TechEra Engineering is scheduled to hit the market on September 25, 2024 and close on September 27, 2024. TechEra Engineering plans to raise around ₹35.90 Cr through an IPO with a sale of up to 4,377,600 equity shares of ₹10 each. The Retail offered 35%, QIB Shares Offered 50%, HNI Shares Offered 15%.
Techera Engineering (India) Limited was established in 2018 and focuses on designing, manufacturing, and supplying precise tools and components for the aerospace and defense sectors. The company also offers automation system solutions. Its product range includes assembly tools, jigs, fixtures, maintenance tools, ground support equipment, and precision machined components. By using advanced manufacturing technologies like 5-axis machining and 3D modeling, Techera meets the specific needs of its customers in these industries. The company has achieved ISO 9001:2015 and ISO 14001:2018 certifications, showing its commitment to quality management.
As of September 2024, Techera employs 177 skilled professionals. Its competitive strengths lie in specialized expertise in aerospace and defense manufacturing, technical capabilities enhanced by investments in modern technologies, and a leadership team with significant experience in the field. The company’s dedication to quality and excellence is further highlighted by the awards and certifications it has received from recognized organizations.
TechEra Engineering IPO Details
TechEra Engineering IPO opens on September 25, 2024, and closes on September 27, 2024. The Listing date for TechEra Engineering IPO is on October 03, 2024. The price band for IPO is ₹75 to ₹82 per share and lot size of 1600 Shares.
| IPO Date | September 25, 2024 to September 27, 2024 |
| Listing Date | October 03, 2024 |
| Price | ₹75 to ₹82 per share |
| Lot Size | 1600 Shares |
| Issue Size | ₹35.90 Cr |
| Face Value | ₹10 per share |
TechEra Engineering IPO Tentative Timetable
TechEra Engineering opening date is September 25, 2024 and close date is September 27, 2024. The IPO allotment date is September 30, 2024. Therefund initiation of IPO is on October 01, 2024. The credit of shares in demat account is on October 01, 2024. The listing date is on October 03, 2024.
| Event | Date |
|---|---|
| IPO Opening | September 25, 2024 |
| IPO Closing | September 27, 2024 |
| IPO Allotment Date | September 30, 2024 |
| Refund Initiation | October 01, 2024 |
| Shares Credit to Demat | October 01, 2024 |
| Lisiting Date | October 03, 2024 |
TechEra Engineering IPO Lot Size
Lot Size of this IPO is 1600 shares. A retail-individual investor can apply for up to 1 lots (1600 shares or ₹131,200).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 1600 | ₹131,200 |
| Retail(Maximum) | 1 | 1600 | ₹131,200 |
| HNI (Minimum) | 2 | 3200 | ₹262,400 |
TechEra Engineering IPO Promoter Holding
| Pre Issue Share Holding | 57.48% |
| Post Issue Share Holding |
TechEra Engineering IPO Review
The company is launching its first book building IPO, offering 4,377,600 shares at Rs. 10 each to raise Rs. 35.90 crore (at the highest price).
On the financial performance front, for the last three fiscals, the company has posted a total income/net profit/ – (loss) of Rs. 7.37 cr. / Rs. – (6.29) cr. (FY22), Rs. 26.59 cr. / Rs. 1.31 cr. (FY23), Rs. 39.08 cr. / Rs. 4.82 cr. (FY24). The quantum jump in financial performance for the pre-IPO year i.e. FY24 raises the eyebrows and concern over sustainability of the margins.
For the last three fiscals, it has reported an average EPS of Rs. – (2.94) and an average RoNW of 8.37%. The issue is priced at a P/BV of 6.26 based on its NAV of Rs. 13.09 as of March 31, 2024, and at a P/BV of 2.62 based on its post-IPO NAV of Rs. 31.35 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 28.08. Based on FY23 earnings, the P/E stands at 103.80. Thus the issue relatively appears fully priced. Super performance in a pre-IPO year raises eyebrows and concern over its sustainability, as the company is operating in a highly competitive and fragmented segment.
The company reported PAT margins of – (87.59) % (FY22), 4.94% (FY23), 12.45% (FY24), and RoCE margins of – (29.42) %, 9.71%, 23.47% for the referred periods, respectively.
According to the management, they have received five years contract for supply of components and tools for aerospace/defence segment and hopes to perform better in coming years. With the things in pipeline, the company hopes to cross three figure top line in next two fiscals.
This is the second project from SKI Capital this financial year. The only listing that happened so far opened with a 28% increase on the first day. Also, keep in mind that they canceled the IPO of Avax Apparels, which was supposed to start this month, before this IPO.
The company makes and supplies important parts and tools for the aerospace and defense industries. It has also improved in maintenance, repair, and operations (MRO). However, the offer document has some issues, and the IPO advertisement is missing some information. Based on the earnings for FY24, the pricing seems fair. Savvy investors might consider investing a moderate amount for the medium term.
TechEra Engineering IPO Subscription Status (Bidding Details)
Table not foundTechEra Engineering 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
TechEra Engineering IPO FAQs
What is TechEra Engineering IPO?
TechEra Engineering is issuing 4,377,600 equity shares with a face value of ₹10 each, totaling up to ₹35.90 Cr. The shares are being offered at a price of ₹75 to ₹82 each, with a minimum order quantity of 1600 shares.
Kfin Technologies Limited is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When TechEra Engineering IPO will open?
TechEra Engineering will open on September 25, 2024 for QIB, NII, and Retail Investors.
When TechEra Engineering IPO will end?
TechEra Engineering will end on September 27, 2024.
What is TechEra Engineering IPO Size?
TechEra Engineering IPO size is ₹35.90 Cr.
What is TechEra Engineering IPO Price Band?
TechEra Engineering price band is ₹75 to ₹82 per share.
What is TechEra Engineering IPO Allotment Date?
TechEra Engineering allotment date is September 30, 2024.
What is TechEra Engineering IPO Listing Date?
TechEra Engineering listing date is October 03, 2024. The IPO is to be listed on BSE and NSE.
How to TechEra Engineering IPO through Zerodha?
To apply for the IPO “TechEra Engineering” 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 TechEra Engineering IPO through Upstox?
To apply for the IPO “TechEra Engineering” 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 TechEra Engineering IPO Allotment Status?
For TechEra Engineering IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is TechEra Engineering IPO GMP?
You can check out here: TechEra Engineering IPO GMP. Check all IPO GMP here.