Indo Farm Equipment Limited IPO Day 1 Live Updates: Key Highlights, Subscription Status, and Insights
Incorporated in 1994, Indo Farm Equipment Limited is engaged in manufacturing Tractors, Pick & Carry Cranes, and other harvesting equipment. Indo Farm Equipment IPO bidding opened for subscription today, December 31, 2024. This will be the last mainboard IPO in 2024.
IPO Details
- The Indo Farm Equipment IPO opened for subscription on December 31, 2024, and will remain open until January 2, 2025.
- The issue consists of a fresh issue of 0.86 crore shares worth Rs 184.90 crores and an offer for sale of 0.35 crore shares worth Rs 75.25 crores.
- The allotment of shares for the IPO is anticipated to be finalized on Friday, January 3, 2025. Trading of Indo Farm Equipment shares is scheduled to commence on the BSE and NSE, with a tentative listing date of Tuesday, January 7, 2025.
- The IPO price band has been set between ₹204 and ₹215 per share.
- Investors can apply with a minimum lot size of 69 shares, requiring a retail investment of ₹14,835. For sNII , the minimum application size is 14 lots (966 shares) at an investment of ₹2,07,690. Meanwhile, bNII must apply for at least 68 lots (4,692 shares), amounting to ₹10,08,780.
- Aryaman Financial Services Limited serves as the book-running lead manager for this IPO, with Mas Services Limited appointed as the registrar.
Use of Proceeds
The proceeds from the Net Fresh Issue will be utilized for several purposes, including establishing a new dedicated unit to expand the manufacturing capacity for pick-and-carry cranes, repaying or partially pre-paying certain borrowings undertaken by the company, further investing in the NBFC subsidiary, Barota Finance Ltd., to strengthen its capital base for future requirements, and addressing general corporate purposes.
IPO Day 1 Subscription Status
(December 31, 2024, End of Day)
On the first day of bidding, the Indo Farm Equipment IPO subscribed 17.70 times the total shares available. Non-institutional investors (NIIs) subscribed to 28.56 times the allocated portion, while Retail investors subscribed to 18.54 times the shares set aside for them. Qualified institutional buyers (QIBs) saw a 8.10 times subscription rate.
Indo Farm Equipment Business Overview
Established in 1994, Indo Farm Equipment Limited specializes in manufacturing tractors, pick-and-carry cranes, and other harvesting equipment.
The company operates under two brands, Indo Farm and Indo Power, and exports its products to various countries, including Nepal, Syria, Sudan, Bangladesh, and Myanmar.
Indo Farm Equipment produces tractors ranging from 16 HP to 110 HP and pick-and-carry cranes with capacities from 9 to 30 tons. Its manufacturing facility in Baddi, Himachal Pradesh, spans 127,840 square meters and features an integrated foundry, machine shop, and assembly units. With an annual production capacity of 12,000 tractors and 1,280 pick-and-carry cranes, the company plays a significant role in the industry.
To support future growth, the company has acquired additional industrial land near its existing facility to establish a new manufacturing unit for pick-and-carry cranes, which will increase production capacity by 3,600 units annually.
Financial Highlights
- Revenue increased by 1.21% from Rs 370.76 crore in FY23 to Rs 375.23 crore in FY24.
- Profit after tax (PAT) increased by 1.50% between the financial year ending March 31, 2023 and March 31, 2024, from Rs 15.37 crore to Rs 15.60 crore.
Key Ratios
|
Years |
FY24 |
|
ROE |
5.13% |
|
ROCE |
8.96% |
|
EBITDA Margin |
16.66% |
|
PAT Margin |
4.16% |
|
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