Shyam Metalics IPO Details, Ipo Date, Ipo Price, Ipo GMP

 

Shyam Metalics and Energy Limited IPO

Hey Guys, There are many interesting Upcoming IPOs which are scheduled to be come in 2021. One such IPO is the Shyam Metalics IPO that is going to launch on June 14, 2021. To Apply for the IPO's you should must have Demat Account. 

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Let’s have a detailed review of the company and analytics of the Shyam Metalics and Energy IPO release date, IPO offer price, subscription, Shyam Metalics IPO allotment, Shyam Metalics grey market premium, and other details like the company’s background,  financial positions of Shyam Metalics , its promoters, and other related things. 

About Shyam Metalics Company Details :-

Shyam Metalics is a leading integrated metal producing company based in India. Focusing on long steel products such as iron pellets, sponge iron, steel billets, Thermo mechanically treated (TMT), structural products, wire rods, and ferro alloys. Incorporated in 2002. The company is amongst the largest producers of ferroalloys in terms of installed capacity in India, as of February 2021.They have the ability to sell intermediate and final products across the steel value chain. As of March, 2020, they were one of the leading players in terms of pellet capacity and the 4th largest player in the sponge iron industry in terms of capacity in India.
The Company has a consistent track record of delivering operating profitability, and since the commencement of its operations in Fiscal 2005, it has delivered a positive EBITDA in each of the Fiscals.
The Company has 3 manufacturing plants that are located at Sambalpur in Odisha, and Jamuria and Mangalpur in West Bengal. 
The Company Sambalpur and Jamuria manufacturing facilities operates in Ore to Metal integrated steel manufacturing. The Mangalpur Facility Operates in Sponge Iron, Ferroalloy plants and Power Plant.
As of Dec 31, 2020, its manufacturing units have an aggregated installed metal capacity of 5.71 million tonnes per annum. The company is looking to expand its capacity from 5.71 MTPA to 11.60 NTPA by 2025. 

The Customers of Company are :- 

• Domestic Clients:-

1. Jindal Stainless Limited, Rimjhim Ispat Limit,

• International Clients :-

1. Norecom DMCC,
2. Norecom Limited,
3. POSCO International Corporation,
4. World Metals & Alloys,
5. Traxys North America LLC,
6. JM GLobal Resources,
7. Vijayshri Steel Pvt Ltd

The company has a partnership with 42 distributors to offer its products across 13 states and 1 union territory.

Promoters of Shyam Metalics Company :-

MAHABIR PRASAD AGARWAL,BRIJ BHUSHAN AGARWAL, SANJAY KUMAR AGARWAL, SUBHAM CAPITAL PRIVATE LIMITED,
SUBHAM BUILDWELL PRIVATE LIMITED,
NARANTAK DEALCOMM LIMITED,
KALPATARU HOUSEFIN & TRADING PRIVATE LIMITED,
DORITE TRACON PRIVATE LIMITED AND
TOPLIGHT MERCANTILES PRIVATE LIMITED

Promoter Holding :- 

Pre Issue Share Holding	100%
Post Issue Share Holding	88.35%

Financials of Shyam Metalics :-

Particulars	For the year/period ended                (₹ in Cr.)
	31-Dec-20	31-Mar-20	31-Mar-19	31-Mar-18
Total Assets	5,105.14	5,203.78	4,052.43	3,470.62
Total Revenue	3,995.63	4,395.30	4,684.56	3,920.39
Profit After Tax	456.32	340.32	636.78	528.03

Financial Ratios:- 

PE is 12.50

Eps for 9M  2020-21  19.53

Debt to Equity Ratio - 0.30

Peers Of Shyam Metalics :-

Peers	Revenue Growth	PAT Growth	OPM	ROE	EV	EBITDA	EV/EBITDA	P/E
Tata Steel Ltd	9%	-17%	19%	10%	202975	30331	6.69	11.72
JSW Steel Ltd	4%	8.38%	25%	17%	206662	20141	10.26	22.00
SAIL	3%	NA	21%	8.31%	97115	13021	7.46	15.00
Jindal Steel and Power	5%	NA	34%	11.45%	57000	13184	4.32	12.00
Shyam Metallic	12%	4.81%	19%	15.45%	7950	958	8.30	12.50

 

Shyam Metalics Ipo Details :-

IPO Opening Date	Jun 14, 2021
IPO Closing Date	Jun 16, 2021
Issue Type	Book Built Issue IPO
Face Value	₹10 per equity share
IPO Price	₹303 to ₹306 per equity share
Employee Discount	₹ 15
Min Order Quantity	45 Shares
Listing At	BSE, NSE
Issue Size	₹909.00 Cr)
Fresh Issue	₹657.00 Cr
Offer for Sale	₹252.00 Cr.

Objectives Of Ipo :-

The IPO proceeds will be used towards the following purposes;

• Repayment and/or pre-payment of company and its subsidiary (SSPL)'s debt fully or partially.
• General corporate purposes.

IPO Timeline :-

IPO Open Date	14 June 2021
IPO Close Date	16 June 2021
Basis of Allotment Date	21 June 2021
Initiation of Refunds	22 June 2021
Credit of Shares to Demat Account	23 June 2021
IPO Listing Date	24 June 2021

Shyam Metalics Ipo Grey Market Premium :-

On 11 June 2021  Rs. 130
On 10 June 2021  Rs. 145
On 9 June 2021 Rs. 133-138
On 8 June 2021 Rs. 131
On 7 June 2021 Rs. 130

Strengths & Weakness :-

Strengths

1. Diversified Product Portfolio.
2. Manufacturing facilities are strategically located close to raw material sources.
3. Strong financial performance and distribution network.

Weakness

1. No long-term agreements with customers.
2. Major portion of revenues come from exports to limited markets.
3. Major Revenue Come from Only Top 10 Clients. Loss of Clients may Affect Revenue.
4. Restrictions on import of raw materials and an increase in shipment cost may impact operations.
5. Business operations are on owned and leased premises.

IPO Registrar : 

KFintech Private Limited