The Agarwal Toughened Glass IPO is a fresh issue worth ₹62.64 crores, offering 58 lakh equity shares. The IPO opens for subscription on November 28, 2024, and closes on December 2, 2024. The price range is set between ₹105 and ₹108 per share.
Retail investors can apply for at least 1 lot (1,200 shares), requiring an investment of ₹1,29,600, while HNIs need to apply for a minimum of 2 lots (2,400 shares), amounting to ₹2,59,200. The allotment of shares will be finalized on December 3, 2024, and the IPO is expected to list on the NSE SME platform on December 5, 2024. This IPO is a great chance for investors to be part of a growing company in the glass manufacturing business.
Overview of Contents
Agarwal Toughened Glass IPO Details
| Particulars | Details |
|---|---|
| IPO Dates | November 28, 2024, to December 2, 2024 |
| Tentative Listing Date | December 5, 2024 |
| Face Value | ₹10 per share |
| Price Band | ₹105 to ₹108 per share |
| Lot Size (Minimum Order) | 1 lot = 1,200 shares |
| Minimum Investment | ₹129,600 (for retail investors) |
| Issue Size | 5,799,600 shares (aggregating up to ₹62.64 crores) |
| Fresh Issue | 5,799,600 shares (aggregating up to ₹62.64 crores) |
| Issue Type | Book Built Issue IPO |
| Listing Platform | NSE SME |
| Pre-Issue Shareholding | 1,18,75,000 shares |
| Post-Issue Shareholding | 1,76,74,600 shares |
| Market Maker Allocation | 2,97,600 shares |
| Purpose of IPO | To fund business expansion, working capital needs, and general corporate purposes |
| Strength of Company | Leading name in the toughened glass manufacturing industry with a strong market presence |
Agarwal Toughened Glass India IPO Dates
The Agarwal Toughened Glass India IPO offers a promising investment opportunity with a well-defined timeline for its process. Below is a detailed schedule to help investors keep track of important dates and steps involved.
| Event | Date | Details |
|---|---|---|
| IPO Open Date | Thursday, November 28, 2024 | The IPO opens for subscription, allowing investors to apply during this window. |
| IPO Close Date | Monday, December 2, 2024 | The final day to submit applications. Ensure UPI mandate confirmation by 5 PM on this date. |
| Cut-off Time for UPI Mandate | Monday, December 2, 2024 (5 PM) | Investors using UPI should confirm their payment mandates before the cut-off time. |
| Basis of Allotment Finalization | Tuesday, December 3, 2024 | The allotment of shares will be finalized and communicated to investors. |
| Initiation of Refunds | Wednesday, December 4, 2024 | Refunds for non-allotted shares will begin processing for eligible applicants. |
| Credit of Shares to Demat | Wednesday, December 4, 2024 | Shares allotted to investors will be credited to their Demat accounts. |
| Listing Date | Thursday, December 5, 2024 | The IPO shares will be listed and begin trading on the NSE SME platform |
Additional Notes for Investors
- UPI Mandate Confirmation: To avoid application rejection, ensure the UPI mandate is accepted before the 5 PM deadline on December 2, 2024.
- Refund Process: Refunds are processed promptly, and investors should check their registered accounts for updates.
- Demat Account Requirement: Make sure your Demat account details are accurate during the application process to avoid any issues with share credit.
Agarwal Toughened Glass India IPO Lot Size
Investors can apply for the Agarwal Toughened Glass India IPO in lots of 1,200 shares and in multiples thereof. The minimum investment starts with 1 lot for retail investors, while High Net-worth Individuals (HNIs) must apply for at least 2 lots. The table below provides a detailed breakdown of the investment requirements for retail and HNI investors.
| Category | Application | Lots | Shares | Investment Amount | Details |
|---|---|---|---|---|---|
| Retail Investors | Minimum | 1 | 1,200 | ₹1,29,600 | Retail investors can apply for 1 lot, which is the maximum allowed for them. |
| Retail Investors | Maximum | 1 | 1,200 | ₹1,29,600 | Retail category investors cannot apply for more than 1 lot due to limits. |
| HNIs | Minimum | 2 | 2,400 | ₹2,59,200 | HNIs must apply for at least 2 lots or more to qualify under this category. |
| HNIs | Maximum | Depends on Issue Size | Based on remaining shares | Based on bid size | HNIs can apply for additional lots, depending on availability and demand. |
Additional Notes on Lot Size
- Retail Investment Limit: Retail investors are capped at a maximum investment of ₹2,00,000 as per SEBI regulations, which translates to a single lot in this IPO.
