Faalcon Concepts Ltd IPO: Review, Valuation, Date & GMP

Faalcon Concepts Limited IPO  - Complete Overview

Established in 2018, Faalcon Concepts Limited specializes in the design, engineering, fabrication, and installation of facade systems. 

The product range of the company includes glazing/curtain walls, high-end aluminum doors and windows, skylights, canopies, frameless glazing, MS structures, stone cladding, metal cladding, roofing, and other related products. The company offers facade solutions that are resistant to UV rays, acidic rain, dust, noise, and other environmental factors.

Headquartered in Gurugram, Haryana, Faalcon Concepts Limited has served customers across several states including Haryana, Uttar Pradesh, Rajasthan, Madhya Pradesh, Karnataka, Gujarat, Punjab, and Delhi. 

Some of the prominent clients of the company include Espirit Techno Consultant Pvt. Ltd, Galaxy Magnum Infra Height Limited, Babbar Films, Maconns Infra Pvt. Ltd, Silvers Stone Regency Pvt. Ltd., and St Xavier School Gurgaon High School.

As of October 31, 2023, the company has generated revenue amounting to Rs. 1,249.11 lakhs.

 

Faalcon Concepts Limited IPO Overview

Faalcon Concepts Limited IPO date is slated to be open for subscription from April 19, 2024, to April 23, 2024. This BSE SME IPO follows a Fixed Price Issue IPO.

Faalcon Concepts Limited IPO price is fixed at Rs.62 per share. 

The total issue size of this IPO amounts to Rs.12.09 Cr. The company has allocated shares 50% to retail investors and 50% to other investors.

 

 

Company Financial

Compared to the financial year ending March 31, 2023, and March 31, 2022, Faalcon Concepts Limited has seen growth in total assets and net worth but a decrease in total revenue. The profit after tax and total borrowing has increased.

Amount in Lakhs

Period	31 Oct 2023	31 Mar 2023	31 Mar 2022
Total Assets	1,417.67	1,292.64	916.77
Total Revenue	1,249.11	1,324.81	1,852.93
PAT	131.82	179.52	97.79
Net worth	631.39	327.53	129.02
Reserve & Surplus	143.37	325.26	127.61
Total Borrowings	366.04	190.58	67.10

 

County-wise Revenue Break Up

(Amount in Lakh)

Name of the Country	October 31, 2023	FY 23	FY 22
Domestic (India)	1,177.27	1,283.23	1,338.49
Exports (Outside India - WEST AFRICA)	69.28	31.94	502.31
Total Revenue from Operations	1,246.55	1,315.17	1,840.80

 

State-Wise Revenue Break-Up

(Amount in Lakhs)

Name of State (In India)	October 31, 2023	FY 23	FY 22
Gujarat	-	-	-
Haryana	567.85	669.23	727.97
Delhi	193.70	50.29	43.94
Karnataka	-	-	120.50
Madhya Pradesh	-	2.22	-
Uttar Pradesh	415.72	559.91	415.36
Punjab	-	-	-
Rajasthan	-	1.58	30.72
Total Domestic Revenue from Operations (A)	1,177.27	1,283.23	1,338.49
Total Exports (B)	69.28	31.94	502.31
Total Revenue from Operations (A+B)	1,246.55	1,315.17	1,840.80

 

 

The Objective of the Issue

The following are the Objectives of the Fresh Issue

1. To finance the Capital Expenditure for the purchase of façade Structural Equipments

2. To part finance the requirement of Working Capital

3. To meet General corporate purposes

 

Peers of Faalcon Concepts Limited IPO

Name of the Company	Face Value (Rs.)	EPS (Rs.)	P/E Ratio
Faalcon Concepts Limited	10.00	3.69	16.80
Innovators Facade Systems Ltd.	10.00	4.48	44.42

 

Evaluation

The IPO is priced at Rs. 62 per share.

Evaluation of P/E Ratio

• Considering the FY23 EPS of Rs 3.69 from the last year, the resulting P/E ratio is 16.08x.

