NEWS

Chaman Metallics Limited IPO : Highlights

Chaman Metallics Limited IPO is set to launch on 4 Jan., 2022. The company initiated its business operations in 2003. The company is involved in the business of manufacturing and selling Direct Reduced Iron. This material is used widely as a raw material in making steel inside induction furnaces and electric arc furnaces. Its manufacturing unit is located in Chandrapur, Maharashtra. It is spread across 63 acres and has an annual capacity of 72000 MT through 2 rotary kilns. Its customers include R.K. Steel Sales, Rakesh Steel and Wire industries, Gajkesari Steels, SWW Ispat Pvt. Lyd. and Alloys Pvt. Ltd etc. Its sale is majorly done across Maharashtra, Chhattisgarh and Odisha.

Chaman Metallics Limited IPO DETAILS

Chaman Metallics Limited IPO is set to launch on 4 Jan., 2022. The subscription timeline extends till 6 Jan, 2023. The size for the IPO is 24.21 Crore Rs.. Shares issued through fresh issues are worth 24.21 Crore Rs. No shares are issued through Offer For Sale mode. The lot size is 3000 shares and the price is 38 Rs per share. The company is going to get listed at NSE SME. The face value per share is Rs.10 and this is a Fixed Price issue. The registrar for the company is Link Intime India Private Limited.

Tabular Description of Chaman Metallics Limited IPO

IPO OPENING DATE	4 Jan., 2022
CLOSING DATE FOR IPO	6 Jan, 2023
ISSUE TYPE	Fixed Price Issue
Face Value per share	10 Rs. per share
IPO price band	38 Rs. per share
LOT SIZE	3000 shares
MINIMUM ORDER QUANTITY	3000 shares
ISSUE SIZE	24.21 Crore Rs.
OFFER FOR SALE	No shares issued through this mode
FRESH ISSUE	24.21 Crore Rs.
LISTING AT	NSE SME
LISTING DATE	16 Jan, 2023

IMPORTANT DATES

IPO OPENING DATE	4 Jan., 2022
CLOSING DATE FOR IPO	6 Jan, 2023
IPO ALLOTMENT DATE	11 Jan, 2023
REFUNDS	12 Jan, 2023
DEMAT A/C CREDITED ON	13 Jan, 2023
IPO LISTING DATE	16 Jan, 2023

Chaman Metallics Limited IPO begins for subscription from 4 Jan., 2022. The IPO subscription would continue till 6 Jan, 2023. The allotment status for the shareholders who applied would come on 11 Jan, 2023. The refunds for the ones who did not get allotment would be initiated on 12 Jan, 2023. The DEMAT accounts of shareholders would be credited on 13 Jan, 2023. The listing of the company would be accompanied on 16 Jan, 2023.

Lead Managers

The lead managers are :

Hem Securities Limited

The minimum lot size for the company is decided at 3000 shares. This holding accounts to 114000 Rs.. The maximum lot size is decided at 6000 shares (HNI). This amounts to 228000 Rs.. Hence the company’s final holdings would be set as :

	Shares	Amount
Minimum	3000 shares	114000 Rs.
Maximum	6000 shares	228000 Rs.

OBJECTIVES FOR THE IPO

For General corporate purposes.
The funds can be used for working capital requirements.

COMPANY FINANCIALS

Particularly (in Lakh Rs.)	2021-22	2020-21	2019-20
ASSETS	7378	5872	5400
Revenue	18546	14076	5837
PAT	934	523	370

Chaman Metallics Limited has an asset base of 7378 Lakh Rs in 2022. The same has been increased by almost 2000 Lakh Rs across 2 years. The assets of 2020 were 5400 Lakh Rs and that of 2021 were 5872 Lakh Rs. The revenue of the company is quite amazing given the asset size. The company has generated more than 2 times of asset base as its revenue in 2022. The revenue for 2022 was 18546 Lakh Rs. The same was almost 3 times more than the asset base in 2021 at 14076 lakh Rs.

The profit of the company has been witnessing a good surge every year. The profits in 2020 were 370 Lakh Rs which increased to 523 Lakh Rs. The company has been almost increasing its profit by 1.5 to 2 times in the past 3 years. The profits in 2022 was 934 Lakh Rs. Thus the financials look quite impressive for the company.

PROS

The company has its own manufacturing facility spread across 63 acres with an annual capacity of 72000 MT.
Its customers include R.K. Steel Sales, Rakesh Steel and Wire industries, Gajkesari Steels, SWW Ispat Pvt. Lyd. and Alloys Pvt. Ltd etc.