Energy Missions Machineries Limited consists of a fresh issue of 29,82,000 shares worth INR 41.15 crores. The company aims to fund the capital expenditure of purchasing new plant and machinery and civil construction at the existing manufacturing unit to meet the working capital requirement and for general corporate purposes.
Energy Mission Machineries IPO – Important Dates
| Energy Missions Machineries IPO Date | May 9, 2024 to May 13, 2024 |
| Energy Missions Machineries IPO Listing Date | May 16, 2024 |
| Energy Missions Machineries IPO Price | INR 131-138 per share |
| Energy Missions Machineries IPO Lot Size | 1000 shares |
| Energy Missions Machineries IPO Total Issue Size | INR 41.15 crores |
| Energy Missions Machineries IPO Basis of Allotment | May 14, 2024 |
| Energy Missions Machineries IPO Initiation of Refunds | May 15, 2024 |
| Energy Missions Machineries IPO Credit of Shares to Demat | May 15, 2024 |
| Energy Missions Machineries IPO Issue Type | Book Built Issue IPO |
| Energy Missions Machineries IPO Listing At | NSE SME |
Energy Mission Machineries India IPO – Company Profile
Incorporated in 2011, the company designs and manufactures CNC, NC, and conventional metal forming machines that cater to the industrial sector’s requirement for metal fabrication solutions. The company offers over 600 variants of metal forming machines and sells its products in India as well as the USA, Switzerland, Russia, Nepal, Kenya, Uganda, UAE, Saudi Arabia, and other Middle Eastern countries.
The company operates through a manufacturing facility in Sanand (District – Ahmedabad), which is situated on a vast land area of over 18,234 sq. meters and is equipped with capabilities to design, develop, and manufacture the company’s product portfolio. The manufacturing facility has obtained ISO 9001:2015 certification.
Energy Mission Machineries India Limited IPO Review
| Particular | As of 31 March 2022 | As of 31 March 2023 | As of 31 August 2023 |
| Revenue (₹ in lakhs) | 7,835.27 | 9,956.34 | 4,929.28 |
| Equity (₹ in lakhs) | 1,563.01 | 2,353.02 | 2,819.31 |
| Expenses (₹ in lakhs) | 7,454.92 | 9,055.14 | 4,321.13 |
| Profit and Loss After Tax (₹ in lakhs) | 336.17 | 790.01 | 466.29 |
| Diluted EPS only (₹) | 4.03 | 9.47 | 5.59 |
| Return on Net Worth (%) | 21.51 | 33.57 | 16.54 |
| NAV per Equity Share (₹) | 18.73 | 28.20 | 33.79 |
| Total Assets (in lakhs) | 7,382.45 | 8,258.65 | 9,042.31 |
| Total Liabilities (in lakhs) | 5,819.44 | 5,905.63 | 6,223.00 |
| Debt-Equity Ratio | 1.03 | 1.12 | 0.86 |
| Current Ratio | 1.03 | 1.12 | 1.17 |
Energy-Mission Machineries (India) Limited IPO Fundamental Analysis
The financial analysis of the company’s data reveals fluctuations in revenue, profitability, and key ratios over the periods ending in March 2023 and August 2023. While there’s steady growth in equity and net asset value, the declining profitability metrics and fluctuating debt levels warrant closer scrutiny before considering investment in the IPO.
1. Revenue and Profitability:
- Revenue has shown growth from 2022 to 2023 but declined sharply by August 2023, possibly indicating seasonal fluctuations or operational challenges.
- Profit after tax also followed a similar pattern, increasing significantly in 2023 but decreasing by August 2023. This suggests potential volatility in earnings.
2. Equity and Liabilities:
- Equity has been steadily increasing, indicating the infusion of capital or retained earnings.
- Total liabilities have also shown an increasing trend, which could indicate increased borrowing or operational expansion.
3. EPS, RoNW, and NAV:
- Diluted EPS increased from 2022 to 2023 but declined by August 2023, indicating a potential slowdown in earnings per share growth.
- Return on Net Worth (RoNW) improved initially but decreased by August 2023, indicating a decrease in profitability compared to equity.
- NAV per equity share has shown consistent growth, reflecting a positive trend in the company’s net asset value.
4. Debt-Equity Ratio and Current Ratio:
- The debt-equity ratio increased slightly from 2022 to 2023 but decreased by August 2023, suggesting a fluctuating debt structure.
- The current ratio remained relatively stable, indicating the company’s ability to meet short-term obligations.
