Quadrant Future Tek Limited is coming up with an IPO consisting of an issue of 1,00,00,000 shares worth INR 290 crores. The company aims to meet its long-term working capital requirement, develop an electronic interlocking system, repay loans, and cover general expenses.
Quadrant Future Tek IPO – Important Dates
| Quadrant Future Limited IPO Date | January 7, 2025 to January 9, 2025 |
| Quadrant Future Limited IPO Listing Date | January 14, 2025 |
| Quadrant Future Limited IPO Price | INR 275-290 per share |
| Quadrant Future Limited IPO Lot Size | 50 Shares |
| Quadrant Future Limited IPO Total Issue Size | INR 290 crores |
| Quadrant Future Limited IPO Basis of Allotment | January 10, 2025 |
| Quadrant Future Limited IPO Initiation of Refunds | January 13, 2025 |
| Quadrant Future Limited IPO Credit of Shares to Demat | January 13, 2025 |
| Quadrant Future Limited IPO Issue Type | Book Built Issue IPO |
| Quadrant Future Limited IPO Listing At | BSE NSE |
Quadrant Future Tek Limited IPO – Company Profile
Quadrant is a research-oriented company engaged in developing new generation Train Control and Signalling Systems under the KAVACH project of the Indian Railways that offers the highest level of safety and reliability to rail passengers and also possesses a Speciality cable manufacturing facility with an Electron Beam Irradiation Centre.
The speciality cables manufactured by the Company are used in the Railways rolling stock and Naval (Defence) industry. The facility also possesses end-to-end infrastructure capabilities for the production of Solar & EV Cables. The Company has one facility for manufacturing, testing, researching, and developing speciality cables and also for manufacturing the hardware required for the Train Control & Signalling Division, which is situated at Village Basma Tehsil Banur, Distt Mohali.
Quadrant Future Tek Ltd IPO Fundamental Analysis
Quadrant Future’s strong equity growth in FY2024 and expense control are positives. However, the H1 FY2025 losses and rising debt are concerning.
- Revenue: Revenue remained stagnant from FY2023 to FY2024 but dropped significantly in H1 FY2025, indicating potential operational or market challenges.
- Equity and Liabilities: Equity increased significantly in FY2024, reflecting retained earnings or capital infusions. However, the reduction in H1 FY2025 indicates losses impacting equity. Liabilities grew consistently, with a sharper increase in H1 FY2025, increasing financial leverage.
- Profitability: While PAT grew in FY2024, H1 FY2025 recorded a significant loss, eroding prior gains.
- Earnings per Share (EPS): While FY2024 showed a minor improvement, the negative EPS in H1 FY2025 highlights a sharp decline in earnings per share.
- Financial Position: Steady asset growth reflects expansion or reinvestment. The slower growth in H1 FY2025 may indicate cautious spending.
Quadrant Future Tek IPO Financial Analysis
| Particular | As of 31 March 2023 | As of 31 March 2024 | As of 30 September 2024 |
| Revenue (₹ in millions) | 1,528.04 | 1,517.56 | 651.37 |
| Equity (₹ in millions) | 294.21 | 441.13 | 341.75 |
| Expenses (₹ in millions) | 1,330.14 | 1,299.38 | 776.33 |
| Profit and Loss After Tax (₹ in millions) | 139.04 | 147.13 | (121.05) |
| Diluted EPS only (₹) | 4.61 | 4.90 | (4.02) (not annualised) |
| Return on Net Worth (%) | 47.03 | 33.41 | (37.45) (not annualised) |
| NAV per Equity Share (₹) | 9.81 | 14.70 | 11.39 |
| Total Assets (in millions) | 1,188.18 | 1,428.21 | 1,496.61 |
| Total Liabilities (in millions) | 893.97 | 987.08 | 1,154.86 |
| Debt Equity Ratio (in times) | 2.52 | 1.86 | 3.05 |
Quadrant Future Tek Limited IPO Peer Comparison
Quadrant Future Tek has solid profitability with a 33.31% RoNW, while Kernex Micro struggles with negative earnings and RoNW. HBL Power and Apar Industries perform well, with Apar leading in revenue and EPS, followed by Polycab.
| Company | Revenue from operations (₹ in millions) | Face Value per Equity Share (₹) | P/E Ratio | EPS (Basic) (₹) | EPS (Diluted) (₹) | RoNW (%) | NAV (₹) |
| Quadrant Future Tek Limited | 1,518.23 | 10 | NA | 4.90 | 4.90 | 33.31 | 14.70 |
| Kernex Micro Systems Limited | 195.98 | 10 | NA | (16.61) | (16.61) | (24.61) | 63.61 |
| HBL Power Systems Limited | 22,333.55 | 1 | 61.59 | 10.07 | 10.07 | 22.87 | 44.03 |
| Apar Industries Limited | 161,529.80 | 10 | 49.11 | 212.10 | 212.10 | 20.80 | 965.01 |
| Polycab India Limited | 180,394.44 | 10 | 64.85 | 118.93 | 118.93 | 21.90 | 544.95 |
Quadrant Future Tek Ltd IPO Objective
Quadrant Future Tek plans to use the net proceeds as follows: INR 149.72 crores for long-term working capital, INR 24.37 crores for developing an electronic interlocking system, INR 23.62 crores for debt repayment, and the remaining for general corporate purposes.
- To meet the long-term working capital requirement: The additional funding requirements for the new business initiatives, including the Kavach project, shall be met out of the portion of the Net Proceeds. The company plans to utilise INR 149.72 crores for the said purpose.
