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18 March 2024

KP Green Engineering IPO

KP Green Engineering, an enterprise specializing in the fabrication and galvanization of steel products, embarked on its Initial Public Offering (IPO) from March 15, 2024, to March 19, 2024, aiming to raise Rs 189.50 crores. This was achieved by issuing a total of 131.6 lakh shares, with the price band set between ₹137 and ₹144 per share. The company's shares successfully listed on the BSE SME platform on March 22, 2024.

Key Details of KP Green Engineering IPO

Detail	Description
IPO Opening	March 15, 2024
IPO Closing Date	March 19, 2024
Listing Date	March 22, 2024
Issue Type	Book Built Issue IPO
Price Band	₹137 to ₹144 per share
Minimum Lot Size	1000 shares
Issue Size	13,160,000 shares, aggregating up to ₹189.50 Cr
Listing Platform	BSE SME
Book Running Lead Manager	Beeline Capital Advisors Pvt Ltd
Registrar	Bigshare Services Pvt Ltd
Market Maker	Spread X Securities

Allocation and Subscription Details

Total Shares Offered	13,160,000 shares
QIB	2,500,000 shares (19%)
NII (HNI)	1,876,000 shares (14.26%)
RII	4,376,000 shares (33.25%)
Anchor Investors	3,750,000 shares (28.50%)

The IPO was met with significant interest, achieving a subscription rate of 29.50 times by the closing day. The breakdown of subscription rates across various categories was as follows

IPO Reservation Details

QIB	31.86 times
NII	48.23 times
Retail	20.12 times

Company Overview

KP Green Engineering Limited, established in July 2001, operates in the manufacturing of fabricated and hot-dip galvanized steel products. Its extensive product range includes Lattice Towers Structures, Substation Structures, Solar Module Mounting Structures, Cable Trays, Earthing Strips, and Beam Crash Barriers. With a focus on providing end-to-end solutions, KP Green Engineering has established a robust manufacturing facility in Dabhasa, Vadodara, Gujarat. This facility is equipped with state-of-the-art CNC machinery, enabling the company to cater to custom-made solutions with its in-house fabrication and Hot Dip Galvanizing capabilities.

Financial Highlights

For the period ending September 30, 2023, KP Green Engineering reported assets worth ₹13,635.62 lakh, revenue of ₹10,413.64 lakh, and a profit after tax of ₹1,126.64 lakh. These figures underscore the company's financial strength and operational efficiency.

1. Financing capital expenditure for setting up a new manufacturing unit to enhance production capabilities and expand the product portfolio.
2. Meeting general corporate purposes.

Market Performance and Review

KP Green Engineering's IPO represents a significant milestone for the company, emphasizing its commitment to growth and expansion in the renewable energy sector. As a flagship company of the KP Group, which has a strong presence in renewable energy, KP Green Engineering has demonstrated a legacy of rewarding its stakeholders through its past IPOs. This IPO, the third from the group in the last eight years and notably the largest SME IPO to date for any exchange, offers potential investors an opportunity for medium to long-term rewards.

FAQs for KP Green Engineering IPO

What was the KP Green Engineering IPO?

KP Green Engineering IPO was a book-built issue aimed at raising Rs 189.50 crores through the issuance of 131.6 lakh shares, priced between ₹137 and ₹144 per share.
When did the KP Green Engineering IPO take place?

The IPO bidding process started on March 15, 2024, and ended on March 19, 2024.
What was the listing date for KP Green Engineering IPO?

The shares of KP Green Engineering were listed on the BSE SME platform on March 22, 2024.
How many shares were offered in the KP Green Engineering IPO?

The IPO offered 13,160,000 shares in total.
What was the price band for the KP Green Engineering IPO?

The price band for the IPO was set between ₹137 and ₹144 per share.
What was the minimum lot size for the IPO?

The minimum lot size for investors was 1000 shares.
Who managed the KP Green Engineering IPO?

Beeline Capital Advisors Pvt Ltd acted as the book running lead manager, and Bigshare Services Pvt Ltd served as the registrar for the issue.
Who were the promoters of KP Green Engineering Limited?

Dr. Farukbhai Gulambhai Patel and Mr. Hassan Faruk Patel are the promoters of KP Green Engineering Limited.
What are the main products of KP Green Engineering Limited?

KP Green Engineering Limited manufactures a wide range of products including Lattice Towers Structures, Substation Structures, Solar Module Mounting Structures, Cable Trays, Earthing Strips, and Beam Crash Barriers.
What was the subscription rate for the KP Green Engineering IPO?

The KP Green Engineering IPO was subscribed 29.50 times, with QIB at 31.86 times, NII at 48.23 times, and Retail at 20.12 times.
What were the objectives of the KP Green Engineering IPO?

The proceeds from the IPO are intended for part financing the capital expenditure towards setting up a new manufacturing unit and for general corporate purposes.
Where is KP Green Engineering Limited located?

KP Green Engineering Limited's manufacturing facility is located in Dabhasa, Vadodara, Gujrat.
What does the KP Green Engineering IPO mean for investors?

The IPO represents an opportunity for investors to partake in the growth journey of a company with a strong foundation in the renewable energy sector, with potential for medium to long-term rewards.