Yasho Industries Limited IPO

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Yasho Industries Limited is Mumbai based company engaged in manufacturing of varied re-engineered chemicals. The company is in the business for over 2 decades. The chemicals produced by the company include Aroma Range, Food Antioxidant Range Rubber & Lubricant Additive Range, and Specialty Range. The company has 2 manufacturing units located in Vapi, Gujarat.
Yasho Industries market, sell and distribute its products to diverse customers based in India and abroad. Over 53% of revenue the company comes from export. Company’s products are exported to countries like USA, South America, Europe, Iran, Australia, South Africa, Singapore, Germany, Asia. etc.
Yasho Industries Strengths
1. Management with over 3 decades of experience in chemical industry.
2. ISO 9001:2015, FSSC 22000 certified.
3. The wide range of products catering to various industries.
4. Well Established Automated Manufacturing Facility designed to manufacture multiple product ranges.
5. Diversified Customer base and Long-term relationship with customers

Yasho Industries Limited IPO Stock Quote & Charts

103.55

-3.22%

  • Open: 103.55
  • High - Low: 103.55 - 103.55
  • Previous Close: 107.00
  • Total Traded Volume: 1200
  • Updated On: 15-Oct-2018

Objects of the Yasho Industries Limited IPO:

1. Offer for Sale Fresh Issue a. Part-financing of the expansion and up-gradation project at our existing manufacturing facilities at Vapi, Gujarat. b. Funding Expenditure for General Corporate Purposes

Yasho Industries Limited IPO Details:

Open Date: Mar 19 2018
Close Date: Mar 21 2018
Total Shares: 28,99,200
Face Value: ₹ 10 Per Equity Share
Issue Type: Fixed price Issue
Issue Size: 28.99 Cr.
Lot Size: 1200 Shares
Issue Price: ₹ 100 Per Equity Share
Listing At: BSE SME
Listing Date: Apr 02 2018

Promoters And Management:

(i) Mr. Parag Jhaveri, aged 52 years, is the Chairman and Managing Director of our Company. He has completed his Master of Science in Chemistry from Mumbai University. Our Company is lead by him & under his guidance our company is growing significantly. Mr. Parag Jhaveri has over 3 decades of vast experience in chemical industry and on the backdrop of working with Company   he has been able to maintain robust growth and lead a various group of Sales, Finance, R & D and marketing along with our founder promoter. (ii) Mr. Vinod Jhaveri, aged 79 years, is the Whole time Director of our Company. He is one of the founding promoters of our company. He has completed his graduation in B. Com. from Gujarat University in the year 1959. He has been the main guiding force behind the growth and business strategy of our Company. He currently plays a crucial role in Page 139 the Accounts & Finance. Since incorporation he has been instrumental in the consistent growth of our Company’s performance and implement a robust overall framework for the organization as a whole. (iii) Mr. Yayesh Jhaveri, aged 47 years, is the Whole time Director of our Company. He has completed his Bachelor of Commerce from Mumbai University. In our company he has been playing a key role in production since 1997 and also stated Unit 2 under his supervision. He has also overseen growth of our Company in the area of Sales, Purchase & Logistics. On the backdrop of working with Company he has been able to maintain robust growth considerably and lead a various teams of Production, Purchase & Sales.

Capital Structure:

Authorized Share Capital (1,50,00,000 shares at FV@10) 15 cr
Issued, Subscribed,& Paid-up Share Capital Before Issue (1,00,00,000 Shares at FV@10) 10 cr
Present Issue (28,99,200 Shares at FV@10) 8,99,200- Fresh Shares 20,00,000- OFS 89.92 lakh
Reservation for Market Maker 1,48,800 Shares at FV@10) 14.88 lakh
Net Issue to Public 28,99,200-1,48,800=  27,50,400Shares) 2.75 cr
Retail Quota(<2 Lkah)[13,75,200 Shares] 50%
HNI & QIB Quota(>2 Lakh)[13,75,200 Shares] 50%
Paid Up Capital after the issue 10.8992 cr

Financials of Yasho Industries Limited IPO:

 1. Balance Sheet Snippet[ Figures of FY 16-17]
       (i) Shareholders’ Fund[Equity] Value 1729.94 lakh
      (ii) Asset 17830.85 lakh
      (iii) Liability 16100.91
      (iv)  Net Worth(Asset- Liability) 1729.94 lakh
      (iv) Debt/Equity 9.3( Very high)
      (v)ROCE 27%
      (vi) P/B 7(high)
      (vi) RONW(PAT/Net Worth) 21%
2. Profit n Loss Snippet (i) Revenue of last 5 years is growing at a CAGR of 13%. (ii) PAT of the company for FY 13 and 14 was neagtive but from FY-15 onwards the company is growing at CAGR of 60%. (iii)EBITDA Margins: 2.27% (iv) EPS= 3.25( post Issue) (v) P/E(post issue)=30(fully priced)at the cutoff price of 100. 3. Cash Flow Statement The company was generating positive cash flow till FY-17 but it is negative for the last 6 months ending Sept 2017 which is a cause of concern.

Comparison With Peers:

Name of the company FV EPS PE RONW
Nocil Limited 10 7.42 12.65 20%
Himadri Speciality Chemicals limited 1 1.94 22.5 7.52%
Amines & Plasticizers Limited 2 2.81 14.18 26.56%
Yasho Industries Limited 10 3.25 30 20%

Recommendation on Yasho Industries Limited IPO:

We are avoiding the issue as company has high debt and issue is fully priced as compared to its listed peer in the market.

Lead Manager of Yasho Industries Limited IPO:

  1. Aryaman Financial Services Limited

Registrar of Yasho Industries Limited IPO:

  1. Bigshare Services Private Limited

Company Address:

Yasho Industries Limited Office No. 101/102, Peninsula Heights, C. D. Barfiwala Marg, Juhu Lane, Andheri (West), Mumbai - 400058 Phone: +91 22 6251 0100 Fax: +91 22 6251 0199 Email: info@yashoindustries.com Website: www.yashoindustries.com

25th Sep 2018 - 27th Sep 2018 => Aavas Financiers IPO

Bid Details of Yasho Industries Limited IPO as on
21 Mar 2018 | 11:58:04 PM

Category No.of shares offered No. of shares bid
1,449,600 2,484,000
1,449,600 560,400
- -
2,899,200 3,044,400
QIBs Yes
QIBs+HNIs Subscription 1.71X
Retail Subscription 0.39X
Total Subscription 1.05X

Discussion on Yasho Industries Limited IPO: