Raviraj Process Controls IPO

About Raviraj Process Controls IPO

The offer consists of a fresh issue component. The fresh issue will include up to 41,32,800 equity shares. The total number of shares and aggregate amount are yet to be finalised. The price band of the IPO is TBA. The lot size is TBA.

The IPO opening date is TBA. The IPO closing date is TBA. The listing date is TBA. The date of allotment is TBA. The credit of shares to the demat account will take place on TBA. The initiation of refunds will take place on TBA.

Raviraj Process Controls Limited is engaged in the manufacturing of electrical products like temperature sensors, wires & cables, cable harness, heaters and sleeves for a variety of applications specialising in the electric motor and generator industry. They cater to OEM ("Original Equipment Manufacturer") business of electric motor and generator manufacturers as well as the refrigeration industry, but not limited to this industry only. They have a full-fledged in-house manufacturing facility fully operational with resources to meet their customers' needs with respect to each and every component.

Objectives of Raviraj Process Controls IPO

• To purchase capital equipment.
• To meet working capital requirements.
• Repayment of certain debt facilities.
• General corporate purposes.
• To meet public issue expenses.

Industry Outlook

The Electronics Manufacturing Services (EMS) market plays a critical role in the electronics industry by providing a range of services to original equipment manufacturers (OEMs). EMS companies offer design, manufacturing, assembly, testing, and logistics services, allowing OEMs to outsource the production of electronic components and devices. This market has experienced significant growth due to various factors, including the increasing complexity of electronic products, the need for cost optimisation, and the demand for faster time-to-market.

The world’s fastest-growing industry, Electronics System Design and Manufacturing (ESDM), continues to transform lives, businesses, and economies across the globe. India is expected to become a $1,00,000 crore digital economy by FY26. Currently, the electronics market in India is valued at $15,500 crores with domestic production accounting for 65%. Technology transitions such as the rollout of 5G networks and IoT are driving the accelerated adoption of electronics products. Initiatives such as ‘Digital India’ and ‘Smart City’ projects have raised the demand for IoT in the electronics devices market and will undoubtedly usher in a new era for electronic products.

The Indian wires and cables market is expected to witness progressive growth in the upcoming six years, backed by the growing telecommunication sector in the country. The increased number of internet subscribers due to rising internet penetration rapidly from past years is an active contributor to the Indian wires and cables market growth. On the other side, telecom operators are spending in bulk on the integration of telecom towers in rural areas, and all this can be possible with the needful resources for the same. As a result, the use of wires and cables is rising in the telecom sector, which tends to ensure better signals through consistent power supply. As a result, it is estimated to strengthen the Indian wires and cables market growth in the forthcoming years. The Indian segment was valued at $1,608 crores in 2022 and is expected to reach $2,780 crores by 2028, registering a CAGR of 9.5% over the forecast period.

Company Information

Raviraj Process Controls Limited is engaged in the manufacturing of electrical products like temperature sensors, wires & cables, cable harness, heaters and sleeves for a variety of applications specialising in the electric motor and generator industry. They cater to OEM ("Original Equipment Manufacturer") business of electric motor and generator manufacturers as well as the refrigeration industry, but not limited to this industry only. They have a full-fledged in-house manufacturing facility fully operational with resources to meet their customers' needs with respect to each and every component.

The company has two manufacturing units located in Navi Mumbai, Maharashtra. A full-fledged quality department is set up in each of their two manufacturing units with instruments with equipment calibrated with National Accreditation Board for Testing and Calibration Laboratories (NABL) approved laboratories to conduct testing of the product and components as per the Indian Standards (IS), International Electrotechnical Commission (IEC) standards and other global standards.

