05-Apr-2024
2 mins read
Raghuvir Exim IPO is offering a 100% book-built public issue. This upcoming IPO is offering a fresh issue of upto 1.4 Crores equity shares and an offer for sales of upto 45 Lakhs of equity shares. The face value is reported as Rs. 10 for each share. This new IPO issue is being made through the book-building process with a reservation of not more than 50% of the new offer is reserved for Qualified Institutional Investors, not less than 15% reserved for Non-Institutional Investors and the remaining 35% or more reserved for Retail Individuals. Application for public issue and subscription opening/closing dates and other important dates will be announced soon, however keep in mind the public offering is proposed to be listed on the NSE and BSE exchange.
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About the Company
The company is engaged in the business of processing semi-finished fabrics into finished fabrics and has been in existence for over three decades and manufactures home textiles products such as bedsheets, pillowcase etc which are sold to the customers in the form of pack sets. They are also involved in trading of grey cloth and finished fabrics.
Major portion of the revenues are derived from exports. The Company has been recognised as a “Star Export House” by the Directorate General of Foreign Trade, Ministry of Commerce and Industry in the year 2011 and “Two Star Export House” in the year 2021. In Fiscals 2021, 2022, 2023 and for the six month period ended September 30, 2023, the revenue from exports accounted for 94.89%, 97.38%, 81.07% and 96.97%, respectively of total revenue from operations. In each of the last three fiscals, the Company has exported to more than 25 countries with majority of the export sales being sourced from United States of America, Canada, United Kingdom, Israel and Australia. The company sell their products through a network of distributors and direct sales to our customers.
Objectives of the Public Offering
The proceeds of the Offer are to be utilized for financing i.e. Funding capital expenditure requirements of our Company towards setting up of two Stitching Units situated at Village Vansva, Taluka Viramgam, Ahmedabad, Gujarat (“Proposed Facilities”) and for general corporate purposes - The amount utilized for general corporate purposes shall not exceed 25% of the Gross Proceeds.
Financials of the Company (Amt in Crore)
The company reported net revenue of Rs 250.79 Crore, assets worth Rs 197.48 crore, and profit after tax reported as Rs 19.24 crore for the FY 22-23. It is clear that the PAT is increased by 172.9% and assets rose by 1.65%.
| Period Ended | 30-Sep-23 | 31-Mar-23 | 31-Mar-22 | 31-Mar-21 |
| Assets | 230.24 | 197.48 | 194.27 | 173.33 |
| Revenue | 155.25 | 250.79 | 272.28 | 213.38 |
| Profit After Tax | 11.96 | 19.24 | 7.05 | 8.92 |
| Net Worth | 96.51 | 84.52 | 65.19 | 58.1 |
| Reserves and Surplus | 55.59 | 33.94 | 20.44 | 5.78 |
| Total Borrowing | 44.01 | 82.02 | 62.69 | 55.59 |
Key Performance Indices of Raghuvir Exim Limited
Key performance indicators of the company reported a Return on Capital Employed as 18.78%, a Return on Net Worth of 25.70%, a Profit after-tax margin of 7.77% and Return on Equity as 25.7% for the year ended March 2023. If we look at the EBITDA margin, it is reported as 14.63% for the same FY.
Lead manager, Registrar & Promoters of Public Offering
The IPO is managed by Unistone Capital Private Limited, which are the book-running lead managers. Bigshare Services Private Limited has been appointed as the registrar for the issue. The promoters of the Raghuvir Exim Limited are Sunil Agarwal, Pamita Agarwal, Yash Agarwal and Hardik Agarwal.
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