Shining Tools Ltd
Complete IPO details, including price band, financials, subscription status, and key insights.
Participate in the Shining Tools Ltd IPO with full transparency. Review issue details, company fundamentals, and financial performance, and apply securely through Alice Blue.
IPO Snapshot
Key metrics and details at a glance.
Price Band
₹114
Per ShareLot Size
1200 Shares
Minimum Investment
₹1,36,800
Issue Size
₹17.1 Cr
Face Value
₹10
Per ShareIPO Type
Fixed Price - SME
Retail Quota
50%
QIB Quota
0%
NII Quota
50%
IPO Timeline
Important dates for your applying strategy.
Subscription Status
Live demand across investor categories.
Track real-time subscription levels:
*Real-time data subject to exchange updates
Shining Tools Ltd
Business model, operations, and market positioning.
Promoter Holding (Pre-Issue)
96.17%
Promoter Holding (Post-Issue)
70.68%
Issue Type
Fixed Price - SME
ISIN
INE0D8001018
About the Company
Our Company is engaged in the designing and manufacturing of high-performance solid carbide cutting tools catering to various industries in India. Additionally, we provide reconditioning services for used tools, ensuring their extended usability and performance. We specialize in producing a wide range of high-performance cutting tools, including end mills, thread mills, drills, and reamers, offering innovative tooling solutions. These tools are widely used in commercial metal cutting operations across multiple industries. Our cutting tools are designed for use on CNC machines such as Horizontal Machining Center's (HMCs), Vertical Machining Center's (VMCs) and turn-mill centers. They operate at high speeds and feed rates, efficiently machining a variety of metals, including solid carbide, cast iron, forgings, steel, and aluminium.
Industry Overview
The Indian market is known for being one of the most price competitive in the world when it comes to cutting tools. This market produces a broad spectrum of tools, including saw blades, taps, reamers, hobs, chasers, broaches, rolling dies, drills, end mills, cutters, burrs, gear cutting tools, tool bits, tips, or inserts, and many more. These tools are crucial for the removal of material from metallic work pieces, ensuring precision and efficiency in manufacturing processes. The cutting tools market was valued at USD 77.24 billion in 2019 and is projected to reach USD 101.48 billion by 2027, growing at a CAGR of 4.2% during the forecast period. The increasing demand for metal cutting equipment from various industries, including aerospace, defense, automotive, and industrial machinery, is a significant driver of this growth. Since, carbide cutting tools excel at precision machining, it is fast gaining prominence and is expected to continue to lead the pack of cutting and machining solutions, rising at a considerable rate during the forecast period, between 2024 and 2031, globally. The global carbide cutting tools market has risen steadily since 2023, and with the rising adoption of strategies by major players, the market is expected to rise over the projected horizon.
Company History
Our Company was incorporated on May 01, 2013 as `Shining Tools Limited', a public limited company under the Companies Act, 1956, pursuant to a certificate of incorporation dated May 01, 2013 issued by the Registrar of Companies, Gujarat, Dadra and Nagar Haveli.
Products & Services
- The Company is engaged in the designing and manufacturing of high-performance solid carbide cutting tools catering to various industries in India.
Growth Strategy
- Expand our scope by adding more products.
- Broaden and deepen presence in existing product portfolio.
- Develop distributors network.
- Start with new Re-conditioning facility.
- Develop our export division.
- Increase by targeting unexplored markets within India.
- Leveraging our marketing skills and relationships.
Customer Base
Wholesaler and Retailer
Financial Performance
Revenue, profit after tax and total assets across the last 3 reported financial years.
Revenue
Amount in ₹ crore
Profit After Tax (PAT)
Amount in ₹ crore
Total Assets
Amount in ₹ crore
Figures in ₹ crore, on a standalone basis, as reported for FY23 to FY25.
Objects of the Issue
How the company plans to utilize IPO proceeds.
Use of Proceeds
The funds raised through this IPO will be used for:
Initial public issue of 15,00,000 equity shares of face value of Rs.10/- each (the "equity shares") of Shining Tools Limited ("the company" or "STL" or "the issuer") at an issue price of Rs.114/- per equity share for cash, aggregating Rs.17.10 crores ("public issue") out of which 75,600 equity shares of face value of Rs.10/- each, at an issue price of Rs.114/- per equity share for cash, aggregating Rs. 0.86 crores will be reserved for subscription by the market maker to the issue (the "market maker reservation portion"). The public issue less market maker reservation portion i.e. issue of 14,24,400 equity shares of face value of Rs.10/- each, at an issue price of Rs.114/- per equity share for cash, aggregating Rs. 16.24 crores is herein after referred to as the "net issue". The public issue and net issue will constitute 26.51% and 25.17%, respectively of the post-issue paid-up equity share capital of the company. Price: Rs. 114 per equity share of face value of Rs. 10 each. The issue price is 11.4 times the face value of the equity shares. Bids can be made for a minimum of 2,400 equity shares and in multiples of 1,200 equity shares thereafter.
*Subject to approvals and market conditions.
Strengths & Risks
Key competitive advantages and factors to consider before investing.
- Efficiency through Machine-Based Manufacturing Tools.
- Tailored Solutions to customers by Offering Customized Tools.
- Wide and diverse range of product offerings.
- Experienced management and technical expertise of employees.
- Strategic Location.
- Its manufacturing facility and the company's registered office is situated at Survey no. 63/2, Plot No. 2, Rajkot, Gondal Highway, Pipaliya, Gondal, Rajkot-360311, Gujarat, India resulting in concentration in a single region. Any interruption for a significant period of time, in these facilities may in turn adversely affect the company business, financial condition and results of operations.
- We have only one Manufacturing Facility, continued operations of our manufacturing facility is critical to our business and any disruption in the operation of our manufacturing facility may have a material adverse effect on our business, results of operations and financial condition.
- The company's historical revenues have been largely dependent on few customers and the company inability to maintain such business may have an adverse effect on its results of operations.
- Our results of operations and cash flows could be adversely affected, if we are unable to collect our dues and receivables from, or invoice our unbilled services to, our clients.
- Majority portion of our domestic sales are derived from the western zone and any adverse developments in this market could adversely affect our business.