IPO Details
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Schedule of Advanced Sys-Tek Ltd IPO
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About Advanced Sys-Tek Ltd IPO
A 100% book-built offer, the IPO of Advanced Sys-Tek Ltd comprises fresh issue and an offer for sale. The fresh issue aggregates up to ₹115 crore, while the offer for sale is up to 1,527,500 equity shares.
Objectives of Advanced Sys-Tek Ltd IPO
- Funding capital expenditure requirement for setting up fabrication shed and purchase of solar rooftops
- Funding long term working capital requirement
- General corporate purposes
Advanced Sys-Tek Ltd IPO Valuation
Advanced Sys-Tek IPO Share Offer and Subscription Details
| Investor Category | Shares Offered |
|---|---|
QIBs | Not more than 50% of the offer |
Non-institutional Bidders | Not less than 15% of the offer |
Retail Individual Bidders | Not less than 35% of the offer |
Industry Outlook
Automation in the petrochemical sector is expected to streamline operations as a result of the rising demand for ethanol blending at oil terminals, which will introduce more steps and complexities in the supply chain and drive the need for increased automation.
Between CY19 and CY23, the Indian automation market for the petrochemical sector increased at a CAGR of 8.6%. Automation in the Indian petrochemical industry is expected to evolve at a CAGR of 15.5% between CY24 and CY29, with ongoing developments resulting in more intelligent, efficient, and sustainable operations.
Company Information
Advanced Sys-Tek Ltd has experience of more than 30 years in providing large and complex measurement, control and industrial automation solutions, including but not limited to terminal automation for the oil and gas industry. It is the only established Indian player in the oil and gas terminal automation market. As of September 30, 2024, the company had completed over 200 installations in India and overseas.
Advanced Sys-Tek Ltd Strengths
Domain expertise in the industrial automation sector and POL terminal automation solutions in India
With an experience of 30 years in providing automation solutions for large and complex terminals as well as small depots, Advanced Sys-Tek Ltd is the only established Indian player in the oil and gas terminal automation market. It specialises in setting up completely automated metering systems in oil and gas terminals and upgrading existing manually operated oil and gas terminals.
Long standing relationship with marquee customers anchored by strong project execution capabilities
The company over the years has built a long-term relationship with a number of marquee customers particularly public sector oil companies in India. Additionally, it has established and maintained strong relationships with certain private sector entities. A vast majority of its projects, in particular, its terminal and port automation projects are awarded through tender and are subject to stringent technical knowledge, financial capabilities, proven track record and experience requirements.
Risks of Advanced Sys-Tek Ltd
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Dependence on Key Customers and Revenue Concentration Risk: The company’s business is significantly reliant on certain key customers, particularly, large oil marketing PSU companies. The loss of any of these customers or loss of revenue from sales to any key customers could have a material adverse effect on its business, financial condition, results of operations and cash flows.
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Risk of Revenue Dependence on Government Tenders and Competitive Bidding: A significant proportion of its orders are from government related entities which award the contract through a process of tender. Tenders, typically, are awarded to the lower bidder once all other eligibility criteria are met. Its performance could be adversely affected if it’s not able to successfully bid for these contracts or required to lower its bid value.
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Dependence on Oil and Gas Industry and Its Impact on Business Stability: The company’s operations are significantly dependent on the oil and gas industry in India and overseas, and any downturn in this industry may have an adverse effect on its business, revenue from operations and financial conditions.
All Financial Information about Advanced Sys-Tek Ltd
Particulars (in Rs. crores)
Particulars (in Rs. crores)
Comparison with peers
| Company Name | Total Income (in ₹ crores) | EPS in ₹ | Return on Net Worth (in %) | NAV per Equity Share (in ₹) |
|---|---|---|---|---|
Advanced Sys-Tek Ltd | 192.151 | 10.20 | 10.27 | 99.30 |
Honeywell Automation India Ltd | 4201.00 | 567.10 | 13.90 | 4078.49 |
ABB India Ltd | 10748.20 | 58.61 | 23.10 | 280.54 |
Anchor Investor Bidding Date TBA
IPO Registrar and Book Running Lead Managers
- Registrar: MUFG Intime India Pvt Ltd, formerly known as Link Intime India Pvt Ltd
- Book Running Lead Managers: Inga Ventures Pvt Ltd and Sowilo Capital Advisors LLP
Business Model
Advanced Sys-Tek Ltd specialises in providing comprehensive automation solutions for:
- Large and complex petroleum, oil and lubricants (POL) storage and distribution terminals i.e. terminal automation (TA)
- Other industrial automation solutions such as custody transfer metering of hydrocarbons i.e. providing metering skids which enable precise measurement of gas flow through gas pipelines and facilitate billing
The company’s industrial automation solution comprises POL terminal automation systems, liquid and gas fiscal metering system and additive injection and blending system. Its software solutions for IA cover a wide range of integrated computer system solutions for networking, database management, SCADA (Supervisory Control and Data Acquisition) and embedded software.
