Incorporated in 1990, Indong Tea Company Limited is primarily in the manufacturing of Tea. The company runs a a Tea Garden under Government lease and is engaged in Tea Plantation & Manufacturing of CTC Tea.
Their Indong Tea Estate is spread over an area of 740.38 Hectares and consists of Tea Plantation, Tea Factory, Withering Trough House, Officer’s Bunglows, Staff Quarters, Labour Quarters, Pump House, General Stores, Dairy Farm, etc.
The original promoters of the company were Devvrat Gupta, Shyam Saran Gupta, and Nagarmal Kanoria. The ownership was transferred to Sri Hariram Garg in 2014, a promoter of Asian Group under a scheme of takeover.
The products of Indong Tea Company are primarily categorized as:
- CTC (Crush/Cut, Tear, Curl) Tea
- Tea and Tea Plantation
- Tea Manufacturing Process
- Plucking
- Withering
- Rolling
- Fermentation
- Drying
- Grading
- Packing / Dispatching
From the manufacturing of tea and other operations, the company clocked the following revenues for the years 2021, 2020, and 2019 – Rs. 2,313 lakhs, Rs. 1,672.64 lakhs, and Rs. 1,481.57 lakhs, respectively.
Company Financials
| Period Ended | Total Assets | Total Revenue | Profit After Tax | Net Worth | Total Borrowing |
|---|---|---|---|---|---|
| 31-Mar-20 | 4136.26 | 1672.64 | -121.29 | -421.85 | 2097.43 |
| 31-Mar-21 | 4059.79 | 2313 | 127.56 | -294.3 | 1841.74 |
| 31-Mar-22 | 4324.96 | 1992.97 | 131.62 | 863.68 | 960.09 |
| Amount in ₹ Lakhs |
Objects of the Issue
The Objects of the Issue are:
- Funding Capital Expenditure towards Extension, Uprooting, and Infilling of Tea Plantation at Indong Tea Estate, Jalpaiguri, West Bengal
- Funding Capital Expenditure towards the installation of additional plant and machinery for Tea Processing Unit at Indong Tea Estate, Jalpaiguri, West Bengal
- To meet the working capital requirements
- To meet the Issue Expenses
- General Corporate Purposes
Indong Tea Company IPO Details
| IPO Date | Feb 9, 2023 to Feb 13, 2023 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price | ₹26 per share |
| Lot Size | 4000 Shares |
| Issue Size | 5,004,000 shares of ₹10 (aggregating up to ₹13.01 Cr) |
| Fresh Issue | 5,004,000 shares of ₹10 (aggregating up to ₹13.01 Cr) |
| Issue Type | Fixed Price Issue IPO |
| Listing At | BSE SME |
| NII (HNI) Shares Offered | 50% of the Net Issue |
| Retail Shares Offered | 50% of the Net Issue |
| Market Maker | NIKUNJ STOCK BROKERS LIMITED |
| Company Promoters | Mr. Hariram Garg, Mr. Madanlal Garg, and M/s. Asian Tea & Exports Limited are the promoters of the company. |
Indong Tea Company IPO Tentative Timetable
Indong Tea Company IPO opens on Feb 9, 2023, and closes on Feb 13, 2023. The Indong Tea Company IPO bid date is from Feb 9, 2023 10.00 A.M. to Feb 13, 2023 5.00 P.M. The Cut-off time for UPI Mandate confirmation is 5 PM on the issue closing day.
| Event | Tentative Date |
|---|---|
| Opening Date | Feb 9, 2023 |
| Closing Date | Feb 13, 2023 |
| Basis of Allotment | Feb 16, 2023 |
| Initiation of Refunds | Feb 17, 2023 |
| Credit of Shares to Demat | Feb 20, 2023 |
| Listing Date | Feb 21, 2023 |
Indong Tea Company IPO Lot Size
The Indong Tea Company IPO lot size is 4000 shares. A retail-individual investor can apply for up to 1 lots (4000 shares or ₹104,000).
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 4000 | ₹104,000 |
| Retail (Max) | 1 | 4000 | ₹104,000 |
| HNI (Min) | 2 | 8,000 | ₹208,000 |
Indong Tea Company IPO Promoter Holding
| Pre Issue Share Holding | 96.09% |
| Post Issue Share Holding | 64.03% |
Indong Tea Company IPO Review
ITCL is in tea plantations and is poised for bright prospects as tea prices are firming up globally. The issue is fully priced based on its H1-FY23 earnings while it is aggressively priced based on its FY22 data. The parent company is having a poor track record. Though it is poised for better prospects, the poor track record of the group company, and the fully priced offer from ITCL, there is no harm in skipping it. Read detail review…
Indong Tea Company IPO Prospectus
Company Contact Information
Indong Tea Company Limited
Sikkim Commerce House,
4/1, Middleton Street,
Kolkata – 700071
Phone: +91 33 4006 3601
Email: cs@indongteaco.com
Website: http://www.indongteaco.com/
Indong Tea Company IPO Registrar
Cameo Corporate Services Limited
Phone: +91-44-28460390
Email: investor@cameoindia.com
Website: https://ipo.cameoindia.com/