Jay Bee Laminations Limited is coming up with an IPO worth INR 88.96 crores, consisting of a fresh issue of 45,70,000 shares worth INR 66.72 crores and an offer to sell 15,23,000 shares worth INR 22.24 crores. The company aims to fund working capital requirements and meet general corporate purposes. 

Jay Bee Laminations IPO – Important Dates 

Jay Bee Laminations Limited IPO – Company Profile 

Jay Bee Laminations Limited, established in 1988, manufactures and supplies CRGO and CRNGO electrical steel cores, laminations, and slit coils for transformers, UPS, and inverters, with extensive in-house facilities, serving up to 220 kV transformers. 

Currently focused on supplying CRGO electrical steel cores to transformer manufacturers, these materials require specialized expertise in manufacturing and handling to ensure transformer safety and quality. All core-related materials must comply with BIS standards in India. 

Serving manufacturers of 11kV to 220kV transformers, CRGO steel cores are vital. They comprise 25-30% of transformer costs and are crucial for reducing transmission and distribution losses, underscoring their importance in power distribution. 

Jay Bee Laminations Ltd IPO Fundamental Analysis 

Jay Bee Laminations Limited’s financial analysis reveals a mixed performance. Revenue has grown enormously, while profitability, EPS, and RoNW have significantly improved. Debt reliance decreased, and increased liquidity suggests potential growth with more substantial sales. 

1. Revenue Trend: The revenue increased from ₹14,125.12 lakhs in March 2022 to ₹24,666.47 lakhs in March 2023. The revenue for the current year’s 12-month period ending March 2024 is INR 30,290.97 lakhs. 

2. Equity and Liabilities: Both equity and liability 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. 

3. Profitability: The profit after tax (PAT) has increased from ₹595.17 lakhs in March 2022 to ₹1,935.27 lakhs by March 2024. The rise in profitability could be a source of confidence for investors. 

4. Earnings per Share (EPS): The diluted EPS has also increased from ₹3.31 in March 2022 to ₹10.75 by March 2024, reflecting higher earnings per share for investors. 

5. Return on Net Worth (RoNW): The RoNW has risen from 19.14% to 30.81%, indicating an increase in the company’s ability to generate returns on shareholder equity.

6. 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. 

7. Inventory Turnover Ratio: There’s a significant increase in the Inventory Turnover   Ratio, which might suggest stronger sales or efficient inventory management. 

Jay Bee Laminations IPO Financial Analysis 

Jay Bee Laminations Limited IPO Peer Comparison 

Jay Bee Laminations Limited shows strong profitability and returns with a notable increase in EPS and RoNW. In comparison, Vilas Transcore Limited, while having a higher EPS, exhibits lower returns but a higher market valuation. 

Jay Bee Laminations Ltd IPO Objective 

The main objective of Jay Bee Laminations Limited is to meet working capital requirements. 

1. Funding their working capital requirements: The company intends to utilize INR 43 crores from the Net Proceeds of the Issue to meet its estimated Net Working Capital requirement of INR 131.22 crores for the Financial Year 2025. 

2. General corporate purposes: The company plans to use the net proceeds for general corporate purposes, including operating expenses, branding, promotion, advertisements, unforeseen difficulties, or other purposes deemed necessary in business. 

Jay Bee Laminations IPO Risks And Challenges 

Jay Bee Laminations Limited’s risk includes potential disruptions from past COVID-19 impacts, expansion-related cost overruns, and delays, which could affect profitability and financial performance. Effective management of these risks is crucial for sustained operations and growth. 

• In FY 2021, the company faced a net loss due to COVID-19 disruptions. Future expansions and listing costs may increase expenses without guaranteed revenue growth, risking profitability and consistent cash flow if challenges are not managed effectively. 

• Disruptions in their manufacturing facilities, like those during COVID-19, could severely impact operations, production, and financial performance. To avoid significant losses, they rely on continuous operations, timely supply of raw materials, and equipment functionality. 

• Expanding Unit II involves significant investment in infrastructure and machinery, with potential delays and cost overruns due to external agencies, procurement complexities, and regulatory approvals. These factors may impact the project’s financial outcomes and operational timeline. 

Jay Bee Laminations Ltd IPO – Industry & Market Potential 

Manufacturing transforms raw materials into finished products, crucial for economic growth. It employs a significant labour force and supports sectors like infrastructure. Recent trends show that U.S. factory output is growing, while global growth is mixed with challenges caused by economic instability. 

In FY23, manufacturing exports hit a record $447.46 billion, up 6.03%. India’s GDP was $694.93 billion in Q1 FY22, with manufacturing contributing 16.3%. By 2030, India could add over $500 billion annually to the global economy. 

India’s strong economic growth is projected at 6.3% for FY2025. Substantive capacity additions are planned to meet the peak electricity demand of 334.8 GW by 2029-30, including 292.7 GW of solar photovoltaic and 99.9 GW of wind power. 

Jay Bee Laminations Limited IPO – Type of Offer 

Jay Bee Laminations Limited plans a fresh issue of shares, seeking INR 66.72 crores to fund working capital requirements and general corporate needs. Additionally, the company proposes an offer for sale, intending to sell  0.1523 crore existing shares.

1. Fresh Issue: The company will issue new shares to raise capital, aiming to collect INR 66.72 crores. The company intends to utilize the proceeds from the fresh issue for funding working capital requirements and general corporate purposes. 
2. Offer for sale: Jay Bee Laminations Limited is offering to sell 0.1523 crore existing shares. The following are the details of the existing shareholders who are also the promoters selling the shares:

Jay Bee Laminations IPO Offer Size 

The offer size of Jay Bee Laminations Limited is INR 88.96 crores, consisting of a fresh issue of 45,70,000 shares worth INR 66.72 crores and an offer to sell 15,23,000 shares worth INR 22.24 crores. The company seeks funds for working capital requirements and general corporate needs. 

Jay Bee Laminations Limited IPO Allotment Structure 

Jay Bee Laminations Limited’s allocation will be as follows: 50% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 35% for Retail Individual Investors (RII) according to SEBI regulations. 305,000 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): 15% 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 35% 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, i.e. 305,000 shares, are reserved for market makers. 

How to apply for Jay Bee Laminations IPO?

To apply for the Jay Bee Laminations Limited IPO through Alice Blue, 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.

1. Check for IPO Details: Once your account is active, you can check for the Jay Bee Laminations Limited IPO details in the IPO section of the Alice Blue platform.
2. Place the Bid: Enter the number of shares you wish to buy and place your bid within the IPO’s price band.
3. Submit the Application: Confirm all your details and submit your application.

 You can apply for the Jay Bee Laminations 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 Jay Bee Laminations IPO Allotment Status?

Checking the allotment status of an IPO in Alice Blue is usually straightforward. Please follow these general steps:

1. Log in to your Alice Blue Account: You can do this through the Alice Blue website or the trading app.
2. 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.
3. 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.
4. Select the Jay Bee Laminations 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 Jay Bee Laminations Limited IPO.
5. 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, we request you to reach out to our customer support team at Alice Blue for detailed assistance. 

 Apart from Alice Blue, there are other ways to check the allotment status of the Jay Bee Laminations Limited IPO:

● Registrar’s Website: Visit the website of Bigshare Services Private Limited, the registrar of the Jay Bee Laminations 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.

● NSE SME: You can also check the allotment status on the official websites of the National Stock Exchange (NSE) 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.

Jay Bee Laminations Ltd IPO Offer Registrar

The registrar for the Jay Bee Laminations 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

E-mail Address: [email protected]

Website: www.bigshareonline.com 

Jay Bee Laminations IPO – FAQs