Prospect Commodities IPO will open for subscription from 08 March 2023. the company aims for an issue size of ₹7.48 Cr through this IPO.
About Company
The company is in the business of trading cashew in the B2B market. Prospect Commodities is selling cashew to wholesalers in the state of Gujarat only. Currently, the company is not able to cater to the demand of Gujarat State, hence it has not ventured to supply or develop a market outside of Gujarat. The cashews are packed in a tin of 10 KG. The company buys RCN (Raw Cashew Nut) from Gujarat from parties who are importing from other countries and also from Kolam, Tuticorin, and Mangalore.
The business started as a partnership firm named “M/s Fortune Exports” in 2015 in international trade of “Agro Products”. In the year FY 2021, the partnership firm started a cashew processing plant of 150 tons per annum nearby Ahmedabad, Gujarat. Subsequently, the facility’s processing capacity was increased to 600 tons per annum. In the following year, the company was formed and it took over the running business of a partnership firm.
Basic details about the company
| Full name | Prospect Commodities Limited |
| Sector | Trading |
| Industry | Trading |
| Company Website | https://prospectcommodities.com/ |
The objective of the Issue
- Repayment of Unsecured Loans
- Long-term working capital requirement
- General Corporate Purpose
- Meeting Public Issue Expenses.
IPO Timetable
| IPO Opening date | 08 March 2023 |
| IPO Closing | 10 March 2023 |
| Basis of Allotment | 15 March 2023 |
| Initiation Refund | 16 March 2023 |
| Credit to Demat Account | 17 March 2023 |
| Listing Date | 20 March 2023 |
IPO details
| Issue type | Fixed Price Issue IPO |
| IPO issue size | ₹7.48 Cr – 1,226,000 shares |
| Fresh Issue | ₹7.48 Cr – 1,226,000 shares |
| Offer for sale | Nil |
| Face value | ₹10 per share |
| Offer price | ₹61 per share |
| Lot size | 2000 Shares |
| Retail Allocation | 50% of the Net Issue |
| Listing Exchange | BSE SME |
IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 2000 | ₹122,000 |
| Retail (Max) | 1 | 2000 | ₹122,000 |
| HNI (Min) | 2 | 4,000 | ₹244,000 |
Reservation Details
| QIB Shares Offered | Nil |
| NII (HNI) Shares Offered | 50% |
| Retail Shares Offered | 50% |
Financial Performance
| FY 2020* | FY 2021* | FY 2022* | 10M FY 2023 | |
| Revenue | 477.60 | 987.88 | 1,092.93 | 839.98 |
| Expenses | 765.68 | |||
| EBITDA | 26.97 | 60.09 | 86.28 | |
| Profit Before Tax | 4.69 | 13.13 | 13.48 | |
| Net income | 52.85 |
Valuations & Margins
| 10M FY 2023 | |
| EPS | 16.78 |
| PE ratio | 3.64 |
| RONW (%) | 17.99 |
| NAV | 12.19 |
| ROCE (%) | 25.30 |
| Debt/Equity | 1.24 |
Company Promoters
- Vimal Mishra
- Priyanka Mishra
Promoter Holding
| Pre Issue Share Holding | 88.44% |
| Post Issue Share Holding | 61.94% |
Lead Manager(s)
- Interactive Financial Services Ltd
IPO Registrar
BIGSHARE SERVICES PRIVATE LIMITED
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
Email: ipo@bigshareonline.com
Website: www.bigshareonline.com
Contact Details
PROSPECT COMMODITIES LIMITED
417, Sun Orbit
B/h. Rajpath Club Road, Bodakdev,
Ahmedabad – 380054, Gujarat
Phone: 079-48000696
E-mail: info@prospectcommodities.com
Website: www.prospectcommodities.com
Allotment Status
Prospect Commodities IPO allotment status will be available on Bigshare Services’ website. Click on Bigshare Services weblink to get allotment status.
Final thoughts
Prospect Commodities 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
