Back to back UCs whats cooking in this counter???
Mishra Dhatu Nigam Limited IPO
(i) Mishra Dhatu Nigam Limited is one of the leading manufacturers of special steels, Superalloys and only manufacturer of titanium alloys in India.
These are high-value products which cater to niche end-user segments such as defence, space and power. The company was established in the year 1973, with an aim of achieving self-reliance in the research, development and supply of critical alloys and products of national security and strategic importance. The company have emerged as a ‘National Centre for Excellence’ in the advanced metallurgical production of special metals and Superalloys in India. The Company have the technological ability to manufacture a wide range of advanced metals and alloys under one roof. With the growth of business and operations, Company has achieved the status of a Mini Ratna, Category-I company in 2009.
There are very few metallurgical plants of its kind in the world, designed to manufacture a wide range of special metals and alloys using integrated and highly flexible manufacturing systems. The company manufactures unique combinations of metal and alloys. These special alloys have superior mechanical properties and better workability which are essential for special applications in aerospace, power generation, nuclear, defence and other general engineering industries.
(ii) We manufacture special steels like martensitic steel, ultra-high strength steel, austenitic steel and precipitation hardening steel. We manufacture three varieties of Superalloys – nickel base, iron base and cobalt base. We also manufacture varieties of titanium alloys. Most of the orders executed by our Company are in the nature of an import substitute. We have the competence of developing and manufacturing customised alloys tailor-made to suit the specific requirements of customers for their critical applications. Presently, we conduct our operations at our manufacturing facility in Hyderabad. We are in the process of setting up two new manufacturing facilities in Rohtak and Nellore.
Objects of the Mishra Dhatu Nigam Limited IPO:
Mishra Dhatu Nigam Limited IPOare: (i) To carry out the disinvestment of 48,708,400 Equity Shares by the Selling Shareholder constituting 26% of our Company’s pre-Offer paid up Equity Share capital. (ii) To achieve the benefits of listing the Equity Shares on the Stock Exchanges. Our Company will not receive any proceeds from the Offer and all proceeds shall go to the Selling Shareholder.
Mishra Dhatu Nigam Limited IPO Details:
|Open Date:||Mar 21 2018|
|Close Date:||Mar 23 2018|
|Face Value:||₹ 10 Per Equity Share|
|Issue Type:||Book Built Issue IPO|
|Issue Size:||421.515 Cr.|
|Lot Size:||150 Shares|
|Issue Price:||₹ 87-90 Per Equity Share|
|Retail Discount:||₹ 3 per equity share|
|Listing Date:||Apr 02 2018|
Promoters And Management:
|Authorized Share Capital (200,000,000 shares at FV@10)||200 cr|
|Issued, Subscribed,& Paid-up Share Capital Before Issue (187,340,000 Shares at FV@10)||187.34 cr|
|Present Issue (OFS) (46,835,000 Shares at FV@10)||46.385 cr|
|Paid Up Capital after the issue||187.34 cr|
Financials of Mishra Dhatu Nigam Limited IPO:
|1. Balance Sheet Snippet[ Calculation for FY 16-17]|
|(i) Shareholders’ Fund[Equity] Value||7043.4 Million|
|(ii) Asset||11010 Million|
|(iii) Liability||3967 Million|
|(iv) Debt/Equity||.56(debt free)|
|(v) Net Worth(Asset- Liability)||7043.44 Million|
|(vi) RONW(PAT/Net Worth) or ROE||18%|
|(vii) P/B||2.43[Reasonably priced]|
|2. Profit n Loss Snippet|
|(i) Revenue of last 3 years is growing at CAGR of 11.12%[good]|
|(ii) PAT of last 3 years is growing at CAGR of 12.69%[good].|
|(iv) Average EPS of 3 years= 6.13|
|(v) EPS of FY17-18 post issue=3.09|
|(v) P/E(post issue)=29(fully priced) at the cutoff price of 90|
Comparison With Peers:
Recommendation on Mishra Dhatu Nigam Limited IPO:
Mishra Dhatu Nigam Limited IPOfrom our side is: We are maintaining a buy rating for long term in Mishra Dhatu Nigam limited as it is a unique business to be listed in the market.
Lead Manager of Mishra Dhatu Nigam Limited IPO:
Registrar of Mishra Dhatu Nigam Limited IPO:
Bid Details of Mishra Dhatu Nigam Limited IPO as on
23-Mar-2018 19:50:01 IST
Discussion on Mishra Dhatu Nigam Limited IPO:
The Equity Shares of
Mishra Dhatu Nigam Limited shall be listed and admitted to dealings on the Exchange in the list of ‘B’ Group of Securities.
Wednesday, April 04, 2018 ..
BSE Code: 541195
ISIN No: INE099Z01011
The company is coming up with the unique business. So it might attract investor interest. Let see how subscription figure of QIB and HNI go from here.
First half results are affected with unwarranted situation like maintenance of plant under taken after three plus decades. Management is confident of achieving improved performance once they are back to normalcy after restart of the plant. Based on normal working, issue is priced reasonably. Investors may consider investment for long term.
Leave a Reply
You must be logged in to post a comment.