Megatherm Induction IPO is a book built issue of Rs 53.91 crores. The issue is entirely a fresh issue of 49.92 lakh shares.
Megatherm Induction IPO opens for subscription on January 25, 2024 and closes on January 30, 2024. The allotment for the Megatherm Induction IPO is expected to be finalized on Wednesday, January 31, 2024. Megatherm Induction IPO will list on NSE SME with tentative listing date fixed as Friday, February 2, 2024.
Megatherm Induction IPO price band is set at ₹100 to ₹108 per share. The minimum lot size for an application is 1200 Shares. The minimum amount of investment required by retail investors is ₹129,600. The minimum lot size investment for HNI is 2 lots (2,400 shares) amounting to ₹259,200.
Hem Securities Limited is the book running lead manager of the Megatherm Induction IPO, while Bigshare Services Pvt Ltd is the registrar for the issue.
Refer to Megatherm Induction IPO DRHP for detailed information.
Megatherm Induction IPO Details
| IPO Date | January 25, 2024 to January 30, 2024 |
| Listing Date | [.] |
| Face Value | ₹10 per share |
| Price Band | ₹100 to ₹108 per share |
| Lot Size | 1200 Shares |
| Total Issue Size | 4,992,000 shares (aggregating up to ₹53.91 Cr) |
| Fresh Issue | 4,992,000 shares (aggregating up to ₹53.91 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
| Share holding pre issue | 13,848,729 |
| Share holding post issue | 18,840,729 |
| Market Maker portion | 250,800 shares |
Megatherm Induction IPO Reservation
| Investor Category | Shares Offered |
|---|---|
| QIB Shares Offered | Not more than 50.00% of the Net offer |
| Retail Shares Offered | Not less than 35.00% of the Offer |
| NII (HNI) Shares Offered | Not less than 15.00% of the Offer |
Megatherm Induction IPO Timeline (Tentative Schedule)
Megatherm Induction IPO opens on January 25, 2024, and closes on January 30, 2024.
| IPO Open Date | Thursday, January 25, 2024 |
| IPO Close Date | Tuesday, January 30, 2024 |
| Basis of Allotment | Wednesday, January 31, 2024 |
| Initiation of Refunds | Thursday, February 1, 2024 |
| Credit of Shares to Demat | Thursday, February 1, 2024 |
| Listing Date | Friday, February 2, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on January 30, 2024 |
Megatherm Induction IPO Lot Size
Investors can bid for a minimum of 1200 shares and in multiples thereof. The below table depicts the minimum and maximum investment by retail investors and HNI in terms of shares and amount.
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 1200 | ₹129,600 |
| Retail (Max) | 1 | 1200 | ₹129,600 |
| HNI (Min) | 2 | 2,400 | ₹259,200 |
| Lot Size Calculator | |||
Megatherm Induction IPO Promoter Holding
Shesadri Bhusan Chanda, Satadri Chanda and Megatherm Electronics Private Limited are the promoters of the company.
| Share Holding Pre Issue | 98.92% |
| Share Holding Post Issue |
About Megatherm Induction Limited
Incorporated in 2010, Megatherm Induction Limited manufactures induction heating and melting products using electrical induction such as induction melting furnaces and induction heating equipment. Megatherm Induction is a subsidiary of Megatherm Electronics Private Limited.
The company also manufactures upstream and downstream equipment and machinery for steelworks, such as transformers, ladle refining furnaces, continuous casting machines, fume extraction systems, etc., as well as electric arc furnaces for the alloy and special steel industry.
The company also offers turnkey solutions for steel plants, which include the planning, engineering, delivery, assembly and commissioning of steel plants with its own or outsourced systems and machines, as well as customer service with maintenance contracts and spare parts business.
Megatherm’s key market segments are Secondary steel producers that recycle scrap, primary steel producers that convert iron ore into sponge iron and then convert it into steel through induction melting, automotive suppliers, Ordnance factories and railroads, DI pipe manufacturers, and various engineering industries that produce critical parts in their own casting, forging and metal processing facilities.
Megatherm Induction’s manufacturing unit is located in Kharagpur and has a production capacity of around 300 furnaces and transformers (as of March 31, 2023).
The company exports products to South America, Africa, the Gulf region, Europe, SAARC and Southeast Asia.
As at July 31, 2023, the company had 285 permanent employees.
Megatherm Induction Limited Financial Information (Restated)
Megatherm Induction Limited’s revenue increased by 41.37% and profit after tax (PAT) rose by 1171.94% between the financial year ending with March 31, 2023 and March 31, 2022.
| Period Ended | 31 Mar 2023 | 31 Mar 2022 | 31 Mar 2021 |
| Assets | 19,197.87 | 17,262.76 | 14,645.06 |
| Revenue | 26,643.84 | 18,846.92 | 10,927.03 |
| Profit After Tax | 1,400.41 | 110.10 | 309.12 |
| Net Worth | 5,062.64 | 3,662.23 | 3,512.13 |
| Reserves and Surplus | 4,139.39 | 2,738.98 | 2,598.88 |
| Total Borrowing | 4,282.04 | 4,038.80 | 4,327.04 |
| Amount in ₹ Lakhs | |||
Key Performance Indicator
The market capitalization of Megatherm Induction IPO is Rs 203.48 Cr.
| KPI | Values |
|---|---|
| ROCE | 27.47% |
| RoNW | 27.66% |
| P/BV | 0 |
Check Megatherm Induction IPO Peer Comparison here.
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 10.11 | 7.43 |
| P/E (x) | 10.68 | 14.53 |
Note:
- The Pre IPO EPS is calculated based on Pre issue shareholding as on date of RHP and the latest FY earnings as of March 31, 2023 that is available in RHP.
- The Post Issue EPS is calculated based on the Post issue shareholding and annualized FY earnings of March 31, 2023 that is available in RHP.
Objects of the Issue (Megatherm Induction IPO Objectives)
The company intends to utilize the proceeds of the Issue to meet the following objects:
- Funding capital expenditure towards the construction of factory shed and installation of additional plant and machinery.
- To meet Working Capital requirements.
- General Corporate Purpose.
Megatherm Induction Limited Contact Details
Megatherm Induction Limited
Plot – L1 Block GP, Sector V,
Electronics Complex, Saltlake City
Kolkata – 700091
Phone: +91 33 4088 6200
Email: cs@megatherm.com
Website: http://www.megatherm.com/
Megatherm Induction IPO Registrar
Bigshare Services Pvt Ltd
Phone: +91-22-6263 8200
Email: ipo@bigshareonline.com
Website: https://ipo.bigshareonline.com/ipo_status.html