Risks of Raviraj Process Controls IPO

• Dependence on third-party transportation providers for the delivery of their raw materials and products : They rely on third-party transportation providers to deliver their raw materials and products. Transportation strikes could disrupt their supply of raw materials and their ability to deliver products to customers. Additionally, transportation costs in India have been rising steadily over the years. Continued increases in these costs or the unavailability of transportation services could negatively impact their business, financial condition, and operations. Furthermore, India's physical infrastructure is less developed compared to many developed countries. Issues with road networks, the electricity grid, communication systems, or other public facilities could disrupt their normal business activities, including the supply of raw materials and product deliveries by third-party transportation providers. Any decline in the quality of India's infrastructure could harm the national economy, disrupt the transportation of goods and supplies, and increase business costs. These issues could interrupt their operations, adversely affecting their business results and financial condition.

• Volatility in raw material prices : Copper is the basic and one of the major raw materials for their manufacturing process. The copper prices are governed by international forces. Prices prevailing at the London Metal Exchange are one of the effective key factors affecting the prices of copper, i.e. the raw materials required by them. Thus, the prices of their major raw material, copper, remain highly volatile. The volatility in raw material prices will affect the profitability of the company adversely. They purchase raw materials either through the domestic market or imports, without any long-term supply agreements with suppliers. They face risks related to compensating for or passing on the increased costs of raw materials to their customers. If they raise their product prices to maintain their margins, their products might become too expensive for some customers. Price increases in raw materials could directly affect their margins and profitability, having a material adverse effect on their business, financial condition, and operational results.

• Foreign exchange risk : Some of their inputs are imported from countries like Brazil, etc., and payment for these purchases is made in foreign currency. Changes in the value of currencies with respect to the rupee may cause fluctuations in their operating results expressed in rupees. The exchange rate between the rupee and other currencies is variable and may continue to fluctuate in future. Any adverse or unforeseen fluctuations with respect to the unhedged exchange rate of any foreign currency for Indian rupees may affect the company’s results of operations. They are not involved in the hedging of foreign currency, which would result in losses and gains resulting from the translation of foreign currency denomination on their financials.

Anchor Investor Bidding Date: TBA

Registrar : Maashitla Securities Private Limited

Book Running Lead Managers: Ekadrisht Capital Private Limited Fintellectual Corporate Advisors Private Limited

Business Model of Raviraj Process Controls IPO

The company earns its revenue through the following: Manufacturing electrical products like temperature sensors, wires & cables, cable harness, heaters and sleeves for a variety of applications specialising in the electric motor and generator industry.

Company Growth Trajectory of Raviraj Process Controls IPO

The company's total income for the period that ended 31 March 2024 stood at ₹41.81 crores, whereas in financial year 2022-23 it stood at ₹29.68 crores, representing an increase of 40.86%.

Their revenue from operations increased by 40.85% to ₹41.54 crores for the financial year 2023-24 from ₹29.49 crores for the financial year 2022-23. Revenue from operations increased primarily because of an increase in sales of products as compared to the previous financial year. Their other income increased by 42.34% to ₹0.27 crores for the financial year 2023-24 from ₹0.19 crores for the financial year 2022-23.

Their Profit After Tax has increased by ₹2.30 crores from a profit of ₹4.25 crores in the FY that ended 31 March 2023 to a profit of ₹6.55 crores in the FY that ended 31 March 2024.

How to check allotment status of Raviraj Process Controls IPO?

Visit the Registrar's Website

To check the IPO allotment status for Raviraj Process Controls Limited IPO, visit the official website of Maashitla Securities Private Limited, the registrar for this IPO. On their IPO allotment status page, enter your Permanent Account Number (PAN), application number, or Demat account ID. Then, click the ‘Submit’ button to view your allotment status. Ensure you have the necessary details ready for a quick and accurate check.

Check on the 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

• Select 'Equity' from the dropdown menu
• Choose 'Raviraj Process Controls Limited' in the next dropdown
• Enter your application number
• Enter your PAN
• Click 'Search' Your Raviraj Process Controls Limited IPO allotment status will be displayed.

Verify on the National Stock Exchange Website

The National Stock Exchange (NSE) has an IPO Bid Verification module. Use this to check Raviraj Process Controls Limited IPO allotment status.

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'. Your Raviraj Process Controls Limited IPO bid and allotment details will be displayed.

How to apply for Raviraj Process Controls 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.