IRM Energy IPO will open for subscription from 18 October 2023. The company aims for an issue size of ₹545.40 Cr through this IPO.
Company Overview
| Full name | IRM Energy Limited |
| Sector | Industrials Gases & Fuels |
| Industry | Industrials Gases & Fuels |
| Company Website | https://www.irmenergy.com/ |
About Company
Incorporated in 2015, IRM Energy is engaged in the business of laying, building, operating, and expanding the city or local natural gas distribution network. It is an integrated value-driven energy enterprise, developing natural gas distribution projects in geographical areas (GAs) for industrial, commercial, domestic, and automobile customers. Natural gas demand from the CGD sector is likely to log growth at 15-16% CAGR between Fiscal 2022 and Fiscal 2030.
IRM Energy is a city gas distribution (CGD) company in India, with operations at Banaskantha (Gujarat), Fatehgarh Sahib (Punjab), Diu & Gir Somnath (Union Territory of Daman and Diu/Gujarat), and Namakkal & Tiruchirappalli (Tamil Nadu). The company distributes CNG for use in motor vehicles and PNG for use by domestic households as well as for commercial and industrial units. IRM Energy served 168 industrial customers, 202 commercial customers, and 43,183 domestic customers as of 30 September 2022.
The company has established a network of 56 CNG filling stations, comprising 2 stations owned and operated by the company (‘COCO Stations’), 30 CNG stations owned and operated by dealers (‘DODO Stations’) and 24 CNG stations owned and operated by oil marketing companies (‘OMC Stations’) as at 30 September 2022.
The Objectives of the Issue
- Funding capital expenditure requirements for the development of the City Gas Distribution network in the Geographical Areas of Namakkal and Tiruchirappalli (Tamil Nadu) in Fiscal 2024, Fiscal 2025 and Fiscal 2026;
- Prepayment or repayment of all or a portion of certain outstanding borrowings availed by the Company; and
- General corporate purposes.
IRM Energy IPO Timetable
| IPO Opening date | 18 October 2023 |
| IPO Closing | 20 October 2023 |
| Basis of Allotment | 27 October 2023 |
| Initiation Refund | 27 October 2023 |
| Credit to Demat Account | 30 October 2023 |
| Listing Date | 31 October 2023 |
IRM Energy IPO details
| Issue type | Book built Issue IPO |
| IPO issue size | ₹545.40 Cr – 10,800,000 shares |
| Fresh Issue | ₹545.40 Cr – 10,800,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Price Band | ₹480 to ₹505 per share |
| Lot size | 29 Shares |
| Employee Discount | ₹48 per share |
| Shareholding pre-issue | 30,259,677 |
| Shareholding post-issue | 41,059,677 |
| Listing Exchange | BSE & NSE |
IRM Energy IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 29 | ₹14,645 |
| Retail (Max) | 13 | 377 | ₹190,385 |
| S-HNI (Min) | 14 | 406 | ₹205,030 |
| S-HNI (Max) | 68 | 1,972 | ₹995,860 |
| B-HNI (Min) | 69 | 2,001 | ₹1,010,505 |
IRM Energy IPO Reservation Details
| QIB Shares Offered | 50% |
| NII (HNI) Shares Offered | 15% |
| Retail Shares Offered | 35% |
IRM Energy Financial Performance
| FY 2020 | FY 2021 | FY 2022 | FY 2023 | |
| Revenue | 165.66 | 211.81 | 546.14 | 1,039.14 |
| Expenses | 134.80 | 166.46 | 396.83 | 970.66 |
| Net income | 21.03 | 34.87 | 128.04 | 63.08 |
| Margin (%) | 12.69 | 16.46 | 23.44 | 6.07 |
IRM Energy Valuations & Margins
| FY 2020 | FY 2021 | FY 2022 | FY 2023 | |
| EPS | 8.60 | 12.39 | 43.88 | 20.93 |
| PE ratio | – | – | – | 22.93 – 24.13 |
| RONW (%) | 28.19 | 29.67 | 52.53 | 18.23 |
| NAV | 27.55 | 40.55 | 82.98 | 114.48 |
| ROCE (%) | 16.94 | 19.98 | 39.01 | 14.19 |
| EBITDA (%) | 33.67 | 38.49 | 39.61 | 12.14 |
| Debt/Equity | 1.80 | 1.17 | 0.59 | 0.86 |
IRM Energy Company Promoters
- Dr. Rajiv Indravadan Modi
- Cadila Pharmaceuticals Limited
- IRM Trust
Promoter Holding
| Pre Issue Share Holding | 67.94% |
| Post Issue Share Holding |
IRM Energy Lead Manager(s)
- Hdfc Bank Limited
- Bob Capital Markets Limited
IRM Energy IPO Registrar
LINK INTIME INDIA PRIVATE LIMITED
C-101, 1st Floor, 247 Park
L.B.S. Marg, Vikhroli West
Mumbai – 400 083, Maharashtra
Phone: +91 22 4918 6200
Email: irmenergy.ipo@linkintime.co.in
Website: www.linkintime.co.in
IRM Energy Contact Details
IRM ENERGY LIMITED
4th Floor, Block 8, Magnet Corporate Park,
Near Sola Bridge, S.G. Highway Ahmedabad, Gujarat – 380054
Phone: +91 79490 31500
E-mail: investor.relations@irmenergy.com
Website: www.irmenergy.com
IRM Energy IPO Allotment Status
IRM Energy IPO allotment will be available on Link Intime’s website. Click on this link to get allotment status.
Final thoughts
IRM Energy 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
