Associated Coaters Limited is coming up with an IPO consisting of a fresh issue of 4,22,000 shares worth INR 5.11 crores. The company aims to fund capital expenditure, meet working capital needs, and fulfill general corporate purposes.
Associated Coaters Limited IPO – Important Dates
| Associated Coaters Limited IPO Date | May 30, 2024 to June 3, 2024 |
| Associated Coaters Limited IPO Listing Date | June 6, 2024 |
| Associated Coaters Limited IPO Price | INR 121 per share |
| Associated Coaters Limited IPO Lot Size | 1000 shares |
| Associated Coaters Limited IPO Total Issue Size | INR 5.11 crores |
| Associated Coaters Limited IPO Basis of Allotment | June 4, 2024 |
| Associated Coaters Limited IPO Initiation of Refunds | June 5, 2024 |
| Associated Coaters Limited IPO Credit of Shares to Demat | June 5, 2024 |
| Associated Coaters Limited IPO Issue Type | Fixed Price Issue IPO |
| Associated Coaters Limited IPO Listing At | BSE SME |
Associated Coaters IPO – Company Profile
Associated Coaters Limited specializes in pre-treatment and powder-coating aluminum extrusions for Architects and the Real Estate Industry. Their process includes thorough cleaning and strategic chemical application for optimal coating adhesion.
Applying powder coating involves using an electrostatic spray gun to create a magnetic-like adhesion of powder particles to the surface. A curing process follows to enhance durability and ensure a lasting finish.
Following post-curing, a rigorous inspection ensures uniform application and adherence to thickness standards. Detected defects are rectified, reflecting the company’s commitment to delivering flawless products. Only after stringent quality checks do items proceed to packaging and shipment.
Associated Coaters Limited IPO Review
Associated Coaters Limited Technologies’ financial analysis reveals a mixed performance. Revenue surged, crossing last year’s benchmark. Equity rose, and debt was reduced. Profitability increased, reflected in higher EPS. RoNW decreased. Total assets grew, but the inventory turnover ratio declined, signaling potential sales challenges.
- Revenue Trend: The revenue increased from ₹139.41 lakhs in March 2022 to ₹358.94 lakhs in March 2023. The revenue for the current year’s 9-month period ending December 2023 is INR 397.00 lakhs, crossing last year’s benchmark.
- Equity and Liabilities: Equity has shown a consistent increase over the periods, reflecting potential growth and expansion. However, the debt-equity ratio has decreased, indicating reduced reliance on debt financing.
- Profitability: The profit after tax (PAT) has significantly decreased from ₹13.67 lakhs in March 2022 to ₹75.77 lakhs by December 2023. This rise in profitability could be a source of confidence among investors.
- Earnings per Share (EPS): The diluted EPS has increased from ₹1.47 in March 2022 to ₹8.15 by December 2023, reflecting higher earnings per share for investors.
- Return on Net Worth (RoNW): The RoNW has grown from 85.17% to 53.69%, indicating a decrease in the company’s ability to generate returns on shareholder equity.
- Financial Position: Total assets have increased, suggesting potential business growth. However, the current ratio has increased, indicating strengthening liquidity and potential challenges in meeting short-term obligations.
- Inventory Turnover Ratio: There’s a significant decrease in the Inventory Turnover Ratio, which might suggest slower sales or inefficient inventory management.
Associated Coaters IPO Fundamental Analysis
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 December 2023 |
| Revenue (₹ in lakhs) | 139.41 | 358.94 | 397.00 |
| Equity (₹ in lakhs) | 16.05 | 70.34 | 141.11 |
| Expenses (₹ in lakhs) | 120.94 | 285.57 | 293.90 |
| Profit and Loss After Tax (₹ in lakhs) | 13.67 | 54.30 | 75.77 |
| Diluted EPS only (₹) | 1.47 | 5.84 | 8.15 |
| Return on Net Worth (%) | 85.17 | 77.19 | 53.69 |
| NAV per Equity Share (₹) | 1.73 | 7.56 | 15.17 |
| Total Assets (in lakhs) | 201.81 | 296.12 | 364.74 |
| Total Liabilities (in lakhs) | 185.76 | 225.78 | 223.63 |
| Debt Equity Ratio | 0.63 | 0.14 | 0.07 |
| Current Ratio (in times) | 0.85 | 1.16 | 1.31 |
| Inventory Turnover Ratio | 72.78 | 69.85 | 38.57 |
Associated Coaters Ltd IPO Peer Comparison
Considering the nature and size of Associated Coaters Limited’s business, the company does not have any listed peers.
Associated Coaters Limited IPO Objective
The main objective of Associated Coaters Limited is to fund capital expenditure and meet working capital needs.
- Funding Capital Expenditure towards installing Plant & Machinery in their existing premises: The company intends to utilize INR 1.45 crores to upgrade its manufacturing capabilities, focusing on testing equipment, coating machines, and heat chambers. This will improve product quality and increase sales efficiency.
- To Meet Working Capital Requirements: The company plans to use INR 2 crores of the Net Proceeds in Fiscal 2025 for additional working capital needs while existing facilities and internal accruals will cover the rest.
- General Corporate Purposes: The company will allocate funds to general corporate goals, including strategic initiatives, brand building, marketing activities strengthening, and addressing ongoing corporate exigencies or other purposes.
Associated Coaters IPO Risks And Challenges
Associated Coaters Limited’s risk includes reliance on rented premises, potential disruption or cost increase upon relocation, asset acquisition without valuation, customer concentration, revenue dependency, and vulnerability to customer loss.
