Shri Balaji Valve Components Limited IPO

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Shri Balaji Valve Components Limited, an ISO 9001-2015 certified company, specializes in the manufacturing of ready-to-assemble valve components. These components play a crucial role in the production of various valves used across different industries, tailored to the specifications of a diverse clientele. The company operates in the forging industry, delivering high-quality valve components for ball valves, butterfly valves, and other types, including forging products.

Manufacturing Process: The company engages in the machining of components, providing “Ready to Assemble” valve components customized according to customer designs and specifications. Operations span two manufacturing facilities in Pune, Maharashtra. The Bhosari facility is equipped with forging and heat treatment capabilities, while the Chakan MIDC facility focuses on machining.

Product Range: Valve components are integral to industries across sectors, and the company ensures adherence to quality standards. Components are crafted using forging, bar routing, and casting methods, depending on manufacturing plans, customer requirements, material complexity, and component design.

Company History: Incorporated in 2011, Shri Balaji Valve Components Limited has a rich history. The promoter, Laxmikant Sadashiv Kole, commenced valve component manufacturing in 1992 through a proprietary concern. Over the years, operations expanded, and in 2021, assets and liabilities from multiple proprietary concerns were transferred to Shri Balaji Valve Components Limited.

Infrastructure: Manufacturing facilities are well-equipped. The Bhosari plant features a forging plant with capabilities such as a 1.5 metric tonne hammer, oil-fired furnace, and heat treatment capabilities. The Chakan MIDC facility has a range of machines for machining and is a two-floored shop with modern equipment.

Quality Assurance: The company prioritizes quality at every stage, conducting thorough checks from raw material intake to manufacturing, packaging, and storage. Commitment to quality is reflected in ISO 9001:2015 certification, ensuring that forged and heat-treated components meet stringent standards.

Experience and Expertise: Promoters, Laxmikant Sadashiv Kole, Madhuri Laxmikant Kole, and Shrinivas Laxmikant Kole, collectively bring decades of experience to the valve components industry. Their vision and industry knowledge have been instrumental in the company’s growth.

Market Presence: The company is quality-conscious and engages in continuous improvement efforts. Products have gained international recognition, with exports to countries such as Dubai, Germany, Singapore, Taiwan, Italy, South Africa, USA, the United Kingdom, Qatar, and Pennsylvania.

Financial Performance: The company has experienced substantial growth, with revenue increasing from Rs. 1607.11 lakhs in Fiscal 2021 to Rs. 6232.33 lakhs in Fiscal 2023. Similarly, restated profit after tax has grown from a loss of Rs. 3.22 lakhs in Fiscal 2021 to a profit of Rs. 647.60 lakhs in Fiscal 2023. This growth is attributed to the company’s ability to understand customer needs and deliver products of optimal design and specifications.

Objects of the Shri Balaji Valve Components Limited IPO:

The company intend to utilize the proceeds of the Issue to meet the following objectives: - i. Funding Capital Expenditure towards the installation of additional plant and machinery.; ii. To meet working capital requirements; iii. General Corporate Purpose.

Shri Balaji Valve Components Limited IPO Details:

Open Date: Dec 27 2023
Close Date: Dec 29 2023
Total Shares: 2,160,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Book Built Issue IPO
Issue Size: 21.60 Cr.
Lot Size: 1200 Shares
Issue Price: ₹ 95 - 100 Per Equity Share
Listing At: BSE SME
Listing Date: Jan 03 2024

Promoters And Management:

Laxmikant Sadashiv Kole, aged 57 years is the Promoter, Chairman & Managing Director of the Company He has been on the Board since incorporation. He is a visionary entrepreneur and has played a pivotal role in expanding business operations of the Company. He holds a Diploma certificate in Mechanical Engineering from Government Polytechnic College, Solapur Maharashtra in 1984. He has a work experience of around 30 years in the valve components industry. Under his leadership and guidance Balaji Enterprises have received Best Financial Management award by TLC in 2017 and Best Supply Chain Practices award in Manufacturing Sector in 2019. He currently looks after the overall management of the Company. He is also involved in charting new growth opportunities for the Company. Madhuri Laxmikant Kole, aged 50 years is the Promoter and Non-Executive Director of the Company. She has been on the Board since incorporation. She possesses more than 20 years of experience in the Valve Components Industry. She has completed bachelor of commerce from Marathwada University, Nanded in 1992. She looks after HR and Admin department of the Company. Shrinivas Laxmikant Kole, aged 29 years is the Promoter and Whole Time Director of the Company. He possesses 4 years of experience in the Valve Component Industry. He was originally appointed on the board w.e.f. May 15, 2023. He has completed his bachelor of arts (Hons.) in Business Studies with entrepreneurship from Northumbria University, Newcastle in 2019. Further, he is also pursuing Post Graduate certificate in Manufacturing management and analytics from Indian Institute of Management, Trichy. He looks after the Finance and Marketing functions of the Company. He also hold the position as Chief Financial Officer of the Company.

Financials of Shri Balaji Valve Components Limited IPO:

Particulars ( In Lakhs )
Revenue from Operations 1,615 3,885 6,227 1,652
Other Income 2 21 67 3
Total Revenue 1,616 3,906 6,294 1,655
Cost of materials consumed 1,146 2,608 3,883 880
Change in Inventorie -171 -200 -187 68
Employee benefits expenses 374 827 1,010 271
Other Expenses 215 366 398 102
EBITDA 52 305 1,189 333
Depreciation & Amortisation 28 53 191 50
Finance Cost 26 42 136 36
EBIT 24 251 998 284
OPM (%) 3.22% 7.81% 18.89% 20.13%
PBT -1 209 862 248
Tax 2 56 219 63
PAT -3 153 643 185
NPM (%) -0.20% 3.93% 10.22% 11.17%
No.of Shares 81.60 81.60 81.60 81.60
EPS -0.03 1.88 7.88 2.26

Comparison With Peers:

Notes: - There are no listed companies in India that are engaged in a business similar to this company

Lead Manager of Shri Balaji Valve Components Limited IPO:

  1. Hem Securities Limited

Registrar of Shri Balaji Valve Components Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Shri Balaji Valve Components Limited Plot No - PAP B 31 Chakan MIDC, PH 2 Khed, Bhamboli, Pune, India, 410501 Phone: +91 97655 65409 Email: Website

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