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16 Apr, 2025
ATC Energies IPO
Lithium-ion batteries are manufactured and supplied by ATC Energies System Ltd. (AESL). By creating fully vertically integrated energy storage solutions for a range of sectors and end users, including banks and vehicles, it offers affordable and effective lithium and li-ion batteries. Its factories, which produce a variety of standardized and customized lithium batteries, are situated in Vasai, Thane, and Noida, NCR. They are equipped with the newest machinery and technology, including an in-house integrated development and assembling system and quality testing infrastructure, and they cover an area of about 3,160 square meters.
The company follows stringent quality control procedures throughout the manufacturing process. The research & development team searches for chances to create unique and next-generation goods in addition to its customer-focused strategy. The company's future growth narrative is being complemented by the ongoing research, development, and introduction of the newest manufacturing technologies of renewable energy storage solutions by several nations worldwide. Lithium-ion battery demand is rising steadily in the local market, following the worldwide development trend.
ISSUE INFORMATION AND HISTORY OF CAPITAL:
In order to raise Rs. 63.76 cr. at the upper cap, the business is launching its first book building route combination IPO of 5403600 equity shares. A price range of Rs. 112 to Rs. 118 per share of Rs. 10 apiece has been published by the firm. The issuance includes an Offer for Sale (OFS) of 1080000 shares (valued at Rs. 12.74 cr at the upper cap) and 4323600 new equity shares (valued at Rs. 51.02 cr at the higher cap). The subscription period for the issue begins on March 25, 2025, and ends on March 27, 2025. A minimum of 1200 shares must be applied for, and then in multiples of that amount. Shares will be listed on NSE SME Emerge upon allocation. 26.50% of the company's post-IPO paid-up capital is made up of the issuance. The company will use Rs. 9.53 cr. of the IPO's net proceeds to repay or prepay some of its debts, Rs. 9.50 cr. for working capital, Rs. 6.72 cr. for capital expenditures on upgrading the Noida factory, Rs. 7.47 cr. for capital expenditures on upgrading the IT at the Noida/Vasai Factory and registered office, and the remaining amount for general corporate purposes.
WHAT IS GMP?
GMP (Grey Market Premium) is the difference between the IPO price and the grey market price. It is the premium amount paid for the traded IPO shares. It plays an important role in IPOs as it reflects how the IPO would react on the listing day.
A grey market is a place where shares/stocks are traded before being listed officially on the stock exchange.
ATC Energies IPO
| GMP Date | IPO Price | GMP | Last Updated |
|---|---|---|---|
| - | - | - | - |
**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.**
ATC Energies IPO Details
| Detail | Description |
|---|---|
| IPO Date | March 25, 2025 to March 27, 2025 |
| Listing Date | April 2, 2025 |
| Face Value | ₹10 per share |
| Issue Price | ₹112 to ₹118 per share |
| Lot Size | 1,200 Shares |
| Total Issue Size | 54,03,600 shares(aggregating up to ₹63.76 Cr) |
| Fresh Issue | 43,23,600 shares(aggregating up to ₹51.02 Cr) |
| Offer for Sale | 10,80,000 shares of ₹10(aggregating up to ₹12.74 Cr) |
| Issue Type | Book Built Issue IPO |
| Listing At | NSE SME |
| Shareholding pre issue | 1,60,65,000 shares |
| Shareholding post issue | 2,03,88,600 shares |
| Market Maker portion | 2,71,200 shares Alacrity Securities Ltd. |
ATC Energies IPO Timeline
| Detail | Description |
|---|---|
| IPO Open Date | Tue, Mar 25, 2025 |
| IPO Close Date | Thu, Mar 27, 2025 |
| Tentative Allotment | Fri, Mar 28, 2025 |
| Initiation of Refunds | Tue, Apr 1, 2025 |
| Credit of Shares to Demat | Tue, Apr 1, 2025 |
| Tentative Listing Date | Wed, Apr 2, 2025 |
| Cut-off time for UPI mandate confirmation | 5 PM on March 27, 2025 |
ATC Energies IPO Lot Size
| Application | Lots | Shares | Amount |
|---|---|---|---|
| - | - | - | - |
ATC Energies IPO Promoter Holding
| Share Holding Pre Issue | Share Holding Post Issue |
|---|---|
| - | - |
Competitive Strength:
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ATC Energies IPO Financial Information
| Period Ended | Assets | Revenue | Profit After Tax | Net Worth | Total Borrowing | |||||||||||||||||||||||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 30 Sep 2024 | 71.82 | 22.57 | 5.77 | 38.87 | 24.26 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2024 | 50 | 51.51 | 10.89 | 33.1 | 10.51 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2023 | 40.72 | 33.22 | 7.76 | 22.21 | 10.59 | |||||||||||||||||||||||||||||||||||
| 31 Mar 2022 | 36.05 | 36.52 | 11.86 | 14.45 | 11.81 | |||||||||||||||||||||||||||||||||||
| Amount in ₹ Crore | ||||||||||||||||||||||||||||||||||||||||
Key Performance Indicator
| KPI | Values |
|---|---|
| ROE | 39.38% |
| ROCE | 42.66% |
| Debt/Equity | 0.32 |
| RoNW | 39.38% |
| PAT Margin | 21.27 |
| Price to Book Value | 5.73 |
| Pre IPO | Post IPO | |
|---|---|---|
| EPS (Rs) | ||
| P/E (x) |
ATC Energies IPO – Objectives of the Issue
The company plans to utilize the net proceeds from the IPO for the following purposes:
- 1.Repayment and Pre-payment of Borrowings:A total of â¹95.28 million will be allocated to repay or pre-pay, in full, the borrowings availed for the purchase of the Noida factory.
