Neptune Petrochemicals Limited IPO...
31 May, 2025
Prostarm Info Systems IPO
Prostarm Info Systems Limited is launching its mainboard IPO via a book-built issue, aiming to raise ₹168 crore through a fresh issue of 1.60 crore equity shares of ₹10 face value each. Subscriptions for the IPO begin on May 27, 2025, and end on May 29, 2025. Shares are expected to be listed on both BSE and NSE on June 3, 2025. With a minimum lot size of 142 shares and a price range of ₹95–₹105 per share, retail buyers must invest a minimum of ₹14,910.
Company Overview
Business Model & Operations
- Designs, manufactures, and supplies power solution products, including UPS systems and solar inverters.
- Serves a wide range of industries such as healthcare, aviation, and renewable energy.
- Offers customized products, installation, and after-sales support.
- Has a strong presence across 18 states and 1 union territory in India, with major clients including the Airports Authority of India and the Railtel Corporation.
Revenue Streams
- By selling energy storage and power conditioning equipment directly to consumers.
- Installation services and after-sales support for institutional and enterprise customers.
Management & Shareholding
- Promoters: Ram Agarwal, Sonu Ram Agarwal, and Vikas Shyamsunder Agarwal are the promoters of the company.
WHAT IS GMP?
GMP (Grey Market Premium) is the difference between the IPO price and the grey market price. It is the premium amount paid for the traded IPO shares. It plays an important role in IPOs as it reflects how the IPO would react on the listing day.
A grey market is a place where shares/stocks are traded before being listed officially on the stock exchange.
Prostarm Info Systems IPO
| GMP Date | IPO Price | GMP | Last Updated |
|---|---|---|---|
| - | - | - | - |
**The GMP prices displayed here are solely for informational purposes related to the grey market news. India IPO does not engage in or facilitate grey market trading, nor are these rates (sub2) indicative of any trading activity. We also do not recommend or endorse participation in the grey market.**
Prostarm Info Systems IPO Details
| Detail | Description |
|---|---|
| IPO Date | May 27, 2025 to May 29, 2025 |
| Listing Date | - |
| Face Value | ₹10 per share |
| Issue Price Band | ₹95 to ₹105 per share |
| Lot Size | 142 Shares |
| Total Issue Size | 1,60,00,000 shares (aggregating up to ₹168.00 Cr) |
| Fresh Issue | 1,60,00,000 shares (aggregating up to ₹168.00 Cr) |
| Issue Type | Bookbuilding IPO |
| Listing At | BSE, NSE |
| Share Holding Pre Issue | 4,28,74,592 shares |
| Share Holding Post Issue | 5,88,74,592 shares |
Prostarm Info Systems IPO Timeline
| Detail | Description |
|---|---|
| IPO Open Date | Tue, May 27, 2025 |
| IPO Close Date | Thu, May 29, 2025 |
| Tentative Allotment | Fri, May 30, 2025 |
| Initiation of Refunds | Mon, Jun 2, 2025 |
| Credit of Shares to Demat | Mon, Jun 2, 2025 |
| Tentative Listing Date | Tue, Jun 3, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on May 29, 2025 |
Prostarm Info Systems IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (Min) | 1 | 142 | ₹14,910 |
| Retail (Max) | 13 | 1,846 | ₹1,93,830 |
| S-HNI (Min) | 14 | 1,988 | ₹2,08,740 |
| S-HNI (Max) | 67 | 9,514 | ₹9,98,970 |
| B-HNI (Min) | 68 | 9,656 | ₹10,13,880 |
Prostarm Info Systems IPO Promoter Holding
| Share Holding Pre Issue | Share Holding Post Issue |
|---|---|
| 100.00% | 72.82% |
Competitive Strength:
- ● Strong Financial Performance and Growth
- ● Integrated Power Solutions Provider
- ● Diversified Product Portfolio and Customer Base
- ● Experienced Management and Promoter Group
- ● Expansive Distribution and Service Network
- ● Positive Market Reception
Prostarm Info Systems IPO Financial Information
| Period Ended | Assets | Revenue | Profit After Tax | Net Worth | Total Borrowing | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 31 Dec 2024 | 230.04 | 270.27 | 22.11 | 107.24 | 60.37 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2024 | 203.05 | 259.23 | 22.8 | 84.30 | 43.47 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2023 | 155.39 | 232.35 | 19.35 | 61.00 | 24.85 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2022 | 98.03 | 172.05 | 10.87 | 40.95 | 3.21 | |||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 31.41% |
| ROCE | 32.41% |
| Debt/Equity | 0.51 |
| RoNW | 32.09% |
| PAT Margin | 8.85 |
| Price to Book Value | 5.34 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | 5.32 | 5.01 |
| P/E (x) | 19.75 | 20.97 |
Objectives of the Prostarm Info Systems IPO
The primary objectives for which Prostarm Info Systems intends to utilize the net proceeds from its IPO are:
- Funding Working Capital Requirements:
The company would use a large amount of the money (₹7,250 lakhs) to support the rising demand for its power solution products and services throughout India by meeting its expanding working capital needs.
- Prepayment or Repayment of Borrowings:
The business intends to prepay or refund some existing debts in full or in part with ₹1,795.83 lakhs. This is aimed at improving the debt-to-equity ratio and reducing interest costs.
- Inorganic Growth and Strategic Initiatives:
Up to 25% of the gross proceeds may be used for strategic acquisitions and other growth initiatives. This will help Prostarm Info Systems expand its market presence and enhance its product capabilities.
- General Corporate Purposes:
The remaining money will be used for general business objectives, such as possible capital expenditures, brand development, and operational efficiency enhancements, up to a maximum of 35% of gross proceeds.
Conclusion
Overall, the Prostarm Info Systems IPO allows for entering into one of the fastest-growing sectors, which is power solutions and energy storage. The company’s strong financial performance, diversified product offerings, experienced management, and extensive distribution network underpin its growth story and market credibility. The clear objectives for deploying IPO proceeds for working capital enhancement, debt reduction, and strategic expansion demonstrate a focused approach to sustainable growth and value creation.
RHP:
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Frequently asked Questions (FAQs )
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1. What is the price band and lot size for the Prostarm Info Systems IPO?
The IPO price band is set between ₹95 and ₹105 per share. The minimum lot size is 142 shares, which means retail investors need to invest approximately ₹13,490 to ₹14,910, depending on the final issue price.
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2. What is the size of the IPO, and what type of issue is it?
Prostarm Info Systems is raising ₹168 crore through a fresh issue of 1.6 crore equity shares. It is a book-building IPO, with no offer for sale component.
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3. What are the main objectives of the IPO proceeds?
The funds raised will be primarily used for working capital requirements (about ₹72.5 crore), repayment or prepayment of certain borrowings (around ₹17.96 crore), inorganic growth through acquisitions, and general corporate purposes.
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4. When will the IPO allotment and listing happen?
The period for IPO subscriptions is May 27–29, 2025. On May 30, 2025, the allocation basis is anticipated to be finalised. On June 3, 2025, shares are expected to be launched on the BSE and NSE.
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5. How has the market responded to the Prostarm Info Systems IPO so far?
The IPO has received strong investor interest, being oversubscribed over 7 times as of the second day of bidding. The grey market premium indicates positive sentiment, with shares trading at a premium of around 18-24% above the upper IPO price band.
