Indong Tea Company IPO will open for subscription from 09 February 2023. the company aims for an issue size of ₹13.01 Cr through this IPO.
Indong Tea Company Limited
The company owns and operates a Tea Garden under a Government lease and is engaged in Tea Plantation & Manufacturing of CTC Tea at Indong Tea Estate situated in Jalpaiguri District of West Bengal. The Indong Tea Estate is spread over an area of 740.38 Hectares which comprises of Tea Plantation, Tea Factory, Withering Trough House, Officer’s Bungalows, Staff Quarters, Labour Quarters, Pump House, General Stores, Dairy Farm, etc.
The Company is having one Tea Garden i.e. Indong Tea Estate which is producing high-quality CTC tea in Door’s region. In the year 2014, the company was taken over by the Asian Group promoted by Sri Hariram Garg.
The company produces only CTC (Crush/Cut, Tear, Curl) Tea. This a method of processing black tea in which the leaves are passed through a series of cylindrical rollers with hundreds of sharp teeth that crush, tear, and curl the tea into small, hard pellets. This replaces the final stage of orthodox tea manufacture, in which the leaves are rolled into strips.
Basic details about the company
| Full name | Indong Tea Company Limited |
| Sector | Agriculture |
| Industry | Tea plantation |
| Company Website | https://www.indongteaco.com/ |
Major Competitive Strengths
- Organizational stability, Rich management experience, and skilled team.
- Smooth flow of operations.
- Well-defined organizational structure.
- Existing Supplier Relationship.
- Quality Policy and ISO Certifications.
- Customer Centric Business Model.
Objects of the Issue
- Funding Capital Expenditure towards Extension, Uprooting, and Infilling of Tea Plantation at Indong Tea Estate, Jalpaiguri, West Bengal.
- Funding Capital Expenditure towards the installation of additional plant and machinery for the Tea Processing Unit at Indong Tea Estate, Jalpaiguri, West Bengal.
- For working capital requirements.
- To meet the Issue Expenses.
- General Corporate Purposes.
Dates to remember
| IPO Opening date | 09 February 2023 |
| IPO Closing | 13 February 2023 |
| Basis of Allotment | 16 February 2023 |
| Initiation Refunds | 17 February 2023 |
| Credit to Demat Account | 20 February 2023 |
| Listing Date | 21 February 2023 |
Indong Tea Company IPO Details
| Issue type | Fixed Price Issue IPO |
| IPO issue size | ₹13.01 Cr – 5,004,000 shares |
| Fresh Issue | ₹13.01 Cr – 5,004,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Offer price | ₹26 per share |
| Lot size | 4000 Shares |
| Retail Allocation | 50% |
| Listing Exchange | BSE SME |
Indong Tea Company IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 4000 | ₹104,000 |
| Retail (Max) | 1 | 4000 | ₹104,000 |
| HNI (Min) | 2 | 8,000 | ₹208,000 |
Indong Tea Company IPO Reservation Details
| NII (HNI) Shares Offered | 50% |
| Retail Shares Offered | 50% |
Indong Tea Company Financial Performance
| FY 2020 | FY 2021 | FY 2022 | H1 FY 2023 | |
| Revenue | 1,549.17 | 2,306.74 | 1,948.66 | 1,319.27 |
| Expenses | 1,504.77 | 1,887.40 | 1,616.01 | 991.52 |
| Net income | (121.29) | 127.56 | 131.62 | 204.61 |
Indong Tea Company Valuations & Margins
| FY 2020 | FY 2021 | FY 2022 | |
| EPS | (2.37) | 2.50 | 2.12 |
| PE ratio | – | – | 12.26 |
| RONW (%) | – | – | 15.24 |
| NAV | (8.26) | (5.76) | 8.64 |
| ROCE (%) | 2.0 | 10.0 | 8.0 |
| EBITDA (%) | 9.84 | 18.32 | 18.83 |
| Debt/Equity | 1.24 | 1.02 | 0.32 |
Company Promoters
- Mr. Hariram Garg
- Mr. Madanlal Garg
- M/s. Asian Tea & Exports Limited
Indong Tea Company IPO Promoter Holding
| Pre Issue Share Holding | 96.09% |
| Post Issue Share Holding | 64.03% |
Lead Manager(s)
- Finshore Management Services Limited
Indong Tea IPO Registrar
CAMEO CORPORATE SERVICES LIMITED
Subramanian Building,
#1, Club House Road,
Chennai – 600 002, India
Phone: +91-44-40020700, 28460390
Email: investor@cameoindia.com
Website: www.cameoindia.com
Indong Tea Contact Details
INDONG TEA COMPANY LIMITED
Sikkim Commerce House,
4/1, Middleton Street,
Kolkata – 700071, West Bengal
Phone: +91 33 4006 3601
E-mail: cs@indongteaco.com
Website: www.indongteaco.com
Indong Tea Company IPO Allotment Status
Indong Tea Company IPO allotment will be available on Cameo Corporate Services’ website. Click on this link to get allotment status.
Final thoughts
Indong Tea Company 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
