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17 September 2024

Avax Apparels And Ornaments Limited IPO, GMP, Details, Price, And Review

The Company engages in two distinct lines of business:

● Wholesale trading

● Online retail of silver ornaments

Wholesale trading:

The Company operates in the wholesale trading of knitted cloth. They directly buy from manufacturers and supply wholesale to companies and readymade garment manufacturers in Punjab. The company specializes in knitted cloth, which is used for manufacturing ladies' and gents' jackets.

Online retail silver ornaments business:

The Company operates in the business of online retail of silver ornaments. They offer a wide range of designs and articles with a choice of the weight of products, such as silver rings, silver ladies' pajeb, silver gents kada, silver plate sets, silver glass, silver bangles, silver bowls, silver chains, and other silver jewelry. They are capable of supplying food in all major cities across the country.

Avax Apparels And Ornaments IPO Overview:

● Total Issue Size ₹1.92 crores
● Issue Type: Fresh issue
● Number of Shares: 2.74 lakh shares
● Price per Share: ₹70
● Minimum Lot Size: 2000 shares
● IPO Opening Date: September 20, 2024
● IPO Closing Date: September 24, 2024

Key Participants:

● Book Running Lead Manager: SKI Capital Services Limited
● Registrar: Skyline Financial Services Private Ltd
● Market Maker: SKI Capital Services

Avax Apparels And Ornaments Limited IPO And GMP

WHAT IS GMP?

GMP stands for Grey Market Premium, and if you are planning your IPO then GMP plays an important role. A grey market is a place where stocks/shares get traded before getting officially listed on any stock exchange. The difference between the IPO price and the grey market price is known as GMP (grey market premium). GMP is a premium amount paid at which initial public offering (IPO) shares are traded before it is listed on the stock exchanges.

Avax Apparels And Ornaments Limited IPO GMP

GMP Date	IPO Price	GMP	Last Updated
	70	-

**The GMP prices displayed here are solely for informational purposes related to the grey market news. India IPO does not engage in or facilitate grey market trading, nor are these rates (sub2) indicative of any trading activity. We also do not recommend or endorse participation in the grey market.**

Avax Apparels And Ornaments IPO Overview

Detail	Description
IPO Date	September 20, 2024 to September 24, 2024
Listing Date	[.]
Face Value	₹10 per share
Price	₹70 per share
Lot Size	2000 Shares
Total Issue Size	274,000 shares (aggregating up to ₹1.92 Cr)
Fresh Issue	274,000 shares (aggregating up to ₹1.92 Cr)
Issue Type	Fixed Price Issue IPO
Listing At	BSE SME
Shareholding pre issue	765,158
Shareholding post issue	1,039,158
Market Maker portion	14,000 shares SKI Capital Services

Avax Apparels And Ornaments IPO Timeline (Tentative Schedule)

Detail	Description
IPO Open Date	Friday, September 20, 2024
IPO Close Date	Tuesday, September 24, 2024
Basis of Allotment	Wednesday, September 25, 2024
Initiation of Refunds	Thursday, September 26, 2024
Credit of Shares to Demat	Thursday, September 26, 2024
Listing Date	Friday, September 27, 2024
Cut-off time for UPI mandate confirmation	5 PM on September 24, 2024

Avax Apparels And Ornaments Limited IPO Lot Size

Application	Lots	Shares	Amount
Retail (Min)	1	2000	₹140,000
Retail (Max)	1	2000	₹140,000
HNI (Min)	2	4,000	₹280,000

Avax Apparels And Ornaments Limited IPO Reservation

Investor Category	Shares Offered
Retail Shares Offered	50% of the Net Issue
Other Shares Offered	50% of the Net Issue

Avax Apparels And Ornaments IPO Promoter Holding

Share Holding Pre Issue	57.00%
Share Holding Post Issue	41.97%

Company & Financials

Incorporated in June 2005, Avax Apparels And Ornaments Limited is involved in two separate lines of business:

● Wholesale trading

● Online retail of silver ornaments

The company wholesales knitted fabric and sells silver ornaments online, including rings, ladies' payal, gents kada, plate sets, glass, bangles, bowls, chains and other jewelry. It supplies all major cities across the country.

The company has several key advantages in wholesale trading. It is geographically located in the hub of cloth manufacturing, which provides a significant advantage. In addition, the company benefits from the growing demand for these products and the strong business relationships maintained by the management, all of which contribute to the company's success in this segment.

Competitive Strength:

● Good network and connections with the players in the Sector
● Excellent Customer Relations
● Experienced and professional Team
● Good Track record of the management

Avax Apparels And Ornaments Limited Financial Information

Period Ended	31 Mar 2024	31 Mar 2023	31 Mar 2022
Assets	484.6	346.89	57.66
Revenue	2,205.98	1,470.21	28.87
Profit After Tax	138.19	69.44	1.01
Net Worth	314.68	176.49	1.65
Total Borrowing	41.13	23.07	15.28
Amount in ₹ Lakhs

Key Performance Indicator

KPI	Values
ROE	43.91%
ROCE	37.50%
RoNW	43.91%
P/BV	1.7

	Pre IPO	Post IPO
EPS (Rs)	18.06	13.3
P/E (x)	3.88	5.26

Objectives of Avax Apparels And Ornaments IPO

1. To meet the Working Capital requirements of the Company.
2. To meet the General Corporate Purposes.

Avax Apparels And Ornaments IPO Review

The company is engaged in wholesale trading of cloth and online retailing of silver ornaments. It marked growth in its top and bottom lines for the reported periods and based on FY24 earnings, the issue appears lucratively priced. However, considering tiny post-IPO equity and the highly competitive and fragmented segment raises concern over the sustainability of such margins going forward. Small equity base post listing also indicates a longer gestation period. There is no harm in skipping this lucrative but “High Risk/Low Return” bet.

FAQs for Avax Apparels And Ornaments IPO

What is Avax Apparels And Ornaments IPO?

Avax Apparels And Ornaments IPO is a main-board IPO. The company is going to raise ₹1.92 Crores via IPO. The issue is priced at ₹70 per equity share. The IPO is to be listed on BSE.
When will the Avax Apparels And Ornaments IPO open for subscription?

The IPO is to open on September 20, 2024 for QIB, NII and Retail Investors. The IPO will close on September 24, 2024.
What is Avax Apparels And Ornaments IPO Investors Portion?

The investors’ portion for QIB is 00%, NII is 50%, and Retail is 50%.
What is Avax Apparels And Ornaments IPO Issue Size?

Avax Apparels And Ornaments IPO issue size is ₹1.92 crores.
What is Avax Apparels And Ornaments IPO Price Band?

Avax Apparels And Ornaments IPO Price Band is ₹70.
What is Avax Apparel and Ornaments IPO Lot Size?

The minimum bid is 2000 Shares with ₹140,000 amount.
What is the Avax Apparel and Ornaments IPO Allotment Date?

Avax Apparels And Ornaments IPO allotment date is September 25, 2024.
What is the Avax Apparel and Ornaments IPO Listing Date?

Avax Apparels And Ornaments IPO listing date is September 27, 2024. The IPO is to be listed on BSE.
What is the current GMP of Avax Apparels And Ornaments?

The current GMP of Avax Apparels And Ornaments is ---.