• Taking into account the weighted EPS of Rs 1.98 for the last three years, the P/E ratio amounts to 31.31x.

Comparative Analysis with Listed Peers

• The industry's average P/E is 44.42x.

As a result, the IPO price range, with a P/E ratio ranging from 16.08x to 31.31x, seems neutrally priced to the industry average of 44.42x.

 

 

 

IPO's Strengths 

• Utilizing the expertise of its Promoter and skilled workforce.

• Building a distinguished client roster with recurring orders.

• Demonstrating prowess in design and execution.

• Emphasizing excellence and innovation in design and execution capabilities.

 

IPO Weaknesses 

• The Company and its Promoters are currently engaged in ongoing litigation proceedings.

• A significant portion of the Company's new orders is sourced from its relationships with customers, both current and former. Any failure to sustain these longstanding relationships could have adverse effects on the Company.

• Negative cash flows have been observed from the Company's operating and investing activities in previous years.

• Projects are typically awarded to the Company following a competitive bidding or quotation-based process.

• The nature of the Company's business exposes it to liability claims and contract disputes, and its indemnities may not offer sufficient protection.

 

IPO GMP Today 

The Latest GMP of Faalcon Concepts Limited is Rs.5.

 

Faalcon Concepts Limited IPO timetable (Tentative)

Faalcon Concepts Limited IPO is scheduled from April 19 to April 23, 2024, with allotment on April 24, refund initiation on April 25, and listing on April 26, 2024.

Events	Date
IPO Opening Date	April 19, 2024
IPO Closing Date	April 23, 2024
IPO Allotment Date	April 24, 2024
Refund Initiation	April 25, 2024
IPO Listing Date	April 26, 2024

 

 

 

Faalcon Concepts Limited IPO Details 

Faalcon Concepts Limited IPO, with a face value of Rs.10 per share, opens on April 19 and closes on April 23, 2024, offering 1,950,000 shares at Rs.62 per share, with a lot size of 2000 shares, aiming to raise Rs.12.09 Cr, and will be listed on BSE SME.

IPO Opening & Closing Date	April 19, 2024 to April 23, 2024
Face Value	Rs. 10 per Share
Issue Price	Rs. 62 per share
Lot Size	2000 Shares
Price of 1 lot	Rs.124,000
Issue Size	1,950,000 Shares (aggregating up to Rs.12.09 Cr)
Fresh issue	1,950,000 Shares (aggregating up to Rs.12.09 Cr)
Listing at	BSE SME
Issue Type	Fixed Price Issue IPO
Registrar	Beetal Financial & Computer Services (P) Limited

 

Faalcon Concepts Limited IPO Lot Details 

For Faalcon Concepts Limited IPO, the retail investor minimum and maximum lot investments are both 1 lot (2000 shares) at Rs.124,000 while for HNI investors, the minimum investment is 2 lots (4000 shares) at Rs.248,000.

Minimum Lot Investment (Retail)	1 lot
Maximum Lot Investment (Retail)	1 lot
Minimum Lot Investment (HNI)	2 lot

 

Faalcon Concepts Limited IPO Reservation

Other Investors share Portion	50%
Retail Investors share Portion	50%

Promoters and Management of Faalcon Concepts Limited

• Mrs. Ekta Seth

• Mr. Tribhuvan Seth

• Mr. Prithvi Seth 

 

Pre-issue Promoter shareholding	91.76%
Post-issue Promoter shareholding	65.56%

 

Faalcon Concepts Limited IPO Lead Managers

• Navigant Corporate Advisors Ltd
  
  

Dividend Policy

The company has not disbursed any dividends on equity shares in the past, and future dividend payments are contingent upon the financial performance of the company.

 

 

Conclusion

The upcoming IPO of Faalcon Concepts Limited presents an attractive opportunity for investors. With the company demonstrating consistent revenue and performance growth over the years, investors are encouraged to thoroughly assess all factors before investing in the offering to maximize returns.

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.

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