Divyadhan Recycling Industries Limited IPO, GMP, Details, Price, And Review IPO Details
| Detail | Description |
|---|---|
| IPO Date | September 26, 2024 to September 30, 2024 |
| Listing Date | - |
| Face Value | ₹ 10 per share |
| Price Band | ₹ 60 to ₹ 64 per share |
| Lot Size | 2,000 Shares |
| Total Issue Size | 37,76,000 shares (aggregating up to ₹ 24.17 Cr) |
| Fresh Issue | 37,76,000 shares (aggregating up to ₹ 24.17 Cr) |
| Issue Type | Book Built Issue IPO |
| Shareholding pre issue | 1,05,30,714 |
| Shareholding post issue | 1,43,06,714 |
| Market Maker portion | 2,00,000 shares Kantilal Chhaganlal Securities |
About Divyadhan Recycling Industries Limited IPO, GMP, Details, Price, And Review
Divyadhan Recycling Industries Limited is a business manufacturing Recycled Pellets and Recycled Polyester Staple Fibre (R-PSF). Recycled pellets and fibres are produced from post-consumer PET bottles or Polyethylene Terephthalate bottles.
Beginning operations in FY2018-19 with the manufacturing of Recycled Polyester Staple Fibre (R-PSF) at Baddi, Himachal Pradesh’s manufacturing facility with 8030 metric tons per annum capacity. In November 2023, Divyadhan Recycling Industries Limited also started manufacturing recycled pellets, and it continues to remain in its trial stage. The company even produces Hollow and Solid Recycled Polyester Staple Fibre that gives solid resilience properties while it is also being used for making premium pillows, quilts and cushions. Recycled fibre is then supplied to varied industries, including,
- •Home Furnishing
- •Textiles
- •Packaging, etc.
Divyadhan Recycling Industries IPO Overview
Key Details
- •Issue Size: ₹ 24.17 crores
- •Type: Fresh issue of 37.76 lakh shares
- •Open for Subscription: September 26, 2024
- •Close for Subscription: September 30, 2024
- •Price Band: ₹ 60 to ₹ 64 per share
- •Minimum Lot Size: 2000 shares
- •Book Running Lead Manager: Narnolia Financial Services Ltd
- •Registrar: Skyline Financial Services Private Ltd
- •Market Maker: Kantilal Chhaganlal Securities
Divyadhan Recycling Industries Limited IPO Reservation
| Investor Category | Shares Offered |
|---|---|
| QIB Shares Offered | Not more than 50.00% of the Net Issue |
| Retail Shares Offered | Not less than 35.00% of the Net Issue |
| NII (HNI) Shares Offered | Not less than 15.00% of the Net Issue |
Company & Financials
Incorporated in the month of May 2010, DRIL is a Recycled Polyester Staple Fibre (R-PSF) and recycled pellets manufacturer. The company is ISO 14001:2015 (Quality Management System and Environmental Management System) and is registered for manufacturing recycled polyester staple fibre.
The company's manufacturing unit is located in Kalyanpur, Tehsil Baddi, Dist Solan Himachal. It has a total capacity of 8030 metric tons per annum for the fibre and 4320 metric tons per annum for the pellets.
- The operation of the company is in two business verticals:-
- ● Recycled Fiber: DRIL produces synthetic fibre, also called Recycled Polyester Staple Fiber (R-PSF), from PET bottles, like those used for soda, coke, water and other post-consumer PET bottles.
- ● Recycled Pellets/chips: They manufacture the pellets called recycled pellets. They are sourced from raw materials similar to recycled polyester staple fibre.
Objectives of Divyadhan Recycling Industries IPO
The objectives of the Issue are:-
- ● Meeting Capital Expenditure.
- ● Meeting General Corporate Purposes.
- ● Meeting Issue Expenses.
Divyadhan Recycling Industries IPO Review
The company is engaged in the business of manufacturing recycled polyester staple fibre and pellets. It posted almost static top lines for the last three fiscals, but marked a surge in bottom lines for FY23 and FY24 with cost control and more value-added features to its products. It is operating in a highly competitive and fragmented segment. Based on FY24 earnings, the issue appears fully priced. Though the issue appears fully priced, it is poised for bright prospects and better times ahead. Investors may park funds for the long term.
Divyadhan Recycling Industries Limited IPO, GMP, Details, Price, And Review Financial Information
Latest Revenue
5,912.88
₹ Crore
Profit After Tax
237.8
₹ Crore
Net Worth
1,291.03
₹ Crore
Total Borrowing
606.64
₹ Crore
| Period Ended | Assets | Revenue From Operations | Profit After Tax | Net Worth | Total Borrowing | ||||
|---|---|---|---|---|---|---|---|---|---|
| 31 Mar 2024 | 2,412.11 | 5,912.88 | 237.8 | 1,291.03 | 606.64 | ||||
| 31 Mar 2023 | 1,938.64 | 5,815.51 | 216.18 | 853.23 | 545.55 | ||||
| 31 Mar 2022 | 1,767.74 | 5,981.52 | 52.91 | 637.05 | 799.76 | ||||
| Amount in ₹ Crore | |||||||||
Divyadhan Recycling Industries Limited IPO, GMP, Details, Price, And Review Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 18.42% |
| ROCE | 20.76% |
| Debt/Equity | 0.47 |
| RoNW | 18.42% |
| P/BV | 4.9 |
| PAT Margin (%) | 4.24 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 2.26 | 1.66 |
| P/E (x) | 28.34 | 38.5 |
Frequently Asked Questions
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Competitive Strengths
Divyadhan Recycling Industries Limited IPO, GMP, Details, Price, And Review IPO Timeline
| IPO Open Date | Thursday, September 26, 2024 |
| IPO Close Date | Monday, September 30, 2024 |
| Basis of Allotment | Tuesday, October 1, 2024 |
| Initiation of Refunds | Thursday, October 3, 2024 |
| Credit of Shares to Demat | Thursday, October 3, 2024 |
| Listing Date | Friday, October 4, 2024 |
| Cut-off time for UPI mandate confirmation | 5 PM on September 30, 2024 |
IPO Lot Size
| Investors | No.of lots | Shares Offered | Max Bid Amount |
|---|---|---|---|
| Retail (Min) | 1 | 2000 | ₹128,000 |
| Retail (Max) | 1 | 2000 | ₹128,000 |
| HNI (Min) | 2 | 4,000 | ₹256,000 |