Tolins Tyres is scheduled to hit the market on September 9, 2024 and close on September 11, 2024. Tolins Tyres plans to raise around ₹203.00 Cr through an IPO with a sale of up to 8,982,300 equity shares of ₹5 each. The Retail offered 35%, QIB Shares Offered 50%, HNI Shares Offered 15%.
Tolins Tyres Limited is a tyre manufacturing company that started in 2003. They provide tyre retreading solutions in India and export their products to 40 countries, including places like the Middle East, East Africa, Jordan, Kenya, and Egypt. The company operates in two main areas: tyre manufacturing and tread rubber manufacturing. As of March 31, 2024, their product range includes tyres for light commercial vehicles, off-road/agriculture tyres, two-wheeler and three-wheeler tyres, tyre tubes, and various types of tread rubber, among other accessories.
The company has three manufacturing facilities, with two in Mattoor, Kerala, and one in Ras Al Khaimah, UAE. They have a strong presence in India with 8 depots and 3,737 dealers. Tolins Tyres offers a variety of products and has 163 stock-keeping units (SKUs) for tyres and 1,003 for tread rubber. They have received quality certifications like ISO 9001:2015 and IATF 16949:2016. Their clientele includes well-known companies such as Marangoni GRP and Kerala Agro Machinery Corporation Ltd. Recently, they developed 163 new designs and products and have a sales and marketing team of 55 employees reporting to the Chairman and Managing Director.
Tolins Tyres IPO Details
Tolins Tyres IPO opens on September 9, 2024, and closes on September 11, 2024. The Listing date for Tolins Tyres IPO is on September 16, 2024. The price band for IPO is ₹215 to ₹226 per share and lot size of 66 Shares.
| IPO Date | September 9, 2024 to September 11, 2024 |
| Listing Date | September 16, 2024 |
| Price | ₹215 to ₹226 per share |
| Lot Size | 66 Shares |
| Issue Size | ₹203.00 Cr |
| Face Value | ₹5 per share |
Tolins Tyres IPO Tentative Timetable
Tolins Tyres opening date is September 9, 2024 and close date is September 11, 2024. The IPO allotment date is September 12, 2024. Therefund initiation of IPO is on September 13, 2024. The credit of shares in demat account is on September 13, 2024. The listing date is on September 16, 2024.
| Event | Date |
|---|---|
| IPO Opening | September 9, 2024 |
| IPO Closing | September 11, 2024 |
| IPO Allotment Date | September 12, 2024 |
| Refund Initiation | September 13, 2024 |
| Shares Credit to Demat | September 13, 2024 |
| Lisiting Date | September 16, 2024 |
Tolins Tyres IPO Lot Size
Lot Size of this IPO is 66 shares. A retail-individual investor can apply for up to 13 lots (858 shares or ₹193,908).
| Category | Lots | Shares | Amount |
|---|---|---|---|
| Retail(Minimum) | 1 | 66 | ₹14,916 |
| Retail(Maximum) | 13 | 858 | ₹193,908 |
| S-HNI (Minimum) | 14 | 924 | ₹208,824 |
| B-HNI (Minimum) | 68 | 4,488 | ₹1,014,288 |
Tolins Tyres IPO Promoter Holding
| Pre Issue Share Holding | 92.64% |
| Post Issue Share Holding |
Tolins Tyres IPO Review
The company is launching its first IPO, which includes a new issue of equity shares worth Rs. 200 crores (about 8,849,558 shares at the highest price). It is also offering existing shares for sale worth Rs. 30 crores (about 1,327,434 shares 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. 114.39 cr. / Rs. 0.63 cr. (FY22), Rs. 119.68 cr. / Rs. 0.50 cr. (FY23) – (on a standalone basis), and Rs. 228.69 cr. / Rs. 26.06 cr. (FY24) – (on a consolidated basis).
According to the management, setback for FY23 is attributed to spiraling prices of crude oil and natural rubber impacted their bottom lines while eased crude oil price and reduced natural rubber prices coupled with additional capacities created/acquired helped in boosting top and bottom lines for FY24. Considering its plans to be debt free company post-IPO and additional capacities participation in meeting the rising demands for the products, the company is poised for bright prospects ahead.
For the last three fiscals, the company has posted an average EPS of Rs. 5.67 and an average RoNW of 22.47%. The issue is priced at a P/BV of 6.14 based on its NAV of Rs. 36.80 as of March 31, 2024, and at a P/BV of 2.67 based on its post-IPO NAV of Rs. 84.52 per share (at the upper cap).
If we attribute FY24 annualized earnings to its post-IPO fully diluted paid-up equity capital, then the asking price is at a P/E of 34.35. Thus the issue relatively appears fully priced.
The company reported PAT margins of 0.56% (FY22), 4.22% (FY23), 11.45% (FY24), and RoCE margins of 14.80%, 31.49%, 36.08% for the referred periods, respectively. Its Debt-Equity ratio reduced to 0.78 as of March 31, 2024 (consolidated), against 4.51 as of March 31, 2022 (standalone).
According to the offer document, the company has mentioned Indag Rubber, Vamshi Rubber, TVS Srichakra, GRP Ltd., and Elgi Rubber as their competitors. Their price-to-earnings (P/E) ratios are 52.9, 31.3, 34.8, 69.1, and 149.0 (as of September 05, 2024). However, these companies are not really similar enough to compare directly.
The company makes and sells tyres and tread rubber, along with other related products. It faced challenges in FY23 due to market conditions and fluctuating prices of crude oil and natural rubber. However, it has shown better performance in FY24 after improving its activities and increasing production capacity. Based on the earnings from FY24, the stock seems to be fully valued at this point. Investors might consider investing for the medium to long term.
Tolins Tyres IPO Subscription Status (Bidding Details)
Table not foundTolins Tyres 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
Tolins Tyres IPO FAQs
What is Tolins Tyres IPO?
Tolins Tyres is issuing 8,982,300 equity shares with a face value of ₹5 each, totaling up to ₹203.00 Cr. The shares are being offered at a price of ₹215 to ₹226 each, with a minimum order quantity of 66 shares.
Cameo Corporate Services Limited is the registrar for the IPO, and the shares are planned to be listed on the BSE and NSE.
When Tolins Tyres IPO will open?
Tolins Tyres will open on September 9, 2024 for QIB, NII, and Retail Investors.
When Tolins Tyres IPO will end?
Tolins Tyres will end on September 11, 2024.
What is Tolins Tyres IPO Size?
Tolins Tyres IPO size is ₹203.00 Cr.
What is Tolins Tyres IPO Price Band?
Tolins Tyres price band is ₹215 to ₹226 per share.
What is the Tolins Tyres IPO Allotment Date?
Tolins Tyres allotment date is September 12, 2024.
What is the Tolins Tyres IPO Listing Date?
Tolins Tyres listing date is September 16, 2024. The IPO is to be listed on BSE and NSE.
How to Tolins Tyres IPO through Zerodha?
To apply for the IPO “Tolins Tyres” 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 Tolins Tyres IPO through Upstox?
To apply for the IPO “Tolins Tyres” 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 Tolins Tyres IPO Allotment Status?
For Tolins Tyres IPO Allotment status check you can visit this link, select the desired IPO and enter your PAN to check the allotment status.
What is Tolins Tyres IPO GMP?
You can check out here: Tolins Tyres IPO GMP. Check all IPO GMP here.