United Heat Transfer Limited IPO

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United Heat Transfer Limited is a well-established player in the manufacturing of heat transfer and process equipment, catering to a broad spectrum of industries since its inception in 1995. The company specializes in the production of a range of critical equipment, including:
i. Shell and Tube Heat Exchangers                                  ii. Air Cooled Heat Exchangers
iii. Pressure Vessels                                                              iv. Process Flow Skid Equipment

These products serve as essential components across various applications, particularly for industries relying on powerful engines and machinery. They are integral to the operation of petrol and diesel engines, railway engines, maritime engines, cruise and cargo ships, ferries, mega-yachts, mining trucks, heavy trucks, power generators, super tankers, and off-highway engines, among others.

Expertise and Standards

United Heat Transfer Limited extends its technical expertise to both national and international Original Equipment Manufacturers (OEMs) in the production of Heat Exchangers, Moisture Separators, Pressure Vessels, and Process Flow Skids. The company’s manufacturing processes are in strict adherence to globally recognized standards, including:
i. TEMA (Tubular Exchanger Manufacturers Association)
ii. ASME Section VIII Div. 1 and Div. 2 (Unfired Pressure Vessels)
iii. API 660, 661, NES Standards

Core Strengths

The company’s strength lies in three fundamental aspects:
i. Quality and Craftsmanship: United Heat Transfer Limited is known for its excellent quality, which is reflected in the robust and reliable nature of its products. Each piece of equipment is crafted with meticulous attention to detail, ensuring high durability and performance.

ii. Engineering Expertise: The team consists of skilled engineers who bring years of experience and technical knowledge to the table, ensuring that the products are designed to meet the highest standards of efficiency and safety.

iii. Technological Innovation: United Heat Transfer Limited continuously invests in research and development to introduce innovative solutions. This focus on technological advancements allows the company to cater to evolving customer needs, ensuring it remains at the forefront of the industry.

Overall, United Heat Transfer Limited’s commitment to quality, engineering prowess, and innovative product development has enabled it to build a strong reputation in the market, making it a trusted name among OEMs and end-users alike.

Objects of the United Heat Transfer Limited IPO:

The Issue Proceeds from the Fresh Issue will be utilized towards the following objects: i. Repayment of Debt; ii. To Meet Incremental Working Capital Requirements; iii. General Corporate Purpose.

United Heat Transfer Limited IPO Details:

Open Date: Oct 22 2024
Close Date: Oct 24 2024
Total Shares: 5,084,000
Face Value: ₹ 10 Per Equity Share
Issue Size: 30.00 Cr.
Lot Size: 2000 Shares
Issue Price: ₹ 56 - 59 Per Equity Share
Listing At: NSE Emerge
Listing Date: Oct 29 2024

Promoters And Management:

Mr. Yogesh Vishwanath Patil, 62, is a founding Promoter of the company with over 29 years of experience in production, commercial, and finance within the Heat Exchanger industry. He holds a Higher Secondary degree and currently manages the company's Commercial and Finance functions. He will serve as Chairman and Managing Director starting May 31, 2024. Mr. Vivek Vishwanath Patil, 58, is a Founding Promoter of the company with over 29 years of experience in design, marketing, and administration. He holds a Post-Graduate Diploma in Boiler and Process Equipment Design and Engineering. Currently, he manages the Design and Marketing functions and will serve as Whole-Time Director starting May 31, 2024. Ms. Durva Yogesh Patil has 8 years of experience, notably as the proprietor of "BELLO" since July 2015. She joined the company 6 months ago as Executive Director and will be re-designated as a Non-Executive Director effective May 31, 2024.

Financials of United Heat Transfer Limited IPO:

Particulars ( In Lakhs )
2022
2023
2024
4M-FY25
Revenue from Operations 4,765 6,995 6,019 2,119
Other Income 31 45 390 0.6
Total Revenue 4,796 7,040 6,410 2,120
Raw Material Consumption 3,193 3,911 3,314 915
Change in Inventories -530 121 70 137
Employees Benefit Expenses 527 643 614 239
Other Expenses 960 1,543 1,022 301
EBITDA 647 822 1,389 528
OPM (%) 13.48% 11.68% 21.68% 24.91%
Depreciation & Amortisation 121 148 183 66
EBIT 526 674 1,206 463
Finance Cost 296 392 420 144
PBT 215 282 786 319
Tax 62 70 162 76
PAT 153 212 624 243
NPM (%) 3.18% 3.00% 9.73% 11.44%
No.of Shares 190.04 190.04 190.04 190.04
EPS 0.80 1.11 3.28 1.27

Comparison With Peers:

Name of the Company Revenue (In Crore) PAT (In Crore) EPS ( in Rs) P/E CMP Mcap (In Crore)
United Heat Transfer Limited 60 6 3.28 18.0 59 112
Patel Airtemp India Limited 371 15 26.98 30.4 820 449
The Anup Engineering Limited 550 103 52.00 49.6 2,699 5,399
* All the data is as per FY24.

Recommendation on United Heat Transfer Limited IPO:

Lead Manager of United Heat Transfer Limited IPO:

  1. Swastika Investmart Limited

Registrar of United Heat Transfer Limited IPO:

  1. Link Intime India Private Limited

Company Address:

United Heat Transfer Limited Plot No F-131, , MIDC Area Ambad, Nashik-422010 Phone: +91 25323 82484 Email: company.secretary@unitedheat.net Website: https://unitedheat.net/

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