Alphalogic Industries IPO: Unlocking Storage Solutions
Introduction:
Incorporated in 2020, Alphalogic Industries Limited is a subsidiary of M/s. Alphalogic Techsys Limited, specializing in the design, manufacturing, supply, and installation of industrial and institutional storage systems. With its manufacturing unit situated in Pimpri Chinchwad, Pune, Maharashtra, the company focuses on producing a wide range of storage solutions catering to diverse industries.
Diverse Product Range:
Alphalogic Industries is known for its versatile product portfolio, which includes:
- 1. Compactor Storage Systems: Efficient storage solutions for various industries, optimising space utilisation.
- 2. Heavy Duty Storage Racks: Sturdy racks designed to accommodate heavy loads and goods.
- 3. Cantilever Racks: Specifically designed racks suitable for long and bulky items.
- 4. Lockers: Secure storage options for personal and professional use.
- 5. Mezzanine Floors: Elevated platforms that add extra space for storage or operations.
- 6. Metal Pallets & Crates: Robust containers for storage and transportation.
- 7. Library Stacks and Book Cases: Organizational solutions for libraries and institutions.
- 8. School Lockers: Safe storage for educational institutions.
Strong Clientele:
Alphalogic Industries has established its presence by delivering tailored storage solutions to a diverse clientele. The company's storage systems have found applications in various industries, including automotive, e-commerce, food, logistics, engineering, pharmaceuticals, education, and IT. In the fiscal year 2023 alone, Alphalogic Industries has successfully served over 150 clients from different sectors.
Financial Performance and Market Position:
As of the latest available data, Alphalogic Industries' stock quote reflects its growth trajectory. The company's shares have witnessed upward movement, with a 52-week high of ₹139.90 and a 52-week low of ₹95.60.
Alphalogic Industries IPO Highlights:
The Alphalogic Industries IPO is a Fixed Price Issue with a total issue size of ₹12.88 Crores. The issue is priced at ₹96 per share, and the IPO will be listed on the BSE SME platform. The subscription window for the IPO was open from July 3, 2023, to July 6, 2023. The anticipated listing date is July 14, 2023.
Promoter Holding:
M/s. Alphalogic Techsys Limited is the promoter of Alphalogic Industries Limited. The pre-issue shareholding of the promoter stands at 100.00%, which is expected to reduce to 73.67% post the IPO.
Key Financials and Indicators
Financial Information (Restated Standalone):
Total Assets | ₹76.90 Lakhs to ₹917.73 Lakhs |
Total Revenue | ₹322.33 Lakhs to ₹1,823.14 Lakhs |
Profit After Tax | ₹8.29 Lakhs to ₹219.41 Lakhs |
Net Worth | ₹18.29 Lakhs to ₹433.58 Lakhs |
Total Borrowing | ₹55.75 Lakhs to ₹370.83 Lakhs |
Key Performance Indicators
P/E (x) | 22.3 |
Market Cap (₹ Crores) | ₹48.91 |
ROE | 0.85 |
ROCE | 0.75 |
Debt/Equity | 0.86 |
EPS (₹) | 111.53 |
RoNW | 50.60% |
Use of Proceeds:
The net proceeds from the IPO will be utilised for various purposes, including meeting working capital requirements, covering issue expenses, and general corporate purposes.
Expert Review:
While the company operates in a competitive segment, its market share improvement and reserved quota for ATL stakeholders are noteworthy. The issue's pricing seems adequate, making it a potential consideration for medium to long-term investors.
IPO Subscription Status:
The Alphalogic Industries IPO received a subscription of 5.34 times as of July 6, 2023. Retail subscriptions led at 5.19 times, and the issue was subscribed 4.24 times in the NII category.
Conclusion:
Alphalogic Industries' IPO presents an opportunity for investors to be part of a company specializing in innovative storage solutions across various sectors. While the competitive landscape should be taken into account, the company's growth trajectory and market presence make it an intriguing prospect. The subscription demand reflects investor interest, indicating the potential for growth in the storage solutions market.
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