₹ 14895 / 45 shares
IPO Details
RHP/DRHPIssue Date
09 Jan - 11 Jan'24
Investment/lot
₹ 14895
Price Range
315 - 331
Lot Size
45
IPO Size
₹ 1000.24 Cr
IPO Listing Details
Listing On
16 Jan'24
Issue Price
331
Listed Price
₹ 370
Retail Gain/Listing Gain
▲11.78%
IPO Timeline
Jyoti CNC Automation IPO Review | Issue details, future strategies and more
Kotak Securities
•4m 05s
Jyoti CNC Automation Company Background
Jyoti CNC Automation Limited is one of the world’s leading manufacturers of metal-cutting computer numerical control (CNC) machines, with the third largest market share in India, accounting for approximately 10% in India in FY23. The company also holds the twelfth largest market share globally, accounting for 0.4% in CY22 (Source: F&S Report).
The company manufactures simultaneous 5-Axis CNC machines in India (Source: F&S Report) and supplies customised solutions to customers across industries such as aerospace and defence, auto and auto components, general engineering, EMS, dies and moulds, among others.
Let's take a look at the competitive strengths and risk factors for Jyoti CNC Automation Limited:
Competitive Strengths
One of the leading CNC machine manufacturers globally and in India
Apart from the company’s market share hold and its 2 decade-long industry presence, it has been recognised as the ‘Best Brand in the Metal Cutting Industry’ by the Economic Times for 5 consecutive years from 2018 to 2022.
Well-diversified global customer base spread across end-user industries
Since April 1, 2004, the company has supplied over 30,000 CNC machines globally. During the 6 months ended September 30, 2023, and the last 3 Fiscals, the company has supplied machines over 8,400 machines to more than 3,500 customers in India and across Asia (excluding India), Europe, North America and the rest of the world.
Vertically integrated operations to enable customisation and production efficiencies
The company operates out of 3 manufacturing facilities 2 in Rajkot, Gujarat, and 1 in Strasbourg, France, which are equipped with capabilities to design, develop and manufacture its product portfolio. This reduces their dependence on third parties, streamlines the production process and improves their operational efficiencies. In addition, it also enables them to maintain control over the entire manufacturing process and provide better delivery timelines to customers at a more competitive cost.
Risk Factors
- The company has faced a negative return on equity in the past, and any future loss may impact its growth prospectus.
- The company’s success is dependent on its relationship with customers, and it generally does not enter into long-term purchase contracts.
- The company has incurred significant indebtedness and carries substantial debt-servicing obligations.
Key Strategies
- Focus on improving market share and take advantage of the growing industry demand.
- Expand presence across other end-user industries and diversify customer base and geographical reach.
- Continuously augment their capacity in line with their expected business growth.
Jyoti CNC Automation Key financials
Here are the key financials for Jyoti CNC Automation Limited:
Particulars (in Rs. Millions)
Particulars (in Rs. Millions)
How to apply for IPO through ASBA
Kotak Securities
•00m 59 s
How to apply for an IPO using UPI
Kotak Securities
•01m 19 s
Opening of account will not guarantee allotment of shares in IPO. Investors are requested to do their own due diligence before investing in any IPO.
How To Apply for Jyoti CNC Automation Ltd IPO?
Here are the steps to apply for Jyoti CNC Automation Ltd:
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.
Jyoti CNC Automation IPO FAQs
When is Jyoti CNC Automation IPO listing date?
Jyoti CNC Automation IPO will list on 2024-01-16.
What is the issue size of Jyoti CNC Automation IPO?
1000.24 is the issue size of Jyoti CNC Automation IPO.
What is the minimum lot size required for Jyoti CNC Automation IPO?
The minimum lot size is 45 shares and the investment required is ₹14895.
What is the price band of the Jyoti CNC Automation IPO?
The price band of Jyoti CNC Automation IPO is ₹315 to ₹331.
Where can I read more about Jyoti CNC Automation business?
You can read more about Jyoti CNC Automation and its IPO from the company’s red herring prospectus (RHP) here.
What is the Jyoti CNC Automation Limited IPO?
The Jyoti CNC Automation Limited IPO has an issue size of Rs. 1,000 crores. The IPO opens for subscription on 9th January 2024 and closes on 11th January 2024.
Who is the Registrar for Jyoti CNC Automation Limited IPO?
Link Intime India Private Limited is the registrar for this IPO.
Where can I read more about Jyoti CNC Automation Limited’s business?
You may read more about Jyoti CNC Automation Limited and its IPO from the company’s red herring prospectus (RHP) here:
When is Jyoti CNC Automation IPO allotment?
Jyoti CNC Automation IPO will be allotted on 12th January 2024.
Who are the book runners for Jyoti CNC Automation IPO?
Equirus Capital Private Limited, ICICI Securities Limited, and SBI Capital Markets Limited are the book runners for Jyoti CNC Automation IPO.
Who is the Registrar of Jyoti CNC Automation Limited FPO?
Link Intime India Private Limited is the registrar for this IPO.
