|Issue Date||03/03 - 05/03|
|Issue Size||₹6.91 Cr|
|Market Lot||8000 Shares|
|Shares on Offer||3,840,000|
|Subject to Sauda||N/A|
SM Auto Stamping Limited (SM), an ISO/TS-16949:2009 certified group has been one of the leading manufacturers of precision sheet metal stamping and deep drawn components (welded assemblies & press tools) required for automobile & engineering sector since 1995. At SM we focus on finding out customer's needs and providing them with perfect solutions.
They specialize in design of complex sheet metal pressed components, design and manufacturing of high quality stamping dies, welding fixtures, high tonnage stamped components and welded assemblies for vehicles (LCV, SUV) and tractors. We have in-house tool design, development and manufacturing facility. We supply components to TS 16949 certified clients.
They have three production centers with current production capacity 6 million components per year in Nashik, Maharashtra which is around 160 km from Mumbai and 180 km from Pune.
Incorporated in 2006, Nashik-based SM Auto Stamping Ltd (SMASL) is a manufacturer of precision sheet metal stamping and deep drawn components such as welded assemblies & press tools. The company focuses on customer needs and provide a direct solution in the automobile & engineering sector.
It has a specialization in dealing with complex sheet metal pressed design, components, welding fixtures, high-quality stamping dies, welded assemblies for vehicles, high tonnage stamped components, and welding fixtures. The SMASL supplies products to TS 16949 certified clients.
It has three manufacturing units located at Nashik (Maharashtra), Mumbai and Pune which are producing 6 million components per year. Currently, it has 350 direct and indirect employees.
Some of the components of the company are automotive clutches, automotive propeller shaft drive, automotive brake system, and automative body trims.
Mr. Mukund Narayan Kulkarni, Mr. Suresh Gunwant Fegde and Mrs. Alka Mukund Kulkarni are the promoters of the company.
To part finance its working capital (Rs. 5.00 cr.) and general corpus fund needs (Rs. 0.90 cr.), SASL is coming out with a maiden IPO of 3840000 equity shares of Rs. 10 each at a fixed price of Rs. 18 per share to mobilize Rs.6.91 cr. The issue opens for subscription on 03.03.20 and will close on 05.03.20. Minimum application is to be made for 8000 shares and in multiples thereon, thereafter. Post allotment, shares will be listed on BSE SME. The issue constitutes 26.88% of the post issue paid-up capital of the company. This issue is solely lead managed by Hem Securities Ltd. and Bigshare Services Pvt. Ltd. is the registrar to the issue. Hem Securities Ltd. is also acting as a market maker for this issue. SASL is spending Rs. 1.01 cr. for the entire IPO process. This indicates that the issue is fully structured.
Having issued/converted initial equity at par, SASL also issued bonus shares in the ratio of 7 for 1 in September 2019. The average cost of acquisition of shares by the promoters is Rs. 1.25 and Rs. 10.00 per share. SASL's current paid-up equity capital of Rs. 10.45 cr. will stand enhanced to Rs. 14.29 cr. post this issue. Post this issue, SASL is looking for a market cap of Rs. 25.72 cr.
For the last three fiscals, SASL has posted turnover/net profits of Rs. 53.36 cr. / Rs. - (1.77 cr.) (FY17), Rs. 65.90 cr. / Rs. 0.74 cr. (FY18) and Rs. 76.30 cr. / Rs. 3.07 cr. (FY19). For the first half of FY20, it has earned a net profit of Rs. 0.04 cr. on a turnover of Rs. 32.22 cr. Thus it has shown erratic levels in bottom lines. The sudden jump in the bottom line for FY19 i.e. pre-IPO year appears window dressings.
SASL has posted an average EPS of Rs. 1.26 and an average RoNW of 11.37% for the last three fiscals. The issue is priced at a P/BV of 1.67 based on its NAV of Rs. 10.77 as on 30.09.19 and at a P/BV of 1.42 based on post issue NAV of Rs. 12.71. If we annualize latest earnings and attribute it on fully diluted equity post issue, then asking price is at a P/E of around 300 against industry composite of 67 P/E, making it a costly bet.
|Total Assets (In ₹ Millions)||5,332.17||5,289.03||5,252.40|
|Total Revenue (In ₹ Millions)||7,630.09||6,589.74||5,336.30|
|Profit After Tax (PAT) (In ₹ Millions)||265.40||84.00||-173.11|
|Date & Time||QIB||NII||RII||Total|
|Day 1 - 03 Mar 2020||0.01||0.10||0.05|
|Day 2 - 04 Mar 2020||1.82||0.15||0.98|
|Day 3 - 05 Mar 2020||2.21||0.47||1.34|
Please click the link below to check the IPO allotment status.IPO Allotment Status
SM Auto Stamping Ltd IPO will open on 03/03 and close on 05/03.
SM Auto Stamping Ltd IPO will list on 16/03/2020.
The offer price of SM Auto Stamping Ltd IPO is ₹18.
The lot size of SM Auto Stamping Ltd IPO is 8000.
The Grey Market Premium (GMP) price of SM Auto Stamping Ltd IPO is Not Available at the moment.
The Kostak price of SM Auto Stamping Ltd IPO is Not Available at the moment.
The Subject to Sauda price for SM Auto Stamping Ltd IPO is Not Available at the moment.
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