Indo Farm Equipment IPO Price: ₹204 to ₹215 per share
IPO Dates: 31 December 2024 – 2 January 2025
Company Overview
Established in 1994, Indo Farm Equipment Limited specializes in manufacturing tractors, Pick & Carry Cranes, and other harvesting equipment. The company operates under two brands, Indo Farm and Indo Power, and exports its products to various countries, including Nepal, Syria, Sudan, Bangladesh, and Myanmar.
Product Range and Manufacturing Capabilities
Indo Farm manufactures tractors ranging from 16 HP to 110 HP and Pick & Carry Cranes with capacities from 9 to 30 tons. Their manufacturing facility in Baddi, Himachal Pradesh, spans 127,840 sq. meters and includes an integrated setup with a foundry, machine shop, and assembly units. The facility has an annual production capacity of 12,000 tractors and 1,280 Pick & Carry Cranes.
To support future growth, the company has acquired additional industrial land near its existing facility to establish a new Pick & Carry Crane manufacturing unit. This expansion aims to increase crane production capacity by 3,600 units annually.
Workforce and Infrastructure
As of June 30, 2024, Indo Farm employed 938 individuals across various departments. The company’s infrastructure includes a captive foundry, machine shop, and fabrication and assembly units, ensuring a fully integrated manufacturing process for its products.
Competitive Strengths
Indo Farm Equipment Limited boasts several key competitive advantages:
- Global Presence: Products accepted in multiple countries and supported by a wide network of financial institutions.
- Integrated Manufacturing Setup: A fully established facility with comprehensive in-house capabilities.
- Experienced Leadership: A well-educated and experienced management team.
- In-House NBFC: The company operates its own NBFC setup to support financial growth.
- Diverse Product Portfolio: A wide range of products catering to various customer needs.
Bidding Starts In
Indo Farm Equipment IPO Specifics:
| 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 (aggregating up to ₹75.25 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | BSE, NSE |
| Share holding pre issue | 3,94,51,600 shares |
| Share holding post issue | 4,80,51,600 shares |
Indo Farm Equipment IPO Timetable (Important 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 Lot Size
Bidders have the opportunity to bid for a minimum of 69 shares, with the option to increase in multiples. The table below outlines the minimum and maximum investment thresholds for both retail investors and High Net Worth Individuals (HNIs), specifying the corresponding number of shares and amounts involved.
| Application | Lots | 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 Reservation
| QIB Shares Offered | Not more than 50% of the Net offer |
| Retail Shares Offered | Not less than 35% of the Offer |
| NII (HNI) Shares Offered | Not less than 15% of the Offer |
Indo Farm Equipment Limited IPO Financial Information
Indo Farm Equipment Limited saw a marginal uptick of 1% in its revenue and a corresponding 1% uptrend in profit after tax (PAT) for the period ending on March 31, 2024, as compared to the same period ending on March 31, 2023.
| Period Ended | 31 Mar 2022 | 31 Mar 2023 | 31 Mar 2024 | 30 June 2024 |
|---|---|---|---|---|
| Assets | 619.83 | 622.84 | 647.95 | 644.27 |
| Revenue | 352.52 | 371.82 | 375.95 | 75.54 |
| Profit After Tax | 13.72 | 15.37 | 15.6 | 2.45 |
| Net Worth | 274.8 | 290.37 | 317.06 | 342.25 |
| Total Borrowing | 275 | 280.65 | 270.54 | 245.36 |
Key Performance Indicator – Indo Farm Equipment IPO
| KPI | Values |
|---|---|
| MArket Cap | ₹ 1033.11 Cr |
| EPS | ₹3.95 |
| P/E (x) | 54.39 |
| ROE | 5.13% |
| ROCE | 8.96% |
| Debt / Equity | 0.01 |
| RoNW | 4.92% |
Objects of the Issue:
The net proceeds from the Fresh Issue will be utilized for the following purposes:
- Funding general corporate expenses.
- Establishing a new dedicated unit to expand the manufacturing capacity of Pick & Carry Cranes.
- Repaying or prepaying, either fully or partially, certain borrowings undertaken by the Company.
- Increasing investment in the NBFC subsidiary, Barota Finance Ltd., to strengthen its capital base for future growth.
Prospectus Links:
Prospectus: Official documents that provide detailed information about the IPO and the company.
