Avalon Technologies Limited IPO
Avalon Technologies is one of the leading fully integrated Electronic Manufacturing Services (“EMS”) companies with end-toend capabilities in delivering box build solutions in India.
Through a unique global delivery model, they provide a full stack product and solution suite, right from printed circuit board (“PCB”) design and assembly to the manufacture of complete electronic systems (“Box Build”), to certain global original equipment manufacturers (“OEMs”), including OEMs located in the United States, China, Netherlands and Japan.
Their capabilities include PCB design and assembly, cable assembly and wire harnesses, sheet metal fabrication and machining, magnetics, injection molded plastics and end-to-end box build of electronic systems. The company specializes in manufacturing and providing design support for critical integrated assemblies, sub-assemblies, components and enclosures for multiple industry verticals. The end-use industries they cater to include a mix of established and long product lifecycle industries, such as industrial, mobility and medical devices and high growth “sunrise” industries, such as solar, electric vehicles and hydrogen in the clean energy sector and digital infrastructure in the communications sector.
Certain of the key customers include Kyosan India Private Limited, Zonar Systems Inc., Collins Aerospace, e-Infochips Private Limited, The US Malabar Company, Meggitt (Securaplane Technologies Inc) and Systech Corporation, with whom they have had relationships for more than seven years.
Avalon Technologies have 12 manufacturing units located across the United States and India: one unit in Atlanta, Georgia, one unit in Fremont, California, seven units in Chennai, Tamil Nadu, one unit in Kanchipuram, Tamil Nadu and two units in Bengaluru, Karnataka.
Each of their manufacturing facilities integrates manufacturing, warehousing and logistics. Their electronic manufacturing facilities comprise an aggregate of 65 production lines, consisting of ten Surface Mount Technology (“SMT”) lines, 12 Through Hole Technology (“THT”) lines and 43 assembly lines.
i. End-to-end integrated solutions, providing a “One Stop Shop” for electronics and electro-mechanical design and manufacturing services
ii. High entry barriers to business through our collective cross-industry experience, customer engagement capabilities and leading position in the high mix flexible volume product manufacturing segment
iii. Well-diversified business leading to strong growth avenues
Objects of the Avalon Technologies Limited IPO:
Avalon Technologies Limited IPO Details:
|Open Date:||Apr 03 2023|
|Close Date:||Apr 06 2023|
|Face Value:||₹ 2 Per Equity Share|
|Issue Type:||Book Built Issue IPO|
|Issue Size:||1,025.00 Cr.|
|Lot Size:||34 Shares|
|Issue Price:||₹ 436 Per Equity Share|
|Listing Date:||Apr 14 2023|
Promoters And Management:
Financials of Avalon Technologies Limited IPO:
|COGS % of Sales||64.07%||66.04%||65.91%|
|Employee Benefit & Other Expenses||₹1,661.36||₹1,683.28||₹1,890.36|
|Employee & Other Expenses %||25.88%||24.38%||22.49%|
|Interest %of Sales||7.00%||3.91%||2.96%|
|Dep %of Sales||2.42%||2.28%||2.05%|
|Earnings Before Tax||₹152.95||₹288.29||₹664.41|
|EBT % Sales||2.38%||4.18%||7.90%|
|Effective Tax Rate||19.41%||19.93%||27.49%|
|No. of Equity Shares||64.18||64.18||64.18|
|Earning Per Share||1.92||3.60||10.62|