Swastik Pipe Limited IPO

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i. Swastik Pipe Limited is manufacturers and exporters of Mild Steel/Carbon Steel ERW Black and Galvanized Pipes, Hallow Steel Pipe, Cold rolled Steel (CR) Strips/ Coils, Swaged Tubular Poles, Solar Structure and Steel Structures. The Company use raw material of premium quality i.e. prime steel from SAIL – Steel Authority of India Limited, Tata Steel Limited and high purity zinc is being sourced from Hindustan Zinc Limited, which makes it comfortable to supply the quality material all over the world.

ii. At present, theey have highly sophisticated and technically competent plants are located at Bahadurgarh, Distt. Jhajjar, Haryana (Unit no.1) and at Kotwan, Kosi Kalan, Distt. Mathura, Uttar Pradesh (Unit No. 2) with an installed capacity, both units aggregating of 2,44,001 MT as on date of this Red Herring Prospectus.

iii. Swastik Pipe has diversified its Manufacturing activities towards production of Solar Module Mounting Structures, Transmission Towers, Steel Tubular Poles and Solar Poles Special Structure for Railways, Scaffolding, Formwork and crash barrier.

iv. Swastik Pipe Ltd is one of the oldest manufacturer, exporter and supplier of steel pipes and tubes to various heavy engineering industries in India. Steel pipes and tubes can be used for many purposes such as steel pipes for frames and shafts, steel pipes for bicycle frames, steel pipes for furniture, CDW pipes for shockers, steel pipes for various structural purposes, steel pipes for various engineering purposes etc. They have a very wide range of steel pipes and tubes products. The lengths of the steel pipes & tubes range from 4m to 7m unless otherwise specified by the customers. Swastik Pipe manufacture steel pipes and tubes in various shapes and size such square, round, rectangular and elliptical or any special shape.

Objects of the Swastik Pipe Limited IPO:

The objects of the Issue are:- i. To meet out the Working Capital requirements of the Company. ii. To meet out the General Corporate Purposes. iii. To meet out the Issue Expenses.
DRHP of Swastik Pipe Limited IPO
RHP of Swastik Pipe Limited IPO

Swastik Pipe Limited IPO Details:

Open Date: Sep 29 2022
Close Date: Oct 03 2022
Total Shares: 6,252,000
Face Value: ₹ 10 Per Equity Share
Issue Type: Book Built Issue
Issue Size: 62.52 Cr.
Lot Size: 1200 Shares
Issue Price: ₹ 97-100 Per Equity Share
Listing At: NSE Emerge
Listing Date: Oct 12 2022

Promoters And Management:

i. Mr. Sandeep Bansal, aged 51 years, is Promoter cum Managing Director of the Company. He holds degree in Master of Business Administration (MBA) in Management from Fore School of Management University. He was originally appointed on the Board on March 26, 1990 as the Whole Time Director of the Company. He has an experience of around 30 years in the Industry. He is responsible for the expansion and overall management of the business of the Company. His abilities have been instrumental in leading the business of the Company. ii. Mr. Dinesh Kumar Dhanda, aged 61years, is Whole Time Director of the Company. He holds degree of Bachelor’s in commerce from Hemvati Nandan Bahuguna Garhwal University. He was originally appointed as Whole Time Director on the Board on May 16, 2017. He has an experience of more than 37 years working in different industries i.e. Mukerian Papers Limited (Oswal Group), Vallabh Steels Ltd, Chadha Papers Ltd, K.C. Group of Colleges, Ralson Castings Ltd etc. He manages the entire production of the Company. iii. Mr. Surinder Singh, aged 69 years, is Whole Time Director of the Company. He is Graduate by Qualification, he has over 4 decades of experience in industry. Since 1973-2011, he worked in Punjab Govt (Industry Dept.) till his retirement. From 2012, he worked with private sector industries.

Financials of Swastik Pipe Limited IPO:

Particulars (in crores) Mar-22 Mar-21 Mar-20
Revenue from operations 608 522 655
Cost of material Consumed 483 399 507
Purchases of stock-in-trade 56 34 79
Changes in stock-in-trade -4 20 0.3
Employee Benifit Expense 12 11 18
Other Expense 34 28 40
Operating Profit 27 30 10.7
OPM% 4.44% 5.75% 1.63%
Finance Cost 19 22 28
Depreciation 4 4 4
Other Income 3 1 3
Profit (Loss) before tax 21 2 -20
Tax expense 1 0.7 -6
Profit (Loss) for the period 20 1 -13

Comparison With Peers:

Name of the Company CMP FV EPS P/E
Swastik Pipe Limited 100 10 14.19 7
Rama Steel Tubes Limited 101 1 3.25 35
Hi-tech Pipes Limited 574 10 32.87 19.7
Hariom pipes Industries Limited 255 10 18.83 21.5
APL Apollo Tubes Limited 1,024 2 22.27 49.5

Lead Manager of Swastik Pipe Limited IPO:

  1. Corporate Strategic Allianz ltd.

Registrar of Swastik Pipe Limited IPO:

  1. Skyline Financial Services Private Ltd

Company Address:

Swastik Pipe Limited 2, Arihant Nagar, Punjabi Bagh (W), New Delhi 110026 Phone: +91-11-35453545 Email: cs@swastikpipes.com Website: https://swastikpipes.com/

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