IKIO Lighting IPO Overview:
IKIO Lighting has established a price range for its initial public offering of Rs 270–285 per share, valuing the company at Rs 2,200 crore at the top end of the range. The IPO is anticipated to start on June 6 and end on June 8. The opening day for anchor investor bids is June 5. The company’s shares will be traded on markets on June 16 and refunds will begin on June 14.
Breakdown of the IPO:
The IPO consists of two components: a fresh issuance of equity shares valued at Rs 350 crore and the sale of up to 90 lakh equity shares by the promoters, Hardeep Singh and Surmeet Kaur. At the upper price band, the company aims to raise over Rs 600 crore through the IPO. The funds generated from the fresh issuance, amounting to Rs 50 crore, will be primarily utilized for debt repayment. Additionally, Rs 212.31 crore will be allocated towards establishing a new facility in Noida, Uttar Pradesh, for IKIO Lighting’s wholly-owned subsidiary, IKIO Solutions, and for general corporate purposes.
IKIO Lighting: A Leading LED Lighting Solutions Provider
IKIO Lighting is a prominent manufacturer specializing in the production of LED lighting solutions. The company follows an original design manufacturer (ODM) model, focusing on the design, development, manufacturing, and supply of LED products. These products are then distributed by customers under their own brands. With its expertise and comprehensive range of LED lighting solutions, IKIO Lighting has established itself as a reliable partner for customers across various industries.
In all, the firm runs four production sites, three of which are in Noida in the National Capital Region and one of which is at the SIDCUL Haridwar industrial park in Uttarakhand. IKIO Lighting can maintain high standards and satisfy the rising demand for energy-efficient lighting solutions thanks to these capabilities.
Financial Performance and Growth:
IKIO Lighting’s financial performance has exhibited positive growth in recent years. In fiscal year 2023, the company reported consolidated revenue of Rs 331.84 crore, a significant increase from Rs 213.45 crore in the previous year. This growth can be attributed to the rising adoption of LED lighting solutions and IKIO Lighting’s strong market presence.
The net profit for fiscal year 2023 stood at Rs 50.52 crore, demonstrating substantial growth compared to Rs 28.81 crore in the previous year. This improvement in profitability reflects IKIO Lighting’s effective cost management and operational efficiency.
As of December 2022, the company’s total debt amounted to Rs 145.27 crore. By allocating a portion of the IPO funds towards debt repayment, IKIO Lighting aims to enhance its financial stability and capitalize on future growth opportunities.
Motilal Oswal Investment Advisors as the Book-Running Lead Manager:
For the initial public offering of IKIO Lighting, Motilal Oswal Investment Advisors has been selected as the only book-running lead manager. Motilal Oswal Investment Advisors will enable optimum value generation for the firm and its stakeholders by facilitating the seamless execution of the IPO process with the help of their broad network and expertise in capital market transactions.
IKIO Lighting’s IPO announcement sets the stage for the company’s next phase of growth. By offering LED lighting solutions and leveraging its ODM model, IKIO Lighting has positioned itself as a key player in the industry. The IPO will provide the necessary capital to further strengthen its market position, expand manufacturing capabilities, and repay debts. With its positive financial performance and commitment to innovation, IKIO Lighting is well-positioned to capitalize on the increasing demand for energy-efficient lighting solutions.
About IKIO Lighting:
IKIO is a leader in the creation of environmentally friendly LED lighting systems. IKIO seeks to provide the highest value to its customers through a completely vertically integrated production system. Their wide range of cutting-edge LED lighting options aims to build a sustainable future that is advantageous to everybody.
IKIO Lighting IPO FAQs:
What is the price range for IKIO Lighting’s IPO?
The price range for IKIO Lighting’s IPO is set at Rs 270-285 per share.
When will the IPO open and close?
The IPO will open on June 6 and close on June 8.
How will the funds raised through the IPO be utilized?
The funds raised through the IPO will be allocated towards debt repayment, establishing a new facility, and general corporate purposes.
What is IKIO Lighting’s specialization?
IKIO Lighting specializes in the design, development, manufacturing, and supply of LED lighting solutions.
Who is the book-running lead manager for the IPO?
Motilal Oswal Investment Advisors has been appointed as the exclusive book-running lead manager for the IPO.
Will the IPO be open to retail investors?
Yes, the IPO will be open to both institutional and retail investors. Retail investors will have the opportunity to participate in the IPO and invest in IKIO Lighting’s shares.
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