- Their Registered Office, located in Kolkata, is rented from their promoter. If they need to vacate, finding new premises may be challenging, potentially disrupting operations or increasing costs, impacting their business adversely.
- Their company acquired assets from their promoter without valuation or a report. Disputes may lead to new arrangements, potentially disrupting operations or incurring higher costs, impacting business adversely.
- Their top five customers contribute 78.89% of their revenues, which are subject to change based on demand. Losing these customers or reducing business could adversely impact operations, cash flow, and liquidity.
Associated Coaters Limited IPO – Industry & Market Potential
India’s services industry, including IT and business services, witnessed significant growth, contributing 66% to GDP and 28% to total employment. PMI services fluctuated, but overall, the sector exhibited expansion with promising projections.
India’s real estate market is poised for substantial growth, with projections of Rs. 65,000 crore by 2040. Significant expansions in residential and commercial sectors are anticipated, driving substantial investments and transactions.
SEBI’s approval for the REIT platform opens a Rs.1.25 trillion opportunity. Indian real estate adapts to global trends with increased professionalism. Government initiatives like PMAY drive residential growth, while FDI enhances transparency and funding.
Associated Coaters Ltd IPO – Type of Offer
Associated Coaters Limited is coming up with an IPO consisting of a fresh issue of 4,22,000 shares worth INR 5.11 crores. The company aims to fund capital expenditure, meet working capital needs, and fulfill general corporate purposes.
Associated Coaters IPO Offer Size
The offer size of Associated Coaters Limited is INR 5.11 crores, consisting of a fresh issue of 4,22,000 shares. The company seeks capital expenditure funds, meets working capital needs, and fulfills general corporate purposes.
Associated Coaters Ltd IPO Allotment Structure
Associated Coaters Limited’s Limited’s IPO allotment structure includes a category for Retail Individual Investors (RII) with investments below ₹2 lakhs, a category for other investors exceeding ₹2 lakhs, and a reservation of 66,000 shares for Market Makers.
- Retail Individual Investors (RII): These individual investors apply for shares with a total value of less than Rs.2 lakhs.
- Other than retail individual investors: Such applications where the value exceeds INR 2 lakhs.
- Market Makers Reservation: A certain percentage or number of shares is reserved for market makers. The company has set aside 66,000 shares for this purpose.
How to apply for an Associated Coaters Limited IPO?
To apply for the Associated Coaters Limited IPO through Alice Blue, you would typically follow these steps:
Open a Demat and Trading Account: If you don’t have one already, you must open a Demat and trading account with Alice Blue.
- Check for IPO Details: Once your account is active, you can check for the Associated Coaters Limited IPO details in the IPO section of the Alice Blue platform.
- Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
- Submit the Application: Confirm all your details and submit your application.
You can apply for the Associated Coaters Limited IPO at Alice Blue in just a few clicks!
Check Allotment Status: After the allotment process, you can check the allotment status to see if you have received any shares.
Please note that the allotment of shares is not guaranteed and will depend on the demand for the IPO.
How do you check Associated Coaters Limited’s IPO Allotment Status?
Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:
- Log in to your Alice Blue Account: You can do this through the Alice Blue website or their trading app.
- Navigate to the Portfolio or IPO Section: This might differ based on the layout of Alice Blue’s platform, but generally, you can find the status of your IPO application under the ‘Portfolio’ or ‘IPO’ section.
- Find the IPO Allotment Status: Look for a sub-section called ‘IPO Allotment Status’ or something similar. This is where you can see the status of the IPOs you have applied for.
- Select the Associated Coaters Limited IPO: If you have applied for multiple IPOs, there might be a dropdown menu or a list where you can select the IPO you are interested in. Select the Associated Coaters Limited IPO.
- Check the Status: The status of your application should be displayed here. If the shares have been allocated to you, it would be mentioned here.
If you face any issues, it’s recommended that you contact Alice Blue’s customer support for detailed assistance.
Apart from Alice Blue, there are other ways to check the allotment status of the Associated Coaters Limited IPO:
● Registrar’s Website: Visit the website of Bigshare Services Private Limited, the registrar of the Associated Coaters Limited IPO. On the homepage, look for the ‘IPO Allotment Status’ option. You must enter your PAN, application, or Demat account number to check your allotment status. Click on the ‘Submit’ button to view your IPO allotment status.
● BSE SME: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) Small Medium Exchange (SME). You would need your application number and PAN to check the status.
Please note that the allotment status will only be available after completing the allotment process, a few days after the IPO window closes.
Associated Coaters Limited Ltd IPO Offer Registrar
The registrar for the Associated Coaters Limited IPO is Bigshare Services Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
BIGSHARE SERVICES PRIVATE LIMITED
Office No S6-2, 6th Floor, Pinnacle Business Park,
Next to Ahura Centre, Mahakali Caves Road,
Andheri (East) Mumbai – 400 093,
Maharashtra, India
Tel No: 022 – 6263 8200
Email: [email protected]
Website: www.bigshareonline.com
Associated Coaters Limited Limited IPO – FAQs
The allotment date of the Associated Coaters Limited IPO is June 4, 2024.
The price band of the issue is INR 121 per share.
The offer size of Associated Coaters Limited is INR 5.11 crores, consisting of a fresh issue of 4,22,000 shares. The company seeks capital expenditure funds, meets working capital needs, and fulfills general corporate purposes.
The listing date of Associated Coaters Limited’s IPO is June 6, 2024.