- HNI Category Advantage: HNIs can apply for multiple lots, allowing them to make larger bids and increase allocation chances.
- Important Tip: Ensure your application matches the lot size multiple to avoid rejection.
Agarwal Toughened Glass India IPO Reservation
The Agarwal Toughened Glass India IPO offers a total of 57,99,600 shares, divided across various investor categories to ensure fair participation. Anchor investors have the largest share allocation, followed by retail investors, qualified institutional buyers (QIBs), and non-institutional investors (NIIs or HNIs). Market makers also have a reserved portion to maintain liquidity post-listing. Below is a detailed breakdown of the share allocation:
| nvestor Category | Shares Offered | Percentage of Total Shares | Details |
|---|---|---|---|
| Anchor Investors | 16,50,000 | 28.45% | Reserved for large institutional investors committed before the IPO opens. |
| Market Makers | 2,97,600 | 5.13% | Ensures sufficient liquidity in the market after listing. |
| Qualified Institutional Buyers (QIB) | 11,00,400 | 18.97% | Allocated to institutions like mutual funds, banks, and FIIs. |
| Non-Institutional Investors (NII or HNI) | 8,25,600 | 14.24% | Reserved for high-net-worth individuals bidding above ₹2,00,000. |
| Retail Individual Investors (RII) | 19,26,000 | 33.21% | The largest allocation for retail investors applying within ₹2,00,000 limit. |
| Total Shares | 57,99,600 | 100% | Represents the complete IPO offering. |
Additional Notes on Share Allocation
- Retail Investors’ Advantage: Retail investors get the largest allocation (33.21%), encouraging participation from smaller investors.
- Anchor Investors’ Role: Anchor investors strengthen market confidence by committing before the IPO opens.
- Market Maker Allocation: Ensures smooth trading and liquidity on listing day.
Agarwal Toughened Glass India IPO Promoter Details
The promoters of Agarwal Toughened Glass India include Anita Agarwal, Mahesh Kumar Agarwal, Uma Shankar Agarwal, and Sharda Agarwal, who play a pivotal role in the company’s operations and strategic decisions. The IPO will result in a reduction of the promoters’ shareholding due to the issuance of new shares. Below is a detailed table providing insights into the pre- and post-IPO shareholding structure.
| Promoter Information | Details |
|---|---|
| Promoters | Anita Agarwal, Mahesh Kumar Agarwal, Uma Shankar Agarwal, and Sharda Agarwal |
| Role | Founders and key stakeholders responsible for strategic and operational management. |
Promoters’ Shareholding Structure
| Category | Pre-Issue Shareholding | Post-Issue Shareholding | Details |
|---|---|---|---|
| Promoters' Holding | 95.16% | 63.94% | Significant reduction due to the issuance of new shares. |
| Public Shareholding | 4.84% | 36.06% | Increased public participation post-IPO. |
| Impact of IPO | - | - | IPO expands the company’s equity base and raises capital. |
Additional Notes on Promoters’ Role and Shareholding
- Pre-IPO Dominance: Promoters hold a controlling stake of over 95% before the IPO, showcasing their strong involvement in the company.
- Post-IPO Transition: The reduction to 63.94% reflects a step towards enhancing public and institutional investor participation.
- Corporate Vision: The promoters aim to use IPO proceeds for business expansion and meeting working capital needs, ensuring sustained growth.
Agarwal Toughened Glass India IPO Anchor Investors Details
The Agarwal Toughened Glass India IPO raised ₹17.82 crore from anchor investors, ensuring strong market confidence ahead of the IPO. The anchor bidding took place on November 27, 2024, a day prior to the IPO opening. Anchor investors are allotted 16,50,000 shares, with a mandatory lock-in period to stabilize post-listing prices. Below is a detailed overview of the anchor investors’ allotment and lock-in terms.
| Details | Information |
|---|---|
| Anchor Bid Date | November 27, 2024 |
| Shares Offered to Anchor Investors | 16,50,000 |
| Anchor Portion Size | ₹17.82 crore |
| Lock-in Period End Date for 50% Shares | January 2, 2025 (30 days from listing) |
| Lock-in Period End Date for Remaining Shares | March 3, 2025 (90 days from listing) |
| Role of Anchor Investors | Provides stability and builds investor confidence before IPO opens. |
Additional Insights on Anchor Investors
- Strategic Investment: Anchor investors include institutional players who commit funds in advance, showcasing faith in the company.