- To develop an electronic interlocking system: The Company envisages completing the development of the EI System over a period of 15 months from the date of commencement of working on the same. The estimated amount of INR 24.37 crores is proposed to be utilised.
- Repayment/prepayment, in whole or in part, of certain borrowings: The company plans to utilise INR 23.62 crores from the Net Proceeds towards repayment or prepayment of outstanding borrowings to reduce indebtedness, improve debt-equity ratio, and support future business growth.
- General corporate purposes: The company will deploy funds for general corporate purposes, including meeting ordinary business expenses, servicing borrowings, brand building, strengthening marketing capabilities, managing contingencies, and other business needs.
Quadrant Future Tek IPO Risks And Challenges
Quadrant Future Tek faces risks from industry disruptions, legal proceedings, and reliance on its management and workforce. Any adverse developments in these areas could negatively impact its business, financial condition, operations, and growth prospects.
- The markets in which the customers operate are characterised by sectors specific to the industries they cater to and their rapidly changing preferences, technologies, and other related factors, including lower manufacturing costs. Accordingly, the company may be affected by any disruptions in the industry that can adversely impact the business, financial condition, results of operations, cash flows, and prospects.
- The Company, Directors, Promoters and Group Companies are parties to certain legal proceedings. Any adverse decision in such proceedings may have a material adverse effect on the business, operations, and financial condition.
- The success of the business and growth depends substantially on the management team and operational workforce. The inability to retain them could adversely affect the businesses.
Quadrant Future Tek Ltd IPO – Industry & Market Potential
Indian Railways is developing and creating technology in areas such as signalling and telecommunication, with 15,000 kms being converted into automatic signalling and 37,000 kms being fitted with ‘Kavach’, the domestically developed Train Collision Avoidance System. In the Union Budget 2024-25, allocation towards Kavach was amounting to ₹557 crores. This shows the increasing efforts to scale up the implementation of Kavach and ensure the safety of the government.
The Indian train control system market size was estimated to be valued at USD 208 million in CY23, which is further expected to reach USD 208 million in CY24E. For the forecast period CY24E-CY30, the market is anticipated to grow at a notable CAGR of 12.7%.
Quadrant Future Tek Limited IPO – Type of Offer
Quadrant Future Tek Limited is coming up with an IPO consisting of 1,00,00,000 shares worth INR 290 crores. The company plans to use the funds for long-term working capital, developing an electronic interlocking system, repaying loans, and covering general corporate expenses.
Quadrant Future Tek IPO Offer Size
The offer size is 1,00,00,000 shares worth INR 290 crores. The company intends to utilise the funds for long-term working capital, development of an electronic interlocking system, loan repayment, and general corporate expenses.
Quadrant Future Tek Limited IPO Allotment Structure
Quadrant Future Tek’s allocation will be as follows: 75% for Qualified Institutional Buyers (QIB), 15% for Non-Institutional Investors (NII), and 10% for Retail Individual Investors (RII) according to SEBI regulations.
● Qualified Institutional Buyers (QIB): As per SEBI regulations, 75% 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 10% 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.
How to apply for the Quadrant Future Tek IPO?
To apply for the Quadrant Future Tek 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.
- Check for IPO Details: Once your account is active, you can check for the Quadrant Future Tek 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 Quadrant Future Tek 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 Quadrant Future Tek 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 the 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 Quadrant Future Tek 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 Quadrant Future Tek 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, we request you 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 Quadrant Future Tek Limited IPO:
● Registrar’s Website: Visit the website of Link Intime India Private Limited, the registrar of the Quadrant Future Tek 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 NSE: You can also check the allotment status on the official websites of the Bombay Stock Exchange (BSE) National Stock Exchange (NSE). 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.
Quadrant Future Tek Ltd IPO Offer Registrar
The registrar for the Quadrant Future Tek Limited IPO is Link Intime India Private Limited. They are responsible for ensuring the IPO allotment and refund processes are carried out smoothly.
Contact information for the registrar:
Link Intime India Private Limited,
C-101, 1st Floor, 247 Park,
L.B.S. Marg, Vikhroli (West)
Mumbai – 400 083, Maharashtra, India
E-mail ID: [email protected]
Website: www.linkintime.co.in
Quadrant Future Tek IPO – FAQs
1. What is the allotment date of the Quadrant Future Tek IPO?
The allotment date of the Quadrant Future Tek is January 10, 2025.
2. What is the price band of the Quadrant Future Tek IPO?
The price band of the issue is INR 275 to 290 per share.
3. What is the size of the Quadrant Future Tek IPO?
The offer size is 1,00,00,000 shares worth INR 290 crores. The company intends to utilise the funds for long-term working capital, development of an electronic interlocking system, loan repayment, and general corporate expenses.
4. What is the listing date of the Quadrant Future Tek IPO?
The listing date of the Quadrant Future Tek is January 14, 2025.
5. Where is the Quadrant Future Tek IPO Getting Listed?
Quadrant Future Tek is getting listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
6. What are the open and close dates of the Quadrant Future Tek IPO?
The open and close dates of Quadrant Future Tek are January 7, 2025, and January 9, 2025, respectively.
7. How to apply for Quadrant Future Tek and Manufacturing Ltd IPO in Alice Blue?
To apply for the Quadrant Future Tek Limited IPO via Alice Blue, open a Demat and trading account, check IPO details, place your bid within the price band, submit the application, and later check the allotment status. Allotment depends on IPO demand.
8. Who is the Book Runner for the Quadrant Future Tek IPO?
The Book Runner for Quadrant Future Tek is Sundae Capital Advisors Private Limited.
