CLN Energy IPO: GMP, Dates, Price & Details

CLN Energy IPO-Complete Overview

CLN Energy IPO under the SME IPO category is a book-built issue of Rs.72.30 Cr (28.92 lac Shares) by CLN Energy Limited established in 2019. The company designs custom lithium batteries and their motors. They deal in powertrain components used in electric vehicles like controllers, throttles, DC-DCs, displays, and differentials.

The company provides B2B solutions for electric vehicles as well as for stationary applications like solar, energy storage systems (ESS), and telecommunications.

The array of components manufactured at the company includes motors, controllers, battery management systems (BMS), throttle bodies, as well as DC-DC converters. The company markets its products under the "CLN Energy" brand. 

The company has ISO certifications with QMS 9001:2015, EMS 14001:2015, and OHSAS 45001:2018 with two manufacturing plants in Noida and Maharashtra.

 

CLN Energy Limited IPO Overview

This CLN Energy IPO date is 23 January, and its ‘initial public offering’ will end on 27 January 2025.    

This Rs.72.30 crore new SME IPO comprises a wholly fresh issue of 28.92 lac Shares. 

This upcoming IPO date is on 23 Jan 2025. The CLN Energy IPO Price is Rs.235 to Rs.250 for each Share. 

The expected IPO listing date is 30 Jan 2025, and the listing at BSE and SME.

Click to open a demat account and apply for the IPO.

Company Financial

(Amount in Lac)

 

Cash Flows

The cash flows for various activities are shown below:

(Amount in lac)

 

Segment-wise Revenue Breakdown 

(Amount in lac)

 

Service-wise Revenue Breakdown

(Amount in lac)

 

State-wise Revenue Breakdown

(Amount in lac)

 

Geography-wise Revenue Breakdown

(Amount in lac)

(Source: RHP)

The Objective of The Issue

• Purchasing equipment and machinery.

• Working capital requirements for funding.

Peers of CLN Energy Ltd.

 

Note:-

The basic EPS of the peers is for the financial year ended on 31 Mar 2024.

Evaluation

The CLN Energy Limited IPO share price is Rs.235 to Rs.250 for each Share.

Evaluation of P/E Ratio

Considering the FY ended 31 Mar 2024 with an EPS of Rs.12.78 from the last year, the resulting P/E ratio is 19.56x.

Considering the weighted EPS of Rs.7.51 for the last three years, the P/E ratio is 33.29x.

 

IPO's Strengths

• State of the art manufacturing facilities in Pune and Noida.

• Well educated and well-trained professional personnel.

• Long-term bonds with customers.

• In-house R&D department.

• Critical business solutions and customized manufacturing customized products are provided. 

IPO’s Weaknesses

• Dependence on 1 or a Few Customers for Revenue Assessment: For effective revenue generation in any financial year, the company has to depend on a single or a few clients. In case they lose one main customer, that is detrimental to their business and profit. 

• The concentration of Revenue Sources by Geographical Regions: The company’s sales are significantly dictated by certain states (Delhi, Maharashtra, Uttar Pradesh, and Haryana). If something goes wrong there such as political tension natural calamity or policy changes, the company may not be in a good position. 

• Dependence on Key Supply Shippers and Contractors: The business depends on some raw material suppliers. Thus their timely provision of the raw materials is crucial and any lack thereof could affect operations, results, and the company’s financials.

• Litigation Involving Tied-Up Promoters and Your Directors of the Company: Several litigation matters concern the company, its group entities, promoters, and directors. In case any of the litigation matters end in an unfavorable judgment, the company might suffer financially and its reputation would be at stake.

 

CLN Energy IPO GMP Today

CLN Energy IPO GMP is Rs.0 as of 20 January 2025.

IPO Timetable (Tentative)

The IPO opening date is January 23, with allotment on January 28, refund initiation on January 29, and listing on January 30, 2025.

CLN IPO Details 

The CLN IPO with a Face Value of Rs.10 per share offers a total issue size of 28,92,000 Shares (Rs.72.30 Cr).

CLN Energy IPO Lot Details 

The IPO allows retail investors to invest in a minimum and maximum of 1 Lot (600 Shares) amounting to Rs.1,50,000 and in multiples thereof, while for HNI investors, the minimum Lot is 2 (1200 Shares) amounting to Rs.3,00,000.

 

IPO Reservation (% of Net Issue)

Promoters And Management of CLN Energy Ltd.

• CLN Energy PTE Ltd.

• Rajiv Seth.

IPO Lead Managers

Aryaman Financial Services Limited.

Dividend Policy

The company has not declared a dividend in the last three fiscal.

Conclusion

CLN Energy IPO provides a powerful R&D orientation and possesses sufficient modern premises, it has competitive advantages but risks such as customer concentration and geographical concentration exist. An investor who intends to partake in the IPO will have to assess its financial position, business model as well as its industry outlook. All in all, this is appealing for investors looking forward to investing in the EV and energy storage sectors.

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 is NOT any buy or sell recommendation. No investment or trading advice is given. The content is purely for educational and information purposes only. Always consult your eligible financial advisor for investment-related decisions. 

 

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