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Aimtron Electronics Ltd IPO: Review, Valuation, Date & GMP
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Table of Contents
- Aimtron Electronics Limited IPO - Complete Overview
- Aimtron Electronics Limited IPO Overview
- Company Financial
- The Objective of the Issue
- Peers of Aimtron Electronics Limited IPO
- Evaluation
- IPO's Strengths
- IPO's Weaknesses
- IPO GMP Today
- Promoters and Management of Aimtron Electronics Limited
- Aimtron Electronics Limited IPO Lead Managers
- Dividend Policy
- Conclusion
Aimtron Electronics Limited IPO - Complete Overview
Founded in 2011, Aimtron Electricals Limited specializes in offering products and solutions for electronics system design and manufacturing (ESDM) services, emphasizing high-value precision engineering products.
The company offers a comprehensive range of services, from printed circuit board (PCB) design and assembly to the manufacturing of complete electronic systems ("Box Build"), serving domestic and global manufacturers in India, the USA, Hong Kong, the UK, Spain, and Mexico.
Their solutions primarily include printed circuit board assembly (PCBA), box build assemblies, and battery management systems for electric vehicles.
They also provide end-to-end design solutions, encompassing conceptual design, engineering, product prototype development, and turnkey manufacturing for customers.
Aimtron caters to multiple industry segments, offering ESDM products and services essential for industrial automation, electric vehicle mobility, IoT and embedded systems, medtech and wearables, gaming, and robotics.
The company operates through two manufacturing facilities located in Vadodara, Gujarat, and Bengaluru, Karnataka, staffed by 131 employees, including a team of 28 engineers as of September 30, 2023, to enhance operational efficiency.
Aimtron is certified with ISO 13485:2016 for Quality Management System for medical devices, ISO 14001:2015 for Environmental Management System, and EN ISO 9001:2015 for Management System.
Aimtron Electronics Limited IPO Overview
Aimtron Electronics Limited IPO date is slated to be open for subscription from May 30, 2024, to June 3, 2024. This NSE SME IPO follows a Book Built Issue IPO.
Aimtron Electronics Limited IPO price is fixed in the range of at Rs.153 to Rs.161 per share.
The total issue size of this IPO amounts to Rs.87.02 Cr. The company has allocated 35% share to retail investors, 50% to institutional and 15% to non-institutional investors.
Company Financial
Compared to the financial year ending March 31, 2023, and March 31, 2022, Aimtron Electronics Limited has seen growth in total assets, net worth, and total revenue. The profit after tax and total borrowing has also increased.
Amount in Lakhs
Period |
30 Sep 2023 |
31 Mar 2023 |
31 Mar 2022 |
Total Assets |
8,992.72 |
8,740.02 |
5,904.04 |
Total Revenue |
4,388.10 |
7,239.98 |
2,689.41 |
PAT |
710.37 |
863.19 |
-180.15 |
Net worth |
3,833.64 |
3,123.26 |
2,038.96 |
Reserve & Surplus |
3,542.74 |
2,832.36 |
1,969.17 |
Total Borrowings |
1,907.89 |
2,023.61 |
848.98 |
Operation-wise Revenue Break up
(Amount in Lakhs)
Product & Service Offerings |
September 30, 2023 |
FY 2022-23 |
FY 2021-22 |
PCBA |
3182.74 |
6299.77 |
2093.06 |
Box-Build |
1090.96 |
661.41 |
434.18 |
End to End Solutions |
33.07 |
197.19 |
104.67 |
Total |
4306.77 |
7158.36 |
2631.91 |
Industry-wise Revenue Break Up
(Amount in Lakhs)
Industry |
September 30, 2023 |
FY 2022-23 |
FY 2021-22 |
Automobiles |
929.46 |
398.46 |
88.21 |
Gaming |
1061.68 |
1769.81 |
320.18 |
Industrial Sector |
633.84 |
2500.02 |
1469.59 |
Drones and UAV |
331.81 |
278.37 |
70.01 |
Medical & Healthcare |
230.60 |
673.22 |
434.48 |
Power |
0.00 |
0.00 |
46.51 |
Others |
1119.37 |
1538.49 |
202.94 |
Total |
4306.77 |
7158.36 |
2631.92 |
The Objective of the Issue
The compoany is intend to utilize the proceeds of the Issue to meet the following objects: -
1. Repayment in full or in part, of certain of the company’s outstanding borrowings.
2. Funding Capital Expenditure towards installation of additional plant and machinery.
3. Funding to meet working capital requirements.
4. General Corporate Purpose.
Peers of Aimtron Electronics Limited IPO
Name of the Company |
Face value (Rs) |
EPS (Rs) |
P/E Ratio |
Aimtron Electronics Limited |
10 |
7.90 |
- |
Kaynes Technology India Limited |
10 |
19.61 |
131.71 |
Vinyas Innovative Technologies Limited |
10 |
19.62 |
25.74 |
Avalon Technologies Limited |
2 |
9.08 |
57.72 |
Syrma SGS Technology Limited |
10 |
7.50 |
89.33 |
Evaluation
The IPO is priced within the range of Rs.153 to Rs.161 per share.
Evaluation of P/E Ratio
-
Considering the FY23 EPS of Rs 10.67 from the last year, the resulting P/E ratio is 15.08x.
