Ratnaveer Precision Engineering IPO Company Profile:
Ratnaveer Precision Engineering Limited is a stainless steel (“SS”) product manufacturer focused on producing finished sheets, washers, solar roofing hooks, pipes, and tubes. Stainless steel is a value-added product with high corrosion-resistant properties. Higher levels of chromium and additions of other alloy elements enhance corrosion resistance. Compared to traditional steel, stainless steel has a higher resistance to corrosion, superior aesthetic finish, and higher life span. These features have helped in increasing the popularity of stainless steel across the world.
Ratnaveer Precision Engineering Limited operates out of four manufacturing units, out of which two are located at GIDC, Savli, Vadodara, Gujarat, (Unit-I and Unit-II) one is located at Waghodia, Vadodara, Gujarat (Unit-III) and the other one is located at GIDC, Vatva, Ahmedabad, Gujarat (Unit-IV). The company’s manufacturing units are strategically located with the availability of transportation, which facilitates convenient transportation of the products.
Ratnaveer Precision Engineering Limited’s products find application across various industries including automotive, solar power, wind energy, power plants, oil & gas, pharmaceuticals, sanitary & plumbing, instrumentation, electromechanics, architecture, building & construction, electrical appliances, transportation, kitchen appliances, chimney liners, etc. the company’s products are used in both commercial and residential sectors and are sold within India and overseas.
Ratnaveer Precision Engineering IPO Details:
|IPO Open Date||Not Available|
|IPO Close Date||Not Available|
|Listing Date||Not Available|
|Face Value||₹10 per share|
|Lot Size||Not Available|
|Issue Size||17,400,000 shares
(aggregating up to ₹[●] Cr)
|Fresh Issue||15,300,000 shares
(aggregating up to ₹[●] Cr)
|Offer For Sale||2,100,000 shares
(aggregating up to ₹[●] Cr)
|Issue Type||Book Built Issue IPO|
|Listing At||BSE, NSE|
|QIB Shares Offered||Not more than 50% of the Offer|
|NII (HNI) Shares Offered||Not less than 15% of the Offer|
|Retail Shares Offered||Not less than 35% of the Offer|
|Promoters||Vijay Ramanlal Sanghavi|
Ratnaveer Precision Engineering IPO Financial Analysis:
|Particulars||5M of FY-23(in cr.)||FY-22(in cr.)||FY-21(in cr.)||FY-20(in cr.)||CAGR|
|Revenue from Operations||169.55||426.94||359.66||296.92||19.9%|
|Cost of Goods Sold||136.85||354.95||305.54||241.07||21.3%|
|Profit / (loss) before tax||11.07||13.45||9.60||10.24||14.6%|
|Profit / (loss) After tax||8.93||9.53||5.46||7.19||15.1%|
|Profit / (loss) After tax margin%||5.26%||2.23%||1.52%||2.42%|
Trade AnyTime AnyWhere With Elite Empower Mobile App
Check Ratnaveer Precision Engineering IPO Allotment Status
Go Ratnaveer Precision Engineering IPO allotment status would be available soon after the IPO closure date. Usually the allotment comes within a week from the closing date which in this IPO yet to be announced.
One can check the allotment on the given below link with PAN number or Application number or DP Client Id. All you need to do is to follow these steps:-
Ratnaveer Precision Engineering IPO Major Shareholders:
|S.NO.||Name of the Shareholder||No. of Shares||% of pre-Offer shareholding|
|1.||Vijay Ramanlal Sanghavi||29,008,000||83.60%|
|2.||Seema Vijay Sanghavi||937,560||2.70%|
|3.||Rashmi Prakashmal Sanghvi||648,000||1.87%|
|4.||Shashi Shantilal Sanghavi||648,000||1.87%|
|5.||Sheetal Nilesh Sanghavi||648,000||1.87%|
|6.||Sobhana Jayanti Sanghavi||648,000||1.87%|
Ratnaveer Precision Engineering IPO Offer for Sale Details:
|S. No.||Name of the Selling Shareholder||Number of Equity Shares
being offered in the Offer for Sale (Up to)
|1.||Vijay Ramanlal Sanghavi||2,100,000 Equity Shares|
Ratnaveer Precision Engineering IPO Strengths:
Ratnaveer Precision Engineering Limited has developed a synergistic system of backward integration whereby it processes the waste being generated in the manufacturing of its products for converting back into the raw material which is utilized again in manufacturing. This Backward integration helps in achieving efficiency in the production process and gaining competitive advantage, reducing in product costs, control over the supply of raw materials, and reducing its dependency on third parties for the operations.