- Lock-in Period: The lock-in prevents large-scale selling immediately after the listing, ensuring smoother trading dynamics.
- Market Confidence Booster: Anchor allotment is a positive signal to retail and other investors, often influencing subscription levels.
About Agarwal Toughened Glass India Limited
Incorporated in October 2009, Agarwal Toughened Glass India Limited specializes in manufacturing tempered glasses for diverse industries, including shower doors, refrigerator trays, mobile screen protectors, and bulletproof glass. The company is ISO 9001:2015 certified, emphasizing its commitment to quality. Catering to sectors such as office buildings, hotels, banks, and shopping centers, its product portfolio includes annealed glass, toughened glass, insulated glass, laminated safety glass, and heat-soaked glass. Known for its strong brand presence, focus on quality, and experienced management, the company employs 207 staff members as of September 30, 2024, dedicated to delivering excellence across operations.
Objects of the Issue (Agarwal Toughened Glass India IPO Objectives)
The net proceeds from the Agarwal Toughened Glass India IPO are intended to be utilized for the following purposes:
| Objective | Details |
|---|---|
| Purchase of Machinery | To enhance manufacturing capabilities at the existing production facility. |
| Repayment of Borrowings | To reduce the company’s debt and improve its financial position. |
| Working Capital Requirements | To meet the incremental working capital needs for business expansion. |
| General Corporate Expenses | For any other corporate expenses as deemed necessary by the company. |
Agarwal Toughened Glass India IPO Review
Agarwal Toughened Glass India Ltd. (ATGIL) is offering 5,799,600 shares through its IPO, with a price band of ₹105-₹108 per share. The company manufactures toughened glass for various industries, including construction, automotive, and industrial sectors. The IPO proceeds will be used for machinery purchase, debt repayment, working capital, and general expenses.
The company has shown significant growth in profitability in FY24, with a sharp increase in net profit. However, the sustainability of these earnings is uncertain. The issue is priced at a P/E of 21.01 based on FY25 annualized earnings, which may appear fully priced.
While ATGIL has a strong market presence and a wide product range, investors should be cautious about its high margins and earnings volatility. It is advisable for well-informed investors to invest moderate funds for the medium term.
Conclusion: Agarwal Toughened Glass IPO
Agarwal Toughened Glass India Ltd. (ATGIL) is offering 5.8 million shares at ₹105–₹108 to raise funds for machinery, debt repayment, and working capital. The company has shown strong growth, particularly in FY24, but concerns over the sustainability of earnings exist. The IPO is priced at a P/E of 21.01, which may be considered fully priced compared to peers. While ATGIL has a strong brand and market presence, investors should approach cautiously due to fluctuating margins and lack of dividend history. It’s suitable for risk-tolerant, medium-term investors.
Frequently Asked Questions (FAQs) about Agarwal Toughened Glass IPO
What is the price band for Agarwal Toughened Glass IPO?
The price band for the Agarwal Toughened Glass IPO is ₹105 to ₹108 per share.
When does the Agarwal Toughened Glass IPO open and close?
The IPO opens on November 28, 2024, and closes on December 2, 2024.
What is the lot size for the Agarwal Toughened Glass IPO?
The lot size for the IPO is 1200 shares, with a minimum investment of ₹129,600.
How many shares are being offered in the Agarwal Toughened Glass IPO?
The total issue size is 5,799,600 shares, aggregating up to ₹62.64 crore.
What will the proceeds from the IPO be used for?
The funds will be used for purchasing machinery, repayment of borrowings, working capital requirements, and general corporate expenses.
What is the listing date for Agarwal Toughened Glass IPO?
The listing date is December 5, 2024, on the NSE SME Emerge platform.
Who is managing the Agarwal Toughened Glass IPO?
The IPO is managed by Cumulative Capital Pvt. Ltd. and KFin Technologies Ltd., with Nikunj Stock Brokers Ltd. as the market maker.
What are the competitive strengths of Agarwal Toughened Glass India?
The company has strong brand presence, experienced management, long-standing customer relationships, and a focus on quality.