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29 May 2024

Associated Coaters Limited IPO

Associated Coaters is engaged in the business of providing services by way of pre-treatment and powder coating of aluminum extrusions in the architectural and Real Estate Industry. The process begins with a comprehensive cleaning, where the targeted surface of aluminum extrusions is thoroughly cleansed of any dirt, grease or contaminants that might impede the subsequent coating process. Following this, a strategic chemical solution is applied to enhance the adhesion of the powder coating. This involves the application of an acidic solution for surface etching or the use of a specialized pretreatment agent to optimize surface wettability.

Associated Coaters IPO is a fixed price issue of Rs 5.11 crores. The issue is entirely a fresh issue of 4.22 lakh shares. Associated Coaters IPO opens for subscription on May 30, 2024 and closes on June 3, 2024. The allotment for the Associated Coaters IPO is expected to be finalized on Tuesday, June 4, 2024. Associated Coaters IPO price is ₹121 per share. The minimum lot size for an application is 1000 Shares. Gretex Corporate Services Limited is the book-running lead manager of the Associated Coaters IPO, while Bigshare Services Pvt Ltd is the registrar for the issue.

Associated Coaters IPO Overview

Detail	Description
IPO Date	May 30, 2024 to June 3, 2024
Listing Date	[.]
Face Value	₹10 per share
Price	₹121 per share
Lot Size	1000 Shares
Total Issue Size	422,000 shares (aggregating up to ₹5.11 Cr)
Fresh Issue	422,000 shares (aggregating up to ₹5.11 Cr)
Issue Type	Fixed Price Issue IPO
Listing At	BSE SME
Share holding pre issue	930,000
Share holding post issue	1,352,000
Market Maker portion	66,000 shares

Associated Coaters IPO Timeline (Tentative Schedule)

Detail	Description
IPO Open Date	Thursday, May 30, 2024
IPO Close Date	Monday, June 3, 2024
Basis of Allotment	Tuesday, June 4, 2024
Initiation of Refunds	Wednesday, June 5, 2024
Credit of Shares to Demat	Wednesday, June 5, 2024
Listing Date	Thursday, June 6, 2024
Cut-off time for UPI mandate confirmation	5 PM on June 3, 2024

Associated Coaters IPO Lot Size

Application	Lots	Shares	Amount
Retail (Min)	1	1000	₹121,000
Retail (Max)	1	1000	₹121,000
HNI (Min)	2	2,000	₹242,000

Associated Coaters IPO Reservation

Investor Category	Shares Offered
Retail Shares Offered	50% of the net offer
Other Shares Offered	50% of the net offer

Associated Coaters IPO Promoter Holding

Share Holding Pre Issue	99.98%
Share Holding Post Issue

Company & Financials

Founded in 2017, Associated Coaters Limited provides services for pre-treatment and powder coating of aluminum extrusions in the architectural and Real Estate Industries. The company's annual capacity is 1,200 metric tons, with an Automatic Coating Plant and a Manual Coating Plant, making us a key player in eastern India for aluminum extrusion coating. The company operates two manual powder coating plants and one fully automatic powder coating plant established in July 2017. The company follows a strong Quality Management System as an ISO 9001:2015-certified organization. Their full immersion pre-treatment process, closely monitored by their chemical supplier, plays a crucial role in maintaining high standards. Combined with the use of architectural-grade super durable powder, they ensure the delivery of top-notch quality.

Associated Coaters Limited Financial Information

Period Ended	30 Sep 2023	31 Mar 2023	31 Mar 2022	31 Mar 2021
Assets	370.71	296.12	201.81	2.72
Revenue	232.96	358.94	139.41
Profit After Tax	33.22	54.30	13.67	-0.14
Net Worth	103.57	70.34	16.05	2.38
Reserves and Surplus	100.57	67.34	13.05	-0.62
Total Borrowing	34.90	9.90	10.10	0.20
Amount in ₹ Lakhs

Key Performance Indicator

	Pre IPO	Post IPO
EPS (Rs)	5.84	4.91
P/E (x)	20.72	24.62

Objectives of Associated Coaters IPO

The Company intends to utilize the Net Fresh Issue Proceeds for the following Objectives:

1. Funding capital expenditure towards the installation of plant & machinery in the existing premises.
2. Working Capital Requirements.
3. General Corporate Purposes.

Associated Coaters IPO Review

The company is engaged in the business of powder coating of aluminum extrusions used for the real estate industry. It is operating in a highly competitive and fragmented segment. Based on FY24 annualized super earnings, the issue appears fully priced. Tiny post-IPO equity indicates a longer gestation period for migration. IPO expenses of 22.8% indicates a fully structured model of the IPO. There is no harm in skipping this fully priced issue.

FAQs for Associated Coaters IPO

What is Associated Coaters IPO?

Associated Coaters IPO is a BSE SME IPO. They are going to raise ₹5.11 Crores via IPO. The issue is priced at ₹121 per equity share. The IPO is to be listed on BSE.
When will Associated Coaters IPO?

The IPO is to open on May 30, 2024, for QIB, NII, and Retail Investors.
What is Associated Coaters IPO Investors Portion?

The investors’ portion for NII is 50%, and Retail is 50%.
What is Associated Coaters IPO Size?

Associated Coaters IPO size is ₹5.11 crores.
What is Associated Coaters IPO Price Band?

Associated Coaters IPO Price Band is ₹121 per equity share.
What is Associated Coaters IPO Minimum and Maximum Lot Size?

The IPO bid is 1000 shares with ₹121,000.
What is Associated Coaters IPO Allotment Date?

Associated Coaters IPO allotment date is June 4, 2024.
What is Associated Coaters IPO Listing Date?

Associated Coaters IPO listing date is June 3, 2024. The IPO to list on BSE SME.