Forge Auto International is scheduled to hit the market on September 26, 2024 and close on September 30, 2024. Forge Auto International plans to raise around ₹31.10 Cr through an IPO with a sale of up to 2,880,000 equity shares of ₹10 each. The Retail offered 35%, QIB Shares Offered 50%, HNI Shares Offered 15%.
Forge Auto International Limited, established in 2001, is an engineering company that makes important forged and precision-machined parts for both the auto industry and other sectors like agriculture and tools. They create a variety of products such as forks, yokes, ball studs, gear blanks, and axle assemblies used in vehicles, tractors, and railway systems. The company has seen its revenue grow significantly, increasing from ₹10,951.99 lakhs in Fiscal 2021 to ₹17,664.85 lakhs in Fiscal 2023, which shows a 27% annual growth rate.
The company is known for its strong commitment to quality and timely delivery, which helps maintain good relationships with customers. It has achieved several certifications such as ISO 9001:2015 for quality management and IATF 16949:2016 for working with automotive OEMs. Forge Auto has a manufacturing facility that can produce 20,000 MT of forged products and 25 lakh units of machined products. As of March 31, 2024, they have a dedicated team of 14 employees in sales and marketing and a total of 366 permanent employees across various departments.
Forge Auto International IPO Details
Forge Auto International IPO opens on September 26, 2024, and closes on September 30, 2024. The Listing date for Forge Auto International IPO is on October 04, 2024. The price band for IPO is ₹102 to ₹108 per share and lot size of 1200 Shares.
| IPO Date | September 26, 2024 to September 30, 2024 |
| Listing Date | October 04, 2024 |
| Price | ₹102 to ₹108 per share |
| Lot Size | 1200 Shares |
| Issue Size | ₹31.10 Cr |
| Face Value | ₹10 per share |
Forge Auto International IPO Tentative Timetable
Forge Auto International opening date is September 26, 2024 and close date is September 30, 2024. The IPO allotment date is October 01, 2024. Therefund initiation of IPO is on October 03, 2024. The credit of shares in demat account is on October 03, 2024. The listing date is on October 04, 2024.
| Event | Date |
|---|---|
| IPO Opening | September 26, 2024 |
| IPO Closing | September 30, 2024 |
| IPO Allotment Date | October 01, 2024 |
| Refund Initiation | October 03, 2024 |
| Shares Credit to Demat | October 03, 2024 |
| Lisiting Date | October 04, 2024 |
Forge Auto International IPO Lot Size
Lot Size of this IPO is 1200 shares. A retail-individual investor can apply for up to 1 lots (1200 shares or ₹129,600).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 1200 | ₹129,600 |
| Retail(Maximum) | 1 | 1200 | ₹129,600 |
| HNI (Minimum) | 2 | 2400 | ₹259,200 |
Forge Auto International IPO Promoter Holding
| Pre Issue Share Holding | 100.00% |
| Post Issue Share Holding | 73.63% |
Forge Auto International IPO Review
The company is launching its first IPO using the book building method. They are offering 2,880,000 equity shares with a face value of Rs. 10 each, aiming to raise Rs. 31.10 crore at the highest price.
On the financial performance front, for the last three fiscals, the company has posted a total income/net profit of Rs. 134.00 cr. / Rs. 2.64 cr. (FY22), Rs. 177.64 cr. / Rs. 4.96 cr. (FY23), Rs. 181.57 cr. / Rs. 6.69 cr. (FY24).
For the last three fiscals, it has reported an average EPS of Rs. 8.31 and an average RoNW of 29.26%. The issue is priced at a P/BV of 4.17 based on its NAV of Rs. 25.88 as of March 31, 2024, and at a P/BV of 2.27 based on its post-IPO NAV of Rs. 47.54 per share (at the upper cap).
If we attribute FY24 super earnings to its post-IPO fully diluted paid-up equity capital, then the asking price is at a P/E of 17.62. Based on FY23 earnings, the P/E stands at 23.79. Thus the issue relatively appears fully priced.
The company reported PAT margins of 1.99% (FY22), 2.81% (FY23), 3.71% (FY24), and RoCE margins of 13.03 %, 18.36%, 17.60% for the referred periods, respectively.
The company makes important and complicated parts that are shaped and precisely machined for the automotive, agriculture, and other industries. It has shown consistent growth in both its sales and profits over the last few periods. Based on the earnings for FY24, the stock seems to be fairly valued. Investors can consider investing a moderate amount for the long term.
Forge Auto International IPO Subscription Status (Bidding Details)
Table not foundForge Auto International IPO Broker Recommendations
- Capital Market: To be updated soon
- Anand Rathi: To be updated soon
- SMC Global: To be updated soon
- Arihant Capital: To be updated soon
Forge Auto International IPO FAQs
What is Forge Auto International IPO?
Forge Auto International is issuing 2,880,000 equity shares with a face value of ₹10 each, totaling up to ₹31.10 Cr. The shares are being offered at a price of ₹102 to ₹108 each, with a minimum order quantity of 1200 shares.
Bigshare Services Pvt Ltd is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When Forge Auto International will open?
Forge Auto International will open on September 26, 2024 for QIB, NII, and Retail Investors.
When Forge Auto International IPO will end?
Forge Auto International will end on September 30, 2024.
What is Forge Auto International IPO Size?
Forge Auto International IPO size is ₹31.10 Cr.
What is Forge Auto International IPO Price Band?
Forge Auto International price band is ₹102 to ₹108 per share.
What is Forge Auto International IPO Allotment Date?
Forge Auto International allotment date is October 01, 2024.
What is Forge Auto International IPO Listing Date?
Forge Auto International listing date is October 04, 2024. The IPO is to be listed on BSE and NSE.
How to Forge Auto International IPO through Zerodha?
To apply for the IPO “Forge Auto International” on Zerodha, log in to the Zerodha website or app, go to the Portfolio section, and click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Zerodha.
How to Apply Forge Auto International IPO through Upstox?
To apply for the IPO “Forge Auto International” on Upstox, log in to the Upstox website or app, click on IPO. Then, click on the “Apply” button and enter your UPI ID, the desired quantity, and the price. Submit the IPO application form and then approve the mandate on your UPI app. To complete the process, you should have an demat account. If you don't have one, open a demat account with Upstox.
How to check Forge Auto International IPO Allotment Status?
For Forge Auto International IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is Forge Auto International IPO GMP?
You can check out here: Forge Auto International IPO GMP. Check all IPO GMP here.