The company initiated its business operation around the 1980s. The company has forty years+ of experience in its field of business. It specialised into the field of providing optics for the programs related to Indian Optics. The major products for the company involve Defence Electronics, Electromagnetic Pulse Protection Solutions, Defence and Space Optics and Niche Technologies.
Currently the company has 2 manufacturing plants in India. Both of them are located in Maharashtra.
IPO DETAILS
The company’s IPO is set to launch on 21st Sept., 2021. The subscription timeline extends till 23rd Sept., 2021. The size for the IPO is 170.78 Crore Rs.. Shares issued through Offer for sale are 30.18 Crore Rs. Shares worth Rs. 140.78 are issued through Fresh issue. The minimum lot size is 85 shares and the price is set at 165 Rs. – 175 Rs./ share. The company is going to get listed at both the exchanges NSE and BSE. The face value per share is Rs. 10 and this is a book built issue. The registrar for the company is Link Intime India Private Limited.
TABULAR REPRESENTATION OF IPO DETAILS
| IPO OPENING DATE | 21st Sept., 2021 |
| CLOSING DATE FOR IPO | 23rd Sept., 2021 |
| ISSUE TYPE | Book Built Issue |
| Face Value per share | 10 Rs. per share |
| IPO price band | 165 Rs. – 175 Rs. |
| LOT SIZE | 85 shares |
| MINIMUM ORDER QUANTITY | 85 shares |
| ISSUE SIZE | 170.78 Crore Rs. |
| OFFER FOR SALE | 30.18 Crore Rs. |
| FRESH ISSUE | 140.60 Crore Rs. |
| LISTING AT | NSE, BSE |
| LISTING DATE | 1st, Oct 2021 |
IMPORTANT DATES
| IPO OPENING DATE | 21st Sept., 2021 |
| CLOSING DATE FOR IPO | 23rd Sept., 2021 |
| IPO ALLOTMENT DATE | 28th Sept., 2021 |
| REFUNDS | 29th Sept., 2021 |
| DEMAT A/C CREDITED ON | 30th Sept., 2021 |
| IPO LISTING DATE | 1st Oct, 2021 |
The company’s IPO begins for subscription from 21st Sept., 2021. The IPO subscription would continue till 23rd Sept., 2021. The allotment status for the shareholders who applied would come on 28th Sept., 2021. The refunds for the ones who did not get allotment would be initiated on 29th Sept., 2021. The DEMAT accounts of shareholders would be credited on 30th Sept., 2021. The listing of the company would be accompanied on 1st Oct, 2021.
Promoters and Lead Managers
The promoters of the company are Munjal Shah and Sharad Shah.
The lead managers are :
- Anand Rathi Securities Limited
The minimum lot size for the company is decided at 85 shares. This holding accounts to 14875 Rs.. The maximum lot size is decided at 1105 shares. This amounts to Rs. 193375. Hence the company’s final holdings would be set as :
| Shares | Amount | |
| Minimum | 85 shares | 14875 Rs |
| Maximum | 1105 shares | 193375 Rs |
OBJECTIVES FOR THE IPO
- The money from the IPO can also be utilized to meet general corporate purposes.
- The company to pay off the major chunk of debtors from the balance sheet. Hence raising the IPO money will help them to do that.
- Paras Defence and Space Technologies Limited wants to have money for funding the future capital and working capital requirements.
COMPANY FINANCIALS
| Particulars (in Million Rs.) | 2020-21 | 2019-20 | 2018-19 |
| ASSETS | 3627 | 3423 | 3297 |
| REVENUE | 1446 | 1490 | 1571 |
| NET PROFIT | 157 | 196 | 189 |
Paras Defence And Space Technologies Limited has a stable asset base. The company’s assets are increasing at a stable amount of 200 Crore Rs every year. The revenues of the company have been decreasing every year which is not at all a good sign. It has a lot of competition put there in the market and hence needs to keep up with the figures. The profits of the company have also taken a hit of 30 crore Rs in the near future. Hence one needs to be very selective with the stock looking at the financial data.
PROS
- Paras Defence And Space Technologies Limited has a diversified product portfolio.
- Itr has tie ups with the major companies across the world like HPL, Genesys etc.
- The company has a well experienced team with R&D facilities.
CONS
- The company needs to scale up its business if it wants to grow ahead. In today’s world every nation is trying to achieve the unseen limits of Space and the company has an opportunity for the same. However with such a small cash and asset base it cannot sustain in the future.
Paras Defence And Space Technologies Limited IPO APPLICATION PROCESS WITH ZERODHA
It is very easy to apply for an IPO now if you have a DEMAT account with Zerodha. Follow the steps below for the same :
- Logging into Zerodha console through its website or KITE platform.
- Clicking the IPO link present in the Portfolio section
- Click the Paras Defence And Space Technologies Limited IPO button and press the BID button
- Entering the details asked for like UPI ID, Quantity and price
- Submit the application form of IPO
- Visiting the application of UPI for approving the transaction
Now, applying for an IPO online is possible with most of the Discount and online brokers.