-
Taking into account the weighted EPS of Rs 9.14 for the last three years, the P/E ratio amounts to 17.61x.
Comparative Analysis with Listed Peers
-
The industry's average P/E is 76.13x.
As a result, the IPO price range, with a P/E ratio ranging from 15.08x to 17.61x, seems fully priced to the industry average of 76.13x.
IPO's Strengths
-
A “One Stop Shop” for electronics system design and manufacturing (ESDM) services.
-
Diverse product portfolio with applications across various industry verticals.
-
Engineering expertise with capabilities for complex product manufacturing.
-
Long-term, well-established relationships with customers.
-
Strong supply chain and sourcing network coupled with rigorous Quality Assurance.
-
Experienced and qualified management and employee base.
IPO's Weaknesses
-
The company operates in highly competitive markets, where some competitors' scale and resources may allow them to compete more effectively.
-
The company is significantly dependent on revenue from the sale of PCBA.
-
The company has a history of net losses, and its current profits may not reflect future performance.
-
The company has previously been non-compliant with certain reporting requirements under FEMA regulations within the prescribed period.
-
Reliance on certain industries for a significant portion of sales could adversely affect the company's business.
-
The company is subject to strict quality requirements, customer inspections, and audits, and any failure to comply with these standards may lead to the cancellation of existing and future orders.
-
A majority of the company's revenue is derived from exports, exposing it to the risks of international trade.
-
The company currently benefits from EPCG licenses, which require exporting a defined amount of goods to maintain these benefits.
IPO GMP Today
The Latest GMP of Aimtron Electronics Limited is Rs.25.
Aimtron Electronics Limited IPO Timetable (Tentative)
Aimtron Electronics Limited IPO is scheduled from May 30 to June 3, 2024, with allotment on June 4, refund initiation on June 5, and listing on June 6, 2024.
Events |
Date |
IPO Opening Date |
May 30, 2024 |
IPO Closing Date |
June 3, 2024 |
IPO Allotment Date |
June 4, 2024 |
Refund initiation |
June 5, 2024 |
IPO Listing Date |
June 6, 2024 |
Aimtron Electronics Limited IPO Details
Aimtron Electronics Limited IPO, with a face value of Rs.10 per share, opens on May 30 and closes on June 3, 2024, offering 5,404,800 shares at Rs.153 to Rs. 161 per share, with a lot size of 800 shares, aiming to raise Rs.87.02 Cr, and will be listed on NSE SME.
IPO Opening & Closing Date |
May 30, 2024 to June 3, 2024 |
Face Value |
Rs.10 per share |
Issue Price |
Rs.153 to Rs. 161 per share |
Lot Size |
800 Shares |
Price of 1 lot |
Rs. 128,800 |
Issue Size |
5,404,800 shares (aggregating up to ₹87.02 Cr) |
Offer for sale |
NA |
Fresh issue |
5,404,800 shares (aggregating up to ₹87.02 Cr) |
Listing at |
NSE SME |
Issue Type |
Book Built Issue IPO |
Registrar |
Link Intime India Pvt. Ltd. |
Aimtron Electronics Limited IPO Lot Details
For Aimtron Electronics Limited IPO, the retail investor minimum and maximum lot investments are both 1 lot (800 shares) at Rs.128,800 while for HNI investors, the minimum investment is 2 lots (1600 shares) at Rs.257,600.
Minimum Lot Investment (Retail) |
1 lot |
Maximum Lot Investment (Retail) |
1 lot |
Minimum Lot Investment (HNI) |
2 lot |
Aimtron Electronics Limited IPO Reservation
Institutional Share Portion |
50% |
Non-institutional Share Portion |
15% |
Retail share Portion |
35% |
Promoters and Management of Aimtron Electronics Limited
-
Mukesh Jeram Vasani
-
Nirmal M Vasani
-
Sharmilaben Lakhanbhai Bambhaniya
Pre-issue Promoter Shareholding |
100% |
Post-issue Promoter Shareholding |
Aimtron Electronics Limited IPO Lead Managers
-
Hem Securities Limited
Dividend Policy
The Company has not declared any dividend on the Equity Shares.
Conclusion
The company specializes in providing products and solutions for electronics system design and manufacturing. Operating in a competitive environment, it has faced losses in the past but demonstrated strong growth in FY23. Seasoned investors might consider participating in the upcoming IPO to potentially earn profits.
Finowings IPO Analysis
Hope you enjoyed the Finowings IPO Analysis. We tried our best to give every required detail about the company that you should know before applying to the IPO.
You must consult your financial advisor before making any financial decisions.
To Apply for the IPO, Click Here.
To Read the Prospectus of the Company Click Here to Download the DRHP.
Disclaimer: This IPO analysis is only for informational purposes and should not be considered as investment advice. Always do your research and consult with a financial advisor.
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Frequently Asked Questions
The IPO is scheduled to open for subscription on May 30 2024.
The issue price for Aimtron Electronics Limited IPO is set in the range of Rs. 153 to Rs. 161 per share.
The total issue size of the IPO is Rs.87.02 Cr, with 35% reserved for retail investors.
The IPO is set to close on June 3, 2024.
The net proceeds from the IPO will be used for several purposes: repaying some or all of the company's outstanding borrowings, funding capital expenditure for the installation of additional plant and machinery, meeting working capital requirements, and general corporate purposes.