- 2.Capital Expenditure for Noida Factory: : An estimated â¹67.22 million will be used for refurbishment, civil work, and upgradation at the Noida factory to enhance operational efficiency.
- 3.IT Upgradation: Around â¹74.69 million is earmarked for IT infrastructure improvements at the Noida factory, Vasai factory, and the company's registered office.
- 4.Working Capital Requirements: The company will allocate â¹95 million to meet its working capital needs, ensuring smooth operations and business growth.
- 5.General Corporate Purposes: A portion of the funds will be set aside for general corporate activities, including strategic initiatives, administrative expenses, and future business development.
This allocation reflects ATC Energies’ strategic approach to strengthening its financial position and operational capabilities
Conclusion
ATC Energies System Limited, a manufacturer of advanced lithium-ion battery solutions, is launching its Initial Public Offering (IPO) on March 25, 2025. The company aims to raise up to â¹63.76 crore through the issuance of 5,403,600 equity shares at a price band of â¹112 to â¹118 per share. The IPO comprises a fresh issue of 4,323,600 shares, aggregating up to â¹51.02 crore, and an offer for sale of 1,080,000 shares, totaling â¹12.74 crore. The proceeds from the IPO will be utilized for various purposes, including the repayment of borrowings related to the acquisition of the Noida factory, funding capital expenditures for refurbishment and upgrades at the Noida facility, IT infrastructure enhancements at both the Noida and Vasai factories, and meeting working capital requirements. With a minimum lot size of 1,200 shares, requiring a minimum investment of â¹141,600, the IPO will close on March 27, 2025, and the shares are proposed to be listed on the NSE Emerge platform on April 2, 2025. Investors should note that, as of now, the shares are not commanding any grey market premium (GMP) in the unlisted market.
Given ATC Energies' focus on the growing lithium-ion battery sector and its plans for strategic utilization of IPO proceeds, the offering presents an opportunity for investors interested in the energy storage industry.
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Frequently asked Questions (FAQs )
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What is the business of ATC Energies System Limited?
ATC Energies System Limited specializes in manufacturing and supplying advanced lithium-ion battery solutions for various sectors, including banking and automotive industries. The company offers both standardized and customized energy storage solutions.
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When is the ATC Energies IPO opening and closing?
The IPO opens for subscription on March 25, 2025, and closes on March 27, 2025.
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What is the price band for the ATC Energies IPO?
The price band is set between ₹112 and ₹118 per equity share.
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What is the lot size and minimum investment required?
The lot size is 1,200 shares, requiring a minimum investment of ₹134,400 at the lower price band.
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How is the IPO structured?
The IPO comprises a fresh issue of 4,323,600 equity shares, aggregating up to ₹51.02 crore, and an offer for sale of 1,080,000 equity shares, totaling ₹12.74 crore.
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On which exchange will the shares be listed?
The shares are proposed to be listed on the NSE Emerge platform.
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What are the company's financial highlights?
As of September 30, 2024, the company reported assets of ₹71.82 crore, revenue of ₹22.57 crore, and a profit after tax of ₹5.77 crore.
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How can investors apply for the ATC Energies IPO?
Investors can apply through their stockbrokers or online platforms that offer IPO application services, ensuring they have a demat account and sufficient funds for the application.
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Who is the lead manager for the ATC Energies IPO?
Indorient Financial Services Ltd. is the sole book-running lead manager for the ATC Energies IPO.
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Who is the registrar for the ATC Energies IPO?
Kfin Technologies Ltd. is the registrar for the ATC Energies IPO.
