Refractory Shapes IPO is a book built issue of Rs 18.60 crores. The issue is entirely a fresh issue of 60 lakh shares.
Refractory Shapes IPO opens for subscription on May 6, 2024 and closes on May 9, 2024. The allotment for the Refractory Shapes IPO is expected to be finalized on Friday, May 10, 2024. Refractory Shapes IPO will list on NSE SME with tentative listing date fixed as Tuesday, May 14, 2024.
Refractory Shapes IPO price band is set at ₹27 to ₹31 per share. The minimum lot size for an application is 4000 Shares. The minimum amount of investment required by retail investors is ₹124,000.
Refractory Shapes IPO Details
| IPO Date | May 6, 2024 to May 9, 2024 |
| Listing Date | [.] |
| Face Value | ₹ 10 per share |
| Price Band | ₹ 27 to ₹ 31 per share |
| Lot Size | 4000 shares |
| Total Issue Size | 6,000,000 shares ( aggregating up to ₹18.60 Cr ) |
| Fresh Issue | 6,000,000 shares ( aggregating up to ₹18.60 Cr ) |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
| Share holding pre issue | 15,800,000 |
| Share holding post issue | 21,800,000 |
| Market Maker portion | 304,000 shares Shreni Shares |
Refractory Shapes IPO Reservation
| Investor Category | Shares Offered |
| QIB Shares Offered | Not more than 50.00% of the Net offer |
| Retail Shares Offered | Not less than 35.00% of the offer |
| NII (HNI) Shares Offered | Not less than 15.00% of the offer |
Refractory Shapes IPO Timeline (Tentative Schedule)
Refractory Shapes IPO opens on May 6,2024 and closes on May 9,2024
| IPO Open Date | Monday ,May 6,2024 |
| IPO Close Date | Thursday ,May 9,2024 |
| Basis of Allotment | Friday, May 10, 2024 |
| Initiation of Refunds | Monday , May 13 ,2024 |
| Credit of Shares to Demat | Monday , May 13 ,2024 |
| Listing Date | Tuesday May 14, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on May 9 , 2024 |
Refractory Shapes IPO Lot Size
Investors can bid for a minimum of 4000 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
| Retail (Min) | 1 | 4000 | ₹124,000 |
| Retail (Max) | 1 | 4000 | ₹124,000 |
| HNI (Min) | 2 | 8,000 | ₹248,000 |
Refractory Shapes IPO Promoter Holding
The company’s promoters are Mr. Dayashankar Krishna Shetty, Ms. Pratibha Dayashankar Shetty, and Ms. Prajna Shravan Shetty.
About Refractory Shapes Limited
Refractory Shapes Limited was founded in 1996 and manufactures various types of Bricks, Castables, high alumina catalysts and Ceramic Balls.
| Share Holding pre Issue | 100.00% |
| Share holding Post Issue | 72.48% |
The company’s product list includes pre-cast and pre-fired blocks (PCPF), Burner Blocks, specially shaped refractory bricks, dense and insulating castables, and mortars. The company also receives orders for metallic anchors, which are used as supports for the installation of refractory castings and for which raw materials such as tabular alumina, low alumina bricks and insulating bricks, etc. are required.
The Company’s manufacturing facilities are located at Pimpri Industrial Area, Pune, Maharashtra, with a total area of 34,788 sq. ft, and at Wankaner, Morbi district in Gujarat, with a total area of 1,74,246 sq. ft. The Company also has an additional 4 acres of land with an area of 1,74,240 sq. ft. near the existing unit at Wankaner, Gujarat to expand the production unit, to add an additional kiln and manufacture more various types of refractory bricks with pressing machines.
On September 30, 2023, the company had 38 employees
Refractory Shapes Limited Financial Information (Restated)
Refractory Shapes Limited’s revenue increased by 47.7% and profit after tax (PAT) dropped by -33.2% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 31 Des 2023 | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 5,289.90 | 5,003.81 | 3,684.82 | 2,723.72 |
| Revenue | 2,999.04 | 3,872.23 | 2,621.67 | 2,179.67 |
| Profit After Tax | 307.94 | 191.74 | 287.04 | 156.39 |
| Net Worth | 396.58 | 1,668.64 | 1,476.90 | 1,189.86 |
| Reserves and Surplus | 396.58 | 1,668.64 | 1,476.90 | 1,189.86 |
| Total Borrowing | 2,341.80 | 2,048.63 | 1,570.12 | 1,234.18 |
Key Performance Indicator
The market capitalization of Refractory Shapes IPO is Rs 67.58 Cr.
KPI as of December 31, 2023.
| KPI | Values |
| ROE | 15.58% |
| ROCE | 9.79% |
| Debt/Equity | 1.18 |
| RoNW | 15.58% |
| P/BV | 4.95 |
| PAT Margin (%) | 10.47 |
| Pre IPO | Post IPO | |
| EPS (RS) ? | 1.21 | 1.88 |
| P/E (x) ? | 25.55 | 16.46 |
Note:
The Pre IPO EPS is calculated based on Pre issue shareholding as on date of RHP and the latest FY earnings as of March 31, 2023 that is available in RHP.
The Post Issue EPS is calculated based on the Post issue shareholding and annualized FY earnings of December 31, 2023 that is available in RHP.
Objects of the Issue (Refractory Shapes IPO Objectives)
The company proposes to utilize the Net Proceeds from the Issue towards funding the following objects:
- Funding of Capital expenditure towards civil construction required for Expanding and setting up a new manufacturing unit at the existing location situated at Wankaner, Gujarat;
- Funding of Capital expenditure towards the purchase of Plant and machinery for Expanding and setting up a new manufacturing unit at the existing location situated at Wankaner, Gujarat;
- Purchase of commercial vehicle; and
- General corporate purposes.
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