Prince Pipes and Fittings Limited IPO
About Prince Pipe
(i) The Company is recognized as one of the leading polymer pipes and fittings manufacturers in India in terms of number of distributors (Source: CRISIL Research Report) having 30 years of experience in the industry.
(ii) They market products under two brand names: Prince Piping Systems; and Trubore. They currently manufacture polymer pipes using four different polymers: UPVC; CPVC; PPR; and HDPE, and fittings using three different polymers: UPVC; CPVC; and PPR.
Use of Products in Industry
(i) The products are used for varied applications in plumbing, irrigation, and soil, waste, and rainwater (“SWR”) management.
(ii) The product range meets the requirements of both the rural and urban markets.
(i) Prince Pipe has 5 strategically located manufacturing plants, which has enabled the company to develop a strong presence in North, West and South India.
The plants are located at the following locations: Athal (Union Territory of Dadra and Nagar Haveli); Dadra (Union Territory of Dadra and Nagar Haveli); Haridwar (Uttarakhand); Chennai (Tamil Nadu); and Kolhapur (Maharashtra).
(ii) The total installed capacity of all the five existing plants is 242,916 tonnes per annum as of July 31, 2018.
Distributorship Selling Model
They distribute products from five plants and 10 warehouses. Prince Piping Systems directly sells products to distributors, who then resell the products to wholesalers, retailers, and plumbers. As of June 30, 2018, the company has 843 distributors in India.
(i) The revenue from operations for Fiscal 2016, Fiscal 2017 and Fiscal 2018 was Rs.1081 Crores, 1330 Crores and 1320 Crores respectively, representing a CAGR of 10.52%.
(ii) The EBITDA for Fiscal 2016, Fiscal 2017 and Fiscal 2018 was 98 Crores, 160 Crores, and 161 Crores respectively, representing a CAGR of 28.39%.
(iii) The profit for the year for Fiscal 2016, Fiscal 2017 and Fiscal 2018 was 29 Crores, 74 Crores, and 73 Crores, respectively, representing a CAGR of 57.49%.
Objects of the Prince Pipes and Fittings Limited IPO:
Prince Pipes and Fittings Limited IPO Details:
|Open Date:||Dec 18 2019|
|Close Date:||Dec 20 2019|
|Face Value:||₹ 10 Per Equity Share|
|Issue Type:||Book Building|
|Issue Size:||500 Cr.|
|Lot Size:||84 Shares|
|Issue Price:||₹ 177-178 Per Equity Share|
|Listing Date:||Dec 30 2019|
Promoters And Management:
Financials of Prince Pipes and Fittings Limited IPO:
Comparison With Peers:
|Peers||Revenue||Revenue growth in 3 years||PAT Growth||EBITDA||OPM||PAT||RONW||PAT( 3 years)||CFO(3 years)||Mcap||P/E||Return ( 1year)|
|Astral Poly Technik||2522||15.12%||15.18%||401||16%||200||15.66%||525||605||17619||73||40%|