Company Growth Trajectory
Advanced Sys-Tek Ltd has enjoyed consistent growth in its revenue and profitability. Its revenue from operations grew at a CAGR of 17.82% between Fiscal 2022 and Fiscal 2024 and during the same period its profit after tax grew at a CAGR of 65.82%.
Advanced Sys-Tek Ltd Profit and Loss
| Parameter | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Total Income (in ₹ crore) | 192.151 | 142.274 | 141.155 |
Profit After Tax (in ₹ crore) | 19.217 | 13.171 | 6.989 |
EPS in ₹ | 10.20 | 7 | 3.71 |
Advanced Sys-Tek Ltd Balance Sheet
| Parameters | FY 24 | FY 23 | FY 22 |
|---|---|---|---|
Profit After Tax (in ₹ crore) | 19.217 | 13.171 | 6.989 |
Net Cash Flow (used in) / Generated from Operating Activities (in ₹ crore) | 14.746 | (5.435) | (9.098) |
Net Cash Flow from / (used in) Investing Activities (in ₹ crore) | (47.244) | 5.80 | 9.159 |
Net Cash Flow from / (used in) Financing Activities (in ₹ crore) | 40.195 | (0.735) | (0.754) |
Cash and Cash Equivalents at the end of the Year (in ₹ crore) | 10.355 | 2.659 | 3.012 |
How to Check the Allotment Status of Advanced Sys-Tek Ltd?
- Visit the Registrar’s Website
Visit the official website of MUFG Intime India Private Ltd and choose ‘Public Issues’ from ‘Investor Services’ dropdown. Choose the company name from the ‘Select Company’ dropdown. Enter either your PAN, application number, DP client ID, etc., and click on ‘Submit’ to check status.
- Check on Bombay Stock Exchange Website
The Bombay Stock Exchange (BSE) also has an IPO allotment status page. Go to www.bseindia.com and find the 'Investors' tab. Under 'Investors', click on 'IPO'. This will take you to the IPO allotment status page. On the BSE IPO page, follow these steps:
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Select 'Equity' from the dropdown menu
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Choose 'Advanced Sys-Tek Ltd' in the next dropdown
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Enter your application number
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Enter your PAN
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Click 'Search’ to know allotment status of Advanced Sys-Tek Ltd IPO
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Verify on the National Stock Exchange Website
The National Stock Exchange (NSE) has an IPO bid verification module. You can use it to check the status of Advanced Sys-Tek Ltd IPO. Go to www.nseindia.com and find the 'Invest' tab. Click on 'Verify IPO Bids' under 'Resources & Tools'.
On the NSE IPO Bid Verification page, enter:
- Application number
- PAN
Then click 'Submit' to know the allotment status.
How to Apply for Advanced Sys-Tek Ltd IPO?
- Step 1: Log in to your Kotak Securities Demat account - Log in to your Demat account to access IPO investments. Next, select the current IPO section.
- Step 2: Specify IPO details - Enter the number of lots and the price you wish to apply for.
- Step 3: Enter UPI ID - After entering your UPI ID, click submit. This will place your bid with the exchange.
- Step 4: Mandate Notification - Your UPI app will receive a mandate notification to block funds.
- Step 5: Approve Request - Your funds will be blocked once you approve the mandate request on your UPI.
This article is for informational purposes only and does not constitute financial advice. It is not produced by the desk of the Kotak Securities Research Team, nor is it a report published by the Kotak Securities Research Team. The information presented is compiled from several secondary sources available on the internet and may change over time. Investors should conduct their research and consult with financial professionals before making any investment decisions. Read the full disclaimer here.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing. Please read the SEBI-prescribed Combined Risk Disclosure Document before investing. Brokerage will not exceed SEBI’s prescribed limit.
Advanced Sys-Tek Ltd IPO FAQs
What is the Advanced Sys-Tek Ltd IPO?
The IPO of Advanced Sys-Tek Ltd comprises a fresh issue and an offer for sale. Fresh issue aggregates up to ₹115 crore, the offer for sale is up to 1,527,500 equity shares of face value of ₹10 each.
When will the IPO of Advanced Sys-Tek Ltd go live?
The exact dates of the IPO are yet to be announced.
Who is the MD of Advanced Sys-Tek Ltd?
Shirish Madhukar Adi is MD of Advanced Sys-Tek Ltd.
From where can I read more about the IPO of Advanced Sys-Tek Ltd?
You can read more about the IPO of Advanced Sys-Tek Ltd from the company’s draft red herring prospectus here.
