 | 18.8 | 15.2 |
Valuations & Margins
| FY 2020 | FY 2021 | FY 2022 | |
| EPS | 6.19 | 10.02 | 10.52 |
| PE ratio | – | – | 12.64 – 13.31 |
| RONW (%) | 26.59 | 34.47 | 32.51 |
| NAV | 99.98 | 152.61 | 39.58 |
| ROCE (%) | 32.95 | 35.75 | 20.85 |
| EBITDA (%) | 24.69 | 27.05 | 21.97 |
| Debt/Equity | 0.83 | 0.38 | 0.28 |
Company Promoters
- Mayank Shah
Promoter Holding
| Pre Issue Share Holding | 99.35% |
| Post Issue Share Holding | – |
Lead Manager(s)
- Unistone Capital Pvt Ltd
IPO Registrar
BIGSHARE SERVICES PRIVATE LIMITED
S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali Caves Road,
Andheri (East), Mumbai – 400 093,
Maharashtra, India
Phone: +91 22 62638200
Email: ipo@bigshareonline.com
Website: www.bigshareonline.com
Contact Details
GLOBAL SURFACES LIMITED
Plot No. PA-10-006
Engineering and Related Industries SEZ,
Mahindra World City
Jaipur-302037, Rajasthan
Phone: +91 0141 7191000
Email: cs@globalsurfaces.in
Website: www.globalsurfaces.in
Allotment Status
Global Surfaces IPO allotment will be available on Link Intime’s website. Click on Bigshare Services weblink to get allotment status.
Final thoughts
Global Surfaces IPO is going to hit Dalal street soon. applying for an 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
