The Indo Farm Equipment IPO, which opened for subscription on December 31, 2024, and will close on January 2, 2025, is a book-built issue aiming to raise Rs 260.15 crores. The issue consists of a fresh issue of 0.86 crore shares worth Rs 184.90 crores and an offer for sale of 0.35 crore shares totaling Rs 75.25 crores.
The IPO price band is set at ₹204 to ₹215 per share, with the minimum lot size for retail investors being 69 shares, amounting to ₹14,835. The minimum investment for sNII is ₹2,07,690 (14 lots), and for bNII, it is ₹10,08,780 (68 lots). The retail quota is 35%, QIB is 50%, and HNI is 15%.
The IPO allotment date is January 3, 2025, and the listing is expected to occur on BSE and NSE on January 7, 2025. The company, which reported revenue of ₹375.95 crores in 2024 compared to ₹371.82 crores in 2023, and a profit of ₹15.60 crores in 2024 against ₹15.37 crores in 2023, is expected to attract long-term investors.
Overview of Contents
About Indo Farm Equipment IPO
Incorporated in 1994, Indo Farm Equipment Limited is a leading manufacturer of tractors, pick-and-carry cranes, and harvesting machinery, operating under the brands Indo Farm and Indo Power. The company exports to countries like Nepal, Syria, Sudan, Bangladesh, and Myanmar.
Its state-of-the-art manufacturing facility in Baddi, Himachal Pradesh, spans 127,840 square meters and has an annual production capacity of 12,000 tractors and 720 cranes, with plans to expand crane production by an additional 3,600 units per year.
Backed by an experienced management team and in-house NBFC for customer financing, the company reported ₹370.76 crores in revenue and ₹15.56 crores in profit for FY 2023, showcasing consistent growth and strong market potential.
Indo Farm Equipment IPO Details
| Details | Information |
|---|---|
| IPO Date | December 31, 2024 to January 2, 2025 |
| Listing Date | Tuesday, January 7, 2025 |
| Face Value | ₹10 per share |
| Price Band | ₹204 to ₹215 per share |
| Lot Size | 69 Shares |
| Total Issue Size | 1,21,00,000 shares (aggregating up to ₹260.15 Cr) |
| Fresh Issue | 86,00,000 shares (aggregating up to ₹ 184.90 Cr) |
| Offer for Sale | 35,00,000 shares of ₹10 (aggregating up to ₹[.] Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 3,75,51,600 shares |
| Share Holding Post Issue | 4,80,51,600 shares |
| DRHP Draft Prospectus | Click here |
| RHP Draft Prospectus | Click here |
| Retail Quota | Not more than 35% |
| QIB Quota | Not more than 50% |
| NII Quota | Not more than 15% |
Indo Farm Equipment IPO Market Lot
| Application | Lot Size | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 69 | ₹14,835 |
| Retail (Max) | 13 | 897 | ₹1,92,855 |
| S-HNI (Min) | 14 | 966 | ₹2,07,690 |
| S-HNI (Max) | 67 | 4,623 | ₹9,93,945 |
| B-HNI (Min) | 68 | 4,692 | ₹10,08,780 |
Indo Farm Equipment IPO Dates
| IPO Open Date | Tuesday, December 31, 2024 |
| IPO Close Date | Thursday, January 2, 2025 |
| Basis of Allotment | Friday, January 3, 2025 |
| Initiation of Refunds | Monday, January 6, 2025 |
| Credit of Shares to Demat | Monday, January 6, 2025 |
| Listing Date | Tuesday, January 7, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on January 2, 2025 |
Indo Farm Equipment IPO Reservation
| KPI | Values |
|---|---|
| ROE: | 5.13% |
| ROCE: | 8.96% |
| EBITDA Margin: | 16.66% |
| PAT Margin: | NA |
| Debt to equity ratio: | 0.97 |
| Earning Per Share (EPS): | ₹4.15 (Basic) |
| Price/Earning P/E Ratio: | N/A |
| Return on Net Worth (RoNW): | 4.92% |
| Net Asset Value (NAV): | ₹86.75 |
Indo Farm Equipment IPO Company Financial Report
