Fabtech Technologies Cleanrooms Limited, a prominent provider of pre-engineered modular cleanroom solutions for the pharmaceutical, healthcare, and biotech industries, is set to launch its Initial Public Offering (IPO) on the BSE SME platform. The IPO will open on January 3, 2025, and close on January 7, 2025, with shares expected to list on January 10, 2025.
IPO Details:
- Issue Size: The company aims to raise ₹27.74 crore through a fresh issue of 3,260,000 equity shares.
- Price Band: The shares are priced between ₹80 to ₹85 per share.
- Lot Size: Investors can bid for a minimum of 1,600 shares, amounting to ₹128,000 at the upper price band.
- Allocation: The issue is categorized with 50% for Qualified Institutional Buyers (QIBs), 15% for Non-Institutional Investors (NIIs), and 35% for Retail Individual Investors (RIIs).
Company Overview:
Established in 2015, Fabtech Technologies specializes in designing, manufacturing, and installing modular cleanroom solutions, including cleanroom panels, doors, HVAC systems, and electrification works. With advanced manufacturing facilities in Gujarat and Maharashtra, the company has built a reputation for delivering high-quality, industry-specific solutions.
Financial Performance:
The company’s financials reflect consistent revenue generation:
- FY 2022: Revenue of ₹113.95 crore with a Profit After Tax (PAT) of ₹3.60 crore.
- FY 2023: Revenue increased to ₹125.10 crore, and PAT rose to ₹7.96 crore.
- FY 2024: Revenue stood at ₹97.99 crore, with a PAT of ₹5.78 crore.
Objectives of the IPO:
The funds raised will be utilized for:
- Meeting long-term working capital requirements.
- Acquiring equity shares of Kelvin Air Conditioning and Ventilation Systems Private Limited.
- General corporate purposes.
Strengths and Risks:
Strengths:
- Expertise in end-to-end cleanroom infrastructure solutions.
- Advanced automated manufacturing facilities.
- Experienced leadership and skilled management team.
Risks:
- Dependence on the pharmaceutical and biotech sectors.
- High operational costs due to advanced manufacturing processes.
- Limited geographical presence outside India.
Application Process:
Investors can apply for the IPO through:
- ASBA (Application Supported by Blocked Amount): Available via net banking services of participating banks.
- UPI (Unified Payments Interface): Through trading platforms that support UPI-based applications.
Key Dates:
- IPO Open Date: January 3, 2025
- IPO Close Date: January 7, 2025
- Allotment Date: January 8, 2025
- Refunds Initiation: January 9, 2025
- Shares Credited to Demat Accounts: January 9, 2025
- Listing Date: January 10, 2025
Conclusion:
Fabtech Technologies Cleanrooms Limited’s IPO presents an opportunity to invest in a company with a strong foothold in the cleanroom solutions sector. Potential investors should carefully assess the company’s financial health, growth prospects, and associated risks before making investment decisions.
Disclaimer: This article is for informational purposes only and should not be construed as investment advice. Investors are advised to consult financial advisors before making investment decisions.