Energy Mission Machineries IPO Peer Comparison
Energy-Mission Machineries has steady income and RoNW but low EPS. Macpower CNC Machines shows high P/E, EPS, and RoNW, indicating growth. Jyoti CNC Automation has high income but low EPS and RoNW, suggesting efficiency challenges.
| Company | Total Income (₹ in lakhs) | Face Value (₹) | P/E (₹) | EPS (Basic & Diluted) (₹) | RoNW (%) | Book Value per Equity Share (₹) |
| Energy-Mission Machineries (India) Limited | 10,066.12 | 10 | NA | 9.47 | 33.57 | 28.20 |
| Macpower CNC Machines Limited | 20,214.00 | 10 | 55.83 | 12.89 | 13.34 | 96.61 |
| Jyoti CNC Automation Limited | 95,260.00 | 2 | 424.65 | 1.02 | 18.35 | 5.57 |
Energy-Mission Machineries (India) Limited IPO Objective
The main objective is to secure funds for expanding the manufacturing facility, purchasing new machinery, and meeting working capital needs through an upcoming IPO offer.
- To fund the civil construction in the existing manufacturing facility: The company plans to expand the existing manufacturing unit by constructing an additional shed and administration building which will enhance the production capacity. The company plans to utilise INR 6.86 crores for the said purpose.
- To fund the purchase and installation of plant and machineries: The Company intends to enhance its existing manufacturing capabilities through investment in additional plant & machineries. The company plans to utilise INR 7.42 crores for the said purpose.
- To meet working capital requirement: The business requires working capital majorly for investment in inventories, trade receivables and payment to trade payables and funding day to day operations. The company will meet the requirement to the extent of INR 15 crores from the offer.
Energy Mission Machineries IPO Risks And Challenges
Energy Mission Machineries risks include heavy reliance on CNC press brake machines for revenue, exposing it to sales fluctuations. High competition could lower revenues or market share, while lagging innovation may impact operations negatively.
- The company derives 67% of the revenue from ‘CNC press brake machines’.Any decline in the sales of the key product could have an adverse effect on the business, results of operations and financial condition.
- The company operates in a highly competitive industry and increased competition may lead to a reduction in the revenues, reduced profit margins or a loss of market share.
- Failure to innovate the product offerings and adapting to technological advancements and changes may have an adverse effect on the business and results of operations.
Energy-Mission Machineries (India) Limited IPO – Industry & Market Potential
The Indian automated material handling (AMH) market was valued at US$ 1,353.8 million in 2020 and is expected to go up to US$ 2,739.34 million by 2026 at a CAGR of 12.7%. The Indian material handling sector has observed a momentous growth in recent years due to rising investment in infrastructure development, increased demand for higher automation, and safe working practices in the manufacturing area.
The electrical machinery/equipment segment grew nearly 90% with shipments jumping to Rs. 13,606 crore (US$ 1.6 billion) in April-July 2022 from Rs. 7,202 crore (US$ 869 million) in the year-ago period.
Energy Mission Machineries India IPO – Type of Offer
Energy Missions Machineries Limited plans to offer 29,82,000 shares valued at INR 41.15 crores to fund capital expenditure for new plant and machinery, civil construction, working capital needs, and general corporate purposes.
Energy-Mission Machineries (India) Limited IPO Offer Size
The offer size for Energy Missions Machineries Limited comprises 29,82,000 shares valued at INR 41.15 crores. This funding is intended for capital expenditure, including new plant and machinery, civil construction, working capital requirements, and general corporate purposes.
Energy Mission Machineries IPO Allotment Structure
Energy Mission allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 35% for Non-Institutional Investors (NII), and 15% for Retail Individual Investors (RII) according to SEBI regulations. 1,50,000 shares are reserved for market makers.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 50% of the shares offered through the IPO will be reserved for Qualified Institutional Buyers. These include entities such as banks, mutual funds, and insurance companies.
● Non-Institutional Investors (NII): 35% of the shares will be reserved for Non-Institutional Investors. These typically include corporate bodies or individuals investing more than Rs.2 lakhs.
● Retail Individual Investors (RII): The remaining 15% of the shares will be allotted to Retail Individual Investors. These individual investors apply for shares with a total value of less than Rs.2 lakhs.
● Market Maker Reservation: A portion of shares is reserved for marker makers.
How to apply for Energy Mission Machineries IPO?
To apply for the Energy Missions Machineries 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 Energy Missions Machineries 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 Energy Missions Machineries 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 Energy Missions Machineries’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 Energy Missions Machineries 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 Energy Missions Machineries 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 Energy Missions Machineries IPO:
● Registrar’s Website: Visit the website of Bigshare Services Private Limited, the registrar of the Energy Missions Machineries 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.
● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) Small Medium Enterprise (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.
Energy Missions Machineries Ltd IPO Offer Registrar
The registrar for the Energy Missions Machineries 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 CavesRoad, Andheri East,
Mumbai – 400 093, Maharashtra, India
Tel: 022 – 6263 8200
E-mail: [email protected]
Website: www.bigshareonline.com
Energy Missions Machineries IPO – FAQs
The allotment date of the Energy Missions Machineries IPO is May 14, 2024.
The price band of the issue is INR 131-138 per share.
The offer size for Energy Missions Machineries Limited is 29,82,000 shares worth INR 41.15 crores. The company intends to utilize these funds for various purposes, including capital expenditure on new plant and machinery, civil construction, working capital needs, and general corporate purposes.
The listing date of Energy Missions Machineries IPO is May 16, 2024.