The recognition of Ratnaveer Precision Engineering Limited’s product quality has enabled it to penetrate the SS products market and cater to new customers in addition to the Company’s existing customer network. Increased acceptance of newer product categories due to improved designs and efficient pricing has further established the Company’s reputation.
Ratnaveer Precision Engineering Limited started its business activities with the manufacturing of SS washers and has since branched out to manufacturing finishing sheets, solar roofing hooks, tubes, and pipes which has enabled it to diversify its product portfolio manifold. The company’s portfolio comprises over 2,500 SKUs of SS washers. Having a wide range of products not only enables it to meet the trends and ever-changing demands of its customers but also gives the Company an edge to efficiently compete with its competitors
Ratnaveer Precision Engineering Limited has an in-house R&D facility at Unit I wherein the company develops tools and molds for its products. To enhance its product offerings, it has leveraged its manufacturing ability to evolve by virtue of investing in Research and Development activities. The company is focused on undertaking dedicated R&D in its existing products and the development of new products and designs in areas where it believes there is significant growth potential and would cater to needs of its customers.
Ratnaveer Precision Engineering Limited’s diversified customer base signifies its non-dependence on any single customer and thereby hedges its business operations from potential customer-specific risk, and sector-specific risks, including but not limited to policy announcements, changes in global markets and international relations etc.
Ratnaveer Precision Engineering Limited has developed quality control processes for inspecting the raw materials as well as the final products. The raw materials undergo a quality check and for this purpose, the company has even implemented internal procedures for procurement of the raw material as the quality of the final product is dependent on them. These multi-level quality checks ensure that it consistently provides good quality products which further enhances the brand value.
Ratnaveer Precision Engineering IPO Risk Factors:
Ratnaveer Precision Engineering Limited’s backward integration processes are set-up at units that are taken on leave and license basis. If we are not able to renew these leave and license agreements, the company may have to suspend or outsource the backward integration processes which may have an adverse impact on the business, results of operations, cash flows and profitability.
Ratnaveer Precision Engineering Limited is required to obtain consents under certain environmental laws, which are critical for operating its units. The company has in the past been non-compliant with the requirements under environmental law for its operations and there is no assurance that in the future it would be able to obtain such consent in a timely manner or at all.
The pricing in the steel industry is subject to market demand, volatility and economic conditions. Fluctuations in steel prices may have a material adverse impact on the company’s business, results of operations, prospects and financial conditions.
Ratnaveer Precision Engineering Limited does not have long-term agreements with its suppliers for raw materials and an inability to procure the desired quality, and quantity of its raw materials in a timely manner and at reasonable costs, or at all, may have a negative impact on the business, results of operations, financial condition and cash flows.
Ratnaveer Precision Engineering Limited has experienced negative cash flows in relation to its operating, investing, and financing activities in the last three financial years. Any negative cash flows in the future would adversely affect the results of operations and financial conditions.
Ratnaveer Precision Engineering Limited is dependent on a few customers for a major part of its revenues. Further we do not enter into long-term arrangements with its customers and any failure to continue its existing arrangements could adversely affect the business and results of operations of the company.
Ratnaveer Precision Engineering IPO Objects of the Offer:
Our Company proposes to utilise the Net Proceeds from the Fresh Issue towards funding the following objects:
- Funding working capital requirements of our Company; and
- General corporate purposes
Ratnaveer Precision Engineering Limited IPO Prospectus:
- Ratnaveer Precision Engineering Limited IPO DRHP- https://www.sebi.gov.in/filings/public-issues/jan-2023/ratnaveer-precision-engineering-limited_67585.html
- Ratnaveer Precision Engineering Limited IPO RHP-
Registrar to the offer:
LINK INTIME INDIA PRIVATE LIMITED
Telephone: +91 8108114949
Facsimile: +91 22 49186195
Investor grievance email: email@example.com
Contact Person: Shanti Gopalkrishnan
SEBI Registration Number: INR000004058