| Period Ended | Revenue | Expense | Profit After Tax | Assets |
|---|---|---|---|---|
| 2022 | ₹352.08 | ₹333.34 | ₹13.72 | ₹619.83 |
| 2023 | ₹371.82 | ₹349.57 | ₹15.37 | ₹622.84 |
| 2024 | ₹375.95 | ₹352.06 | ₹15.60 | ₹647.95 |
| June 2024 | ₹75.54 | ₹71.79 | ₹2.45 | ₹644.27 |
Peer Group Comparison
| Company | EPS | PE Ratio | RoNW % | NAV | Income |
|---|---|---|---|---|---|
| Escorts Kubota Limited | 58.85 | 54.95 | 7.78% | 620.19 | 84,286.90 Cr. |
| Action Construction Equipment Limited | 14.41 | 46.71 | 19.37% | 77.27 | 21,596.75 Cr. |
Objects of the Issue
| Objects of the Issue | Details |
|---|---|
| Expansion of Manufacturing Capacity | Establishing a new dedicated unit to expand the production of Pick & Carry Cranes. |
| Repayment of Borrowings | Partial or full repayment/pre-payment of specific borrowings to reduce debt. |
| Investment in NBFC Subsidiary | Capital infusion into Barota Finance Ltd. to strengthen its financial base and meet future growth needs. |
| General Corporate Purposes | Meeting various general corporate expenses to support business operations. |
Indo Farm Equipment IPO Registrar
Mas Services Limited
Phone: (011) 2610 4142
Email: [email protected]
Website: https://www.masserv.com/opt.asp
Company Address
Indo Farm Equipment Limited
SCO 859,
NAC Manimajra Kalka Road,
Chandigarh 160101
Phone: 0172-2730060
Email: [email protected]
Website: https://www.indofarm.in/
Conclusion
Indo Farm Equipment Limited, a prominent player in the manufacturing of tractors, pick-and-carry cranes, and harvesting machinery, is launching its IPO to drive growth and strengthen its market presence. With proceeds aimed at expanding its crane manufacturing capacity, reducing debt, and infusing capital into its NBFC subsidiary, the company demonstrates a clear strategy for future scalability.
Backed by a robust manufacturing setup, experienced management, and growing demand in domestic and international markets, Indo Farm has shown consistent financial performance, with revenue and profit growth over recent years. While key details like the IPO price band and dates are yet to be announced, the company’s strong fundamentals and growth-oriented approach make this IPO an appealing opportunity for investors seeking long-term value in the agricultural and construction equipment sector.
Indo Farm Equipment IPO FAQs
When does the Indo Farm Equipment IPO open and close?
The Indo Farm Equipment IPO opens on December 31, 2024, and closes on January 2, 2025.
What is the size of the Indo Farm Equipment IPO?
The IPO includes 1.21 crore shares, comprising a fresh issue of 0.86 crore shares and an offer for sale of 0.35 crore shares.
What is the price band for the Indo Farm Equipment IPO?
The price band is ₹204 to ₹215 per share
What is the quota allocation for retail investors, QIBs, and HNIs?
Retail quota: 35%, QIB: 50%, HNI: 15%.
When is the allotment date for the Indo Farm Equipment IPO?
The basis of allotment will be finalized on January 3, 2025.
When will refunds be processed for the Indo Farm Equipment IPO?
Refunds will be processed on January 6, 2025.
When will shares be credited to the demat accounts?
Shares will be credited to demat accounts on January 6, 2025.
What is the listing date for the Indo Farm Equipment IPO?
The listing is expected on January 7, 2025, on BSE and NSE.
How did the company perform financially in 2023 and 2024?
The company reported a revenue of ₹375.95 crores in 2024 and a profit of ₹15.60 crores.
Should investors consider applying for the Indo Farm Equipment IPO?
The IPO is recommended for long-term investment based on the company’s financials.