Rappid Valves (India) Limited IPO

Rappid Valves (India) IPO: Fresh issue of 13.69L shares worth ₹30.41 Cr for new plant, machinery, office renovation, debt repayment, growth initiatives & corporate purposes.

Important Details

Open Date : September 23, 2024 Close Date : September 25, 2024 Allotment Date: September 26, 2024 Listing Date: September 30, 2024

Important Details

IPO Price: INR 210-222 per share Lot Size: 600 Shares Total Issue Size: INR 30.41 crores

Fundamental Analysis

Rappid Valves India IPO shows mixed performance: 1. Strong financial improvement: Controlled expenses, rising profitability. 2. Efficient capital usage: Positive growth trajectory. 3. Healthier balance sheet: Attractive IPO. 4. Consider: High debt-equity ratio, fluctuating equity

Peer Comparison

Rappid Valves: Moderate profitability, strong RoNW at 14.59%, no P/E for comparison. Atam Valves: Solid returns, lower P/E of 20.36. Hawa Engineers: High P/E of 114.40, moderate returns

Objective

Rappid Valves India Ltd IPO Objective: Invest in plant and machinery: ₹6.73 crores. Office renovations: ₹38 lakhs. Repay borrowings: ₹10.50 crores. Other uses: Acquisitions and general corporate purposes.

Risks And Challenges

Rappid Valves India IPO Risks: 1. Negative cash flows: Potential growth risk. 2. Supply chain disruptions: Price fluctuations may impact product pricing. 3. Customer reliance: 72% revenue from top five customers poses significant risk.